Market survey report

1. Executive Summary
The application of the four Ps (Product, Price, Promotion, and
Place) of marketing revolves mainly around the customers in the
target segment. The target segment for any product is that
homogeneous group of people which is purported to be the most
potential customer for the product. The market follows the Pareto
Principle, which says that 80 per cent of the sales come from 20
per cent of the people. Thus, for any product, one of the major
tasks of marketers is to identify the group of 20 per cent that
gives 80 per cent revenue of that product’s sale to the company.
No surprise then that major marketing efforts of companies attempt
to attract the most potential group.
This project is an extensive study of the 4Ps analysis of the Garnier
products. This detailed study helped us in understanding the Price,
Place, Product and Promotion aspect of the Garnier products in
the region of study i.e. Greater Noida and Noida. After having done
this study we were able to identify the pricing strategies followed by
L’Oreal in terms of their product along with their promotional
strategy in the NCR region.
This case study also helps in getting an overview of the Indian skin
care and hair care market scenario, its growth trends, future
prospects and opportunities available.
L'Oreal is one of the most successful International premium brands
in India. This French brand came to India in 1991 with its Ultra

2. Doux range of Shampoo through its Agent Laboratories Garnier. In
1994 Laboratories Garnier became the 100% subsidiary of L'Oréal.
In 2000 L’Oreal launched its range of cosmetics in to Indian
market. The Indian Cosmetic and skin care market is estimated to be
around $300 Million. In this market the Color Cosmetic segment is
around Rs 250 crore while the Skin care segment is estimated
to be around Rs 400 crore.
L'Oréal's strategy is to evolve Garnier into a master brand,
stretching across categories that over the next few years would
include soap, body wash and facial care, similar to Unilever with
Dove. "Fructis shampoo and conditioner is core, and they are
introducing styling aids as part of a mega brand strategy.

3. PROJECT OBJECTIVE:
• The objective of our project is to comprehensively research
on one of the most successful sub-brands of L’Oreal-
GARNIER.
• Within Garnier, we have incurred a study on the hair care
product range of Garnier that is Garnier Fructis and Ultra
Doux. We have essentially focused on shampoos and
conditioners.
• Our research has been aimed at understanding the market
share of Garnier within the L’Oreal brand and among other
brands. Also we have captured the market capabilities of
Garnier hair care shampoos and conditioners.
• We have researched on the brand perception of the product by
the customers and customer loyalty towards the product.
• We have also stressed on the four P’s of marketing in relation
to this product and the marketing strategies that have been
adopted by L’Oreal, essentially Garnier from time to time.
• The stress however has been on the PRODUCT out of all the
four P’s and on the consumer behavior and their perception
towards the brand.
• We have also focused on the current leading competitors of
L’Oreal-Garnier and conducted a brief study on their
marketing strategies.

4. TABLE OF CONTENTS
 Introduction
 Company Profile
 Scope & Product Data
 SWOT Analysis
 Research Methodology
 Data Analysis
 Conclusion
 Recommendation
 Questionnare
 Bibliography
 Annexure

5. Introduction – Hair Colours
Hair Dye, or Hair Color, is a chemical tool that is used to change the
color of a person's hair. Hair dye is used mostly to change gray hair,
since gray hair is a sign of an advanced age. Younger people that
used hair dye use it as a fashion statement or simply because they
want to change their hair color. The Romans have been known to be
interested in changing hair color and history revealed that they
created over a hundred recipes that are made out of natural
ingredients but unfortunately it could only darken hair. In
Renaissance time, blonde was a popular choice because it was
considered to be angelic and attractive. In 1907, Eugene Schuler, the
founder of L'Oreal, created the first synthetic hair dye, but it wasn't
widely sold. There has been concern about hair dye since scientist is
trying to find out if there is a link between hair color and cancer.

6. L’OREAL – INTRODUCTION
L’Oreal was founded in the year 1909 by Eugene Schueller, a
French chemist who developed an innovative hair color formula.
Today, the L’Oreal Group is the world's largest cosmetics and
beauty company and is headquartered in the Paris suburb of Clichy,
France. It got its start from the hair color business but soon it
developed activities in the field of cosmetics, concentrating on skin
care, sun protection, make up, perfumes and hair care. L'Oreal is
active in the dermatological and pharmaceutical fields. It is also the
top nanotechnology patent-holder in the United States. L'Oreal is a
listed company, but the founder's daughter Liliane Bettencourt who
is one of the richest people in the world, and the Swiss food
company Nestlé each control over a quarter of the shares and voting
rights. L’Oreal famous advertising slogan is "Because I’m worth it".
It has recently been replaced by "Because you're worth it". Its
portfolio of brands includes the cosmetics range of L'Oreal Paris and
Maybelline NY, shampoo range Garnier, luxury products such as
Lancóme and active cosmetics such as Vichy. Its closest global
competitor in the premium make-up segment is Revlon.
India’s contribution to the growth of the global cosmetics
market is about 60 percent. The beauty and the wellness sector in

7. India are on a boom. L’Oreal started its operations in India thirteen
years ago. The share of the Indian market to L'Oreal's turnover
of 15.8 billion is small, but is growing. It operates in India through
its wholly owned subsidiary, L’Oreal India and has four divisions
— consumer products, professional products, active cosmetics
and luxury products. The biggest contributor to its revenue in
India is the consumer products division led by its strongest brand in
terms of sales - Garnier.
L’Oreal India has recently setup its own manufacturing plant in
Pune. It imports most of its products from its facilities abroad and
manufactures the rest in Pune. The Indian subsidiary headed by
Chief Operating Officer Dinesh Dayal, who has been with the
company for 20 years, is one of the key officials responsible for the
formation and operations of L'Oreal India. The operations in India
are conducted through a judicial mix of global and local methods of
advertising to appeal to the Indian consumers. In India, the L’Oreal
advertising account is handled by Mccann Erickson. L’Oreal India
has discovered over the years, the behavior of the Indian consumers
and has realized that the Indian consumer is not as price conscious
as is portrayed. The brand is more expensive than the average
FMCG, but offers a true value for money. The company’s growth in
India can be attributed to its innovation of new products, supply
chain management, systems and structure. Being the world’s second
largest cosmetics major, L’Oreal is planning to foray into the Rs
1,000-crore Indian herbal and ayurvedic cosmetics industry. After
identifying its targets, L’Oreal India is in advanced talks with
Biotique and VLCC to acquire herbal/ayurvedic cosmetics brands.
The group is taking the acquisition route to enter this niche sector.

8. L’Oreal has thus identified India as one of its top five growing
businesses globally. L'Oréal's research facilities in France, the USA,
and Japan bring together more than 3,000 scientists and research
staff. Their discoveries are published in leading scientific journals.
L’Oréal’s innovations are patented, creating some 586 patents in
2004 alone.
L’Oreal’s methodologies for evaluating the safety and efficacy of
ingredients and finished products, product evaluation and claim
substantiation are recognized by the international scientific
community.
L’Oreal products are the result of the following research,
development and evaluation process:
1. The benefits offered by our products are supported by the
scientific and customer evidence gathered at 13 research centers, 13
evaluation centers and through collaborations with leading
independent research institutes around he world.
2. L’Oréal products are validated by independent cosmetic-clinical
studies under dermatological control to assess their efficacy and
safety. The sample size of these cosmetic-clinical studies is in line
with the industry’s standards.
3. In addition, L’Oréal conducts consumer studies to assess the

9. products’ efficacy and satisfaction rate before they are launched.
These tests are conducted by independent research companies and
performed on a statistically significant number of women and men.
GARNIER- AN EXTENSIVE RESEARCH ON A L’OREAL
SUB-BRAND
L’Oreal operates in India through four main divisions: consumer
products, professional products, active cosmetics and luxury
products. The biggest contributor to its revenue in India is the
consumer products division led by its strongest brand in terms of sales
— Garnier. In the hair color segment, Garnier operates in the mid-
price and luxury segment. This has enabled it to garner a 20 per cent
share in a market dominated by local hair colorants and dyes. Garnier
attributes its performance to being the first player in India to introduce
a cream-based hair color below the price of Rs 100 (2002) and the first
home-highlighting kit (2005).
Garnier mainly produces hair care products, including the
Fructis line, and most recently, skin care products under the
name, Nutritioniste, that are sold around the world. One of their
key ingredients is a fruit concentrate used in all their products. It is a
combination of fruit acids, vitamin B3, B6, fructose and
glucose.Garnier, the L'Oreal-owned brand that shook up the US hair
care market with the introduction of Fructis in 2003, now has plans
to bring over its skin care collection too. While L'Oréal was

