Project Report

Submitted To:

Submitted By:

Dr. Kartik Dave

Pradeep Sharma (951)

Acknowledgement

An Old Chinese proverb says:

When eating your bamboo sprouts, remember the men who planted them.
Now that my sprouts are ready to eat, it is time for me to express my deepest
gratitude to all those who have made this possible.
We wish to express our sincere gratitude to Dr. Kartik Dave who guided us
and helped us from time to time to successfully conduct this research. We
think her direction was the best thing that could happen to us and our
project.
We would also like to thank BIMTECH for letting us use the computer
resources and library.
We hope you enjoy reading the report as much as we enjoyed making it.

TABLE OF CONTENTS
2

1. Project Objective .

2. LOreal Introduction

3. Introduction to Garnier .... 9

3.1 Company Review
10
4. Hair care market analysis..... 11
4.1 Evaluation of shampoo in India
4.2 Current scenario of shampoo market

12
14

5. Skin care industry in India... 16

6. Study of 4PS of Garnier.....
6.1 Hair care products
6.2 Skin care products
6.3 Natural ingredients of Garnier

18
18
22
24

7. Promotion ....
7.1 Relying on International Campaigning
7.2 Promotion Strategy

26
28
32

8. Price . 35
9. Place ..... 38
10. Analysis of Indian market .......... 39
11. SWOT Analysis .. 40
12. Data Analysis .

41-54

13. Conclusion ..

55

14. Recommendation

56

15. Questionnaire------------------------------------------------------------------------ 57-59

16. Reference

60

Executive Summary
3

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 products 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 LOreal
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 Doux range of Shampoo through its Agent
Laboratories Garnier. In 1994 Laboratories Garnier became the 100% subsidiary of
L'Oral.
In 2000 LOreal 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'Oral'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.

PROJECT OBJECTIVE:

The objective of our project is to comprehensively research on one of the most

successful sub-brands of LOreal- 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 LOreal 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 Ps of marketing in relation to this product and
the marketing strategies that have been adopted by LOreal, essentially Garnier
from time to time.

The stress however has been on the PRODUCT out of all the four Ps and on the
consumer behavior and their perception towards the brand.

We have also focused on the current leading competitors of LOreal-Garnier and

conducted a brief study on their marketing strategies.

LOREAL INTRODUCTION
LOreal was founded in the year 1909 by Eugene Schueller, a French chemist who
developed an innovative hair color formula. Today, the LOreal 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 Nestl each control over a quarter of the shares and voting
rights. LOreal famous advertising slogan is "Because Im 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 Lancme and active cosmetics such as Vichy. Its closest global competitor in the
premium make-up segment is Revlon.
Indias contribution to the growth of the global cosmetics market is about 60
percent. The beauty and the wellness sector in India are on a boom. LOreal 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, LOreal 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.
LOreal 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
LOreal advertising account is handled by Mccann Erickson. LOreal India has
discovered over the years, the behavior of the Indian consumers and has realized that the
6

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 companys growth in
India can be attributed to its innovation of new products, supply chain management,
systems and structure. Being the worlds second largest cosmetics major, LOreal is
planning to foray into the Rs 1,000-crore Indian herbal and ayurvedic cosmetics industry.
After identifying its targets, LOreal 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. LOreal has thus identified India as one of its top five growing
businesses globally. L'Oral'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. LOrals innovations are patented, creating some 586 patents
in

2004

alone.

LOreals methodologies for evaluating the safety and efficacy of ingredients and finished
products, product evaluation and claim substantiation are recognized by the international
scientific

community.

LOreal 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 the world.

2. LOral 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 industrys standards.

3. In addition, LOral conducts consumer studies to assess the 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.

4. Moreover, customer satisfaction surveys are carried out after the products are
launched. These involve interviewing a statistically significant number of people who
have bought and used the products for several weeks to assess their level of satisfaction
and to help us to continually improve LOreal products.

GARNIER- AN EXTENSIVE RESEARCH ON

A LOREAL SUB-BRAND

LOreal 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'Orealowned 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'Oral was
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 LOreal 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 LOreal 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 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 REVIEWGarnier 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 customers specific needs using the companys
long

expertise

in

hair

care,

hair

color

and

skin

care.

To be sure Garnier products guarantee maximum effectiveness in total harmony with the
customers 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
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
10

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, its 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. Thats 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.

Figure 1

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
11

market.

