Hindustan Unilever launched Lakmé Absolute, a premium cosmetics and skincare line, in 2014. Lakmé Absolute targets women ages 18-40 from upper middle and upper class backgrounds with high discretionary spending. It positions itself as an indulgent brand offering long-lasting, hydrating formulas suitable for Indian skin at price points comparable to international brands but lower than luxury brands. Lakmé promotes Absolute through magazines, newspapers, digital platforms, and in-store displays to reach its target demographic.

1. LAKMÉ ABSOLUTE
BRAND EXTENSION REVIEW
- PGP30230

2. Hindustan Unilever Limited (HUL) is India's
largest Fast Moving Consumer Goods Company
with a heritage of over 80 years in India
16 HUL brands feature
in India’s Most Trusted
Brands, 2014
10 HUL brands feature
in BrandZ Top 50 Most
Valuable Indian
Brands 2014
Reference: HUL Annual Report 2014-15

3. Hindustan Unilever - Financials
Reference: HUL Annual Report 2014-15

4. Brand Vision
Lakme is an ally to the Indian Woman and inspires her to express
her unique beauty and sensuality, thus, enabling her to realize the
potency of her beauty.
2009, 20.6
2010, 21
2011, 21.7
2012, 22
2013, 22.3
2014, 22.6
19.5
20
20.5
21
21.5
22
22.5
23
Brand Share
Lakme in the Indian Cosmetics Market
Lakmé
23%
Gemey/Maybelline/
Jade
11%
Revlon
9%
Elle 18
7%
Oriflame
5%
Others
45%
Competitive Landscape in Indian Cosmetics
0.00
5,000.00
10,000.00
15,000.00
20,000.00
25,000.00
30,000.00
35,000.00
40,000.00
45,000.00
50,000.00
2009 2010 2011 2012 2013 2014
Indian Cosmetics INR Mn
Over 200% growth in the last 5 years
Current Market Estimates of INR 44,000 Mn
Reference: GMID Euromonitor

5. Lakmé Absolute
Recent launch in 2014 of a more
premium cosmetics and skincare
line
In addition to existing lines such as
‘9 to 5’ targeted at working
women, or ‘Classic’, for the
everyday woman
Closest competitor in terms of
segment would be L’Oreal, Revlon
and Max Factor
Reference: Lakme India, lakmeindia.com

6. Reference: Lakme India, lakmeindia.com

7. Face
•Foundations - 4
•Concealers - 2
•Highlighters/Bronzers
•Blushers - 2
•Remover
Eyes
•Shadow - 4
•Liner - 5
•Mascara – 2
Lips
•Liner - 1
•Gloss - 2
•Lip color - 4
•Tint - 1
Nails •Nail Color – 4
Absolute White Intense
Absolute Face Stylist PRODUCT MIX
Reference: Lakme India, lakmeindia.com

8. PRICE
At a higher price point than the Lakme Classics and Lakme
9 – 5 range
At a comparable price point with relevant competitors
such as Revlon, L’Oreal, Colorbar; at a lower price point
than luxury brands such as Inglot, Dior, Elizabeth Arden
Prices vary between INR 700 – 1200 for about a 30 ml SKU

9. PLACE
Traditional
Retail
Channels
Larger
Pharmacies
Standalone
stores
Organized
Retail
Department
stores
Health &
beauty chains
E-Commerce
General
purpose
marketplaces
E-commerce
focused on
health and
beauty

10. PROMOTION
• Magazines – Elle, Vogue, Femina
• Newspapers – Metro supplements
• 30 sec primetime spots on channels
Print/
TV
• Facebook – I Love Lakme has 2.4m followers
• Twitter – @ILoveLakme has 33.9K followers
• YouTube – Lakme India has 37.9 subscribers
• Be Beautiful (sponsored by Lakme) – 74K followers
• Targeted 15-30sec advertisements on select channels
Digital
• In-store displays and counters
• Frequent discounts on e-commerce platforms
• Sampling and try-outs
• Product Placement and tie-ups with movies and fashion
shows
Trade
Lakme Youtube Spot

11. Market Segmentation
Demographic
• Women, 18-40 years
• Upper Middle/ Upper Class
• High Discretionary Spend
Behavioural
• Users of cosmetics who want to indulge themselves
• Occasion based – bridal, important events where you need
to be fashionable
Geographic
• Focus on Tier I and II cities
Target consumer

12. Price
Skin Care Benefit
High
High
Points of Parity
• High quality
• Long-lasting
• Suitable for Indian skin tones and skin types
Points of Difference
• Hydration formulas
• High fashion lines (used at LFW) at
reasonable price points