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L'Oreal Case Study Report - MKTG Assingment - 1st Sem, MBA EWP 2020 - Radhika
L'Oreal Case Study Report - MKTG Assingment - 1st Sem, MBA EWP 2020 - Radhika
MARKETING
SEM – 1
MBA EWP – 2020
Amity University – Manesar Campus
Founded in 1909
L’Oreal coupled innovation and speed to market with expansion of its geographic and
consumer base.
Aimed to Sell
“Science of Beauty in a Jar”
Key
Launching new innovative predicts on a
regular basis was key.
% of Revenue on R&D in
2010
L’Oreal : 3.5%
P&G : 2.7%
Revlon : 1.7%
1907 1957 1988
EUGENE SCHUELLER FRANCOIS DALLE LINDSAY OWEN-JONES
Other acquisitions
Chilean company Unisa
German company Jade
US company Soft Sheen & Carson products co. & many more
Targeting Men’s
In 1999 L’Oreal started targeting men’s
Organisation 1. Cosmetics
2. The Body Shop
Company is organised in three groups 3. Dermatology
Operational Divisions
Consumer Product Division: Garnier, L’oreal, Mayblline, Soft Sheen/Carson.
Luxury Products Division: International brands selectively distributed.
Professional Products Division: Special hair care products for professional hair
dressers.
Active Cosmetics Department: Specific distribution through pharmacies and
speciality health & beauty outlets
Professional Luxury Products Consumer Active Cosmetics
products Division Division Product Division Department
L'Oréal Technique Lancôme L'Oréal Paris Vichy
L'Oréal Professionnel Yves Saint Laurent Beauté Ombrelle La Roche-Posay
Kérastase Giorgio Armani Beauty Garnier Skinceuticals
Kéraskin Esthetics Kiehl's Maybelline Roger&Gallet
Matrix Essentials Biotherm NYX Cosmetics Sanoflore
Mizani Cacharel SoftSheen-Carson Dermablend
PureOlogy Research Diesel Carol's Daughter AcneFree
Redken Viktor & Rolf Créateurs de Beauté Ambi
Shu Uemura Art of Ralph Lauren Fragrances Essie CeraVe
Hair Shu Uemura Magic
Carol's Daughter Clarisonic Niely Cosméticos
Carita Guy Laroche Colorama
Essie Paloma Picasso
Decléor Urban Decay
Botanicals Fresh Care Maison Margiela
Yue Sai
Helena Rubinstein
IT Cosmetics
House 99
Atelier Cologne
Proenza Schouler
Created “Geocosmetics” to study beauty trends around world
and deliver the best products for that region.
Improving
products
Boosted ad
Modernize
spending by
the
30% to $70
advertising.
Marketing million
Strategy
Brought Moved
back headquarter
Maybelline to New York
slogan
MASSTIGE
High quality products at an affordable price to fill the price gap
Eg; L’Oreal Paris
Regionally Focussed Rollout
“2008; A key focus of his L’Oreal invested in: By 2008 4,000 luxury salons
group would be to 1. Strong Ad campaigns adapted RedKen in Latin
accelerate the geographic on the internet America
rollout of its brand in new
2. Women’s magazines
high-growth markets by
tailoring product to drive word to In 2009 within 3 month of
performance and price to mouth launch of Inoa in EU 36,000
local needs.” 3. Have consumers salon adopted it.
- L’Oreal president of generated demand for
consumer products salon’s products 3,500 trainings provided to
80,000 hair dressers.
L’Oreal did not use the
direct sales approach but
hired personal beauty RedKen (1990s)
advisers at department Innovated a different kind of marketing approach. A highly
stores. successful American premium brand.
“The more market develops the less relevant direct sales will be”
L’Oreal aimed to attract a bigger
customer base in US & emerging markets
In 2007 company
invested 2% of its ad
budget on online
initiatives
Company’s Ad Budget
75% for TV
20% for Print
5% for Billboards Telling the story
L’Oreal used A-list celebrity endorsers in highly successful as campaigns to push
products to wide range of age brackets, ethnicities and genders.
“L’Oreal associates itself with tap into all ages, race and sexes & the portfolio leaves
no stone unturned.”
Print to Digital
“The big revolution is digital and it is a great revolution. Because it changed the way
we communicate about our brand”
L’Oreal Destination Beauty
YouTube channel launched in year 2010 contained how to
videos filmed by beauty bloggers who provided hair and makeup
tips.