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Contents
INTRODUCTION: ............................................................................................................................................ 3
Introduction of Company: ......................................................................................................................... 5
Values: ....................................................................................................................................................... 6
Mission: ..................................................................................................................................................... 8
Our Ethical Values: .................................................................................................................................... 9
Our Ambition: ........................................................................................................................................... 9
BEAUTY FOR ALL, BEAUTY FOR EACH INDIVIDUAL ......................................................... 9
OBSERVE LOCAL BEAUTY CUSTOMS ..................................................................................... 9
FACILITATING ACCESS TO COSMETICS PRODUCTS ........................................................... 9
TO ACCELERATE THE REGIONALISATION OF OUR EXPERTISE ....................................... 9
History: .................................................................................................................................................... 10
SWOT LOreal: ............................................................................................................................................. 11
Strengths: ................................................................................................................................................ 11
Weaknesses: ........................................................................................................................................... 12
Opportunities: ......................................................................................................................................... 12
Threats: ................................................................................................................................................... 12
What are the chances and risks the company faces? ............................................................................. 13
How could the company respond to the external forces? ..................................................................... 13
GARNIER MEN PAKISTAN: ........................................................................................................................... 14
Products available in Pakistan are; ......................................................................................................... 14
Ingredients: ............................................................................................................................................. 15
SWOT of GARNIER MEN PAKISTAN: ............................................................................................................ 15
ENVIRONMENTAL ANALYSIS ............................................................................................................. 16
Micro Environment: ................................................................................................................................ 16
Macro Environment: ............................................................................................................................... 17
Current Marketing Mix: .............................................................................................................................. 18
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Product: ................................................................................................................................................... 18
Price: ....................................................................................................................................................... 19
Place: ....................................................................................................................................................... 20
PROMOTION: .......................................................................................................................................... 21
Market Research: ........................................................................................................................................ 21
Methodology and Findings: ........................................................................................................................ 22
Interview from two LOreal Representatives: ......................................................................................... 22
Interview from five Managers and observations in different Cash and Carries in Islamabad: .............. 25
Survey in the form of Questionnaire: ......................................................................................................... 29
Graphical representation of the results: ..................................................................................................... 31
Competitors Analysis: ................................................................................................................................. 38
Future Strategies to Solve These Problems (Recommendations): .............................................................. 41
Target Market: ........................................................................................................................................ 41
Re-Branding: ........................................................................................................................................... 43
Promotion: .................................................................................................................................................. 44
Life Style: ................................................................................................................................................. 55
Owning distributor: ................................................................................................................................. 55
Presence: ................................................................................................................................................. 55
Placement: .............................................................................................................................................. 56
Local involvement: .................................................................................................................................. 56
GROWTH BARRIERS .................................................................................................................................... 56
Action Plan .................................................................................................................................................. 57
1) Resource allocation: ........................................................................................................................ 58
2) Distribution Improvement: ............................................................................................................. 58
3) Aggressive Marketing:..................................................................................................................... 58
4) Availability: ...................................................................................................................................... 59
5) Feedback ......................................................................................................................................... 59
Conclusion ................................................................................................................................................... 60
References: ................................................................................................................................................. 61
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INTRODUCTION:

With the help of globalization and improvement in technology, science, society, economy and
education people are able to have better standard of living. Due to this factor there is a development
in purchasing power of consumers and market trend causing people becoming more conscious of
hygiene and beauty (Souiden & Diagne, 2009). It leads to the rapid growth in beauty care industry,
especially in this decade. Because of the quality of the market is quite high in terms of profit and
value, so it has attracted many companies to enter to this market globally. Even though there is
severe competition in beauty care market all over the world; still many companies are investing in
this market to fulfill the high demand of this market.
All of us want to be look beautiful and healthy. Todays global world creates models. These models
are then shown to us all around using daily life technologies as on the television, in the
commercials, on the billboard, in the fashion shows, in the magazines, in the streets and even at
school, colleges and universities or at workplace. This is a fact that most of us want to be like these
models who are both men and women, having a smooth bright skin with an ideal body shape for a
fantastic life (Nair et al, 2007).
This trend of following models has led to growth in cosmetic brands. But the next question is what
cosmetics are? How to define them? Basically cosmetics are substances used to increase the
smoothness and beauty of the human body. It implicitly shows that you are compensating for
something you do not have. Cosmetics include products such as shampoos and soaps as well as
make-up, face wash, hair cares and perfumes.
The women market of cosmetics is there since many years whereas men market of cosmetics is
growing since a few years. Keeping in mind of this trend of growing men market of cosmetics
many companies have launched cosmetics products for men around the globe and LOreal is one
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of them. LOreal has introduced Garnier Men around the globe including Pakistan. Garnier Men
was launched in 2013 in Pakistan. It launched three of its products as follow:
1. Garnier Men PowerLight
1.1. Intensive Fairness Face wash
1.2. Intensive Fairness Moisturiser with SPF15

