What is L’Oréal Paris’ marketing strategy?

What is L'Oréal Paris' marketing strategy? | BluCactus UK

What is L’Oréal’s marketing strategy? L’Oréal is a French personal care company. Whose company was founded in 1909 by Eugène Schueller. And today, we can say that it is one of the most important cosmetic companies in the world. Besides that, the continuing success that the brand enjoys is also due to its L’Oréal marketing strategy.


This company has concentrated on product categories such as cosmetics, makeup, hair, and skincare. According to the data shown on the web, it invests billions of dollars each year in research and development. Regarding this, it has filed patents in more than 495 countries.


What is L’Oréal’s market segmentation?


What is L'Oréal Paris' marketing strategy? | BluCactus UKL’Oréal’s market segmentation is based on demographic factors. Their clients belong to the middle and upper class, who identify with enhancing their beauty. Likewise, this segmentation has brought many products to the market.


For example, Dark & ​​Lovely is a product line for African women. You can purchase these products from professional clients who wish to enhance the appearance of individual clients.


It is also worth noting that L’Oréal handles more than 30 brands with different product categories. Therefore, it has implemented a differentiation strategy. This allows you to target middle, upper-middle-class, and high-income audiences.


The brand’s positioning is mainly due to its beauty care products and cosmetics category. Undoubtedly through its different brands, it focuses on respecting each of its clients’ cultural diversity and aspirations to create a wider target market.


L’Oréal SWOT Analysis


What is LOreal Paris marketing strategy? | BluCactus UKLet’s see what L’Oréal’s strengths are through the SWOT analysis:


  • Mission


It is essential for the brand that its’ customers have the opportunity to express their personalities. While in return, they gain self-confidence and show it to others.


  • Vision


Continuing to win millions of consumers in all parts of the world. Through the creation of a variety of cosmetics that                                                                                                                  can satisfy your beauty desires and needs.


  • Motto


The brand’s motto is currently : “Because we are worth it.” This motto is symbolic with empowering women of all ages and backgrounds to believe in their own beauty and their own worth.


What is L’Oréal’s competitive strategy?


What is LOreal Paris marketing strategy? | BluCactus UKL’Oréal’s competitive advantage is divided as follows:


  • Company Diversity, L’Oréal.


From the beginning to today, the brand has not stopped believing in diversity. This is one of the reasons why it has a large number of brands is from the inclusiveness they have provided within the workforce (approximately 90,000 employees). However, they are of different nationalities and are available in more than 150 countries.


  • Consolidated Brand Portfolio, L’Oréal.


The L’Oréal company has a portfolio of consumer product brands. Which we will mention later when explaining your marketing mix strategy.


What are L’Oréal’s business strategies?


What is LOreal Paris marketing strategy? | BluCactus UKThis company has been operating in the business through a distribution strategy. They do it through traditional means, such as wholesalers, retailers, Pop & Mom stores. And, of course, you cannot miss the e-commerce websites.


It is worth noting that the electronic commerce has had significant weight on the brand. It plays a fundamental role when it comes to distributing your products. As a result, since 2016, sales growth has been considerable.


Thanks to this, the brand has also concentrated on other markets, and sales have been positive.


In fact, by 2022, they have had a 19% growth in sales, exceeding $9 billion. This only means that neither the pandemic nor other events in the world have been able to stop the brand’s growth.


What is L’Oréal’s marketing mix?


It is common to observe that a marketing mix strategy guides successful brands, and this is also the case with L’Oréal. In this way, they have been able to position themselves in the market, surpassing the competition just from investing into research, blending science and creativity to invent the future of beauty within all size,age, skin types.


Let’s see how the L’Oréal mix marketing strategy works:


  • Product Strategy, L’Oréal.


What is LOreal Paris marketing strategy? | BluCactus UKL’Oréal produces products related to beauty and cosmetics. Thus, it has 4 main product divisions:


  • L’Oreal Luxe: Kiehl’s, Lancôme, Giorgio Armani, Yves Saint Laurent, Diesel, Ralph Lauren, Clarisonic.
  • Consumer products: Garnier, L’Oréal Paris, Shampoo, Maybelline New York.
  • Active Cosmetics: La Roche-Posay, Sanoflore, Vichy.
  • Professional Products: Matrix, Kerastase, L’Oréal Professionnel Paris.


Through these divisions, the brand offers mascara, blush, concealer, toner, hair colour in different shades, lip gloss, skincare for all ages and much more. All are produced according to the needs of the client. They also have different price ranges.


For the production of L’Oréal products, each one is tested based on international standards. Therefore, the tests do not harm any animals during the process.


  • Price strategy, L’Oréal.


The product division brand L’Oréal is distributed in retail channels. And so, it becomes available to a mass market.  This way, they have managed to make great profits. Professional products are available worldwide. That is why when a customer visits a salon. They are the first products he sees. And however, they will not have problems paying its cost because it is not very high.


You can find all of the Luxe product divisions at the supermarket, the brand’s points of sale, it’s online store, and in cosmetics stores such as Super-drug, boots, etc. In addition to this, the prices of these products are higher on price. However, customers are still willing to pay a high cost as they are high-quality products. Likewise, they are reliable groups compared to the competition.


For the brand, it is important to maintain this pricing strategy based on the value of its products. They penetrate the market with different price levels through all the products they offer and their innovations.


  • Distribution Strategy, L’Oréal.


L’Oréal has several distribution networks, which allows them to have a large presence in the market. Over time it has been acquiring companies worldwide. This is why it has managed to grow in more than 130 countries. All your products can be located in different points of sale, department stores, cosmetic stores, pharmacies, etc. Also, you can find them in major brand-name boutiques and e-commerce websites.


  • Promotion Strategy, L’Oréal.


As for L’Oréal’s promotion strategy, it must carry out promotions that are adjusted to each country as an international brand. Equally, they have a slogan “because we are worth it” with a message  which they attract many customers.


This brand’s aggressive promotional strategy focuses on independent and successful women worldwide. Therefore, they collaborated with successful celebrities such as Jenifer López and Cheryl in their campaigns. And, In India, many celebrities have been brand ambassadors, such as Aishwarya Rai Bacchan.


L’Oréal’s goals for its 2022 marketing strategy


L’Oréal is one of the largest beauty companies in the world. Therefore, setting an example in terms of environmental conservation gives them a better corporate image. That is why by 2022, it announced that the packaging of it’s products from the L’Oréal ELVIVE line would be 100% recycled plastic. This strategy focuses on products for sale in Central America.


However, a program has also been announced in alliance with NGOs to donate to the country’s most vulnerable communities. They also have other projects of a social nature in mind.


What do you like about L’Oréal’s marketing strategy?


This is L’Oréal’s marketing strategy. Although there is a lot of competition in the personal care industry, this brand has done things right. L’Oèal’s action plan is to innovate based on the needs of its potential clients.


You must also meet your objectives if you have a brand belonging to this sector. At BluCactus, you can find experts who, in addition to advising, will help you create an effective marketing strategy. You just have to contact us, and we will gladly assist you.


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