10. focusing on hair color market in the initial stages of its launch,
Maybelline was in the premium color cosmetic segment while
Garnier in the "naturals" segment.
In 2000 L’Oreal launched its range of cosmetics in to Indian
market. Garnier concentrated on the Natural Hair care market with
the main USP of strong hair. The brand positioned as a Unisex
brand mainly used its international campaigns in India to appeal to
the Indian consumer. Garnier believes in beauty through nature.
Scientifically developed and enriched with selected natural
ingredients, its products help look healthy and feel good every day.
Garnier, L'Oreal and Maybelline, the three brands of L’Oreal have
been defined by their price segments and positioning. The company
has been steadily increasing its product portfolio in the Indian
market especially in the hair care segment. Its skin care brand of
Garnier has been extended to a shampoo and hair conditioner under
the Fructis brand, in spite of the presence of Garnier's Ultra Doux
shampoo and hair conditioner. Its hair coloring portfolio has also
been given a boost and the company has decided roped in Kareena
Kapoor as its new brand ambassador for its hair color brand of
Garnier Nutrisse. Garnier concentrated on the Natural Hair care
market with the main USP of strong hair. The brand positioned as a
Unisex brand mainly used its international campaigns in India to
appeal to the Indian consumer.
Garnier has been able to establish itself firmly in the Indian market
and has clearly defined its target market which is the middle class
and the upper middle class segment. Garnier has very effectively

11. designed its promotional strategies by adapting to the changing
customer demand. It has penetrated firmly in the Indian market both
in skin care as well as hair care products covering a wide range from
shampoos, conditioners, to gels, serums, hair mousse, anti-acne
ointments, anti-wrinkle creams etc. The accessibility factor of
Garnier products has been taken care of by the company by ensuring
easy availability of its products in almost all confectionery item
stores to malls and kiosks.
COMPANY REVIEW
Garnier offers a vast range of hair color, hair care and skin care that
bring you natural beauty.
To guarantee complete satisfaction to its customers, Garnier seeks to
continually improve product performance by addressing their
customer’s specific needs using the company’s long expertise in
hair care, hair color and skin care.
To be sure Garnier products guarantee maximum effectiveness in
total harmony with the customer’s body, the company rigorously
lab-tests all its new product propositions. Evaluated by experts and
consumers before being put on the market, Garnier products give
immediate and visible results. For the natural beauty of hair and
skin, the company offers to its customers, more than simple
products, providing advice and routines adapted to their personal
needs.
HAIR CARE INDUSTRY IN INDIA- MARKET ANALYSIS

12. The hair care market in India is valued at $200 million. It has
registered a growth of 3.8% over the previous year. The hair care
market can be segmented into hair oils, shampoos, hair colorants &
conditioners, and hair gels. According to A C Nielsen (the world's
leading marketing information company), hair colorants, feminine
hygiene, and baby care have accelerated growth in personal care
market. Hair colorants are substitutes for hair dye to counter graying
hair. Hair colorants indicate strong growth trends with a year over
year growth of 8 per cent. Gone are the days when hair conditioners
and hair colorants were used occasionally to look beautiful. Today,
they have become the way of life. Today, if there are more brands in
the Indian market, it’s largely due to demand. For instance when
hair colors first came to India, more than a decade ago, it was
largely to cover grey hair. But with the increasing number of youth
in the country; it has become a fashion statement, especially with
the young and trendy. That’s why all the players have plans to
modify existing products, launch new products and target different
geographic segments and age-groups. However, hair conditioners in
India still face a difficult market due to long established habit of
using hair oil and ayurvedic treatments, as they are cheaper for
consumers and lack the chemicals of conditioners.

13. The major players in hair colorants category are Godrej, Garnier,
L'Oreal, and Lakme. The hair oil market is valued at Rs. 6 billions.
Hair oiling is a major niche in the hair care segment. Unlike market
abroad, India has a large quantity of consumers whose hair care
expenditure also includes hair oils. The penetration level of hair oil
is around 87%. Around 50% of the population uses hair oil every
day. The growth rate of hair oils in rural India is faster than the
growth rate in urban India. The major players in hair shampoo
category are HLL, Marico, and Dabur India. Hair gel market
segment is at a primary stage and not many local brands are
available in India. Hair gels/creams are mainly used for hair
grooming by men and is used as a fashion accessory. The market
penetration of hair gels/creams is very low, and is limited to a small
section of the urban market.
EVOLUTION OF SHAMPOOS IN INDIA

14. • HLL has been an undisputed leader in this market from early
90’s from where the concept of shampoos got consideration.
• In 1964, Sunsilk was launched on a general or a normal
shampoo platform.
• In 1971, Clinic Plus was launched on a different platform as a
health shampoo for family usage.
• P&G launched for the first time, an anti-dandruff shampoo in
1987.
• Sunsilk re-launched in 1987 - Shampoo + Conditioner with
Sachet packs. This time, it was launched on a beauty platform
with a new variant in its packaging.
• HLL goes rural with Sachet shampoo concept. HLL was the
first company to target the rural market with shampoos.
• P&G later launched Clinic Active in 1991 focusing more on
the health platform by introducing pro Vitamin B in its
shampoos.
• Sunsilk re-positioned and re-launched in 1994 (Nutracare) -
Pink for dry hair, yellow for normal hair, green for oily hair
and black for long hair.
• This stage marked the entry of competition in India due to
certain factors such as the burgeoning middle class, a huge
untapped market, low penetration levels, rising awareness of
the youth.
• P & G enters India in Nov 1995, with the world’s largest
selling brand - Pantene
• Colgate Palmolive launched Optima also in Nov 1995
( breakthrough in Keratin treatment )

15. • Nirma launched Nirma Shampoo which went into rough
weather because it also had a detergent and soap with the
same name. The brand name also had low price connotations.
• In mid 1997, per capita consumption of Shampoo increased
• Of the Rs. 350 Cr. Shampoo market, the AD segment
accounted for a 20 % share
• P & G launched its internationally acclaimed A & D shampoo
H & S in 1997 with Zinc Pyrithine (ZPT) - a unique anti-
microbial agent. There were 2 variants - regular and menthol
• Sachet sale became 40 % of all shampoo consumption in the
country.
• Clinic, Sunsilk, Organics and Lux and their various brand
extensions dominate the shampoo market.
• In 1998, the company re-launched Clinic and Sunsilk brands.
• Sunsilk was re-launched with Fruitamins.
• Today HLL has a 63 % market share in the shampoo market.
• In South India, Clinic Plus and Clinic All Clear put together
have a market share of about 70 %
• While toilet soaps have reached saturation, there is immense
potential for penetration of shampoos into Indian households.
• According to NCAER, Shampoo penetration is expected to
grow from 314 thousand households in 1998-99, to 506 per
thousand households in 2008-09.
CURRENT SCENARIO OF SHAMPOO MARKET

16. Shampoos are a significant segment of the hair care industry and
they mainly cater to the middle class, the upper middle class,
teenagers and now the upper class rural consumers. The penetration
of shampoo market in India is just about 15% out of which the
penetration in the urban market is 40% and in the rural market, it is
10%.
There are broadly three basic segments in the shampoo market in
India. These are:
• Cosmetics
• Anti-Dandruff
• Herbal
The top three brands in the Normal shampoo range are Clinic Plus,
Sunsilk and Chik while in Herbal shampoo range, the top three
brands are Ayush, Dabur Vatika and Nyle. The anti-dandruff
shampoos include Clinic All Clear, Head and Shoulders and Dabur
Vatika as the best performing brands. The premium products in the
shampoo market include Shehnaz Hussain, L’Oreal and Revlon Flex
as the ruling brands in the market. On the basis of the research
conducted by us, the shampoo market has a large untapped market
as it is still considered as a premium cosmetic product by a huge
part of the Indian population. This can be justified from the current
market scenario of shampoo market which states that the current per
capita consumption of shampoos by Indian consumers is just 13 ml
which is very less as compared to its other Asian counterparts where
t is about 160 ml in Indonesia and about 330 ml in Thailand.
Further, our research shows the following facts:

17. • The frequency of shampoo usage is very low. Most
consumers use shampoo only once or twice in a week. In
many cases, these products are used on special occasions such
as weddings, parties etc.
• Some customers use shampoo only to address a specific
problem such as dandruff or when they need to condition their
hair.
• Use of conditioners is not common. It is restricted to the
super premium segment or those who are very involved with
their hair care.
• Some consumers use natural conditioning agents such as
henna.
• About 50% of consumers use ordinary toilet soaps to wash
their hair.
• About 15 % of consumers use toilet soaps as well as shampoo
for cleaning their hair.
• Brand loyalties in shampoo are not very strong. Consumers
frequently look for a change, particularly in fragrance.
• Consumers attribute lathering to the act of cleaning.
• Major expectations from the product are improvement in
texture and manageability, giving softness and bounce to hair,
curing and avoiding damage to the hair.
• An Indian needs more shampoo for a proper wash ( average 6
ml ) compared to 4 ml needed in Western countries as most
Indian women have long hair
• Most consumers do not use shampoo daily.

