The L Oreal Expansion in China Marketing Essay
While many of L Or's brands are already foreign, L Or al China's Katia Lan says the cosmetics giant can connect with Chinese consumers through intangibles. By reading the literature and research reports on Chinese cosmetics in recent years, it has been found that the Chinese cosmetics market is oligopolistic and LOreal, L'Oréal has been very successful in the high-end and mid-range Chinese cosmetics markets. However, the recent two acquisitions indicate that L'Oréal is concentrating. L'Or already set its sights on making its products accessible to every Chinese woman and had a vision that China would become its largest market in the future. COVID hit the beauty industry. The main objective is to investigate what marketing measures L' Or al Paris has taken in light of Bestseller. L Or Already in China: Marketing Strategies to Transform Chinese Luxury Cosmetics Brand Yue Sai. By: Haiyang Yang, Pierre Chandon. Yue Sai, L'Or's excellent performance can already be attributed to the contribution of e-commerce, which accounts for a larger share of its business in the Chinese market. China's strong e-commerce business has become even stronger in recent months, with growth in the first half driven by strong results in the first and second half. Yet L'Or already performed well above the rest of the market. achieve sales growth throughout the year. cent in China rose to positive territory on a percentage exchange rate boost. Hieronimus said L'Oréal had outpaced the overall increase in the beauty market. 5 in mainland China, gaining market share and growing in the high teens. The case requires students to choose a positioning, communication and distribution strategy for Yue Sai, L'Oréal's struggling Chinese luxury brand, by analyzing extensive information about the Chinese cosmetics market and the brand's history. The case illustrates the challenges that even leading multinationals can face: -ANNUAL SALES. On a comparable basis, i.e. based on a comparable consolidation scope and constant exchange rates, the L'Or al group's turnover grew by 13.3. The net impact of changes in the scope of consolidation was 1.1. At constant exchange rates, growth was 14.4. Currency fluctuations had a negative effect of -2.4. Note that L'Oreal China sales have increased. in the first quarter, China has the world's most dynamic e-commerce landscape and a growing online shopping market. L'Oréal SA's invasion of the Chinese beauty market comes with hidden costs, if you're a rabbit or a mouse. The Paris-based maker of shampoos and lipsticks agreed this month to pay 843. Using the STP model and the P model we have. analyze IKEA's marketing strategy in the Chinese market and propose improvements. product, promotion and publicity strategies. It will promote. As the world's largest beauty group, L Or al Group's future development trend will always impact many industries around the world. But facing the enormous pressure of competition in the same industry, the pressure of the new crown epidemic has suddenly come, and the L Or al group is facing an unprecedented crisis; China's fast-growing fragrance market, for example. Mintel predicts that growth will increase annually. reaching total sales of one billion yuan, 3. Earlier this month, L'Or said a boom in China helped its global perfume business grow the fastest of any of its divisions last year.