Cosmetics Giants and Global Cosmetics Market Segmentation
1) Background (Cut it down, its too long and plz check the overall consistency through out the whole report and cut it down if necessary)
Our case was titled “Cosmetic Giants Segment the Global Cosmetics Market.” It discussed how the world’s best known cosmetics companies, including L’Oreal, Procter & Gamble, Shiseido and Estee Lauder are setting their sights on a new market segment, the emerging middle classes in countries such as Brazil, India and China. The case talked about the companies marketing strategies in each different country, with a focus on L’Oreal. L’Oreal is a world famous French company that engages in the production and marketing of a range of beauty products sold under well-known brands. Their brands are generally categorised by their target markers, such as the mass, professional, luxury and active cosmetics markets, and just some of their famous brands include L’Oreal Paris, Garnier and Maybeline.
While the case mentions L’Oreal’s earlier struggles in China and India, it explains how L’Oreal has worked hard to combat these issues and are now running very successful and profitable in these countries. However, the case highlights that Brazil is an important market for the global cosmetic giants; that on per-capita, Brazilian women spend more on beauty products than their counterparts elsewhere and that overall, Brazil is the third-largest global cosmetics market, after the United States and Japan. No wonder why cosmetic giants such as L’Oreal are moving quickly to take advantage of this opportunity.
After some further background research of the external environment, we found reasons attributing to Brazil’s increase in booming market. Approximately 40 million Brazilians have joined the middle class in the past decade, with one news source saying that “as Brazilian’s get richer, so do their tastes. That is certainly true for their consumption of beauty products.” In addition to more and more Brazilian consumers ascending to the middle
Our case was titled “Cosmetic Giants Segment the Global Cosmetics Market.” It discussed how the world’s best known cosmetics companies, including L’Oreal, Procter & Gamble, Shiseido and Estee Lauder are setting their sights on a new market segment, the emerging middle classes in countries such as Brazil, India and China. The case talked about the companies marketing strategies in each different country, with a focus on L’Oreal. L’Oreal is a world famous French company that engages in the production and marketing of a range of beauty products sold under well-known brands. Their brands are generally categorised by their target markers, such as the mass, professional, luxury and active cosmetics markets, and just some of their famous brands include L’Oreal Paris, Garnier and Maybeline.
While the case mentions L’Oreal’s earlier struggles in China and India, it explains how L’Oreal has worked hard to combat these issues and are now running very successful and profitable in these countries. However, the case highlights that Brazil is an important market for the global cosmetic giants; that on per-capita, Brazilian women spend more on beauty products than their counterparts elsewhere and that overall, Brazil is the third-largest global cosmetics market, after the United States and Japan. No wonder why cosmetic giants such as L’Oreal are moving quickly to take advantage of this opportunity.
After some further background research of the external environment, we found reasons attributing to Brazil’s increase in booming market. Approximately 40 million Brazilians have joined the middle class in the past decade, with one news source saying that “as Brazilian’s get richer, so do their tastes. That is certainly true for their consumption of beauty products.” In addition to more and more Brazilian consumers ascending to the middle