2. Garnier Men OilClear
2.1. Deep Cleansing Face wash
But the performance of Garnier Men in Pakistan was very unsatisfactory last year. Garnier Men
was not able to generate revenues according to the expectations of company. Its sales were very
low as compared to its markets. This bad performance motivated us to choose this topic for this
report. After market research we came to know that there were two main reasons of bad
performance in the last year: firstly, brand awareness of Garnier Men was very low, hence their
promotion strategies were not good enough to create awareness and secondly, their distribution
channels are not enough to meet demand. Hence we worked on these two problems and come up
with certain recommendations to solve these issues.
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Introduction of Company:
Formed in 1907 by Eugne Scheller, a young French chemist, today LOral Paris is the largest
global cosmetics and beauty brand currently present in over 65 countries, including Pakistan, with
headquarters in the Paris suburb of Clichy, Hauts-de-Seince, France. LOral Paris is a leader in
new trends and innovations; it is brand that is rooted in scientific progress. Their key values
represent the 20th century woman with the global slogan Because youre worth it - a philosophy
that instills a sense of self esteem in people.
With a milestone 100 years of expertise and refinement, the L'Oral Paris portfolio incorporates
and addresses all areas of beauty skin care, hair color, hair care and make up. Within skin care,
L'Oral Paris offers a complete beauty regime with their Dermo Expertise brand; Hair Colour
includes the unbeatable Excellence Crme and Casting ranges while the Hair Care range with
Elvive and Studio Line for Hair Styling are coveted. The brand includes an entire range of products
under the eponymous Make Up brand, L'Oral Paris.
Over the years, LOral Paris has also been involved in various humanitarian causes globally. The
esteemed L'Oral Paris and UNESCO for Women in Science partnership rests on the fundamental
belief that the world needs science and science needs women. L'Oral Paris has also actively
supported the Ovarian Cancer Research Fund and in conjunction with the celebration of its
centenary, LOral Paris introduced 100 citizen projects designed to assist and support the most
vulnerable communities on a local level through concrete initiatives.
LOral Paris has always led the way in supporting and associating with the latest fashion trends
and innovations, the global fashion weeks, and following the same route, this year, LOral Paris
in Pakistan announced their exciting official partnership with Fashion Pakistan Week starting 05
April 2010. This long term association sees LOral Paris as Official Creator of the Look for
Fashion Pakistan Week in consultation with Saba Ansari of Sabs Salon. LOral Paris will also be
bringing their internationally coveted black carpet to Fashion Pakistan Week and an official
LOral Paris studio space revealed for fashionistas to experience the LOral Paris product range
and expertise, from top to toe!
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Claiming a right for a multi-faceted beauty over a standardized or perfect beauty, the brands
international ambassadors have thus always been icons from the world of arts, fashion and beauty;
Penelope Cruz, Aishwarya Rai, Eva Longoria, Beyonce Knowles, Jane Fonda and Patrick
Dempsey are a few amongst the many who have come to represent a cross section of age,
morphology and ethnic origin - all illustrative of the brands beauty philosophy.
Values:
Our values are embedded in LOrals genetic code. They continue to this day to express
themselves in the daily actions of all our teams across the globe. Here is a close-up on the Groups
six founding values.
If for over a century LOral has been devoted to just one business - beauty - it is above all because
of our Passion for it. Passion for what cosmetics can bring to women and men: well-being, self-
confidence, an openness towards others. Passion also for a business which is intrinsically linked
to humanity and culture. Because creating beauty products means seeking to understand others,
knowing how to listen to them, apprehending their traditions, anticipating their needs... Without
this passion, the LOral adventure would never have been possible.
Innovation is also one of our founding values. We always have in mind the fact that our company
was founded by a scientist. Innovation is essential because beauty is an endless quest that
constantly requires a higher level of performance. At LOral, it is vital. Always wanting to push
back the limits of knowledge means discovering new ways to create products that are truly
different and surprising. To always stay one step ahead.
Because there is no innovation without daring, without taking initiatives, LOral has always given
priority to the individual rather than to organisations. Entrepreneurial spirit, a synonym for
autonomy, challenge, and adventure, has always been encouraged and embodied in a specific
management style. Today it is still the driving force behind a Group built above all on a belief of
the importance of each individual and their talents.
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Another value that has been guiding us since the Groups foundation over a century ago is Open-
mindedness. Listening to consumers and understanding their culture, being open to others and
benefiting from their differences are absolute priorities in order to respond to the infinite diversity
of beauty aspirations around the world. They are inseparable from our business and our mission.
These four values are inextricably related to our fifth value, the quest for Excellence. A value that
permeates every aspect of our business, in every country and that is expressed in a state of mind
and a constant pursuit of perfection. We all share this desire to surpass ourselves to be able to
provide the best for our consumers.
Finally, whether the Group is innovating or showing its entrepreneurial spirit, it has always done
so with a sense for Responsibility. LOral's first invention, the safe hair dye was already an
expression of this fundamental concern for effective, safe and innocuous products. But our sense
of responsibility goes far beyond that. As a world leader in beauty, we have, more than others, the
duty to preserve the beauty of the planet and to contribute to the well-being of our employees and
of the communities in which we are present.










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Mission:

Beauty for all
For more than a century, LOral has devoted itself solely to one business: beauty. It is a
business rich in meaning, as it enables all individuals to express their personalities, gain self-
confidence and open up to others.
Beauty is a language.
LOral has set itself the mission of offering all women and men worldwide the best of cosmetics
innovation in terms of quality, efficacy and safety. It pursues this goal by meeting the infinite
diversity of beauty needs and desires all over the world.
Beauty is universal.
Since its creation by a researcher, the Group has been pushing back the frontiers of knowledge.
Its unique Research arm enables it to continually explore new territories and invent the products
of the future, while drawing inspiration from beauty rituals the world over.
Beauty is a science.
Providing access to products that enhance well-being, mobilizing its innovative strength to
preserve the beauty of the planet and supporting local communities are exacting challenges,
which are a source of inspiration and creativity for LOral.
Beauty is a commitment.
By drawing on the diversity of its teams, and the richness and the complementarily of its brand
portfolio, LOral has made the universalization of beauty its project for the years to come.
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Our Ethical Values:
Our principles are Integrity, Respect, Courage and Transparency. Our Ethical Principles shape our
culture, underpin our reputation, and must be known and recognized by all LOral employees.
Integrity because acting with integrity is vital to building and maintaining trust and good
relationships. Respect because what we do has an impact on many peoples lives. Courage because
ethical questions are rarely easy but must be addressed.Transparency because we must always be
truthful, sincere and be able to justify our actions and decisions.

Our Ambition:
Our ambition for the coming years is to win over another one billion consumers around the world
by creating the cosmetic products that meet the infinite diversity of their beauty needs and desires.
BEAUTY FOR ALL, BEAUTY FOR EACH INDIVIDUAL
OBSERVE LOCAL BEAUTY CUSTOMS
FACILITATING ACCESS TO COSMETICS PRODUCTS
TO ACCELERATE THE REGIONALISATION OF OUR EXPERTISE





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History:



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SWOT LOreal:


Strengths:
One of LOreals biggest strengths is their constant research and innovation in beauty products,
because of which they hold the crown of the leader in cosmetics industry, despite of their strong
competition. Also, they advertise and promote specific products for specific target customers.
Since they operate in more than 130 countries, they know what customers from different cultures
need, and they make sure they always deliver a quality product. Furthermore, they take great care
of their webpage, which is extremely organized, gives all the important information about the
products and the company itself, and most importantly, it links all the countries LOreal is present
in. In addition, LOreals strong feature is their environmental concern, since they stopped animal
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testing in 1989, and started producing natural and organic cosmetics. Above all, LOreal puts a
significant amount of effort into producing a strong brand image, which makes them a globally
known brand.
Weaknesses:
LOreals weakest link is their decentralized organizational structure; it is extremely difficult to
control the company because of so many subdivisions. Next, their profit margin is significantly
lower than of their competitors (such as Dior, Chanel, YSL, Lancme Estee Lauder in quality, and
Nivea, Revlon and Vichy in general market brands). Also, they frequently have to rely on third
party retailers, which does not give them the chance to control their sales one hundred per cent.
Opportunities:
The most promising opportunity at this point is the market, which grows by the hour, and attracts
more and more customers (but also competitors) day after day. With further innovation, product
and services expansion, and a rise in demand for organic and natural cosmetics, LOreal could
have a very bright future.
Threats:
The biggest concern, not just for LOreal, but for every company, is the appearance of new global
economic crisis, and an economic downfall. Also, new markets could quite shake up LOreals
position in the industry, because with new markets come new (foreign) competitors with new
innovative products, gunning for LOreals place on the top, which LOreal could easily lose, if
they suffer a marketing and promotion failure. However, one of the most threatening events would
most certainly be a change in market demand and consumer preferences, because that would mean
LOreal had to completely change their whole offer, which would take up a lot of time and
earnings.
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What are the chances and risks the company faces?
As mentioned before, LOreals most promising opportunity is market expansion and the arrival
of new customers. Until they are completely ready to enter a new or expanded market, they have
the chance to work on current product innovation and improvement, as well as developing new
products and expanding their product/service range.
Risks, on the other hand, are always present. From new competitors, through changes in market
demand, all the way to world economic crisis, LOreal has to struggle in their industry if they want
to stay on top of the business food chain.
How could the company respond to the external forces?
The company needs to be able to keep up with technological trends, since technology changes
rapidly, and its the key factor of every business. Also, the company needs to always be prepared
for sudden government decisions, such as higher tax and interest rates, changing laws and
regulations, etc. This is done by constantly analysing the political, economic, social and
technological situations in the country of operation, as well as the rest of the world. This is
frequently referred to as the PEST Analysis. But most importantly, the company needs to focus on
knowing their customers needs, and complying to them, as well as knowing what your
competition is doing at every moment.

