4 p’s..price,place,promotion,product strategic approach pricing pricing of beauty products is the...
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4 P’s ..Price,place,promotion,product
STRATEGIC APPROACH
PRICING
Pricing of beauty products is the primary criteria for how the brand is positioned. Price Range Rs 45 to Rs 200 Mass market categoryRs 200 to Rs 800 Middle market category Rs 800 to Rs 5000 High-end market categoryUpto Rs 35,000 Premium range category
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PLACE : Distribution Channel
Department stores are a key distribution channel
A number of upscale department stores are opening in the metro markets, with an estimated 570 stores projected for 2011 (vs. 210 in 2006).
STRATEGIC APPROACH
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Distribution StrengthsDepartment stores are a key distribution channelA number of upscale department stores are opening in the
metro markets, with an estimated 570 stores projected for 2011 (vs. 210 in 2006).
Concept of store-within-a-store format with trained staff for strong brand building. Target: Upper Class Consumers
Strong need for upscale packaging and in store merchandising tactics.
Other notable channels include SupermarketsHypermarkets
Metro and tier 1 cities to attract consumer by offering a wide range of products and frequent promotions.
STRATEGIC APPROACH
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PRODUCT DescriptionSTRATEGIC APPROACH
Our hydrating, cooling facial spray delivers instant relief on a hot day, or a light and beneficial moisture mist whenever you choose. Our unique formulation delivers a gentle mist, ideal for hydrating the face or any part of the body.
How to Use: Hold can approximately six inches from face. With eyes closed, briefly depress nozzle in a light circular motion to gently mist face. Can also be used on neck, arms, or any place on the body for a quick cool down and gentle hydration
Results: Deep cleans, gently exfoliates, removes impurities, and activates cellular renewal clearing away dull and damaged skin.
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PRODUCT :Eco friendly Ingredients
Base- Water in Clear form Thickening agent- Carbopol (.3%-.4%) to increase
viscosity Hydrating agent- Gama Polyglutamic acid
( Moisturizing, skin conditioning, skin rejuvenating and anti-pollutant )
Cleansing agent - Cocoglucocide (~2%), a mild foaming agent and a sulphactant.
MentholT3 oil- anti bacterial (.3%-.4%)Citrus fragrance or Green fragranceVitaminsOverall PH level of the solution 5-7 ph
STRATEGIC APPROACH
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STRATEGIC APPROACHPRODUCT Design & Packaging
An interesting development is the recent trend towards men’s grooming products, offering unique designs that are intended to attract the male audience
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REFERENCES
Websites http://www.wikinvest.com/stock/
L'oreal_(LRLCY)#Male_Cosmetics_on_the_Rise http://fitmasters.wordpress.com/2009/03/26/international-
marketing-country-overview-india-by-virginia-graham-emmie-salaj/
www.euromaster.com www.loreal.com www.diesel.comMagazines: In cosmetics World Cosmetics Loreal Paris
Books:Marketing Management – Philip Kotler
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REFERENCES
Special Thanks to:
Mrs Renuka Thergaokar ( Phd. Pharmaceutical ) – Professor at Vaze College
Ms Prachi Hatwalne ( MSc Clinical Nutrition & Dietetics) – Marketing Manager India and SAARC Countries- DSM Nutritional products
Dr Mala Shrivastav – Professor – NMIMS School of Business Management.
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That’s the DIESEL Way
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Luxury : one size does not fit all
American luxury consumers agree with the statement, "Luxury is for everyone and different for everyone,“
"From the European perspective, luxury is a privilege of class and status and what makes luxury more luxurious is that it is unavailable to the masses.
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H2O+ Skin Utilities for Men Transactive Hydrating Face Gel is an oil-free cream gel that delivers nutrient packed moisture instantly while neutralizing shine. It helps rejuvenate and refresh the skin reducing dullness and diminish lines. The product has been formulated with Sea Mineral Complex which delivers a comfort cocktail of sea grass, sea kelp and aloe to calm and protect against razor abuse, dryness and irritated skin with vital moisture balance, and vitamins A, C, and E, potassium, magnesium, calcium and so...
Durance en Provence L'Òme Selon Piedra de Alumbre para Afeitar (Alum Stone) is made with astringent and softening potassium. The mineral product gives a shaving without irritations and is soothing, hydrating, and non allergic. The product has to be used after shaving and is 100% natural. It is retailed in a 75g pack.
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BEAUTY COMMUNICATIONDiesel never seen in mainstream mediaConnect to only 5% audienceMade use of MTV and filmsFashion magazines such as Vogue India
and Femina are quickly capitalizing on the growing beauty industry.
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Loreal strategy to beat the competition
L'Oreal spends the most on R&D as a percentage of sales: L'Oreal (3.5%), Procter & Gamble (2.7%), and Revlon (1.7%).
L'Oreal is much larger than Revlon, Avon and Estee Lauder, therefore L'Oreal has more money to spend on marketing
COMPETITION
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Due to its small size, men’s grooming products continues to be dominated by mass brands, with premium ones accounting for a negligible value share.
The presence of premium brands is minimal in India, with the ones that are present being owned by direct sellers, such as Avon and Oriflame. Product : Aviance Men’s Solutions Route : Direct selling route Target : Key consumer group of affluent upper-
class men.
CONSUMER
Trendy Headlines
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The Recessionary Response
“L'Oréal's Q3 results improve, but luxury portfolio remains a concern”
ACCESSIBLE INNOVATION FOR MASS BRANDS.
L'Oréal boosts premium cosmetics and salon hair care with BREAKTHROUGH INNOVATIONS.(bold flacon designs)
ACCELERATING GLOBALISATION.Opening up NEW PRODUCT CATEGORIES. Increasing the ADVERTISING BUDGET.
OPPORTUNITIES FOR DIESEL
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Clinique for Men
COMPETITION
Clinique pioneered the dermatologist developed cosmetics brands.
100 % fragrance free.Custom fit for every skin type.Each product is beautifully crafted
and is allergy tested.
NEW Age Defense Hydrator SPF15 Maximum Hydrator M Shave Aloe Gel Lightweight lotion SSFM Anti-Blemish Solutions Clear
Blemish Gel Face Scrub
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Personal Skin Report based on your skin type number.
Dermatologist-developed Clinique computer.
Highly trained salesmen.Selected outlets , only 5 in IndiaHighly priced premium products.
Clinique for Men
COMPETITION
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Clarins for Men
COMPETITION
Since 1954, the Clarins Group promoted Safe products for Beauty results.
Emphasized more on environmental friendly ingredients. (Plant extract)
Salesmen were not as professional as the one in clinique.
Had many products in Unisex category.
Packaging is done on demand.8 stores in Mumbai.
Moisturizing Gel: Rs 1790Active face wash: Rs 1180Smooth shave: Rs 920 U.V 40: Rs1800
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Lancome for Men
COMPETITION
Lancome loves MenProduct Categories by:
Energizer totalAge FightRenergy 3DThe Essentials
However in the store they had limited products for men.
Color code: White for females, Black for males
Age wise category of products.
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