Review l oreal brand portfolio

1. Review L’Oreal’s brand portfolio. What role have local and global marketing, smart acquisitions, and R&D played in growing those brands?

L’Oreal has a global presence covering six of the seven continents, with 39% of their market coming from the Asian/Pacific zone. Additionally, L’Oreal is expecting to grow the emerging market segment to account for over 50%of their portfolio. Due to this diversity, L’Oreal must focus its marketing and R&D approach to encompass both local and global strategies. One way for L’Oreal’s R&D to keep their finger on the pulse of these diverse markets is to establish new research centers directly in these markets, to enable them to not only better understand the local and cultural nuances, but to incorporate local talent into the R&D teams. The marketing side of L’Oreal focus on precise target marketing is critical for their global success by reaching the right audience, for the product, at the right time. Capturing the regional characteristics that are so distinct and particular, has enabled L’Oreal to truly capture the tone of global beauty. Furthermore, L’Oreal has targeted key acquisitions of complementary brands to expand its global footprint, currently managing 36 brands internationally.

2. What are the keys to successful local product launches like Maybelline’s Wonder Curl in Japan?

“We keep enriching this collection year after year to embrace new segments and geographies and to respond to new customer demands.”1 L’Oreal does not stop at simply expanding its own brand globally, it has made an emphasis to launch specific products at the local and regional levels. To be successful in launching products locally, a product must be marketed and/or designed to specifically fit that segment. As penned by Margaret Wolfe Hungerford “beauty is in the eye of the beholder,” is exactly the reason why local and regional palates must be considered in every marketing decision made by L’Oreal. Different body types, hair styles, and make up applications are just some of the characteristics that differ widely throughout the world. What is considered attractive or desired in the USA can be considered unattractive and perhaps even repulsive in Asia, Africa, and the Middle East.

3. What’s next for L’Oreal on a global level? Who are its biggest competitors? If you were CEO, how would you sustain the company’s global leadership?

L’Oreal’s future lies in the emerging markets of Latin America, Asia, and Africa, with an expected market share expansion to total between 50% and 60% of there total sales. Continued expansion of research facilities in these areas is a must to stay in complete harmony with regional specifications and trends. Following this strategy will keep L’Oreal ahead of its closest competitors, including Yatsen Holdings, Estee Lauder, Avon products, Revlon, and CHANEL.

At the forefront of L’Oreal’s CEO’s strategy should be to continue its emphasis on local and regional distinction. Targeting locally with a global backing is the strategy needed for future growth.

1. https://www.loreal.com/en/our-global-brands-portfolio/

Case 3 -Jason van Dijk -- PLEASE RESPONSE TO BELOW

· Review L’Oréal’s brand portfolio. What role have local and global marketing, smart acquisitions, and R&D played in growing those brands?

Local and global marketing, smart acquisitions, and investments into R&D have all played major roles in growing the L’Oréal brand(s). L’Oréal products can be found all over the world today in various countries and they are a huge player in the cosmetic industry. One of the key reasons L’Oréal is so global is due to the way they target their markets ever so precisely, for example, when they released the mascaras specifically made to Asian women’s requisite. In addition, the acquirement of companies such as Carson and Soft Sheen aided L’Oréal in removing competition.

· What are the keys to local successful product launches like Maybelline’s Wondercurl in Japan?

The keys to local successful product launches like the Maybelline’s Wondercurl in Japan are: 1) hearing and noticing customers’ needs and wants, 2) gain understanding of these needs and wants, and 3) satisfying these needs and wants with high quality products. Wondercurl was prosperous because L’Oréal reinvested 3 percent of their sales on Research and Development and investing into new laboratories to create new beauty products.

· What’s next for L’Oréal on a global level? Who are its biggest competitors? If you were the CEO, how would you sustain the company’s global leadership?

L’Oréal’s biggest competitors are obviously other beauty and cosmetic international companies like Neutrogena, Chanel, Estee Lauder, etc. These companies have also grown and expanded their product lines in many countries around the world and have similar pricing and company structure as compared to L’Oréal. In order to keep competing in this global market, L’Oréal must continue to innovate new products, listen to their customers’ needs and wants, and continue reinvesting their sales into Research and Development. In order to sustain the company’s global leadership, if I were the CEO of L’Oréal, I would invest and innovate into the areas of hair and skin care as well. These areas have become quite lucrative because more and more people are paying attention to their skin care and require products that will help with their conditions, whether it’s dry skin or oily skin, L’Oréal should start developing products to combat these skin issues. In addition, L’Oréal can also come up with products that are geared towards the middle class as well and offer low pricing products.

CASE AXE & DOVE – JASON VAN DIJK--- PLEASE RESPONSE TO BELOW

· What makes personal marketing work? Why are Dove and Axe so successful at it?

The personal marketing works efficiently to reach the consumer and attempts to resolve their any issues that they may be experiencing. Personal marketing assists the company to create a face-to-face interaction to fulfil them. Axe and Dove personal care brand of the Unilever became lucrative and popular because Unilever creates these products following the inquiry of the lifestyle, target group, and demographics for customer fulfilment.

· Can a company take personal marketing too far? Explain.

A lot of times, companies do not use personal marketing where they can possibly take it too far. This is because it forms strong customer relations along with customer fulfilment as it relates to the actual product lines. If, however, the personal marketing does indeed go too far, then companies would not use the product in the long run. So, in conclusion, personal marketing can be taken too far but it really depends on the product you are promoting, and the demographic of the targeted consumer you are trying to attract.