WHICH MARKETING STRATEGY WOULD ENSURE THAT THE COMPANY MATCHES ITS
INTERNAL CAPABILITIES WITH EXTERNAL OPPORTUNITIES?
Probably the smartest move would be to improve what the company already has. If they start from
the bottom, and with time improve and expand what is already working perfectly, and fix what is
maybe not working so great, they are making more room for growth. Even the smallest of changes
can make a difference.
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GARNIER MEN PAKISTAN:

When it comes to beauty and care of your skin LOreal always make products that help people live
life with beautiful and smooth skin. Garnier Men face wash comes in the category of consumer
men skin care products. Garnier Men face wash is very famous brand in many countries of the
world but unfortunately in Pakisan it does not show a good result therefore we are repositioning it
with new marketing plan.
Lets keep things nice and clean. This oil-free foaming cleanser fights bacteria to help keep skin
clearer and more beautiful. Cleansing agents gently remove oil, dirt and makeup without over-
drying. You skin is left looking clean, noticeably clear, and at the top of its game
Garnier Men Face Wash keeps your skin beautiful, clean and smooth. This oil- free foaming
cleanser fights bacteria to keep skin clearer and more beautiful. Cleansing agents gently remove
oil and dirt without over-drying. Customer skin is left looking clean, noticeably clear, and at the
top its look beautiful.
Products available in Pakistan are;
Garnier Men Power Light:
1. Intensive Fairness face wash
2. Intensive Fairness Moisturiser with SPF15
Garnier Men Oil Clear:
3. Deep Cleansing Face wash
Garnier Men creates Power Light, the 1st moisturizer for men with a fairness performance so
intense that you can now measure it.
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Intensive visible fairness performance from the 1st application: Enriched with brightening lemon
extract that helps remove dark dead cells, it reveals visibly fairer and smoother skin
immediately.SPF15 sun protection to prevent skin from dark spots and further darkening. Now get
fairness performance you can measure.
Ingredients: Only two ingredients mentioned, Lemon Extract & Anti-pigmenting Long Dan.
Long Dan is a Chinese herbal extract known for its powerful anti-pigmenting properties. It acts to
prevent melanin production, a major cause of skin darkening.
SWOT of GARNIER MEN PAKISTAN:

POTENTI AL I NTERNAL STRENGTH
Company reputation is recognized through all over the world
Customers satisfactions (toll free number, online services, and advisory services)
Customers retention ratio is high.
Supreme product qualities.
Stability in Pricing.
Larger Distribution network.
Aggressive sales force team
Geographical coverage
Company is financially strong
Company is internationally recognized in consumer segment
Well established products
High quality of products

POTENTI AL I NTERNAL WEAKNESSES
Our Premium prices are basically set keeping in mind our target customers, but high prices
are a weakness to the sales of the product
No Product Awareness
Illegal smuggled products


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POTENTI AL EXTERNAL OPPORTUNTI ES
Garnier Men has a strong market potential in the men market & can look forward to gaining
more shares in the skin care segment.
The market segment of upper-middle class and upper class are relatively less price
sensitive.
Men are becoming increasingly aware.
Can do heavily promotions to expand their market to its fullest ability.
The product is created keeping in mind its customers convenience, and their availability,
prices and packaging proves it.

POTENTI AL EXTERNAL THREAT
The switching potential can be high if the customers are not satisfied with our product.
If our product gets successful, there is a major threat of new entrants to follow up on our
trend.
Existing producers of face wash can decrease their prices as well as new entrants to attract
customers.
Competitors: Local and international competitors have well established businesses
Environment is constantly changing
Large proportion of men who are currently unaware and place low priority on skin care


ENVIRONMENTAL ANALYSIS
Micro Environment:
COMPETITION: The survey shows the only major competitor for Garnier men Face Wash is
Ponds Face Wash. The other competitors include Olay and Dove face wash but they have very
small market share.

CONSUMER AWARENESS: The target market for Garnier Men Face Wash are those who are
mostly already using other Garnier products so customers are already aware of Garnier and are
aware of its quality product. These customers will be made aware of Garnier men Face Wash
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through posters outside renowned superstores and super markets of Islamabad, Billboards, TV ads,
through print media and additional campaigns.

DISTIBUTERS: Garnier Company has segregated its distribution by 7:3 ratio, in which 70 % is
Garnier self distribution which possesses 150 trucks and each truck visits approximately 20 to
25 outlets daily. And 30 % distribution is outsourced.GarnierMen Face Wash will be providing its
distributors with unique bottle shelves. And an incentive will be given to retailers that any retailer
who will generate the highest sales will get its superstore or supermarkets name on the billboard.
Macro Environment:

DEMOGRAPHIC ENVIRONMENT: In Pakistan, large portion of population lives in rural
areas or are illiterate ad poor therefore Garnier had to target upper and upper middle class who
mostly lives in urban areas.
ECONOMIC ENVIRONMENT: Garnier men Face Wash will be initially launched in capital
city of Pakistan Islamabad. According to a survey here the average monthly income of an
individual is 15,000 and these are those people who fall is the target market.
NATURAL ENVIRONMENT: Major raw materials are lather boosters, lavender, jasmine, aloe,
plant derived ingredients, peony , hibiscus , vitamin E and orange flower. Some are locally
available and some are imported.
TECHNOLOGICAL ENVIRONMENT: Today Technological environment is changing fastly.
It includes research and development, rushing pace of technological change and unlimited
opportunities for innovation.
POLITICAL LEGAL ENVIRONMENT: At present the country seems politically stable as the
new government has taken steps to solve the security issues and is a good chance for investment
.The present condition also shows future stability of the country. During past political and
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economic instability Garnier has never faced any problems, because we are properly paying taxes
and are fulfilling all the Govt. requirements. The internal affairs of the city of Islamabad are like
always peaceful and show bright chances for good business. Establishment of a new setup for
launching shampoo will be easy as Govt. is supporting investment and banks are offering
reasonable interest rates. Govt. of Pakistan has issued a law stating against unfair practices such
as exploiting customers by over changing and false advertisement. L,Oreal abides by these
standards and laws in an ethnical and legal manner.
SOCIAL CULTURAL ENVIRONMENT: Garnieris a market leader in health care products. In
Islamabad it is doing good sales. Day by day people are moving towards modernization, acquiring
education, learning new cultures and looking forward to new trends. Now we are consuming
readymade products rather thenhome made. People of Islamabad are conscious, they care of their
personalities. Garnier Face Wash will help them to enhance their personalities

Current Marketing Mix:
Product:
Garnier men PowerLight face wash is of types Intensive Fairness Face wash , Intensive Fairness
Moisturizer with SPF15. Garnier men face wash is a skin care product that possesses special
ingredients to help eliminate acne blemishes without over drying. It leaves your skin look healthy,
clean, and radiant. This face wash is typically made for men skin. Previously the target audience
was men from 18 years age to 25 years but after conducting a survey we came to know that its
target audience is much greater than its current target so we have repositioned it from 16 to 35
years age.
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Price:
The price of the product is reasonable.
The Garnier men PowerLight Intensive Fairness Face wash is for Rs. 150
The Garnier men PowerLight Intensive Fairness Moisturizer with SPF15 is for Rs. 300
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Place:
Garnier men face wash is available at major super markets of Islamabad, Lahore, Faisalabad and
Karachi like Aghas, Metro, D Watson etc and other retail outlets, . In addition to these well known
stores. Garnier men Power Light face wash is also available in small and medium retail stores.