18. • Regular users would need smaller quantity of shampoo per
bath. Hair tends to collect more dust due to dusty
environment and oiling habits.
• Southern market is predominantly a sachet market,
accounting for 70 % of sachet volumes.
• In Contrast, shampoo bottles are more popular in the Northern
markets.
• About 50 % of the shampoo bottles are sold in the Northern
region alone.
• In the North, local brands such as Ayur have strong equities
and these products being low priced dilute sachet’s USP of
low price.
With changing times, this particular market segment is also
improving at a fast pace. The main challenge therefore in front of
marketers is to increase the product awareness in the Indian market
and also focusing on targeting the rural market which is majorly
unaware about the product. It is due to this reason hat Ad campaigns
are on a rise as there is a lot of competition in this area and there are
low penetration levels with a large untapped market. There are
certain brands that are actively increasing their presence in the
market by marketing their shampoos through different channels,
especially online marketing.

19. SKIN CARE INDUSTRY IN INDIA- MARKET ANALYSIS
The skin care market is valued at $180 million in India. With safe
and effective procedures, advancement in medical technology,
increase in awareness, the Indian Skin care solutions business is
growing very fast.
The skin care market can be segregated into toners, cleansers,
sunscreens, anti-wrinkle creams, dark circle removing creams,
astringents, facial creams, moisturizers, fairness creams, day and
night creams, etc. Out of these, facial creams, moisturizers, fairness
creams, day and night creams, etc. are the most popular products
and account for approximately 60% of the skin care segment.
The skin care market is at a primary stage in India. The penetration
level for both the urban and rural market is low. Many people still
prefer to use homemade and traditional products to cure the skin
problems. However, within a period of five-six years, the use of skin
care products has increased significantly in India. With changing
life styles, increase in disposable incomes, greater product choice
and availability, and influence of satellite television, more people
are taking interest in personal grooming. The facial skin care market
is booming. Products are competing with one another to take shelf
space in the retail stores. Facial skin care products have become an
essential part of the beauty market. Like western countries, creams
and potions are applied in India also, in an effort to remove the
pimples and the acne, fight stress and worry lines, and to remain
young. Since the penetration level is still relatively low, growth is
expected to be around 25% over the next five years.
Some of the major players in this segment are Hindustan Lever (Fair
& Lovely, Lakme, Ponds) with a market share of 53%, followed by
CavinKare- Fairever with a market share of over12 % and Godrej-

20. Fair Glow with a market share of 3.4 %. The other players that have
a presence in the market are Emami (Gold Turmeric and Naturally
Fair), Revlon (Fair & Glow).
GARNIER TESTING POLICIES:
All products are the result of rigorous research and development and
benefit from the expertise of our multi-disciplinary scientists &
research staff. Their discoveries are frequently published in leading
scientific journals and have resulted in several patents.
Garnier uses methodologies recognized by the international
scientific community as part of its products' development process
which assess their safety and effectiveness.
Stages of research, development and evaluation at Garnier:
• STAGE I: Garnier products benefits from scientific and
customer research gathered from several research centers and
evaluation centers around the world.
• STAGE II: Independent clinical studies to assess the
effectiveness and safety of our products. They can be done
under dermatological or Ophtalmological control.
• STAGE III: Consumer studies verify product effectiveness
and consumer satisfaction rates before the product is
launched.
• STAGE IV: Once products are launched; customer
satisfaction surveys are also carried out. These involve
interviewing a statistically significant number of people who

21. have bought and used the products for several weeks. This
information helps us to monitor levels of satisfaction and we
use this type of customer feedback to evaluate and improve
our products on an ongoing basis.
STUDY OF 4 P’S OF GARNIER
HAIR CARE PRODUCTS
• Garnier Fructis Daily Care
Garnier Fructis Daily Care is fortified with Reinforced Active
Fruit Concentrate - an innovative combination of vitamins B3
and B6, fructose and glucose. Gentle enough for everyday
use, it nourishes, strengthens and smoothes each hair strand,
keeping it balanced and healthy-looking. Hair is up to 5x
stronger, up to 5x smoother and so much shiner. The result:
Great-looking hair that is anything but ordinary.

22. • Garnier Fructis Color Shield
Garnier Fructis Color Shield is fortified with UV protectant and
Reinforced Active Fruit Concentrate - an innovative combination of
vitamins B3 and B6, fructose and glucose. Specially created to care
for color-treated or highlighted hair, it penetrates inside the hair to
moisturize and strengthen it. With UV protectant, the formula helps
keep your color-treated hair brilliant and shiny on the outside. Hair
is up to 5x stronger, up to 5x smoother and so much shinier, so color
looks brilliant longer.
• Garnier Fructis Moisture Works

23. Drench your hair with moisture! Fortified with Reinforced Active
Fruit Concentrate - an innovative combination of vitamins B3 and
B6, fructose and glucose - this creamy system helps restore moisture
in dull, brittle or dry hair. Moisture is replenished and brilliant shine
returns. Hair is up to 5 times stronger, up to 5 times smoother and so
much shiny
• Garnier Fructis Sleek & Shine
Can your frizzy, coarse, rebellious hair withstand even the most
humid weather? Get the strength to fight frizz with Garnier Fructis
Sleek & Shine. It's specially created to smooth dry, unmanageable

24. hair and contains Nutritive Fruit Micro-Oils - an innovative
combination of apricot and avocado oils, and vitamins B3 and B6.
Hair is 5x stronger, 5x smoother and so much shinier. The result:
Long-lasting frizz control for hair that's incredibly sleek, even with
moisture in the air.
• Garnier Fructis Length & Strength
Impossibly long locks aren't impossible with Garnier Fructis Length
& Strength! Stronger hair grows even longer. It's the first anti-
breakage system with Reinforced Active Fruit Concentrate - an
innovative combination of vitamins B3 and B6, fructose and
glucose. Specially created for hard-to-grow-long hair, this system
reinforces hair, protecting it from breakage and split ends.
• Garnier Fructis Anti-Dandruff
Soothe your scalp! Created with Pyrithione Zinc and Active Fruit
Concentrate - an innovative combination of vitamins B3 and B6,
fructose and glucose - this double-action formula is gentle on your

25. scalp, but ruthless on dandruff. It's a powerful force for healthy-
looking hair and the confidence that comes with it. It helps eliminate
the symptoms of dandruff, effective with the first wash, and makes
your hair up to 3 times stronger! The result: No flakes guaranteed.
• Garnier Fructis Strength & Repair
Garnier Fructis introduces the Strength & Repair System to help
reverse the signs of damage in one week, leaving hair intensely
nourished, repaired from the inside out and more resistant to
breakage. The formulas with Nutritive Fruit Micro-Oils - a
combination of apricot and avocado oils - nourish hair, and
Ceramide Reconstructor to help repair and fortify hair.
SKIN CARE PRODUCTS

26. Garnier Pure Anti-blemish Products
Garnier Pure Anti-blemish - Garnier Pore purifying
Astringent, Garnier Pure Pimple Control Pen, Garnier
Pure Exfoliating Face Wash, Garnier Pure Deep Clean
Gel Face Wash, Garnier Pure Daily Treatment Cream.
Garnier Light Fairness Anti-Marks Products
Garnier Light Fairness Anti-Marks Products - Garnier
Fairness Face Wash, Garnier Fairness Wipe-off Lotion,
Dark Spots Prevention moisturizer, Garnier Anti-marks
& Fairness concentrate, Garnier Total Comfort
Nourishing + Anti-tightening cold cream, Garnier Light
Matte Mattifying Fairness Cream, Garnier Light Under
Eye Dark Circle Lightening Cream.
Garnier Essential Cleansers Products
Garnier Essential Cleansers - Garnier Gentle Face
Wash, Garnier Gentle Cleansing Milk, Fresh Clean feel
Face Wash.

27. Garnier Essential Care Products
Garnier Essential Care - Garnier Daily Moisturizing
Lotion, Garnier Daily Moisturizing Cream, Garnier
Replenishing Night Cream, Garnier Eye Contour Gel.
Garnier Sun Control Products
Garnier Sun Control - Garnier Daily Moisturizer, Daily
moisturizer SPF 15 / UVA +, Daily moisturizer SPF
20 / UVA.
Garnier Wrinkle Lift Anti-ageing
Products
Garnier Body cocoon Body
Moisturizers
Garnier Wrinkle Lift Anti-ageing-
Garnier Anti ageing Cream.
Garnier Bodycocoon Body
Moisturisers - Intense Moisture Lotion.

29. NATURAL INGREDIENTS OF GARNIER:
FRUCTOSE AND GLUCOSE:
Fructose is also known as fruit sugar because it is abundantly
found in fruits. It is generally associated with Glucose. They are
a part of the class of Carbohydrates, which represent an
important source of energy for all living organisms. The role of
Fructose and Glucose in nourishing hair was demonstrated by in
vitro culture of hair follicles. Fructose and Glucose are fuel for
hair.
FRUIT AHA’s:
Alpha Hydroxy Acids are a specific and original chemical family
that is found in numerous fruits: malic acid in apples, citrus acid
in citrus fruits, and tartaric acid in grapes. Of these, citric acid is
the most nourishing for the hair; it penetrates deep into the hair
to improve the mechanical resistance of hair structure.
GREEN TEA EXTRACT:
It is obtained from young dry leaves which have been macarated
and percolated in cold extraction process in order to reserve the
plant’s active components. Green tea contains Caffeine, which
has stimulating properties and is considered a medical plant.