EVOLUTION OF SHAMPOOS IN INDIA

HLL has been an undisputed leader in this market from early 90s 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 worlds largest selling brand - Pantene

Colgate Palmolive launched Optima also in Nov 1995 ( breakthrough in Keratin

treatment )

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.
12

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

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%.
13

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, LOreal 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:

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.
14

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.

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 sachets 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.

SKIN CARE INDUSTRY IN INDIA- MARKET

ANALYSIS
15

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-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.
16

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 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 PS OF GARNIER
HAIR CARE PRODUCTS

Garnier Fructis Daily Care

17

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.

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
18

to moisturize and strengthen it. With UV protectant, the formula helps keep your colortreated 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

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 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

19

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 scalp, but ruthless on dandruff. It's a powerful force for healthylooking 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.

20

 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

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.

21

Garnier Essential Cleansers Products

Garnier Essential Cleansers - Garnier Gentle Face Wash, Garnier
Gentle Cleansing Milk, Fresh Clean feel Face Wash.

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.

22

Garnier Wrinkle Lift Anti-ageing Products

Garnier Body cocoon Body Moisturizers

Garnier Wrinkle Lift Anti-ageing- Garnier Anti Garnier Bodycocoon Body Moisturisers - Intense
ageing Cream.

Moisture Lotion.

23

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 AHAs:
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 plants active components. Green tea
contains Caffeine, which has stimulating properties and is considered a medical plant.

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:

24

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.

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
25

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 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
26

attached themselves to it. 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 middleaged 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 secondrung 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.

Relying on international ad campaigns:

27

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.

LOreal 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.

28

Figure 2

Let's look at the top players in the Hair Dyes category. LOreal 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 LOreal 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.

29

Figure 3

Moving on to the Top Brands in this category-it's once again flooded by L'Oreal Group &
Godrej Consumer Products. Garnier Color Naturals (LOreal) is in the top position
whereas its other product - Nutrisse Hair Color Mask and LOreal 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.
Figure 4

30

Promotional Strategy
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, Indias 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 LOrals 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
31

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 Indias 1.1 billion people they are not only alien but also an
extravagance.
The solution for LOral, the worlds 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 capable of working as a junior in one of the
select but growing number of international-standard salons in Indias big cities.
LOrals 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, LOral Indias 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 mothers
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,
32

which launched an Indian edition in September, and follow the changing fashions of
their favourite celebrities.
Much like Britains tabloid fascination with David Beckhams 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.
Unprecedented economic growth in India, which is forecast by McKinsey to become the
worlds 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.
LOral, 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 LOrals professional products division represents only 17 per cent of
total revenues, hair color was the Paris-based groups 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 LOral
academy, it has at least two new potential customers.
LOral hopes that very soon it will be because they think theyre worth it.
In India, advertisements for L'Oral-branded products and the company's Garnier line
generally feature a pale model and focus on the ingredients in the product, using takeaction language like "YES to fairer and younger looking skin" or "Against inside cell
damages."
33

PRICE
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 products 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.
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'Oreals innovations always start from its luxury brands then penetrate to the
brands in different price level and different markets eventually implemented in its
34

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 Lancme 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'Oreals 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 L'Oreals
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'Oreals 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 LOreal 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'Oreals whole distribution channel by integrating its original channel.
The dissemination of brand will improve companys 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'Oreals efforts were also embodied on its marketing strategy.
35

It always concentrates on supporting those brands which can mostly represent its
advantages and leverage resources to those premium products.
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
Maybellines 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'Oreals ambition to Asian market. They have the same product business with
L'Oreal. In China the acquisition will enhance L'Oreals 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'Oreals overall brand architecture

36

PLACE
To run a company in profit the place factor out of the 4ps 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. LOreal 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 corporations 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 LOreal 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, LOreal 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 (LOreal
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. LOreals success in the cosmetic industry is due not only
to their high quality, but also to the corporations marketing efforts to make sure their
various brands have a strong market 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 LOreal 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.

ANALYSIS OF INDIAN MARKET

37

Garnier being an important brand of LOreal 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 its
registered office is in Mumbai. To popularize its product line LOreal has occupied brand
corners in many big malls and retail outlets in which garnier products get a major chunk.
LOreal 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, LOral Indias 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 LOrals professional products division represents
only 17 per cent of total revenues, hair color was the Paris-based groups 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.

SWOT ANALYSIS OF GARNIER PRODUCTS

Strengths
Strong and Focused Brand Portfolio.
Presence in Emerging Markets.
Strong R&D Capability.
38

 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.