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PROMOTION:
Currently promotion is only done through social media and there is no other advertisement
campaign for promotion. They are using the same Brand Ambassador that they are using in India.


Market Research:
To dig in to detail of bad performance of Garnier Men we carried out market research. Our Market
Research consisted of:
Interview from two LOreal Representative
Interview from 5 Managers of different Cash and Carries stories in Islamabad
Survey in the form of Questionnaire
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Methodology and Findings:
Interview from two LOreal Representatives:
We interviewed two representatives from LOreal Pakistan who helped us in providing
information about the Garnier Men. First person was Sana khan, the area manager of Islamabad
and second Hassan Umar who is currently working as brand manager in LOreal Pakistan. They
both have helped us a lot to understand the current Garnier Men strategy. From interviews we
concluded the following information:
Garnier Men falls under the umbrella of LOreal Paris and it has a global presence. The company
has divided its operations into six following main regions:
1) North America
2) Latin America
3) Africa, Middle East
4) Asia, Pacific
5) Western Europe
6) Eastern Europe
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Pakistan Region (Africa, Middle East) underperformed other regions by having following stats:
Africa, Middle East
Group Cosmetic sales 2.4%
Sales Growth 2013 14.3
Market Growth 6.5%

Surprisingly, Pakistan has been grouped under Africa, Middle East region. According to the
company consolidated financial statement that region has the lowest market share. Also Africa,
Middle East region only contributes approximately 25% revenues to the total revenues.
Garnier men brand is consolidated under the parent brand and does not have separate financials.
However, we were able to get some estimated budget figures from our source within the company.
Garnier men is considered to be one of the brands that have a lot a market in Pakistan, but the
market is not aware of the product. Almost 60% of the total marketing budget is allocated to create
the awareness in the market. Awareness is created by using mediums like Facebook and internet.
No traditional medium of advertising is utilized by the brand for this purpose. Rest is being
allocated to carry out limited branding activities. By saying limited marketing activities we mean
those activities are only limited to few areas of Karachi. The company has almost ignored the
proper branding of the brand. Even the brand managers of Garnier highlighted the fact that they
have spent very little amount of resources in making a known personality the brand ambassador
of Garnier.
Our contact mentioned that the growth rate calculated by the company in last five years for this
region was 14.23% which is higher than the growth rate of Asia Pacific region but still the resource
allocation is not done accordingly. Mostly ads that are run on the media are of Indian market and
strategies adapted by the company to launch a product are of Middle east.
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We believe that companys competitor like Fair and lovely have played a major role in decreasing
their cost when it comes to market creation. Fair and handsome was the product on which the
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company spent a lot and captured the market. Now the company should focus on benefiting from
that, rather than creating more awareness.
The company has seen growth over the years, but the regional analysis shows that the rapid growth
was seen in this region and still the market is untapped. Many products are imported from Asia
Pacific region to this region which increases their growth. Despite of that this region is more
promising than that region.
Summary of Findings:
Basically according to them, currently Garnier Men is facing two issues: firstly, there is not much
emphasis on promotions to create brand awareness although they have an enough budget for
marketing and secondly their distributions channels for Garnier Men are not as much as strong as
compared to their competitors like Fair and Lovely. Moreover illegal smuggled product of their
company is also a big reason for bad financial performance in the last year.

Interview from five Managers and observations in different Cash and Carries in
Islamabad:

After taking interviews from LOreal representatives we went to supers stores of Islamabad and
took interview from five managers of different shopping stores of Islamabad who have Garnier
Men available at their store. We asked them about the consumer behavior when it comes to buying
of face wash. According to them most of the people are not that much brand loyal and they just
buy face wash on the bases of price. Whereas some people do not even both to buy on the basis of
price because most of the face wash falls under the price range of Rs 150 to Rs 300. Hence its
also not the deciding factor. But most people prefer to buy Fair & Lovely face wash not because
they are loyal to this brand but actually they one know about this brand. Garnier Men is very new
in this market and very few people know about it. People are not even aware of the fact that it is
the brand of LOreal because LOreal has good name in the market. Moreover another threat to
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Garnier Men is their own smuggled product. Its very difficult for people to differentiate between
the smuggled product and company launched product. They have to look carefully and it consumes
time and customers do not want to spend this time on differentiating. So LOreal need to make
proper distribution channels where only their launched product are available not the smuggled one
and they should make their customers aware of this through promotions.
In our observations, we have found that there are several Men products available in the store shelf,
although Garnier has launched only three products in Pakistan. Moreover many recognized stores
are hiding the price tags and manufacturing place of the products so that they give impressions to
the customers that they are buying Pakistani products. In many cash and carries, they are selling
the products of competitors while using the shelf space of Garniers. On inquiry that mentioned that
they are lacking the supply of Garniers products.

1COMPETITORS PRODUCTS AT GARNIER SHELF 2: COMPETITORS PRODUCTS AT GARNIER SHELF
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3 SERVERAL BRANDS AVAILABLE THAT ARE NOT EVEN 4 SELLING FAKE PRODUCTS OF GARNIER
LAUNCHED IN PAKISTAN

PRODUCT THAT IS NOT LAUNCHED IN PAKISTAN
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5 HIDING THE LABLE OF IMPORTED PRODUCTS
6 DIRECT COMPETITORS PRODUCTS
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Survey in the form of Questionnaire:

We also performed survey of 165 people in Islamabad to know the market trend and behavior of
customer about face wash. We also wanted to know the position of Garnier Men face wash in the
market. We went to different school, colleges, universities and shopping malls to get these survey
filled. Sample was randomly selected and our sample size was 165 people. These people belonged
from different locality and had different purchasing power to get the overall market thinking about
the product, out of which 76.36% were between the age 18 to 24, 21.82 % were among 25 to 34
years and 1.82 % were more than 75 which was outlier.
Talking about the marital status 83.64 % was single and 16.36% were married.
If we look at their occupation then 10.91% were High school/College students, 60% were
University students, 16.36% were employed and 12.73% were others.
35.85% had income less than 5000, 47.17% had income between 5000 and 25000, 9.43% had
between 25000 to 50000, and 7.55% had more than 50000 monthly income.
When we asked them about how important is a beautiful youthful skin to you than 27.78% valued
it to be extremely important, 38.89% said its very important, 24.07% said its just moderately
important, and only 9.26% said that its slightly important.
When we asked them about their monthly spending on skin care than results revealed that 18.18%
spent only 200 or less than 200 per month on skin care, 40% spent between 200 to 500 and 41.82%
spent more than 500.
When we asked them about different products like face wash, fairness cream moisturizer than
70.91% said they use face wash/cleanser, 23.64% said that they use fairness cream, 18.18% said
that they use fairness moisturizer and surprisingly 20% said that they do not use any thing.
When people were asked about their buying behavior regarding cosmetics than almost half of the
people (49.09%) said that they buy cosmetics once in a month, 7.27% said they go and buy
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cosmetics more than once in a month, 29.09% said that they by cosmetics once in 2 months and
14.55% opted for others.
After asking them their buying trends we then asked them about cosmetic brand they use/prefer
and gave them a choice that they can chose more than one brand soresults reviled that ponds had
the largest market share of 40.74% with L,Oreal on the second position having 37.04%, Vaseliine
had 33.33% market share, Dove having 29.63% market share with Nivea following it with 27.78%,
Clean n Clear had 27.78% liking by the users , then having equal share to Nivea was Clean Clear
and had the same % of liking means 27.27%, Garnier following them with 25.45% demand, then
comes Fair & Lovely in that list with 23.64% of people liking and this % of people wanted to use
it, Neutrogena Oil Free had not very strong market penetration in the market and had 12.73% of
votes in its favor, Olay got 7.27% of people demand and the main reason behind this was its high
price as compared to other products in the market, Clarins got 3.64% people support, then came
Oriflamme and Every Man Jack sharing the last position and having the least number of support
they got only 1.82% support, there were other creams as well in the market and collectively they
got 16.36% market demand.
After this product selection we asked them about the factors on which they decide or purchase a
product means while shopping for a product which factor helps them to make a decision and again
we gave them more than one option to select , so the answers given by them were very diversified
80.36% said one point that make their decision was Brand means most of the people used to see
the brand name while buying a product then 35.71% said they look for the price of the product
means they are price conscious while buying a product, 10.72% people said they get a advice from
in store consultant and if a sales man advices them about a product then they try it on his/her
advice, 8.93% said if there is a special offer on a product then they go for it and try it to avail that
offer, 21.43% said if their friend uses a product and then advices them about that product or we
can say word of mouth then they go and try that product means its also a factor that helps them in
making decisions, 66.07% people said they prefer quality and go for a better quality product and
the product with good quality attracts them and they go for it, 7.14% people said that they go for
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those products having attractive and good packing means they go for the upper looks of the product
and it attracts them .
When we asked them about the shop or medium of their purchase means form where they like to
purchase these products then 12.50% said they like to purchase it from specialist stores that are
specially for these type of cosmetics, 17.86% said that they just go into supermarkets and get them
from there its easy and convent for them, 8.83% said they by these products from
drugstores/chemists, only 1.79% people said that they purchase it from internet as they dont like
to go out and shop for these product or dont have time for it so they use internet and buy them
from there, 26.79% said they buy these products from department stores as when they go for
grocery they also buy these product at that time and 10.71% said they buy it from beauty salons
and take them from there as if they are recommended by them or see that product being used their
and then use it by them selves


Graphical representation of the results:


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Competitors Analysis:
There are 3 main competitors to Garnier Men in Pakistan i.e. Pond, Nivea and Dove. There detailed
analysis is given below.
Our main competitor having the highest market share is Ponds. Ponds was first introduced to
the world in 1846, when pharmacist Theron T. Pond developed Ponds Extracts, a witch hazel-
based beauty product. It was the first step towards a true revolution in womens beauty. The
brands role as a beauty innovator was further established in 1914 with the advent of Ponds Cold
Cream, a product which became the staple of
women everywhere. With... its deep-cleansing
benefits and the promise that Ponds would change
your life, Ponds Cold Cream Cold Cream was the
one beauty secret that women kept close to their
hearts. In the 1950s, Ponds introduced the 7 Day
Beauty Plan, the first beauty regime of its kind and
a promise that still holds true today. In 2008, Ponds
took a new lease on life. Both inside and out, the
Ponds Institute reinvented the Ponds range of
products to further meet the needs of women. The
beauty icons global rebirth translates to a
completely fresh, revolutionary range of face care
products. It featured solutions for all skin types,
breakthrough formulations, delicate perfumes, and
attractive packaging. From the classic cold cream,
which was considered a cure-all way back in the
day, Ponds now offers various platforms such as
oil control and acne solution for young women on
the cusp of romantic discovery; skin lightening for
those in search of true love; as well as products that
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provide the best-proven anti-aging technology for those who wish to renew sparks and rekindle
passio. It has few strengths like Ponds has many good quality products which care for and restore
the skins natural balance, Ponds range includes Ponds Age Miracle, Flawless White, Perfect
Results and White Beauty, Products are free from any toxic or mercury content, excellent
advertising and branding as Ponds is one of the most recognized brands, the packaging of Ponds
products are eye-catching, suitable for its target market

The Dove personal care brand is owned by Unilever and was first launched in 1955. Their creative
strategy and sales have been consistent since the original launch. Dove is considered the worlds
top cleansing brand (Dove Social Mission). Dove offers a product line that ranges from skin care,
hair care, body lotions, hand creams, body wash, face wash, bar soap and deodorants for both men
and women. In 2010, Dove expanded their product line to include Dove Men + Care. This new
product line reaches out to the male demographic.



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The NIVEA brand is one of the most recognised skin and beauty care brands in the world. NIVEA
creme was first introduced in 1911 and the NIVEA brand now extends to 14 product ranges
worldwide from suncare to facial moisturisers, deodorant and shower products.
Strengths: 1. Nivea globally is the brand that has its presence in around 20 product categories in
more than 50 countries. 2. Nivea has huge brand recall and equity. 3. Very strong distribution
network 4. The packs Blue and White color as its brand element. 5.Excellent advertising and
brand visibility makes it a top-of-the-mind brand




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Future Strategies to Solve These Problems (Recommendations):

Future Strategies:
The data we gathered through our primary and secondary research highlighted some flaws in the
current strategies of the company. The flaws in the company strategies are making the company
not only lose in the profits, but also it is damaging the image of the company. Despite of having
global presence, strong team Garnier men has failed to become an eye candy in the market.
Following are the new strategies that we believe will be able to correct the flaws in the marketing
strategies.
Target Market:
The company identified working class as the main segment they were targeting. According to our
research the target market of these kind of products are basically people of age group 15-30. These
people are more conscious about their looks. People after this age mostly become more focused
towards other things and also become brand conscious. We believe that if the company revises
their strategies according to the new target market they will be in a position to spend less and create
more awareness. Detail of target market is as follow:
Target markets consist of a set of buyers who share common needs or characteristics that the
company decides to serve. These include people from all age groups especially ranging from 15-
30 where the attitudes of individuals are to be professional and successful in their social strata. It
also includes student of school, university and colleges. If we attract and keep these potential
customers then Garnier Men would be huge success in Pakistan. And off course Garnier Men Face
Wash would be targeting the market according to the classes of each area existing in Karachi,
Lahore and Islamabad. The upper class men spend a lot of money to choose the best face wash for
their face, which will give them maximum satisfaction and make their skin healthy glow. So they
usually opt for branded face wash.