30. CAFFEINE:
The stimulating properties of caffeine help to break down fat. It
is also known for its beneficial effect on micro-circulation and
for its decongesting properties.
ANTI STORAGE GINGKO:
Gingko slows down storage of fats and is renowned for it
filtering properties.
GRAPE SEED OIL:
Fragrant fruit oil concentrate that starts nourishing while one
colors his/her hair.
VITAMINS B3 AND B6:
These vitamins are organic compounds which are vital for
cellular life: they actively participate in metabolic reactions.
Vitamin B6 can be found in various fruits including avocado,
grapes, pineapple and peaches. Vitamin B3 can also be found in
fruit; apricots, bananas, lemons, figs, pears.
FRUIT OILS:
Garnier has selected a unique combination of fruit oils from
olives, grape seeds, blackcurrants, avocado, almond and apricot
to help replenish lipids that the skin is lacking.

31. PROMOTION
Garnier has been very active and upfront in adopting new
promotional techniques to market its products. The company
follows a very popular technique to advertise and market its
products that is the Viral Marketing policy. Viral marketing is a
term coined to define the productive ways a marketing message is
made available. And corporate are using the medium to circulate
brands and brand messages. The idea has caught on like a virus, as
efficiently as Information Technology has entered households and
businesses.
Firms are now structuring their businesses in a way that allows them
to grow like a virus and lock out the existing brick and mortar
competitors through innovative pricing and exploitation of
competitors' distribution channels. The beauty of this marketing
technique is that none of it requires any marketing. Customers, who
have caught the virus, do the selling. Viral marketing describes any
strategy that encourages individuals to pass on a marketing message
to others, creating the potential for exponential growth in the
message's exposure and influence. Like viruses, such strategies take
advantage of rapid multiplication to explode the message to
thousands, to millions.
Off the Internet, viral marketing has been referred to as "word-of-
mouth'', "creating a buzz'', "leveraging the media'' and even
"network marketing.'' It's a deceptively simple concept: Create a
message, send it via e-mail, and make it so compelling that

32. recipients want to pass it on to everyone in their address book.
Advertisers are hot on the tactic, and the idea of putting consumers
to work spreading the word about a brand or service seems sound.
What is unique about the concept is that where brands or brand
ideas are exchanged within communities, they are idea-led, not
advertising-led. There are some high-profile viral success stories.
Like Hotmail. By simply sending an e-mail, consumers hawked the
service because every message contained a Hotmail ad that helped it
grow to 12 million accounts in its first year, way back in 1996. The
1999-hit film 'The Blair Witch Project' also benefited from a similar
contagion. On web sites and in chat rooms, the film's promoters
hinted that the fictional tale was really a documentary and let the
bug run wild. In most cases, the consumers were bitten.
When Garnier launched its Fructis shampoo, they latched on to the
idea. The firm had to introduce the aspect of five times stronger hair
and the firm had a braid competition whereby consumers could
register on a site and create a knot on the Fructis braid, as part of
their entry into the contest. The knot creation was actually created
(visually presented on the site) and as a next step, consumers were
expected to invite their friends to visit the braid and add to their
score. A record 76,000 consumers created their own knot on the
braid and forwarded the link to more than 82,000 of their friends, a
survey report indicated. Viral marketers practice delayed
gratification. They may not profit today, or tomorrow, but if they
can generate a groundswell of interest from something free, they
know they will profit soon and for the rest of their lives. Since 'Free'
happens to be the most powerful word in a marketer's vocabulary,
most viral marketing programmes have attached themselves to it.

33. The idea is to give away valuable products or services to attract
attention. And, more importantly, someone else's resources are
depleted rather than our own. Garnier has positioned itself as a
lifestyle product mainly targeting teenagers and young girls. This is
very evident from Garnier ads be it for Garnier fructis shampoos or
for hair color. In a recent advertisement of Garnier hair color, a
daughter advises her mother to try the product and thus makes an
attempt to promote product among middle-aged women. Hence,
expanding the base of the target segment gives a whole new market
to marketers, provided they are successful in convincing the
customers of the second-rung segment.
Companies need to be very strategic in presenting the product and
its features to attract another segment.
At the same time, companies need to be sensitive about the impact
of targeting other segments on the existing target segment. It may be
damaging, especially, if in a process of expanding its customer base,
a premier brand is targeted at the aspiring middle-class also. In case
of any signals of lowering demand with the existing target group,
companies should adopt line extensions by bringing suitable
changes in the products.
Advertising and marketing specialists are aiming at young,
urban Indian women, who are earning their own money and are
potential customers for a host of products, including name-
brand clothes, cosmetics and new cars.

35. Relying on international ad campaigns:
Increasing its ad spend for the launch of its new products, L'Oreal
has been relying more on its international campaigns to make an
impact in the Indian market. McCann Erickson in Mumbai handles
the L'Oreal and Maybelline account while Publicis India is in charge
of Garnier. "The ad accounts have been aligned according to our
international affiliations with these agencies and we try to have a
mix of both the Indian and international ads," says Mr. Rajgopal.
L'Oreal India currently has three brands in its consumer products
portfolio and there are product overlaps between its hair care, skin
care and color cosmetics brands. Garnier, L'Oreal and Maybelline
have been defined by their price segments and positioning.
L’Oreal Group and Godrej Consumer Products dominate Spends on Hair
Dyes in Television Advertising
Last time, we had seen that Shampoos was not a very seasonal category in
terms of advertising on TV. Let's check out the trends for another similar
category from the Personal Care Sector-Hair Dyes. The below graph suggests
that like Shampoos, Hair Dyes do not show any seasonality in terms of
advertising peaks.

36. Let's look at the top players in the Hair Dyes category. L’Oreal Group and
Godrej Consumer Products Ltd are the two big giants in this category. Their
share of expenditures on this category on Television are close to each other
with L’Oreal getting the top slot with nearly 38% share of the advertising pie
whereas Godrej Consumer Products gets 33% share of advertising. At the 3rd
place we have Hygienic Research (although the margin between the 2nd and
3rd position is large) with nearly 18% share of advertising followed by Henna
Export Corporation and Cavin Care Ltd with 5.5% and 3.8% shares of
advertising respectively.

37. Moving on to the Top Brands in this category-it's once again flooded by
L'Oreal Group & Godrej Consumer Products. Garnier Color Naturals (L’Oreal)
is in the top position whereas its other product - Nutrisse Hair Color Mask and
L’Oreal Excellence Cream are at the 4th and 5th position. Super Vasmol 33
(Hygienic Research) is at the 2nd position. At the 3rd position, we have Godrej
Powder (Godrej Consumer Products) whereas its other products - Godrej Color
Soft, Godrej Kesh Kala Tel and Godrej Herbal Hair Dye are at 6th, 7th & 9th
position respectively. Black Rose Kali Mahendi at 8th while Indica Hair Dye
gains the 10th position.

38. Promotional Strategy

39. The cosmetics giant is using hairdressing schools to stimulate
demand for products many Indians saw as an alien
extravagance.
Above a bank in north Bombay, India’s future hairdressers are
sculpting the tresses of volunteer models more willing to let trainees
loose on their hair than a seasoned local stylist wielding a bottle of
dye. “Everyone is very particular about their hair these days,” said
Ruchi Khater, from beneath a stack of silver foil at L’Oréal’s
hairdressing academy.
For a customer who needs more than a trim, a visit to a hairdresser
in India has traditionally been something of a hair-raising
experience. This was particularly true for fair-haired Western
women with layered styles and blonde highlights. They learnt the
hard way that Indian hairdressers know little of color beyond a jet-
black rinse or a streak of henna.
That is not surprising as 85 per cent of Indian women have long,
straight hair. Their natural tone is dark and they prefer home
remedies recommended by their mothers. Most still use hair oil
- vegetable oil, no less – rather than fancy conditioners.
It is a challenging environment for any company trying to sell
packaged beauty products – to the majority of India’s 1.1 billion
people they are not only alien but also an extravagance.
The solution for L’Oréal, the world’s largest beauty and cosmetics
group, was to create a market from scratch.
Since it opened its first academy in Bombay in 2006, 73 hairdressers
have graduated. The six-month course turns out professionals

40. capable of working as a junior in one of the select but growing
number of international-standard salons in India’s big cities.
L’Oréal’s distribution network also plays a vital role. Over the past
decade the company has trained more than 30,000 hairdressers
in India in the use of its products.
And it has helped to establish about 300 salons in the past five
years. The theory is simple: If there is no natural demand for your
goods, stimulate it. “We have created a profession and a market,”
Didier Villanueva, L’Oréal India’s country manager, said. “If you
train people they will use your products.”
The students, who pay 200,000 rupees (£2,440) each, are green to
say the least. “Most who come do not know how to hold scissors or
use a blow dryer,” Caroline Lannuzel, academy director, said.
Competition is strong with more than 50 applications for 15 places.
Sohini Rohra, 24, a former model, got in. “People did not know
what a bad haircut was. My mother’s generation did not have a clue
because there was no exposure to these things,” she said.
In a media-driven culture obsessed with Bollywood, urban
consumers are very demanding and image is everything. They
read glossy magazines such as Vogue, which launched an Indian
edition in September, and follow the changing fashions of their
favourite celebrities.
Much like Britain’s tabloid fascination with David Beckham’s
changing hairstyles, the recent decision by Mahendra Singh Dhoni,
the 26-year-old captain of the one-day cricket team and the face of
Brylcreem in India, to chop his long locks made front-page news.

