What is L’Oréal Paris’ marketing strategy?

BluCactus South Africa - What is L'Oréal Paris' marketing strategy?

What is L’Oréal’s marketing strategy in South Africa? L’Oréal Paris is a successful company in the beauty industry specializing in cosmetics, skincare, and hair products. With a presence in over 150 countries across five continents, Loreal is a brand that tailors its marketing strategies proficiently. Because, for Loreal, you are worth it.


With that being said, we will unveil L’Oréal’s skillful marketing blend in this carefully crafted article. So, let’s begin.


What is L’Oréal’s Market Segmentation?


The L’Oréal group handles more than 30 brands featuring a myriad of product categories, including other drugstore classified brands, such as Maybelline, NYX, Garnier, Kiehls, CeraVe, and even Lancome.


The brand relentlessly advocates for individuals from all cultures and backgrounds, evidently showcasing L’Oréal’s admirable power of reaching wide and far, thus positioning L’Oréal USA as the #1 beauty market in the world.


And, while the brand’s target demographic encompasses the middle and upper classes, what makes it unique and special is its accessibility, making beauty only a Target trip away.


What is L’Oréal’s Mission and Vision?


L’Oréal’s primary aim is to aid individuals in expressing their unique personalities and self-empowerment through well-formulated cosmetics and skincare at an affordable price.


The company’s motto, a brilliant and concise summarization of this, is: “You’re worth it.”


This three-word simple phrase reinforces the brand’s woman-centered approach by emphasizing confidence, power, and equal beauty.


Moreover, it encapsulates L’Oréal’s mission statement and company vision, showcasing its truly genius approach.

BluCactus - Le Défilé L'Oréal Paris – Paris Fashion Week October 2022

Le Défilé L’Oréal Paris – Paris Fashion Week October 2022

What is L’Oréal’s Competitive Strategy?

L’Oréal’s competitive advantage is divided into two parts: its company diversity and consolidated brand portfolio.


With a sizable workforce of over ninety thousand people, who represent a multitude of nationalities, L’Oréal evidently advocates for diversity and inclusivity.


As mentioned earlier, the brand also reflects its commitment through the company’s extensive portfolio of brands. By making its products available in various countries and cultures, L’Oréal not only expands its brand reach but also successfully maintains its brand vision and mission. 


Thanks to its option diversity, the brand strengthens its relationship with its customers and earns customer loyalty.


We will explore this in more detail below in the section titled “What Is L’Oréal’s Marketing Mix?”


What Are L’Oréal’s Key Business Strategies?


BluCactus - What is L'Oréal's marketing strategy?L’Oréal employs a traditional distribution strategy, which not only includes working with wholesalers and retailers but also offering online shopping options. This variety allows L’Oréal to reach diverse consumer groups, contributing significantly to the brand’s annual sales.


By the end of 2023, L’Oréal reported a substantial growth of +7.6%, bringing its sales to a whopping 41.18 billion euros. This amount is most likely expected to grow further in 2024.




What Is L’Oréal’s Marketing Mix?


BluCactus - What is L'Oréal's marketing strategy?

A tailored marketing mix is essential for any brand to achieve its key objectives, and L’Oréal is no exception. Below, you can learn its core marketing strategies by scouring L’Oréal’s marketing mix.


Product Strategy


As mentioned earlier, L’Oréal boasts numerous brands in the beauty industry. However, it mainly features four main product divisions, including:


  • 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 Professionnal Paris.


This diverse catalogue of brands enables the company to tailor its pricing strategy according to each target demographic, thus expanding its reach across almost all age groups.


Price Strategy


BluCactus - What is L'Oréal's marketing strategy?

L’Oréal’s products are all available to the mass market worldwide. However, the brand’s pricing strategy showcases a great variety across its brand portfolio.


While you can reach L’Oréal, Maybelline, Nyx, Garnier, and more at your local Target and Walmart, its luxury brands are exclusively available at designated points of sale.


Nevertheless, you always have the option to shop online!



Distribution Strategy


As we’ve uncovered, L’Oréal employs several distribution methods, including hair and beauty salons, mass markets, e-commerce, and travel retail. Today, the brand is present in 150 countries, earning a spot in the industry as a renowned and trustworthy cosmetics brand among millions and billions of individuals. 


Promotion Strategy


We all know and love successful brand campaigns advocating for what matters: humanity and support. Along with its end of the year campaign, titled, ‘My Hair Color, My Expression,’ which encourages women to represent themselves with their unique hair colors and explore the true power of hair color, the brand also achieved significant success with various other campaigns.


Since 2020, L’Oréal has been celebrating International Women’s Day on March 8th with an awakening campaign to support women all across the globe. The campaign, titled, ‘Stand Up Against Street Harassment,’ was released as a global campaign, aiming to raise awareness for a life-threatening issue for most women. 


Additionally, 2024 marked the brand’s 20th year of commitment to science and women in STEM. L’Oréal’s ‘For Women in Science’ program, in collaboration with the American Association for the Advancement of Science (AAAS), aims to grant a total of $60.000 to each of its postdoctoral science awardees, reflecting the brand’s commitment to science. 


Watch one of 2023 L’Oréal USA ‘For Women in Science’ Honoree down below:


L’Oréal’s Brand Strategies for a Better Future 


L’Oréal, renowned as one of the largest beauty companies in the world, sets an unparalleled example in environmental conservation.


The brand’s goal by 2030 is to completely transition to an eco-design economic approach, reduce its CO2 emissions, and empower women in their journey toward self-expression and self-empowerment.


As demonstrated by the examples above, L’Oréal is dedicated not only to raising awareness of crucial social issues but also to protecting and preserving the environment. In 2022, the brand took a significant step by crafting the L’Oréal ELVIVE line entirely from recycled plastic. 


Seeking a Marketing Strategy as Good as L’Oréal for Your Own Brand in South Africa?


Ken Schreck BluCactus +1 469 206 5510While competition is intense in the personal care industry, L’Oréal is a great example of a brand doing marketing right, even after decades. 


Employing a solid and true marketing strategy like L’Oréal will enable you to achieve your brand objectives successfully.


And, at BluCactus South Africa, we can help you. At BluCactus international digital marketing agency, we collaborate with experts who are skilled in crafting effective marketing strategies tailored to your brand goals.  Contact us now for a free consultation.


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