39

DATA ANALYSIS

TOTAL NUMBER OF WORKING AND NON WORKNG

RESPONDENTS
Figure 5

43%

WORKING
57%

NOT WORKING

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.

40

GARNIER USAGE AMONG WORKING RESPONDENTS

Figure 6

30%
USE
70%

DONT USE

Out of the total 43 working respondents surveyed, only 30% of them dont 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 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.

41

GARNIER USAGE AMONG NON WORKING RESPONDENTS

Figure 7

16%

84%
USE
DONT USE

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 dont 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.

42

PREFERENCE FOR SKIN CARE OR HAIR CARE AMONG

WORKING RESPONDENTS

Figure 8

4%
17%

skin care
hair care
78%

both

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
43

Figure 9

28%
47%

skin
hair

25%

both

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

44

Figure 10

9%
22%

fortnightly
monthly
3months

70%

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.

45

USAGE FREQUENCY AMONG NON WORKING RESPONDENTS

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.
Figure 11

3%

6%

33%

fortnightly
monthly
3months
weekly

58%

46

AVAILABILITY OF GARNIER PRODUCTS

Figure 12
40
35
30
25
not working

20

working

15
10
5
0
every store

selective stores

nt available

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.

PRICE OF GARNIER PRODUCTS

47

Figure 13

100%
80%
60%
40%
20%
0%

20

15

WORKING

15
14

NOT WORKING

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 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
48

Figure 14
35
30
25
20
15
10
5
0

WORKING
NOT WORKING

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 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 so that it can attract more customers thereby expanding
the existing customer base.

USAGE PURPOSE

49

Figure 15

Purpose Of Usage

2
Cosmetic Use
Medical Use

75

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

Figure 16

50

Body Lotion

28

Moisturiser

49

14

Dark Circle Removal Cream

Anti Wrinkle Cream

63
73
75

Fairness Cream

23

Anti-Ageing Cream

54
Non-User

Hair Color

74
20

Acne Removal Cream

57

Facewash

69
39

Shampoo & Conditioner

0%

User

38
57

20

20% 40%
60% 80%
100%

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

Figure 17

51

Awareness
80
70
60
50
40

74

30

Awareness

20
10

21

20
7

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

Figure 17

52

1
Price
Not Effective

Happy with Current

Brand
Availability
14

Unawareness

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.

53

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.
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.

Recommendations
54

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.

55

QUESTIONNAIRE
Dear Respondent,
This is a survey regarding the product analysis of Garnier by LOreal, 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
50000
1.

c) 25000-50000

d) Above

You use Garnier products.

Regularly_____
Rarely _____

Sometimes____
Never
____

If No go to question number 10.

2.

If Yes, You use :

a) Hair Care Products

____

b) Skin Care Products

____

c) Both

____

If your choose option (b) or option (a) then you are also required to fill question
number 10.B or 10.C respectively.
1. You buy Garnier products:

Weekly

Fortnightly

Monthly

Once in 3 months
56

1. What product(s) of Garnier you purchase?

Shampoos & Conditioners

Face wash

Acne Removal Ointments

Serum

Gel

Mousse

Hair Colors

Anti ageing Cream

Fairness Cream

Anti Wrinkle Cream

Moisturizer

Body Lotion

Anti Dark Circle Cream

Any Other___________________

1. The variant of Garnier that you use is available at:

1.

Every store.

Selective stores.

Not available in your area.

The price you pay for the Garnier products is:

Highly overpriced
57

Slightly overpriced

Perfectly priced

Under priced

1. How did you get to know about Garnier products?

TV

Newspaper/Magazines

Word of Mouth

Internet

Any Other___________

1. How do you find Garnier products?

Highly satisfactory

Satisfactory

Not satisfactory.

1. Your purpose for purchasing Garnier products is for:

Cosmetics Use ____

Medical Use ____

Both

____

1. If No,

10.A You do not use Garnier because of:

a) Price
b) Effectiveness
current brand

c) Happy with
58

d) Availability
reason__________

e) Unaware of the product

f) Any other

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
e) Himalaya

f) Fair&Lovely

g) Ayur

c) Nivea

d) Dove
h) Others ___________

59

References
1. www.garnier.com
2. www.equitymasters.com
3. www.managementparadise.com
4. www.hindubusinessline.com
5. www.LOreal.com
6. www.scribd.com
7. www.google.com

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