41. Unprecedented economic growth in India, which is forecast by
McKinsey to become the world’s fifth-biggest consuming nation by
2025, has created a raft of opportunities for international lifestyle
brands.
Emerging markets such as India are driving the growth of the
cosmetics industry. L’Oréal, which uses Aishwarya Rai, the
Bollywood star and former Miss World, as one of its international
faces, estimates there are 70 million potential consumers being
created every year.
Its sales in India, where it is No 2 behind Unilever, are growing at
35 per cent a year. This year, they are about €100 million (£71
million).
Although L’Oréal’s professional products division represents
only 17 per cent of total revenues, hair color was the Paris-based
group’s genesis and remains the creative heart of the business.
Money-spinning mass-market brands such as Garnier are being
pushed hard in India, where the company estimates there is a
market of 50 million people.
Its rivals agree. Franck Provost, the beauty salon group, also has a
hairdressing academy in Bombay and Toni & Guy opened a salon
this year.
Two thirds of the population is under 35: youth will drive growth. In
the L’Oréal academy, it has at least two new potential customers.
L’Oréal hopes that very soon it will be because they think they’re
worth it.

42. In India, advertisements for L'Oréal-branded products and the
company's Garnier line generally feature a pale model and focus on
the ingredients in the product, using take-action language like "YES
to fairer and younger looking skin" or "Against inside cell
damages."

43. TYPES OF HAIR COLOR
The four most common classifications are 'temporary', 'semi-
permanent', 'demi-permanent' (sometimes called 'deposit only') and
"permanent".
Temporary hair color
Temporary hair color is available as rinses, shampoos, gels, sprays,
and foams among others. This type of hair color is typically brighter
and more vibrant than semi-permanent and permanent hair color.
Temporary color is most often used to color hair for special
occasions and is often used in unusual shades for events, parties, co
splays, and Halloween.
The pigment molecules in temporary hair color are large and cannot
penetrate the cuticle layer. Instead, the color particles
remain adsorbed (closely adherent) to the hair shaft and are easily
removed with a single shampooing.
However, even temporary hair color can persist if the user's hair is
excessively dry or damaged, allowing for migration of the pigments
to the interior of the hair shaft.
Semi-permanent hair color
Semi-permanent hair dye has smaller molecules than temporary
dyes, and is therefore able to partially penetrate the hair shaft. For
this reason, the color will survive repeated washing, typically 4-5
shampoos. Semi-permanents contain no, or very low levels of
developer, peroxide or ammonia, and are therefore safer for

44. damaged or fragile hair. However, semi-permanents may still
contain the toxic compound P-Phenylenediamine or other such
ingredients.
The final color of each strand of hair will depend on its original
color and porosity, so there will be subtle variations in shade across
the whole head. This gives a more natural result than the solid,
allover color of a permanent dye. However, it also means that gray
or white hairs will not dye to the same shade as the rest of the hair.
If there are only a few gray/white hairs, the effect will usually be
enough for them to blend in, but as the gray spreads, there will come
a point where it will not be disguised as well..
In this case, the move to permanent color can sometimes be delayed
by using the semi-permanent as a base and adding highlights.
Semi-permanent color cannot lighten the hair.
Demi-Permanent hair color
Demi-permanent hair color is permanent hair color that contains an
alkaline agent other than ammonia (e.g., ethanolamine, sodium
carbonate) and, while always employed with a developer, the
concentration of hydrogen peroxide in that developer may be lower
than used with a permanent hair color. Since the alkaline agents
employed in dem-perms are less effective in removing the natural
pigment of hair than ammonia these product provide little to no
lightening of hair's color during dyeing. As the result, they cannot
color hair to a lighter shade than it was before dyeing and are less
damaging to hair than their permanent counterpart.

45. Demi-permanents are much more effective at covering gray hair
than semi-permanents, but less so than permanents.
Demi-permanents have several advantages as compared with
permanent color. Because there is essentially no lifting (i.e.,
removal) of natural hair color, the final color is less
uniform/homogeneous than a permanent and therefore more natural
looking; they are gentler on hair and therefore safer, especially for
damaged hair; and they wash out over time (typically 20 to 28
shampoos), so root regrowth is less noticeable and if a change of
color is desired, it is easier to achieve. Demi-permanent hair colors
are, in essence, permanent color and the darker shades in particular
may persist longer than indicated on the packet.
Permanent color
All "permanent" hair color products and lighteners contain a
developer, or oxidizing agent, and an alkalizing agent ammonia.
When the tint containing the alkalizing ingredient is combined with
the developer cause a chemical reaction that swells the hair
permitting the tint to enter the cortex, where the melanin is located.
The melanin is lightened and subsumed by the new color.
The ammonia swells the cuticle of the hair to allow the color
pigments to penetrate deep into the hair shaft.
Permanent color is truly permanent and will not wash out, although
it may fade. New hair regrowth will obviously be in the hair's
natural color, meaning that regular monthly or six-weekly coloring
will be essential for as long as the hair color is maintained.

46. Permanent hair color is the only way to dye dark hair into a lighter
shade, and it must be done in two parts: First, the hair is lightened,
and then color is applied.
Ways to get rid of permanent hair color include bleaching (if you
don't mind damage or yellow/orange hair), stripping with a color
remover (which will return hair to its normal color if hair has only
been dyed with a permanent color once), or just cutting off the
permanently dyed hair.

47. APPLICATION TECHNIQUES
Hair color was traditionally applied to the hair as one overall color.
The modern trend is to use several colors to produce streaks or
gradations, either on top of the natural color or on top of a single
base color. These are referred to as:
 Highlighting, where sections of hair are treated with
lighteners, usually to create blond streaks.
 Lowlighting, where sections of hair are treated with darker
hair color.
These can be applied by the following methods:
 Foils, where pieces of foil or plastic film are used to separate
off the hair to be colored; especially when applying more than
one color.
 Cap, when a plastic cap is placed tight on the head and
strands are pulled through with a hook.
 Balayage, where hair color is painted directly onto sections of
the hair with no foils used to keep the color contained.
All application techniques can be used with any type of color. For
highlights, the hair will usually have to be bleached before coloring.

48. HAIR COLOR MARKET IN INDIA
 After L’Oreal, Godrej and Garnier, the new player to enter
the Indian retail market is German major Henkel-
Schwarzkopf.
 Today, the total hair colour industry in India is around Rs.650
crore.
 This is further divided into two segments i.e. Retail category
&Salon category.
 The Rs.450 crore retail segment, which is growing at a 20 per
cent clip annually.
 The two big brands in the salon category are multinationals
L’Oreal and Schwarzkopf. Industry sources peg
Schwarzkopf’s share at 24 per cent with L’Oreal dominating
at 76 per cent.
Factors that influence consumer behavior
 Cultural Factors:-Social class, Geographical area &
Individual perception.
 Social Factors:-Reference groups & Family.

49.  Personal Factors:-Buyer’s age & Stage in the life cycle,
Occupation & Personality of buyer & Lifestyle.
Health Hazards
Skin irritation and allergy
In certain individuals, the use of hair coloring can result in allergic
reaction and/or skin irritation.
Symptoms of these reactions can include redness, sores, itching,
burning sensation and discomfort. If any of these symptoms occur,
alert your hair colorist immediately so that they can remove the
color. Symptoms will not always be present right at the application
and processing of the tint but can also arise after hours or even a
day.
To help prevent or limit allergic reactions, the majority of hair
color products recommend that the client conduct a patch test before
using the product. This involves mixing a small quantity of tint
preparation and applying it directly to the skin for a period of 24
hours. If irritation develops, manufacturers recommend that the
client not use the product. A skin patch test is advised before the use
of every coloring process, since allergies can develop even after
years of use with no reaction.
Adverse reactions can result from both at-home and salon hair
coloring products, as similar chemicals are used in both settings.
In some cases, allergic reactions are caused by the aniline derivative
and/or p-Phenylenediamine (PPD) found in permanent hair color.