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Our marketing strategies, which will follow differentiated marketing, will focus only on men from
the age of 15-30. In order to attract all these groups Garnier Men wash will now be re-promoted

SEGMENTATION:
The segmentation which we will use for Garnier Men Face Wash will be:
SOCIAL CLASS
Social class Upper-upper, upper-middle & middle class
Lifestyle Highly/mildly Modern
Personality Modern and educated

DEMOGRAPHIC SEGMENTATION
Age 15-30
Gender Male,
Family size 1 to 4 or above
Lifecycle Young, single, married, married with children, older
Income Average monthly income Rs. 30,000 and above
Occupation Student, Working and Business class
Education Literate
Religion Belong to any religion
Race Belong to any race
Nationality Pakistani

GEOGRAPHIC SEGMENTATION
World region Asia
Country Pakistan
Target market Islamabad, Karachi, Lahore
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BEHAVIOURAIL SEGMENTATION
Benefits Fair and Smooth
Usage rate Daily
Loyalty status Medium
Readiness stage Aware, Informed, Desirous
Attitude Enthusiastic, Positive

Re-Branding:
Rebranding in this report does not mean changing the logo of the product, but it means that
changing the outlook of the product. Currently, the products that are sold under the brand name of
garnier carry image of John Abraham, an Indian actor. The company should use the image of a
Pakistani celebrity to make people asscciate them with the Pakistani celebrity. This strategy has
been utilized by Faire and Lovely Pakistan lately. Fair and lovely Pakistan launched Fawad Afzal
Khan as their brand ambassador last week. Moreover it will also include to focus on create value
proposition as follow:
VALUE PROPOSI TI ON: Customer value proposition consists of the sum total of benefits which a
vendor promises that a customer will receive in return for the customer's associated payment .It is
divided into three parts:
FUNCTI ONAL BENFI T: Tthe functional benefit of face wash is that it would cleans deep down
the skin to the pores and removes oil, dirt and make-up to give clean, healthy looking skin.
EMOTI ONAL BENEFI T: Emotional benefit will be the confidence which one gets after using
Garnier men face wash.
SELF-EXPRESSI VE BENEFI T: The consumers who are very defensive and careful for their
health and family would feel comfortable using this product it would gave them a sense of caring
and safety.
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Promotion:
Aggressive marketing should be the strategy that should be used by the company to launch and
create the awareness of the product. Currently, the company is only using social media to reach to
the target market and not exploring other mediums. The company should use television, radio,
billboards ad to create awareness of the product. University drives should be carried out to create
awareness in the student to use the men product. As revealed by the research and also the
interviewer that people currently use female products for skin whitening. That trend can only be
changed if proper marketing is done and message if conveyed to the target market.
PROMOTION PLAN:
I. Advertising Strategy:
The advertising strategy is determined by the advertisers use of the creative mix. The creative mix
is composed of four main elements:
The Product Concept: This refers to the bundle of values the product is intended to
represent to the customer. Garnier men concept is that of a face wash that provides
freshness, fairness and complete skin care.
Communications Media: These are the vehicles used to transmit the advertisers message.
Garnier men Power light face wash communication media will include Broadcast, Print,
Point- of-Purchase and Outdoor media.
Advertising Message: This is what the company plans to say in its advertisements and how
it plans to say it. Garnier men face wash advertising message will focus on the confidence
provided by fresh and blemish-free skin for men.
Language & Punch line: The ads in the broadcast media will be in English to get maximum
reach amongst the audiences especially of todays generation. The tag line is:
Take Care-GARNI ER
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ADVERTISING PLAN:
In order to deliver effectively its message to the consumers advertising is also an important element
in the Marketing Mix for Garnier.
The respective Brand Manager at Garnierwill be responsible for developing the advertising
strategy for their respective brands. In consultation with the Advertising Agency that will be on
retainer on each Brand, the Brand Manager develops the Advertising Strategy right from idea
conception to the delivery of the message to the audience.
The following are the elements on which the Advertising Program for Garnier is developed:
Garnier Advertising Objectives
Garnier Advertising Budgets
Garnier Advertising Strategy
Garnier Campaign Evaluation Strategy
The underlying principle for Garnier Advertising program is to develop importance, by building
strong brands, which supports our (Garnier) benefits claim and underpin our relationship with the
loyal consumers who have been using different products of our company and most importantly,
enable us to make a real contribution to the improvement and growth of strong shiny hairs.





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GARNIER ADVERTISING OBJECTIVES:
Based on the Brand Plan and activity plans for the year the Advertising objectives of each Brand
shall be set. Also as the first of launch there are different objectives for each Advertising program
in each Quarter. The general objectives that Garnier sets for all of its Brands are as follows:
Information Advertising
Persuasive Advertising
Reminder Advertising
Garnier heavily relies on Informative Advertising. The objective is to build primary demand for
the product.Specifically for Garnier men Face Wash an informative/persuasive advertising
campaign will be introduced.
The objectives of this campaign will be:
Explaining how the product works: Double deep action that penetrates to roots of the skin
where ordinary face wash do not normally reach making skin smother and cleaner making
it healthy since the environment is full of pollution.
Changing Customer perceptions of product attributes: Customers believe that until now
there are no face wash that have offered this feature and the ingredients, real herbs will
provide solution for their face. The double deep action campaign aimed at changing this
perception.




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GARNIER ADVERTISING BUDGET:
L,Oriel will set the Advertising Budget for each of its brands based on the Brands Marketing Plans.
This in turn is set on the basis of the following:
The Brands Stage in its Life Cycle
Market Share
Level of Competition
Level of Differentiation
The company plans to spend some good amount on the repositioning of the product, which will
help in establishing a name in the market. Garnier invasions to capture 25% of the market share
by next 10 years
Garnier men Face Wash is in the introduction stage of the lifecycle. As such the advertising budget
for the brand is an extremely high percentage of sales. (Around 15% of sales)
In addition other factors that contribute to a large advertising budget of Garnier are the following
facts:
The overall strategy for Garnier men Face Wash is to establish a greater market share over
its competitors.
The product class for face wash is largely undifferentiated, as most of the face wash are
perceived to essentially resemble each other in terms of use and attributes. Garnier men
Face Wash advertising campaign for Double Deep action will try to point out the
differences to consumers between double deep action face wash and other face washes.



