L'Oreal 2016 Brandstorm Competition

MEET THE TEAM

Caroline Deng

Jordan Ji

Lily Lin

Marketing and Information Systems

Marketing and Psychology

Finance and Marketing

LA ROCHE-POSAY L’Oreal Brandstorm 2016

AGENDA 1. Industry Overview II. SWOT Analysis III. LRP Business Performance IV. LRP Strategy

AGENDA 1. Industry Overview II. SWOT Analysis III. LRP Business Performance IV. LRP Strategy

AGENDA 1. Industry Overview II. SWOT Analysis III. LRP Business Performance IV. LRP Strategy

AGENDA 1. Industry Overview II. SWOT Analysis III. LRP Business Performance IV. LRP Strategy

AGENDA 1. Industry Overview II. SWOT Analysis III. LRP Business Performance IV. LRP Strategy

INDUSTRY OVERVIEW

DERMOCOSMETICS INDUSTRY Nature Brands

DERMOCOSMETICS Mass-Medical Brands

MARKET SEGMENTATION

Dermatological Brands

Medical Professional Brands

Healthy Beauty

COMPETITOR ANALYSIS Premium

Clinical

Holistic

Affordable

LA ROCHE-POSAY’S MISSION “A better life for sensitive skin”

TARGET DEMOGRAPHICS

Sensitive Skin ➤ Effective ➤ Safe ➤ Well-Priced ➤ Recommended by professionals ➤

SWOT ANALYSIS

STRENGTHS ➤ ➤ ➤ ➤ ➤

Thermal water Sensitive skin Dermatologist-approved Strong global presence Strength in Western Europe

S

WEAKNESSES ➤

➤

➤

Lack of awareness among 15-25 year olds Weak market share in America Relatively weak digital presence in skincare market

W

OPPORTUNITIES

➤ ➤ ➤

➤ ➤

Travel Retail Asian market E-Commerce - lowest turnover rates Expansion in digital space Working with more online influencers

O

THREATS ➤

➤

➤

Shift towards Korean beauty trends Cheaper drugstore products Similar products (Thermal spring vs.

Mountain water)

T

MARKET TRENDS

LRP BUSINESS PERFORMANCE

LRP PRODUCT PORTFOLIO

LRP MARKET SHARE 11.6% 8.1%

5.7%

2.9%

10.0% 17.2%

8.5% Worldwide

LRP DIGITAL INDEX IQ RATING

LRP BUSINESS STRATEGY

LRP STRATEGY Positioning and Image: Dermatological, High concentration of selenium in French thermal water Target Demographics: Health-conscious consumers between the ages 15-25 years old Pricing: Mid-market between affordable and premium Communication Strategy: Influencer Marketing, Medical Detailing and Relations

Pharmacies/Drugstores

Dispensing Doctors

E-Commerce

DISTRIBUTION

Travel Retail

Medispas

Department Stores

INNOVATIONS

QUESTIONS?

APPENDIX A PRESENCE OF EUROPEAN BRANDS

APPENDIX B TECH USAGE OF 18-25 YEAR OLDS

APPENDIX C - LRP PORTFOLIO

L’Oreal Path to Win

APPENDIX D - GLOBAL RANKINGS

Source : Euromonitor , 2014, retail price, skincare including suncare

APPENDIX E DERMOCOSMETIC MARKET

APPENDIX F GROWTH IN THE MARKET

APPENDIX G - 2015 DIGITAL INDEX

https://www.l2inc.com/research?research-vertical=beauty

LA ROCHE-POSAY L’OREAL BRANDSTORM 2016