50. Hair breakage
Hair that has been damaged by excessive exposure to chemicals is
considered 'over-processed'. This results in dry, rough and fragile
hair. In extreme cases, the hair can be so damaged that it breaks off
entirely. This is especially true for Afro-textured hair, especially if
used in combination with relaxers. Treatments are available but the
only real solution is to stop the use of chemicals until the hair
recovers.
It is advised that colored hair be deep conditioned regularly, and
washed and conditioned with gentle products specifically designed
for color-treated hair. This will help keep the hair intact, as well as
ensuring that the color doesn't fade as quickly.
Skin discoloration
Skin and fingernails are made of the same type of keratinized
protein as hair. That means that drips, slips and extra hair tint
around the hairline can result in patches of discolored skin. This is
more common with darker hair colors and persons with dry
absorbent skin.
This discoloration will disappear as the skin naturally renews itself
and the top layer of skin is removed (typically takes a few days or at
most a week). A good way to prevent dye discoloration is to put a
thin layer of Vaseline or any oil-based preparation around the
hairline. It is recommended that latex gloves be worn to protect the
hands.

51. MARKET SHARE OF DIFFERENT COMPANIES

52. EXPENDITURE ON ADVERTISEMENTS

53. ADVERTISEMENTS SLOT

54. PRICE

55. The target segment for any product is that homogeneous group of
people which is purported to be the most potential customer for the
product. The market follows the Pareto Principle, which says that 80
per cent of the sales come from 20 per cent of the people. Thus, for
any product, one of the major tasks of marketers is to identify the
group of 20 per cent that gives 80 per cent revenue of that product’s
sale to the company. No surprise then that major marketing efforts
of companies attempt to attract the most potential group. In the
present stage of immense competition, companies are required to
effectively plan their pricing strategies to not only retain current
customers but to also expand the customer base by targeting new
segments with an aim to convert them into loyal customers.
Trying to strike a balance in its pricing strategy for the Indian
market, `L'Oreal India Private Ltd believes that by introducing
more stock keeping units (SKU's) it will be able to tide over the
steep pricing of its products.
Mr. Ashwin Rajgopal, Marketing Manager, L'Oreal Consumer
Products, told Business Line that, "We are looking at pricing in the
Indian context and there is a kind of balance we have struck.
Considering the large number of SKU's that we already have
worldwide, it is possible to market the products at an almost
comparable pricing."
Considering the company has set up its manufacturing facilities in
Pune and has also been sub-contracting its products, it has been
easier for it to control its prices in the Indian market.

56. For aspirational products Garnier has adopted an international
pricing strategy, which may not be the case for the rest of the
products. However there is no hard and fast rule
Besides, the company has also been customizing its products for
the Indian market and there is expected to be a blend of both
international as well as Indian formulations for its products. For
instance its Garnier brand of Color Naturals is an `Indianised'
product.
L'Oreal’s innovations always start from its luxury brands then
penetrate to the brands in different price level and different
markets eventually implemented in its consumer brands. The
innovations based on the same technology platform will reduce the
cost. The knack for L'Oreal to create the advantages is to spread
around strategic investment by sharing the production of innovation
between different product divisions. L'Oreal not only focuses on the
single brand but also pays attention to the technology relevancy in
the series of brands. For example, L'Oreal first introduced a break
through anti-aging composite by using Lancôme brand.
Subsequently, it was implemented in Vichy brand and brought into
the consumer product division eventually. The broad distribution
channel of consumer products was used to promote this technology
at last. In term of same products in the different market, L'Oreal also
exerts the technology platform to meet the specific needs of
consumers. From L'Oreal’s experiences, the core technology
platform is a key component to the success of an international
company with complicated brand house. Without leveraging the
resources between brands, it will cause increase of operational cost
and waste of resources and will be very hard to manage the

57. L'Oreal’s sophisticated brand architecture. Other than building the
brand structure according to the product identity, L'Oreal relied on
distribution channel to carry out its strategy of brand structure.
There are four product departments in L'Oreal’s structure. Every
department has several brands and each brand has many names.
They are conspicuously different in packages and with distinct
image and advertising. The different brands share the resources of
distribution channel and have high integration effect on
management. The luxury brands of L’Oreal are sold in strictly
selected distribution channel like department store, perfumeries and
tax free shop. Professional products are provided to the hairdressers.
Active cosmetic products are sold in pharmacists. The most
important sector consumer products are distributed through mass
consumption channel like department store and supermarket.
L'Oreal has formed a brand matrix with great power of integration.
Any new brand merged into the relevant channel will fully utilize
the resources in existing channel as well as expand L'Oreal’s whole
distribution channel by integrating its original channel. The
dissemination of brand will improve company’s overall influential
power.
L'Oreal recognized the leverage effect of it brand and focus its
propagandas on brand rather than propagandas on particular
product. It is dedicated in building the relationship between its
brand and the market. It aims to enhance brand power by
maintaining the good image in publicities. L'Oreal’s efforts were
also embodied on its marketing strategy. It always concentrates on
supporting those brands which can mostly represent its advantages
and leverage resources to those premium products.

58. Firms that aim to expand internationally or strengthen market
position tend to acquire new brand into the brand architecture.
Acquiring influential and well positioned brand is an important
strategy of L'Oreal in developing its brand architecture. It achieves
rapid growth by acquiring brand in same or related business and is
continually seeking these opportunities in the worldwide scope.
L'Oreal expanded its brand architecture by acquiring Maybelline
brand in 1996, which was a very successful transaction. The
Maybelline’s image was enhanced by branded L'Oreal while L'Oreal
got complementary in its brand architecture. Recent years in Asia, it
acquired the third skincare brand Mininurse in China and Japanese
top luxury brand Shu Uemura. These acquisitions represent
L'Oreal’s ambition to Asian market. They have the same product
business with L'Oreal. In China the acquisition will enhance
L'OrealÂ’s market position in skincare and acquire distribution
channels Mininurse had. It is also a preparation for the future
expansion in the most fast-growing market China. By acquiring Shu
Uemura, L'Oreal want to use this Japanese brand to compete with
SK-…¡which was a competitor in the same level, in order to meet
the trend of prevalence of Japanese cosmetic brand in Asia. This is
considered to be an effective and cost-efficient strategy which is
consistent with L'Oreal’s overall brand architecture

59. PLACE
To run a company in profit the place factor out of the 4p’s of
marketing mix plays a very crucial role. This includes decisions
about where to sell the product or concerns about where the
customers are, and how to get to them. It also includes the "channel
of distribution" - meaning, all the different middlemen a company
use to get the product out to the customer. L’Oreal runs a massive
worldwide operation employing nearly 62,000 men and women of
various races, backgrounds and religions across nearly 60 countries.
Part of the reason for the corporation’s success has been its
sensitivity not only to its consumers but also to each and every one
of its employees. The corporation has made sure that all their
employees have opportunities to develop themselves both
personally and professionally. This commitment by the corporation
to take care of their own employees has resulted in L’Oreal being
rated by the European business school students as The Employer of
Choice for the year 2006. With over a century of experience in the
cosmetics industry, L’Oreal has established 19 global brands and
produces them in 40 factories across the world. These factories are
all state of the art and ISO 140001 certified and all of their industrial
sites are audited with the standard SA 8000 (L’Oreal Corporation).
The corporation makes sure that every product that rolls out from
their factories complies with their own high standards and meets or
exceeds quality and safety standards set by local governmental
agencies such as the Food & Drug Administration of the United
States of America. L’Oreal’s success in the cosmetic industry is due
not only to their high quality, but also to the corporation’s marketing
efforts to make sure their various brands have a strong market

60. presence. In past 100 years that it has expanded, it has supplied to
130 countries with offices in 58 different countries. To make its
presence feel in different parts of the world L’Oreal has acquired
many different companies like “The Body Shop International plc”,
known as The Body Shop, which has over 2,000 stores in more than
50 countries.

61. ANALYSIS OF INDIAN MARKET
Garnier being an important brand of L’Oreal in both hair care and
skin care is available all round the globe easily. In Indian market the
hair care products of garnier like “garnier fructis”, “ultra doux” etc
is available in both organised and unorganized retail shops in India.
The high end skin care products like “Nutritionsite” are available
only in selected retail outlets in country. In India Garnier
manufactures its products in Pune whereas it’s registered office is in
Mumbai. To popularize its product line L’Oreal has occupied brand
corners in many big malls and retail outlets in which garnier
products get a major chunk. L’Oreal has tie ups with many big
beauty salons and parlors who can promote and sell its products.
Over the past decade the company has trained more than 30,000
hairdressers in India in the use of its products. And it has helped to
establish about 300 salons in the past five years. The theory is
simple: If there is no natural demand for your goods, stimulate it.
“We have created a profession and a market,” Didier Villanueva,
L’Oréal India’s country manager, said. “If you train people they will
use your products.” Its sales in India, where it is No 2 behind
Unilever, are growing at 35 per cent a year. This year, they are
about €100 million (£71 million). Although L’Oréal’s professional
products division represents only 17 per cent of total revenues, hair
color was the Paris-based group’s genesis and remains the creative
heart of the business. Money-spinning mass-market brands such as
Garnier are being pushed hard in India, where the company
estimates there is a market of 50 million. Garnier products are easily
available for sale on many websites in India.

