The world’s best know cosmetics companies are setting their sights on a lucrative new segment: the emerging middle classes in countries such as Brazil, Russia, India, and China. Marketers LÓréal, Procter & William Lauder, president and CEO of Estée Louder, calls China a ‘$100 billion opportunity.’ Nothing that there is no ‘one-size-fits-all’ idea of beauty cosmetics marketer pride themselves on sensitivity to local cultural preference . As Jean-Paul Agon, Chief executive Lóreal explain that they have different consumers.
Each consumer is free to have her own aspirations. They intention just to respond as well as possible to each consumer aspiration. Market research is critical to understanding women’s preferences in different parts of the world. In China, Lóreal and its competitors have an opportunity to educate women about cosmetics, which were banned prior to 1982. Each year, Lóreal observes and firms 6000 Chinese women applying and removing makeup. Lóreal and Procter &Gamble offer a wide range of products in China ,including both mass-market and premium brands.
Estée Lauder’s focus on expensive prestige brands such as Estée Lauder, Clinique and MAC that are sold through upmarket department stores. One research caution that Estée Lauder positioning too narrow for China. Estée Lauder disagree this statement. She mention that Chinese consumer more price sensitive, but same time are willing to invest in product are relatively expensive versus their income level. In India Lóreal shift from lowel-price to premium price. Beginning Loreal offer low-price Garnier Ultra Doux Shampoo but fail to catch consumer. In mid-1990s,Slain Evrard, Lóreal’s managing director of Africa, Orient and the Pacific was determine to more understanding India market. He noted number of working women was increasing and consumer attitude shift. Evrard noted that DIY hair coloring have market in India. Evrard respond to launching Lóreal Excellence Créme in India. Lóreal Excellence Créme is an expensive product. To gain support among shopkeeper, local staffer name Danish Dayal promote it door by door. Today, the product widely available in 2004 ,Lóreal India and operating become profitable. Brazil is another important market for the global cosmetic giants. On a per-capita basis, Brazilian women spend more in beauty products than their counterparts elsewhere. Brazilians buy their cosmetics through door by door.
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Cosmetics Giants Segment the global Cosmetics Market. (2016, May 20). Retrieved from https://studymoose.com/cosmetics-giants-segment-the-global-cosmetics-market-essay