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GARNIER ADVERTISING STRATEGY:
Garnier men recognizes that there are benefits to be gained from planning the creation of
advertising messages and selecting the advertising media jointly.
The Brand Manager for Garnier will have to work closely with the advertising agency and the
Companys Media Planners as well as the Creative Directors for the Advertising Strategy.
Garnier will employ various communication channels to make people aware of its product and its
features.
I . TELEVI SI ON
Our company will use television advertising, on top domestic channels: HUM TV, Geo TV and
TV ONE. It will advertise Garnier men Face wash aggressively on television because we feel that
channel wise these three can provide us the most apt and regular coverage for our product. We
feel that TV is a powerful medium and can offer us the following advantages:
The advertisements will show in moderate details of the product, along with useful information
about the product use. Even the benefits of the product can be discussed in the sense that it can be
compared with other competitors brands.
Garnier men Face Wash aims to air its advertisements during Prime Time on Television when 90%
of the television viewers are watching TV. This time is between 7-11 p.m daily. However, the cost
per spot during this time is also very high at an estimated Rs.25, 000-40,000 per spot.
After two months Garnier men Face Wash will successfully create awareness for the product.
I I . BI LLBOARDS AND POSTERS
The advertisements will be used to make people aware that some new brand is about to arrive.
Catchy captions will be placed on billboards to get people to notice it. This will build anticipation
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in the potential customers. We plan to keep these teasers running on display for an estimated 2
weeks. After this time duration we will place more descriptive and informative advertisements on
the billboards that talk about the actual product. These billboards will be located in metropolitan
areas of all cities of Pakistan.
I I I . MAGZI NES
In order to attract our target market we intend to use appropriate magazines that are read by our
potential customers like SHE, Women Own, Akhbare-jehan, Mag, Aurora, Herald and many other
magazines. The magazines will feature full-page length color advertisements with greater detail
about the range of the companies offerings. Only four magazines have been selected in order to
ensure maximum coverage in this expensive medium with its limited geographic availability
I V. NEWSPAPER
The newspaper advertisements will feature appropriate sized advertisements like quarter page and
they will appear with an interval of a week. The timing of the add will be carefully monitored, they
will clearly state the message to be conveyed to the potential customers. The newspapers will be
THE DAWN, THE NEWS AND JANG etc.
V. ADVERTI SI NG BUDGET FOR FI RST YEAR
Media channel Per Unit Cost in Rs. No. Of units Total Budgeted
Cost in Rs.
Television 150,000/week 8 12,00,000
Billboards 80000 5 400,000
Magazines 12000 30 360,000
Newspaper 15000 55 825,000
Sales Promotion ******* ******* 500,000
TOTAL 32,85,000
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Other promotion Strategies:
In order to compliment the advertising strategy, L,Orieal also plans to use the tools of sales
promotion to give short-term incentives in order to encourage the purchase of its products.
The main sales promotion tools used for Garnier men Face Wash offerings are:
Consumer promotions
Trade promotions
Sales force promotions
37%
12%
11%
25%
15%
Promotion Budget
Television Bill Boards Magazines Newspaper Sales Promotion
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CONSUMER PROMOTI ON TOOLS:
During the advertising campaign of face wash, the company will also offer a very lucrative
consumer promotion. The mechanics of their consumer promotion will be (this will be offered at
the end of the first year of launch):
In order to win fabulous prizes, all consumers will have to do is to write their address with
an empty bottle of the Garnier men Face Wash that they purchase and send it to offices of
Garnier Karachi. These will be entered in lucky draw and the winner will receive a Suzuki
car or a trip to Dubai.
TRADE PROMOTI ON:
In order to increase our stocking of Garnier men Face Wash at retailer outlets, Garnier will offer a
3% retailer margin on the consumer price of each stocking. Other than this the company will
provide the retailer with gifts such as key chains, wall clocks, diaries and calendars.
The objective behind this is to increase the availability and stock levels at each retailer outlet.
SALES PROMOTI ON:
Recognizing that the above two promotions would actually work, Garnier realizes that the most
important agent in the whole process is the sales force that delivers the product to the retail shelves
from where the consumers make their purchase.
In order to make the promotion successful, the sales force of the distributor is being given
incentives on the achievement of volume and availability targets.
During the launch and advertising program of Garnier men Face Wash, the sales force will be
given incentives through the offer of higher sales commission per stock sold of Garnier men Face
Wash and a bonus will also be given for the achievement of the availability targets.
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Purpose of Promotion strategies:
Purpose of these promotion strategies would be to emphasize differential advantages for Garnier
Men face wash which includes
Garnier men Face Wash is the only face wash that has high quality with low price as
compared to the other competitive brands.
Garnier men Face Wash has fragrance add in it.
It prevents from skin from germs and bacteria which are the main cause of pimples.
It cleans deep down to the pores and removes oil, dirt and make-up to give you clean,
healthy looking skin.
Garnier men Face Wash is cost effective.
Garnier men Face Wash is only for men.


Promotions to create VALUE PROPOSI TI ON
Customer value proposition consists of the sum total of benefits which a vendor promises that a
customer will receive in return for the customer's associated payment .It is divided into three parts:
1. FUNCTIONAL BENFIT: The functional benefit of face wash is that it would cleans
deep down the skin to the pores and removes oil, dirt and make-up to give clean, healthy
looking skin.
2. EMOTIONAL BENEFIT: Emotional benefit will be the confidence which one gets after
using Garnier men face wash.
3. SELF-EXPRESSIVE BENEFIT: The consumers who are very defensive and careful for
their health and family would feel comfortable using this product it would gave them a
sense of caring and safety.
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EVALUATING ADVERTISING:
At the end of each Advertising program the Brand Manager at Garnier men Face Wash will
evaluate the effectiveness of the program.
The Brand Manager for Garnier men Face Wash will conduct an analysis of pre-campaign and
post-campaign secondary sales (distributor sales) comparison to gauge the effectiveness of the
program. An increase in secondary sales is usually indicative of the success of the program.
CHANNEL STRUCTURE:
The consumer defines a distribution channel as a set of interdependent organizations involved in
the process of making a product or service available for use or consumption.
When L,Orieal imports products, they are actually stored in warehouses. Those products, which
are locally produced, go from the factory to the warehouses. Garnier menFaceWash will have to
rent three warehouses, one each in Karachi, Lahore and Islamabad.
The face wash will be sold to distributors: both on contract and otherwise. They are moved from
the factories to the warehouses, and then the distributors can take delivery from the warehouses.
The distributor in turn sells them either to wholesalers who later sell them to distributors or directly
to retailers themselves.
SHELF SPACE:
Garnier men Face Wash will strive to get maximum and more visible shelf space in comparison to
the competition by pushing the product through distributors and in turn offering higher rate of
retailer margin. The company will follow a push strategy and will be offering margins to the
retailer.

TARGETED OUTLETS:
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According to a survey conducted by M&A (marketing and advertising) the No. of outlets that are
targeted for the selling of face wash are 50000/-. As the distributor is not able to cater all he outlets
throughout Pakistan so the Company will be outsourcing the distribution network and will be
paying a higher rate of margin so that the maximum number of outlets are supplied with Garnier
men Face Wash Brand.
CITIES TARGETED:
L,Orieal will also be targeting in future the main cities of Sindh and Punjab. The demand for the
products Garnier offers is mainly vested in these two provinces. The major cities shall be Karachi,
Hyderabad, Sukkur, Faislabad, Sialkot, Rawalpindi, Islamabad, Lahore, Gujranwala and
Multan.The product will also be available in cities of Balouchistan and N.W.F.P.











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Life Style:
The company should focus on making the product just more than a skin care item. Currently the
tag line of the products are Dare to care whereas we believe that the products as have a strong
brand image which can be cashed by using a tag line such as You have earned a life style. People
in Pakistan want to use a product to just get the basic benefits, but also they want to associate
themselves with the projects. Especially, the new target market consist of the people who want to
think big and also associate themselves with the product.
Owning distributor:
One of the main problems with the company sales is the problem in the distribution channel of the
company. The company when entered in Pakistan market they did not make any major moves to
make healthy relationship with the current distributors of the products. The distributors before the
launch of Garnier Pakistan were selling imported goods with no marketing. Only word of mouth
was the only source of the sales. The company should now focus at least on making strong
relationship with the distributor and give them higher margins to help them earn more from the
sales of Garnier products As, also highlighted by Hassan in the interview that the main reason of
selling the imported products by the distributors. If the distributors are provided with the incentives
to sale their products they will sale Garnier Pakistans product rather then imported products
brought through different sources.
Presence:
Large brands when launch themselves in a big market they try to launch themselves at once across
the country. The company should target the distributors of all big cities and sale the product with
an aggressive marketing campaign. Currently, the company is only focusing on the market in
Karachi. They have almost ignored Lahore and Islamabad market.

