The Marketing Strategy of L’Oreal Paris

The Marketing Strategy of L’Oreal Paris 0
Title: The Marketing Strategy of L’Oreal Paris
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The Marketing Strategy of L’Oreal Paris 1
Executive Summary
This report summarizes the international beauty brand -L’Oreal Paris and its penetration strategy
in demographic markets of Australia. The large emphasis is on the major holdings of L’Oreal
brand and this is followed by the product segment summary. The need for the new product in the
Australian markets is largely emphasized. A description about target customer and marketing
mix strategy has been provided, followed by a conclusion.

The Marketing Strategy of L’Oreal Paris 2
Contents
Introduction......................................................................................................................................3
Company Summary.........................................................................................................................3
Product Segment Summary.............................................................................................................4
New Product Rationale....................................................................................................................5
Target Customer Description...........................................................................................................6
Marketing Mix Strategy...................................................................................................................6
Conclusion.......................................................................................................................................7
References........................................................................................................................................8
Appendix........................................................................................................................................10

The Marketing Strategy of L’Oreal Paris 3
Introduction
L’Oreal is a Paris based personal care firm and its products are majorly focused towards
skin care, make-up, sun protection, hair color, hair care and perfume. The cosmetics market is
rapidly progressing in Australia and this is evident from the needs of the consumer skin care
products. L’Oreal is an international brand that has been continuously evolving its brand
marketing strategy and tactics to become the world leader in cosmetics range of products. The
aspirant young generation is the target market for L’Oreal and the brand has underwent a number
of transitional phases. At present, the company has been operating research and development
centers in six countries (Slater, Hult and Olson, 2010).
Company Summary
L’Oreal Paris is one of the global leader of beauty products. The company was
established by Eugene Schueller in year 1909. The company is known for some of the best
cosmetic products in its portfolio. The L’Oreal Paris has made the investment of thousand
million dollars in the research and development and more than four hundred patents have been
filed. The present worth of L’Oreal Paris is estimated to be about $107 billion dollars. The
business of L’Oreal Paris has been growing at double digit numbers. The net profit derived
through the cosmetic activities has been 1.6 billion Euros (Abdullah Saif, 2015). The company
has its operations in more than 100 countries and employs approximately fifty thousand people.
According to the rankings given by Fortune Global 500, the L’Oreal was ranked at 353. By the
end of year 2016, the company had an operating profit of 4.5 billion Euros and shows revenue of
25 billion Euros.