What strategies make L’Oreal the unbeatable beauty company?

Guess what the average life of a occupation or a brand is ? If you ’ re a bite along the cynical lines, you probably got it finale !

It might be a snatch troubling to realize that it is projected to be a fiddling over 10 years by 2025. The median life has seen a rapid decline of 500 % from the 1960s till now .

Amidst the turbulence, there have survived a small assign of brands that stand steady even now. With the constantly changing consumer taste and behavior trends, the beauty industry is fickler than the perch. For decades together, how does a trade name react and hold its stead without any major falters or setbacks ?

How do they get it right ? Let ’ s dive true into the strategies of the market leader itself – L ’ Oreal – a caller that has remained undefeated on top for over a hundred .

Innovation – The prime motivator

In 1909, a young pharmacist, Eugene Schueller, successfully tried out an experiment to create a formula for haircloth dye for the parisian Hairdressers. once he realized its electric potential, he launched his own ship’s company with the product naming it ‘ L ’ Oreal. ’

From then till now, at its heart, L ’ Oreal has constantly been an innovative caller in every sense, allocating a significant helping for research and invention every class ( a whopping € 985 million in 2019 approx. ! ), with a huge number of research facilities across the global .

In 2015, L ’ Oreal was named one of Fast Company ’ s “ 50 Most innovative Companies in the World ”, the only smasher company to bag the honor .

now with AI becoming all-pervasive, smasher technical school is gaining momentum like never before and L ’ Oreal as a leading smasher company is one of the firsts to lead the way into it. right from creating a personalize feel for its customers to launching its AI-powered at-home system ( yep, you read it right ! There ’ randomness a device now for smasher personalization ), L ’ Oréal is at wax focal ratio to ensure it always stays a mistreat ahead .

In addition to this, the open invention course of study of L ’ Oréal nurtures the approaching start-ups, embracing disruptive technical school and ideas in the global of beauty. This shows the anchor reality helping them to advance in the diligence by being future-ready. As for the approaching start-ups, a collaboration with the world ’ sulfur leading brand gives them a much-needed acceleration, frankincense, establishing a win-win for both parties .

The unwavering Global Cosmetic Leader

With a far-flung presence in 150 countries and a good 36 brands under its umbrella, L ’ Oréal sails through them smoothly, having mastered the art of universalization. One of the core catalysts to drive them successfully across nations is their conscious campaign to respect consumers ’ different tastes in every function of the global and catering to those requirements locally .

To cite an case here, when L ’ Oréal entered the amerind marketplace in 1994, they rightly tapped the growing middle-class population with increasing disposable income, frankincense hitting a amber mine of likely consumers. In the coming years, they launched localized products catering specifically to the indian mentality – being highly value-conscious without compromising the quality .

They released low-cost versions of their products – sachets for shampoo and mini-versions of lipsticks, thereby pulling in new consumers in the serve. Products that had a undertone of indian tone became instantaneous hits – Garnier Black Naturals, Colossal Kajal from Maybelline, to name a few. They were the beginning to introduce the professional hair care market through their hair salon business in India. By 2018, L ’ Oréal expanded to a massive 45000 hair salons, and L ’ Oréal Professional Products Division of L ’ Oreal Company in India became the Market Leader with a 56 % market share .
In the chinese commercialize, their key focus is on digitalization at present. The rising demand for personalization has made L ’ Oréal China engaged in a huge number of strategies that use digitalization, AI to reach the consumers – launching a 3D augment reality makeup fitting, launching the world ’ south first mobile testing application targeting acne, Custom D.O.S.E. personalized skin care, etc. Their partner with the e-commerce giant Alibaba is yet another move to serve their on-line demands .

The brand basically remains the lapp across the universe but differs on the products based on their hearing. This has proven to be a successful formula in every region they have set foot in .

Throughout the years, L ’ Oréal has made respective acquisitions in promising businesses including independent beauty companies, research facilities, etc. that in plow has led to its multi-fold emergence over the years. In emerging markets, placing professionals with multicultural backgrounds gives them a distinct competitive advantage in reaching out to electric potential consumers.

The ball-shaped CEO Jean Paul Agon has stated strongly multiple times about the commitment towards their mission – ‘ Beauty for all ’ .

L ’ Oréal gives significant importance to diversity and inclusion in its workspace, frankincense, earning its place amongst the top 10 companies by the 2020 Refinitiv Diversity & Inclusion Index. Diversity in decision-making processes ensures a pass sympathize of multiple perspectives, thereby ensuring a better consolidation with the local anesthetic requirements .
Striking the right chord between the global and the local targets is highly all-important for an international brand and it is safe to say that L ’ Oréal has perfected it !

Connect with the consumers

A mark with this wide-eyed range of target demographics and a huge total of products under its portfolio will have the challenging task of implementing the marketing strategies to address the needs of both its current and electric potential consumers .

L ’ Oréal taps its customer engagement with Precision Marketing providing personalized capacity for its consumers online. With its Marketing 3.0 initiation in 2018, L ’ Oréal ’ second focus on a digital transformation in its market methods has been in wide swing. It uses data-driven techniques to boost its growing e-commerce sales and improve customer experiences .
In 2020, its social media and customer experience management strategy ’ sulfur chief stress was through its Social Media marketing model called ‘ Listen to Engage. ’ particularly in the post-COVID-19 phase, the e-commerce distribution channel has seen a spike in the past months. L ’ Oréal is prepare and ready to address the increasing demands of consumer engagement through on-line means .

Digital influencers are so far another path through which L ’ Oréal makes its bearing felt. Marc Duquesnoy, Social Media Performance Director for the L ’ Oréal Group ’ s Global CDO Team, states that the Influencers are crucial as they are all-important in creating trends and increasing legitimacy and trustworthiness amongst consumers .

Choosing the justly influencer with the right intersection is a cardinal component, and when executed right, can go a long direction. Leveraging a solid partnership with global influencers along with the insights from digitalization, L ’ Oréal has everything needed to hold the attention of its consumers, thus creating a placid nerve pathway to reach them .

In addition to this, L ’ Oréal has besides been a strong advocate of sustainability by ensuring its actions in reversing environmental abasement. Since 2005, it has taken active steps to reduce its carbon emission and its factories and outlets ’ environmental impact, pledging to be wholly sustainable by 2030 .

In holocene times, consumers are actively expecting a sense of duty and accountability from corporations for their actions affecting the environment. L ’ Oréal ’ s active steps here sends a strong message to its consumers regarding its intention to the lapp, thereby strengthening its connection .


In conclusion, considering all the above factors – ranging from continuous invention across decades ; its level doggedness in balancing between both ball-shaped and local consultation and its right market strategies at the right field time has landed L ’ Oréal a clear darling among its consumers. Their continuous efforts towards sustaining their placement as the global market drawing card sure do make them worth it !

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