Skincare Solutions

Multi-brand marketing strategy to differentiate the different survival – L’Oreal cosmetics, L&3   by hi joiney

L’Oreal and Procter & Gamble are the world famous transnational corporations.
L’Oreal called global "beauty industry"?? Cosmetic The industry leaders, founded in 1907 and was among the "Fortune" magazine’s Global 500 No. 373, L’Oreal in 2006 global sales of 15.79 billion euros, for 22 consecutive years of double-digit growth gains. In 1997, L’Oreal formally commanded the troops to enter into the Chinese market, 10 years, L’Oreal rapid rise in the Chinese market in 1997, sales in China is 180 million yuan, annual sales of more than 4 billion yuan in 2006 yuan for the first time surpassed Japan to become the largest market in Asia, L’Oreal.

Brand giant Procter & Gamble was founded in 1837, is the world’s largest consumer products companies, ranked the "Fortune" Global 500 No. 86, 2006, P & G’s global sales reached 76.4 billion U.S. dollars, up 12%. In 1988, Procter & Gamble was established in Guangzhou in China’s first joint venture?? Procter & Gamble Co., Procter & Gamble, from the beginning of the trip to mainland China, P & G Greater China in 2006 with annual sales of more than 2 billion U.S. dollars, sales volume has ranked P & G’s largest regional market in the second.

Star bright, brand family flourish L’Oreal and Procter & Gamble are all multi-brand family in the Chinese market, a brand they are described as "starry."

Present, L’Oreal its high-end cosmetics brands Lancome, Helena Rubinstein, Biotherm; in the end cosmetic brand Vichy, the rationale skin spring, L’Oreal professional hair, Kerastase; low-end cosmetics L’Oreal Paris brand, Yue-Sai, Maybelline, Garnier, small nurse. L’Oreal its many brands in different product categories in the leading position. Including Lancome, Maybelline and Vichy were three brands account for high-end cosmetics market, mass market color cosmetics and skin care products pharmacy health of the market activity of the first.

P & G is also an example of successful multi-brand, its hundreds of small brands, big brands in more than 80 independent, its products cover hair care, skin care, personal cleansing, women’s health, child care, home care, and many area. Procter & Gamble’s shampoo brand Pantene, Head & Shoulders, Rejoice, Vidal Sassoon, etc.; detergent with Tide, Ariel, European hi flower, Porter, etc.; there Jiajie official toothpaste, soap and a comfortable good, health care posted Shu Po; cosmetics are SK-II, Oil of Olay, Wella, Clairol, Ni Weiya, etc.; Another Gillette, Braun, front speed 3, Pringles, Duracell and so on. Currently, P & G has nine categories, 16 brands to enter China market.

L’Oreal and Procter & Gamble also unbeatable in the global market also developed fast in China, also has a large multi-brand family, but we can easily find their brand marketing strategies are different.

It is easy to notice a detail, in the Rejoice, Tide, Safeguard, and many other P & G’s product advertisement, or packaging, marked with "P & G, high-quality products," the words and the "P & G" logo, indicating that the products from P & G’s, to enhance the authority of a sense of products, increase consumer trust. In fact, P & G used the security of this approach brand strategy (also known as the endorsed brand strategy).

However, the practice of L’Oreal is not the same as the number of its products in the L’Oreal brand, it is hard to see "L’Oreal" mark, deliberately played down the L’Oreal L’Oreal brand with the product brand relationships, brand image appears as an independent, so that many consumers do not know Lancome, Helena Rubinstein, Biotherm, Vichy is also well-known brands such as L’Oreal from the hands.

Great deal of diversity, brand strategies vary
Why are multi-brand, L’Oreal and Procter & Gamble’s brand marketing strategy is the not the same?

Should be said that L’Oreal and Procter & Gamble’s multi-brand strategy have adopted different marketing strategies, each of its brands they are quite different personalities, different market segments for product design, price positioning, advertising communication and channel construction, to meet consumer demand for differentiation.

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