L'Oréal and the Globalization of American Beauty Essay

L’Oreal’s slogan “Because we are worth it” is the platform upon which the company’s entire marketing strategy is built. The purpose of the message is to create a sense on self worth and confidence among women. L’Oreal’s marketing content is based upon three pillars: education, empowerment and aspiration. In line with these three topics, how-to and do-it-yourself videos have been created informing consumers of various beauty tips. Videos focused on empowerment send the message of the brand’s strength and confidence rather than just focusing on cosmetics and beauty, leaving customers with positive outlook. Finally, aspirational videos are reflections of the company’s sponsorships with various award and fashion events, which infuse the brand with

According to the situation mentioned above, L’Oreal’s strategy will lead them suffer from few of the challenges. There are three main challenges discussed in this report. Firstly, the acquired companies now work without their founders. Secondly, manage L’Oreal’s portfolio of products. Thirdly, it is hardly to manage lots of brands. Finally, it might have a problem about customer loyalty for local companies.

Considering these environmental trends and cultural differences into account, positioning Yue Sai as a provider of “delicate luxury cosmetics for mature Chinese women” under the LCD of L’Oreal, is the ideal choice. It will help L’Oreal establish a sustainable and profitable presence in a Chinese market segment inaccessible by its other sub-brands.

chemicals and start flushing them out of our system”. (Source B). One of these, are a chemical

In this report, I will be exploring the European and global factors that occur within the economic environment. The business I have chosen to refer to is L’Oreal.

When organizations want to communicate value, they must determine what message strategies work best for them. Smart organizations determine a product’s unique selling proposition (USP), or specific benefit consumers will remember (tetxbook). An advertising slogan that I believe is particularly effective for developing a unique selling proposition, is L’Oreal’s "Because You're Worth It", which was written in 1973 when a social revolution and a new spirit of feminism was in full swing. The company is using television, radio, magazines and social media mediums to advertise its products.

The huge success of L'Oreal Plenitude in French as the premium skin product with "class to mass" strategy was the primary reason for L'Oreal to expand the product to US market. The company started to enter the US market skin care in 1989 through mass channel by introducing the entire product line (14 SKU's) that had been developed in France, instead of launching the product one by one. Before Plenitude entered the US market, L'Oreal had had good reputation for its cosmetic and hair product, so the name was critical to sell the products. The company used the same formula "star" system in advertising as in France by putting bulk of dollars on the newest, most technologically advanced product. Even though Plenitude had a

•Main competitors (Oil of Olay, Pond's and, Nivea) were situated in the HBA aisles of the stores while Plenitude products were merchandised in point of sales in the cosmetics' aisles next to L'Oreal cosmetics where the consumer is looking for cosmetics not skin care. The skin care consumer is in the HBA aisles!

Problem Statement - L’oreal Plenitude has been introduced in the US for 8 to 9 years but the brand is still not making any profit. Should L’oreal switch everything to Revitalift which is the ‘star’ product or continue their effort in building the market share of Plenitude by improving it’s value proposition in cleansers and daily moisturisers?

The Dove campaign for Real Beauty was the brainchild of Ogilvy & Mathers, Edelman Public Relations and Harbinger Communications (to be referred to as simply Ogilvy) and the project was known as the “Evolution” campaign. The marketing campaign began in 2004 under the corporation known as Unilever. This diversified conglomerate is the parent company to the Dove Company’s line of beauty and body products. The campaign began as a result of survey conducted in which only 2% of women believed they were “beautiful.” Unilever saw an opportunity to reach a saturated market from a fresh perspective. After hiring Ogilvy, the message grew into one of the most successful advertising campaigns in Unilever’s storied history.

The Revlon Beauty Company is a global and classic brand. An advertisement found in Glamour Magazine, promotes the sales of Revlon’s well-known nail polish enamel. The ad features a man with a woman’s hands draped over him to promote new nail polish colors. Revlon attempts to convince readers to purchase beauty products, including nail polish, through the use of colorful imagery, diction, and appeals to pathos and ethos; overall the ad is fairly effective at convincing the target audience of women ages 18-40.

In terms of promotion and advertising, L’Oreal should change the “star product” approach and instead focus on the whole product line or perhaps a set of products for a given target segment. In this way, L’Oreal can inform its customers on its products which should also help them in choosing the right product for themselves. L’Oreal should also focus on building the brand Plenitude since this is something that customers are not aware of. They

L'Oreal is a cosmetic company, which makes some of the world's biggest beauty products. L'Oreal's success story begins in 1907. It has been the market leader in the cosmetics and toiletries market since 2001 (Euromonitor 2005). Their products are sold in about one hundred and thirty countries worldwide. L'Oreal is divided into four categories - consumer products, professional products, luxury products, active cosmetics. They mainly focus on skin care, make-up, hair care and fragrance. L'Oreal includes some important brands such as Lancôme Paris, Garnier, Mabelline, Softsheen Carson, Matrix, and Biotherm. L'Oreal invests heavily into its research and development which gives them competitive advantage over its competitors.

Rivalry is intense among the competition in the cosmetic and skin care industry. There are numerous existing cosmetic companies competing in the market. The giant corporations acquire numerous brand name products and compete for the same number of customers. The competition consists of companies such as, Procter & Gamble, L’Oreal, Unilever, Avon Products, Inc., Estee Lauder, in addition to competing with large retailers, who order mass

The pharmaceutical activities of L’Oreal are also handled by Sanofi-Aventis. These divisions and subdivisions ensure the quality that the L’Oreal Group offers to its customers. To further add to the enumerated strengths of the company, L’Oreal’s advertising strategy also plays a major part to its growth. Through adapting to the culture of their target market as the main tool of their advertisement, the Company brought L’Oreal products within reach of other women from different parts of the world.