62. SWOT ANALYSIS OF GARNIER PRODUCTS
Strengths
 Strong and Focused Brand Portfolio.
 Presence in Emerging Markets.
 Strong R&D Capability.
 Variants available.
 Geographical Coverage.
Weaknesses
 Dependence on Western European Markets
 Late Entry into Asian markets.
 Unable to gain much of market share.
Opportunities
 M&A Opportunities.
 Growth in Adjacent Categories.
 Demand for Natural Cosmetics.
 Growth of Direct Sales Channels
 Changing Consumer Lifestyles.
 Rural market growth.
 Beauty products market growing with a significant rate.
Threats
 Competition from Private Labels.
 Price Competition among Branded Manufacturers.

64. Research Methodology
The purpose of methodology is to describe the process involved in
research work. This includes the overall research design, data
collection method, the field survey and the analysis of data.
Objectives Of the Study
Objective of the Study:
· To know the consumer satisfaction.
· Financial performance in FMCG industry.
· Market performance.
· Market position.
· Economic and the industry environment.
· To find out the satisfaction level of people.
· To find out the awareness level of customer.
· To find the satisfaction amongst the customers
Sources Of Data Collection
Primary:
For my survey primary data have been used as a questionnaire to
collect the data.

65. SECONDARY:
The secondary data has been collected from the following modes:
· Magazines
· Books
· Newspaper
· Data through internet sources
Research Design
Research Design is the arrangement for conditioned for data
collection & analysis of data in a manner that aims to combined
relevance to research purpose with economy in procedure.
A research design is a master plan or model for the conduct of
formal investigation. It is blue print that is followed in completing
study.
The research conducted by me is a descriptive research. This is
descriptive in nature because study is focused on fact investigation
in a well structured from and is based on primary data.

66. RESEARCH PLAN
· Type of study: For completing my study I have gone for sample
study because looking at the size of population & the time limitation
it was not convenient for me to cover entire population. Hence, I
have gone for sample study rather than census study.
Sampling Plan
A sample design is a definite plan for obtaining a sample from a
given population. It refers to the technique or the procedure that
researcher would adopt in selecting items to be inched in the sample
i.e. the size of sample. Sampling plan is determined before data are
Collected
Steps In Sampling
Sampling Frame:
The list of sampling units from which sample is taken is called
sampling frame.
Moradabad City map was studied thoroughly and samples were
selected from the place in a scattered manner to get effective result.

67. SAMPLING SIZE:
Total sample size is 100. The following sample size according to
area wise is as
follows:
 25 KOTHIWAL NAGAR
 25 KHUSHAL NAGAR
 25 MALVIYA NAGAR
 25 JAWAHAR NAGAR
SAMPLING PROCEDURE:
The selection of respondents were accordingly to be in a right place
at a right time and so the sampling were quite easy to measure,
evaluate and co-operative. It was a randomly area sampling method
that attempts to obtain the sample of convenient.
Limitations of the Study
· I will have to rely upon the information get from secondary
sources (Balance sheet, Profit & Loss Account and Cash Flow ) and
given by respondents, which may not be fully true.
· This study will be limited to only some areas of Moradabad
District of Uttar Pradesh.

68. · It is only for short period of time.
· Lack of professional approach since researcher is a student
· The sample size is only 100 so the sample may not be truly
representative of the Moradabad population.
Field Work
I have collected the data through medium called questionnaire
collecting the responses from 100 people in all. I had done my field
work in the following area difficulty during my project in the
process of explaining and taking there KOTHIWAL NAGAR ,
MALVIYA NAGAR , KHUSHAL NAGAR , JAWAHAR NAGAR
.I started my project very first educating the respondents about my
entire project, and ask them to co–operate with me. Mostly all the
respondent were aware of this type of surveys. So I didn’t face any
type of responses on the questionnaire.

69. DATA ANALYSIS
TOTAL NUMBER OF WORKING AND NON WORKNG
RESPONDENTS
The above pie diagram indicates that out of the total 100
respondents surveyed, 43% are working and the remaining 57% are
not working and are mostly students.

70. GARNIER USAGE AMONG WORKING RESPONDENTS
Out of the total 43 working respondents surveyed, only 30% of them
don’t use any of the Garnier products, the remaining 70% of the
working respondents use Garnier products. This indicates that the
brand is popular amongst the working people. The respondents so
surveyed were well aware about the brand and were also aware

71. about almost all the product lines being offered by Garnier, be it in
skin care
or hair care. This result indicates that Garnier has a well defined
target market catering mainly to upper middle class consumers
which is mainly why the working respondents are frequent users of
different products of Garnier.
GARNIER USAGE AMONG NON WORKING
RESPONDENTS

72. Out of the 57 non working respondents surveyed, about 84% of the
respondents use Garnier products which means about 47 out of 57
people use Garnier products and 16% of the respondents don’t use
any of the Garnier products. This again indicates that the brand is
popular among even the non working respondents who are majorly
students in our survey.
The inference that can be drawn from the above two pie charts is
that irrespective of whether the consumers are working or are
students, the brand has a good popularity. This means that the brand
has successfully caters to the needs of the youth as well as people
falling in the age bracket of 35 to 55.
PREFERENCE FOR SKIN CARE OR HAIR CARE AMONG
WORKING RESPONDENTS

73. Out of the 43 people who are working, about 29 of them use Garnier
products and out of these 29 people, only 4% of the respondents use
only skin care products and 18% of them use only hair care products
while a major chunk of 78% of the respondents use both skin care
and hair care products of Garnier.
This indicates that the customers are regular and loyal users of
almost all the product lines of Garnier.
PREFERENCE OF SKIN CARE OR HAIR CARE
PRODUCTS AMONG NON WORKING RESPONDENTS

74. Out of the 57 non working respondents, about 36 of them use
Garnier products. Out of these 36 respondents, 25% use only
Garnier hair care products, 28% of them use Garnier skin care
products and 47% of them use both hair care and skin care products
of Garnier. This again indicates that majority of people like both the
segments of Garnier but unlike the working consumers the non
working consumers prefer Garnier skin care products over its hair
care products.
USAGE FREQUENCY AMONG WORKING RESPONDENTS

75. Out of the 29 people using Garnier products, 9% of the respondents
purchase Garnier
products fortnightly, 69% of the respondents purchase the products
on a monthly basis and 22% of them purchase the products once in
three months. This indicates that a majority of respondents are
frequent users of Garnier products. This also indicates that there is
easy availability of Garnier products at almost all retail outlets.
USAGE FREQUENCY AMONG NON WORKING
RESPONDENTS

76. Out of the 36 respondents who use Garner products, only 3%
purchase the products fortnightly, about 6% purchase the products
weekly, 33% of them purchase the products once in three months
and a majority of 58% of the customers purchase the products on a
monthly basis. The result of this data is very much similar to that of
the working respondents.
This indicates that the buying pattern of customers is more or less
the same irrespective of their occupation.
AVAILABILITY OF GARNIER PRODUCTS

77. The above data gives a combined interpretation for both working
and non working respondents that out of 29 working respondents,
10 feel that Garner products are easily available at every store while
19 feel that they are available only at selective stores and out of 36
non working respondents, 16 respondents feel that the products are
readily available at all stores, 19 feel that the products are available
only at selective stores and only 1 respondent felt that the products
are not easily available at all.
The combined interpretation of this result indicates that the
distribution network of Garnier is not very strong which leads to the
unavailability of Garnier products quite often. Hence there is not
much easy accessibility to Garnier products in general be it skin
care or hair care.

