Consumer Behavior Towards Lakme Products

This report explores and considers the various factors which impacts lush cosmetic’s product in term of entering the market. There are methods which can be taken with this organisation, were researched; the main focus will be to:

This report is based on the ‘L’Oreal: Expansion in China’ case study. L’Oreal is a successful French cosmetic company that involved into many different international markets. This report will discuss how L’Oreal gets into the Chinese cosmetic Market and the strategic to develop their brand in the Chinese market. L’Oreal acquires two famous Chinese cosmetic brands which are Yue-Sai and Mininurse. It is in order to entrance the market quickly and sales the most suitable products. The aim of this report is to define the challenge L’Oreal has been faced. Then it describes how L’Oreal managing their strategic in Chinese market. In addition, it gives an accommodation which could help L’Oreal overcoming these challenges.

Aesop is a 1987 established cosmetics selling company with an idea to make a high range of magnificent products which support the function and structure of body, skin and hairs. Each and Every Aesop Product is created after keeping in mind certain factors such as considering distinct needs of the mass as well as seasonal and climatic conditions. They are

The fragrance market is the major part of the care market. During the 90’s, this market has known a considerable growth. Currently, it might be entering a maturity phase. The perfume market is highly competitive and there are a lot of fragrance houses which are competing for sales. The total global market is over 25 billion Dollars.

• Consumer Behavior: In different countries consumers will respond differently to advertising, product positioning and the kind of distribution. Also the willingness to spend a certain amount of the income for cosmetics differs among countries. Another important factor is the consumer’s willingness to switch the brand.

Unilever, founded in 1929, is an Anglo–Dutch multinational consumer goods company. Its headquarters are in London, England and in Rotterdam, Netherlands as well. It is the world's third-largest consumer goods company as of 2012. It is also one of the oldest multinational companies in the world, its products include food, beverages, cleaning agents and personal care products. And these products are available in 190 countries.

There is a famous saying that ‘cosmetics are not selling product but beauty.’ Therefore, it is important to keep planning and developing product to meet the needs of customers who pursue beauty. In line

As the consumer attitude gradually changes, people are more in favor of the natural and safe products in cosmetic market. Australia consumers are not exception. They respected green-added cosmetics, namely, they are increasingly in pursuit of natural, pollution-free cosmetics with no chemicals added. Consequently, the products of chemical-free will gain competitive advantages in Australian cosmetic market to meet the consumer’s psychological needs for green, organic skin care products.

Currently, the business has not ventured in the cosmetic market of London and Canada. Canada and London provide an opportunity for the company to expand its market through its international entry strategy of retailing and B2C framework. The SWOT analysis of the company shows a wide range of strengths and opportunities for the company’s future success such as market gap (London and Canada), Globalization, technology and good customer relation (BBB accreditation). The company demonstrates high capability of sustenance and survival through retailing, personal selling, E-commerce, E-marketing, Fashion Collaboration and other B2B platforms.

Young girls are more concerned about acnes and blackheads while mature women are looking for anti-aging and anti-wrinkle products. Genders do affect the choice of skin care products. In the past, skin care products only belong to the girls’ world. Nevertheless, in recent years, men are increasingly becoming more and more concerned about skin care. With a view to this latest trend, various brands have started developing men’s line. Income level directly affects the purchasing power of customers. Skin care products take up a wide range of price levels from far less than a hundred dollars to more than a thousand. Young girls who do not have any income cannot afford the expensive skin care products while mature women with higher purchasing power focus more on quality and effectiveness. Occupations also determine the need for skin care products. Models and artists generally have a higher consciousness on skin care than people with less exposure to the public.

The cosmetics business is a billion dollar industry. Every year, women are responsible for consuming millions of cosmetic products. The cosmetics industry is so large because of several factors. The media is a huge contributor to the intense pressure to look a certain way. The idea that "sex sells" is evident in gossip magazines, movies, advertisements, music, and more subtly- in the business world. People first notice what race someone is, how beautiful or ugly they are and what clothes they are wearing. Beauty is skin deep; however, first impressions are usually what others use to base their

Porter national diamond analysis Supporting Industries Superior in-store infrastructure Counseling counters Cosmetic R&D centre MDO, Max factor Strategy, Structure and Rivalry High number of domestic competitors with high innovation. Tough competition Presence of prestigious foreign brand Intense, established, well respected , high experience and famous competitors Limited competitors in high-cosmetic market which can lead to low innovation and learning improvement as well as an opportunity to easily reach a huge market for P&G

This case describes how SK-II which is a fast-growing skin care product is becoming very popular with a price to match its performance. After being introduced in Hong Kong and in Taiwan, P&G believes that this brand has a strong global potential. At the conclusion of this case, the company is left thinking whether or not to grow into both the European and the Chinese market.

Further Penetrate the Japanese Market: Currently, Japan remains SK-II¡¦s most attractive and proven market for this product-line. Having already established brand recognition, high awareness (+70%), and a loyal and growing customer-base (spending $1,000/year+), P&G should focus on further penetrating this market. Japanese women are among the world¡¦s most sophisticated users of beauty products, and per capita they remain the world¡¦s leading consumer of the prestige and multi-step offerings „³ SK-II¡¦s Japanese target market is well-defined and very loyal once acquired. Furthermore, having succeeded in Japan before with its ¡§Lipfinity¡¨ launch, P&G has existing distributor relationships and has viable access to these customers. Rather than investing heavily to enter new markets such as China or Europe, P&G can more effectively direct these resources to expand/extend the product-line and develop newer, profitable Japanese segments. P&G can also rely on its existing sales model and target the sophisticated and informed Japanese consumer by offering technologically enhanced products and systems such as: 1)

Because Japanese women had by far the highest use of beauty care products in the world, it was natural that the global beauty care category management started to regard Max Factor Japan as a potential source of innovation