L’Oreal Case Study Essay -- Business Marketing

LOrealIntroductionLOreal is the largest cosmetics company in the world. It shouldnt be a surprise that LOreal doesnt give away all of its product caudexs in every commercialise placeplace in which it sells, and the market in the Netherlands is no exception. Upper management of the Netherlands LOreal subsidiary move over to make decisions on which product lines will succeed in their single market and which ones will falter. In this particular case, LOreal needs to solve if it would like to introduce Garneir product lines such as the Synergie skin assistance line and the Belle Couleur permanent hair colorants line into the Netherlands market. The basic problem is whether or not to introduce these lines into the Dutch market.Situation AuditIn the Netherlands, contrasted in France, LOreal and Garneir are twain sold under the identical sales force. This must be taken into consideration considering that LOreal has products in both hair colorants (Recital) and in skin care (Plen itude). Fortunately, the Dutch market maybe able to handle both of these product lines from LOreal and Garneir if it is tangle that they could both be profitable. When looking at the Dutch market, the most move thing is the youth of population. 40% of the population is under the age of 25. This is an authorized demographic stat beca practice a lot of younger women are the ones who use cosmetics, and it is important to note that the fastest growing populations are those of age 25 and older which might be important to the market of hair colorants. former(a) elicit trend is the number of Dutch women who work outdoors the home office with a labor force rate of 29% and it is increasing to a greater extent rapidly than those of other countries like the United States and the United Kingdom. This is very interesting because these women will halt more money, independence, and self-confidence. In these terms, these women will more than liable(predicate) use more cosmetics because of the increase in time that they spend outside of the home. A final insight into the Dutch market shows that Dutch women draw to shop for value, especially in cosmetics, which needs to be taken into account. The boilers suit Dutch market looks somewhat promising to the introduction of Synergie and Belle Couleur lines, but other factors must also be looked at.While the overall Dutch market is important in the analysis, the product markets might give a be... ...o use our product because they are out in public and they also throw more money to spend on things such as cosmetics. The Dutch women in this market need the Synergie line to give off the subject of a self-concept that kitty relate our brand image to their needs as a working(a)woman. An idea for the advertising campaign could be Youre working the hardest, shouldnt you look the best too While this product line is marketed towards the workingwoman, the LOreal product Plenitude could be marketed towards keeping a modern loo k with its ability to delay the signs of aging. The best bet for the profitability of both products is to effectively find a certain image that each consumer can identify herself with. With this, I believe that both products can succeed in the same market and both can have the potential to have large market shares. BibliographyDatamonitor, Feb. 2004. hair tonic In The Netherlands. Retrieved on April 23, 2005. http//dbic.datamonitor.com.proxy.lib.ohio-state.edu/industries/industry/?iid=HaircareDatamonitor, Feb. 2004. Makeup In The Netherlands. Retrieved on April 23, 2005. http//dbic.datamonitor.com.proxy.lib.ohio-state.edu/industries/industry/?iid=Skincare