78. PRICE OF GARNIER PRODUCTS
The graph states that out of 29 working respondents, 15 feel that
Garnier products are slightly overpriced and about 14 feel that the
products are perfectly priced while none of the working respondents
feel that the products are highly overpriced. In case of the 36 non
working respondents, 20 feel that Garnier products are slightly
overpriced while 15 feel that the products are perfectly priced.
A combined interpretation of this can be that about 50% of both
working respondents as well as students feel that the prices of all the
Garnier products are slightly overpriced. This means that Garnier

79. does not have a prime aim to offer the products at reasonable or
affordable prices for all segments of consumers. This is because
Garnier caters mainly to the middle class and the upper middle class
consumers with a prime aim of providing good quality products to
its loyal customers.
SATISFACTON LEVEL
Out of the 29 working people surveyed, about 5 found garnier
products highly satisfactory and a majority of 24 found the products
satisfactory while none of the working respondents found them
below satisfaction levels. While out of the 36 no working

80. respondents surveyed, 2 respondents found the products highly
satisfactory and a majority of 33 people found them satisfactory.
Only 1 person out of the non working respondents found the
products below satisfaction levels.
The common interpretation out of this result can be that a majority
of customers find Garnier products satisfactory which leaves some
scope for improvement in the quality of products being offered by
Garnier.
USAGE PURPOSE

81. Out of the 100 people surveyed, 77 people use Garnier products.
Out of these 77 people only 2 answered that they use the product for
medical purpose, while a majority of 75 people answered that they
use the products for cosmetic purpose. Therefore those people who
use Garnier products, 97% use them for cosmetic purpose, while a
very small percentage of 3% use it for medical purpose. It is very
clear from this data that people prefer Garnier products for cosmetic
use only.
PRODUCTS USAGE

82. Out of the 100 people surveyed, 77 answered that they use Garnier
products. The chart above depicts the usage of different products by
these 77 people. Shampoo & conditioner is used by 57 people,
Facewash by 39 people, Acne Removal Cream by 8 people, Hair
Color by 20 people, Anti-Ageing Cream by 3 people, Fairness
Cream by 23 people, Anti Wrinkle Cream by 2 people, Dark Circle
Removal Cream by 4 people, Moisturiser by 14 people and Body
Lotion by 28 people. This data suggests that Shampoos &
Conditioner are the most popular of Garnier products.
AWARENESS

83. Out of the 100 people surveyed, 77 answered that they use Garnier
products. We gathered information through our survey that how a
respondent came to know about Garnier products. 74 respondents
answered that they came to know about Garnier products through
television, 21 by newspaper and magazines, 20 by word of mouth
and 7 through internet. This data suggests that TV is the most
popular source of information and awareness regarding Garnier
products.
Reasons for Not Using Garnier Products

84. Out of the 22 respondents who do not use the Garnier products, 14
people (64%) are happy with their current brand and have not tried
Garnier yet, rest 4 people (18%) do not find Garnier products
effective, the other 3 people (14%) finds the price of the garnier
products as the main reason for not using it. Thus if Garnier needs
to make the customers use their products for once and be able to
stand on their expectations.

85. Conclusion
The present study comes to the floor with the revelations having
exciting and full of curiosity determinants in relation to the specified
objectives to understand and analyze the 4P aspects of marketing for
Garnier. Further the study helped in identifying the reasons which
stops the customers to buy Garnier Products over other products and
to understand customer Brand knowledge with regard to Garnier. As
the study has been conducted, in the context of Indian customers
(where interviewed customers are from Noida and Greater Noida),
the investigation perspectives have been thrown, conditioning the
specified motives of Indian people, putting aside the motives outside
India. The research conducted was also helpful in identifying the
frequency of purchase and usage of the Garnier products.
Following are the few key findings of the study:
 70% of the total working respondents use Garnier products.
 84% of the total non working respondents use Garnier
product.
 78% of the working respondents users use both hair and skin
care products, whereas 18% uses only hair care products by
Garnier and 4% only skin care products.
 In non working respondents 47% uses both skin and hair care
products by Garnier, 25% only hair care and 28% skin care
products.
 Among the non users of the Garnier products 64% are happy
with their current brand, 18% find Garnier products
ineffective and 14% people find the price of the products a
major concern.

86.  TV is the most popular source of information and awareness
regarding Garnier products.
 Shampoos & Conditioner are the most popular Garnier
products.
 Only 40% of the users said that garnier products are available
at every store.
 82% of the Garnier users are satisfied with the products.

87. Recommendations
• It needs to improve the availability network of the product so
as to reach a large customer base because 60% of the
respondents feel that it is available at selective
stores only.
• Almost 64% people are happy with their current brand and do
not want to switch to Garnier products thus it needs to make
the customers aware of the products.
• Garnier need to adopt different promotional mediums like
internet, magazines, product binding schemes and even
surrogative marketing.
• Introducing a low price product line for the rural market.
• Introduce herbal product lines as the customer is getting more
inclined towards herbal products.
• Make the consumers aware of all the products other than its
flagship products like shampoo, conditioner, hair color, and
face wash etc.
• Improve upon online sales service in tier 1 and tier 2 cities
taking the time constraint of the customers in the picture.
• It is still considered as a product for youth so it needs to target
the people in the age group of 35 and above.
• As boys are also becoming looks conscious so the male
beauty segment can be one area of focus.

89. QUESTIONNAIRE
Dear Respondent,
This is a survey regarding the product analysis of Garnier by
L’Oreal, so kindly furnish the correct information. The information
given will only be utilized for the research purpose only and not any
other purpose.
RESPONDENT PROFILE
Area of Residence:
Age :
Gender : Male____ Female____
Your monthly household income:
a) Below 10000 b) 10000-25000 c) 25000-50000
d) Above 50000
1. You use Hair Colours .
Regularly_____ Sometimes____
Rarely _____ Never ____
2. If Yes, Which Brand will you prefer :
a) Garnier
b) Loreal
c) Other Brand
3.Are you Brand Concious while buying Hair Colour
Products

90. a) Yes
b) No
3. Have you ever used Garnier or Loreal as a Hair Colour?
a) Yes
b) No
4. Which one is more preferable according to you ?
• Garnier
• Loreal.
5. If Garnier , then why ?
• Quality
• Effective Results
• Price
• Others
6. How did you get to know about Garnier products?
• TV
• Newspaper/Magazines
• Word of Mouth
• Internet

91. • Any Other___________
7. How do you find Garnier products?
• Highly satisfactory
• Satisfactory
• Not satisfactory.
8. Your purpose for purchasing Garnier products is for:
• Cosmetics Use ____
• Medical Use ____
• Both ____
9. If Loreal , Then why ?
• Quality
• Price
• Effective Result
• Others…
10.A If No , You do not use Garnier because of:
a) Price b) Effectiveness c)
Happy with current brand
d) Availability e) Unaware of the product f) Any
other reason__________

92. 10.B Alternate brand you prefer for hair care.
a) Panteen b) Sunsilk c) Fiama Di Wills d)
Head &Shoulders
e) Dove f) Clinic All Clear g) Others (Please
specify) __________
10.C Alternate brand you prefer for skin care.
a) Ponds b) Lakme c) Nivea d)
Dove
e) Himalaya f) Fair&Lovely g) Ayur h)
Others ___________
11. Quality Matters while you go for Hair Colour ?
• Yes
• No
12. Which Shade do you prefer the most ?
• Natural black
• Brown
• Burgundy
• Others
13. Is Advertisements effects your decision while purchasing any
hair Colour ?
• YES
• No

93. Bibliography
1. www.garnier.com
2. www.equitymasters.com
3. www.managementparadise.com
4. www.hindubusinessline.com
5. www.L’Oreal.com
6. www.scribd.com
7. www.google.com

94. ANNEXTURES
Dear Respondent,
This is a survey regarding the product analysis of Garnier by
L’Oreal, so kindly furnish the correct information. The information
given will only be utilized for the research purpose only and not any
other purpose.
RESPONDENT PROFILE
Area of Residence: 100 Respondents from MDA Colony ,
Moradabad
Age :
0-18 : 2
18-25 : 25
25-35 : 35
35-50 : 33
50-60 : 5
Gender : Male__58__ Female_42___
Your monthly household income:
1
2
3
4
5
Gender
1
2

95. b) Below 10000 b) 10000-25000 c) 25000-50000
d) Above 50000
10. You use Hair Colours .
a. Regularly__30___
c.Sometimes_22___
b. Rarely ___40__ d.Never
__8__
11. If Yes, Which Brand will you prefer :
d) Garnier - 35
e) Loreal - 42
f) Other Brand - 23
Usage
1
2
3
4
Brand
1
2
3

96. 2a. Are you Brand Concious while buying Hair Colour Products
c) Yes 70
d) No 25
e) Cant Say 5
12. Have you ever used Garnier or Loreal as a Hair Colour?
a) Yes 90
b) No 10
13. Which one is more preferable according to you ?
• Garnier 60
1
2
3
1
2

97. • Loreal. 40
14. If Garnier , then why ?
• Quality 40
• Effective Results 20
• Price 35
• Others 5
Preffered Brand
1
2
1
2
3
4

98. 15. How did you get to know about Garnier products?
• TV 70
• Newspaper/Magazines 10
• Word of Mouth 20
• Internet 0
• Any Other 0
16. How do you find Garnier products?
• Highly satisfactory 10
• Satisfactory 70
• Not satisfactory 20
1
2
3
4
5
1
2
3

99. 17. Your purpose for purchasing Garnier products is for:
• Cosmetics Use ___90_
• Medical Use ___5_
• Both ___5_
18. If Loreal , Then why ?
• Quality 50
• Price 30
• Effective Result 20
1
2
3

100. 10. Quality Matters while you go for Hair Colour ?
• Yes 90
• No 10
11. Which Shade do you prefer the most ?
• Natural black 50
• Brown 22
• Burgundy 25
• Others 3
13. Is Advertisements effects your decision while purchasing any
hair Colour ?
• YES 92
Colour Choice
1
2
3
4
1
2
3

101. • No 8
1
2