- L'Oreal introduced their Plenitude skincare line in 1982 in France targeting modern women. It aimed to provide technologically advanced, high-end products at an accessible price point.
- When introduced in the US, Plenitude launched with 14 SKUs across 3 categories to recreate a department store experience in mass retail channels. However, after 9 years sales plateaued despite not being profitable.
- Acceptor/rejector studies in the US found that the L'Oreal brand attracted trial but Plenitude was unknown. Younger consumers found the formulas too heavy. The large product line was seen as overwhelming versus traditional brands like Oil of Olay.
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Bringing Class to Mass: L'Oreal's Plenitude Skin Care Strategy in the US
1. BRINGING “CLASS TO MASS”
Group 5
Akshika Kaushal
Ankita Jain
Divya Teegal
Mwblib Basumatary
Namita
2. L’ORÉAL
• L’Oréal was founded in France in 1907 in Clichy
• Cosmetics, skincare and haircare – beauty products
• Technology intensive product portfolio
• “Quality, innovation and geographical expansion”
strategy
• 2000 products with 500 brand names in 150 countries
• “Trickle down and fire up” philosophy
3. Plenitude
Plenitude was introduced in 1982 in France
High end, superior performance but accessible
“Class of the Mass” single product strategy
“Delays the signs of aging” targeting the modern
women
Early success with 1 million units sales in 1983
1984 to 1987 witnessed line extension of
Plenitude
Dry skin night care crème & Anti wrinkle crème
4. Plenitude
Reinforced belief to have technologically superior products
Concentrate on Start Product to pull the entire line
Follow the Golden Rules of advertising
Feature star product
Provide technological superiority evidence
Depict an executive woman – assertive and up-to-date
Introduced 14 SKUs in the US covering 3 categories
To create a department store environment at mass channels
5. Challenges in U.S.
14 SKUs in the US – Was is too many at a time?
Plateaued sales and still not making money after 9 years
Improve both top-line and bottom-line
Licensee-to-subsidiary – change in role - start contributing
Capitalize on brand L’Orèal - maintain technology portfolio
How to introduce Revitalift?
6. Value Proposition
European and U.S. Market
Specific purpose, technologically advanced premium quality skin care products for modern women
because “you are worth it.”
Target Customer – Modern Women
Value offered – Skin care
PoD – Technologically advanced product, Specific purpose
Reason to believe – Brand image and Customer perception (typically for European market)
7. Target Market
Parameter French Consumer U.S. Consumer
Target Market Sophisticated use of skin
care products
Less aware about skin care
Disposable Income High Low
Value seeking Functional Economical
Lifestyle Lavish and Balanced Working class
Need Recognition Yes No
8. Acceptor/Rejector Studies
Motivation for trial
Loreal
Loreal brand name was cited as primary
motivator for trial; perceived as a more
expensive but a better quality product
Plenitude as a brand name meant little to
people
Loreal by planitude seen as department
store quality in mass outlets
Oil of Olay
Suggested by friend or grandmother
Advertised in seventeen magazine
Pond’s
It was seen as a staple of life
Suggested by mothers to be used in
old age
Inexpensive and shelves were stocked
with it
9. Acceptor/Rejector Studies
Response to product formulas
Loreal
Young rejectors found it greasy or
too heavy
Oil of Olay
Acceptors saw it as light and
reasonably priced
Pond’s
Clean scent which was fresh and
not overpowering
Non irritant
10. Acceptor/Rejector Studies
Perception of Plenitude as full product line
Loreal
Large number of products; a plus
for some and negative for others
Generally saw large product line
as overwhelming
Oil of Olay
was seen as traditional, general
brand
11. Acceptor/Rejector Studies
Packaging
* Attractive, but overworked for some
* Expensive look
* “ Planitude confuses me, it’s a lot to
read”
* Lot of information, really good
summary which is helpful
Perceived target consumers
* Some felt, it was specifically targeted to
older women
* “Reduces Signs of Aging”
Response to product formulas
12. Facial Skin care market Survey
FacialSkincaremarket
Survey
Consumers could be
divided into five
“benefit” segments:
Unconcerned-25%
Ingredient apathetic-17%
Price conscious Socializers-
17%
Stressed out 22%
Age focused-18%
Plenitude was
disproportionately used
by the last two groups
ShelfShoppingstudy
Positive
Some liked to see all
the products and
check out what’s new
Negative
Overwhelming and
confusing with all the
products
13. Perceptual Map Brand Imagery
Contain AHA
Exfoliate the skin
Technologically advanced
Good value for money
Face stays younger
Formulated for night time
Reasonably priced
Products mother uses/used
Leave skin soft
Relieve dryness
For sensitive skin
14. Perceptual Map of Brand User
Imagery
Mother traditional In their 60's Romantic feminine
in their 40's
Glamorous sophisticated Stylish upper-class
Like to spend money
on themselves
Housewife
Practical
Old-fashioned
wholesome/natural
Thrifty/price conscious sloppy Adventuresome Trendy