L’Oreal Brand Audit
For many decades L’Oreal has been a devotee on female beauty (hair and skin) in fulfilling their mission responsibly and ethically. It’s one of the world’s leading beauty product corporations.
L’Oreal has beauty brands that have the direct and indirect. The two main direct competitors include Procter & Gamble Company (PG) and Revlon (REV). These competitors do also produce households skin cares, cosmetics and other hair and beauty products. Others include Nivea (hair-care, skin-care) Unilever (cosmetics hair-care, skincare), Nivea (cosmetics), Coty (fragrances ,cosmetics), LVMH (luxury beauty products), Boots (cosmetics), Estee Lauder (cosmetics, fragrances) and Beiersdorf (skincare) among others. Its indirect competitors’ include Google Inc. and apple in terms of their market size and financial profitability ratios.
The marketing strategies employed by the key competitors of L’Oreal include: engaging thorough creativity in their production of hair and skin care products, creating massive awareness of the products across local and international markets, using new mechanisms to scrutinize L’Oreal responses to their marketing measures, influencing strengths from L’Oreal customers’ perspectives and understanding and analyzing the competitive landscape of L’Oreal.
As at February 2014, L’Oreal market share had operating turnover of 3.88 billion Euros, showing 16.9% of retailing and an increase of 3.2% net proceeds after interests.
The strengths and weaknesses of the chief competitors of L’Oreal include: the steady research and originality, trying to lead in cosmetic production, doing immense advertising and online trading, trying to create market and create presence in more countries, producing steady quality, being concern on environmental hazards and other socially responsible activities that will try to outweigh L’Oreal as a principal competitor. The weaknesses of L’Oreal chief competitors include: large decentralized organizational structures, struggling profit margin and high dependence on third party retailers.
Typical reaction pattern of L’Oreal competitors include litigations of various accusation on products and their intellectual and property rights, trying to advance their technology to match with L’Oreal strategies and keeping tabs with them on various innovations.
“L’OrÃ©al, World Leader in Beauty: Makeup, Cosmetics, Haircare, Perfume – L’OrÃ©al Group.” L’OrÃ©al, World Leader in Beauty: Makeup, Cosmetics, Haircare, Perfume – L’OrÃ©al Group. N.p., n.d. Web. 18 Apr. 2014.