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Placement:
Garnier men products are currently available only in limited stores. Other stores carry usually the
competitors product or in most of the cases if Garnier products are available they will be imported.
These imported products does not only decrease the companys profit, but also it can cause damage
to the image of the brand if the product is fake and harmful. The placement strategy should focus
on providing the big stores extra margins on placing the products in easily accessible shelves. This
strategy will make people not only know about the availability of the product, but also people will
prefer the products over other locally manufactured products.
Local involvement:
The main head office is based in Karachi and also decision making is done over there. The sales
head in Lahore and Islamabad does not have the liberty to make decisions on there on. The
company should either involve them in decision making or should give them the liberty to take
decisions when necessary.
GROWTH BARRIERS
Garnier is a big company which has a strong backbone in the cosmetics and skin care industry and is
growing day by day with flying colors. It also faces certain growth barriers out of which the major are:
Political policies: Due to the new government in Pakistan, Garnier was inquired for last 5 years
data indeed it submitted the data each year regularly. Now providing the data requires
commitment of time and staff which in fact might have been utilized for some promotional
activities of the brand.
Rumors: Rumors also plays a growth barrier to any firm like a medical concept was at large that
Garnier men is not suitable for the persons skin due to some heavy chemical in it. The rumor is
baseless however extra everything of everything can cause some trouble


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Action Plan
After devising the new strategies, it is very important to devise an action plan. An action plan must
be workable and also reflection of the strategies made. We have divided our action plan into certain
steps. Following are the steps of action plan given:



Resource Allocation
Distribution Improvement
Aggresive Marketing
Availabilty
Feedback
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1) Resource allocation:
According to our conclusion the company is more inclined towards the promotion of LOreal
rather than Garnier men. The company is arranging huge and expensive events to create awareness
of that product and also increase sales. However, the company has hardly done any promotion
drives for Garnier Men. Even the company has not even focused on low cost drives like
universities and Colleges. The main problem of this is the unjust allocation of resources. The
company should also give importance to this project and provide them efficient resources to
expand in the market. Less than 15% of the Pakistans office resources have been allocated to
Garnier men product promotion. At least, 35% resources should be given to the brand to initially
run the course.
2) Distribution Improvement:
The company should focus on the distribution in the second place. The company currently faces
the problem of competition with the local products and also fakes and imported products because
the company does not provide opportunity to the distributors to earn higher profits. The company
should keep this factor in mind that the distributors are loyal to the profits, they wont sell their
products unless they earn higher profits from that sale. The best way to do that is not the decrease
in price but sale of products at a lesser rate to the distributor. This would make distributor increase
the sales of the Garnier men product.
3) Aggressive Marketing:
The company should focus on marketing the product by initially choosing the right person as the
brand Ambassador. The right person choice will enable the company to make people associate
themselves with the product. Like we have shown in one of our poster that Fawad Afzal Khan can
be selected as the brand ambassador or Asam Ul Haq. People want to associate themselves with
this kind of product and want to become like the person telling them that. Also, Facebook
marketing is not enough to create awareness. Traditional medium like newspaper, TV should be
used to give ads to reach to the population, This will serve as both creation of the awareness and
making a new market.
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4) Availability:
Despite of having a global brand and presence the company failed to launch itself at once in all
over Pakistan. The company should try to make the product available all across Pakistan. Smaller
town also have the population that affords and purchases this kind of product. The company is
currently focusing mainly on Karachi then Lahore and Islamabad. They have to make sure that
they have good relationships with the distributors of all major cities. If the company cannot make
the product available in all cities they should at least divide the country into regions and provide
the products in major regions and divisions. They should at least show their presence in the market
to create their image.
5) Feedback
The main focus of the company should be not only keep on doing the things as they are doing
right now. They should also see at some simple ratios like ROI and ROE. This will let them know
of the returns on Investments they have made in certain activity. This will help them in making
the decisions of carrying out certain practice in future or not. The consumer goods sector should
always keep in mind the ever changing needs of the market and those needs can be best described
by non-other than the customers themselves. The company should make contract with some
research house in Pakistan to carry out the research and help them improve from their mistakes.
We believe that if the company follows this action plan the company will be in a better position
to assess the market explore more opportunities and also gain market share as well. The companys
main focus is profit maximization and this action plan will enable them to generate higher profits.





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Conclusion

After carrying out primary and secondary research and also working with the company officials
we were not only able to identify the problems, but we were also able to analyze the root cause.
The data interpretation and results show that the company has a lot of potential and the main reason
can be specified as the strong brand image, global presence and product mix. The company when
entered in the company the initial focus that they had was to develop it main brand which was
LOreal. They utilized their major resources to launch LOreals products rather than focusing on
Garnier Men products. Garnier already had a presence in the market due to the shampoos and
imported products, but the firm failed to get benefit from this. Garnier Men is considered as a mass
utilization product, but the initial research carried out by the company was flawed. The company
failed to highlight the main target market and also give the real results. So in order to make Garnier
Men a success story, company needs to follow our recommendations especially related to
promotion strategies. It will not only help it to create strong brand image among consumers but it
will also increase its sales and market share to increase its financial performance.








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References:

http://www.forbes.com/sites/gaurisharma/2013/02/12/4-key-marketing-strategies-from-the-startup-
world/
http://smallbusiness.chron.com/external-changes-can-affect-company-38646.html
http://www.lorealparis.hr/cesto-postavljana-pitanja.aspx
http://beautyfulbrands.wordpress.com/2011/11/09/key-competitors-of-loreal-paris-and-nivea/
http://www.studymode.com/essays/l'Oreal-Swot-Analysis-818863.html
http://www.mbaskool.com/brandguide/fmcg/1122-loreal-paris.html
http://www.studymode.com/essays/Loreal-Swot-Analysis-992102.html
http://www.wikiswot.com/SWOT/4_/L_Or__al_SA.html
http://www.loreal-paris.com/
Nair, D. V. K. & D. P. P. R. (2007). A Study on Purchase Pattern of Cosmetic amongConsumers in Kerala.
International Mar Deep Cleansing Face washketing Conferonence on Marketing & Society. Singapore:
M.A.K.
Souiden, N. & Diagne, M. (2009). Canadian and French mens consumption of cosmetics: acomparison
of their attitudes and motivations, Journal of Consumer Marketing, Vol.26, No. 2, pp. 97-109








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QUESTIONNAIRE:
What is your age?
o 18 to 24
o 25 to 34
o 35 to 44
o 45 to 54
What is your marital status?
o Single
o Married
What is your occupation?
o High school/College
o University students
o Employed/Self employed
o Others
How much is your monthly income/ pocket money?
o Less than 5,000
o 5,000 to 25,000
o 25,000 to 50,000
o More than 50,000
How important is beautiful skin for you?
o Extremely important
o Very important
o Moderately important
o Slightly important
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o Not at all
How much do you spend on skin care products in a month?
o Less than Rs.200
o 200 to 500
o More than 500
Do you use the following?
o Face wash/cleanser
o Fairness cream
o Fairness moisturizer
o None of the above
How often you buy these cosmetic products
o Once in a month
o More than once in a month
o Once in two months
o Others
Which cosmetic brand/brands do you prefer to buy/use? (Select more than one
option)
o Ponds
o L,Oreal
o Vaseline
o Dove
o Nivea
o Clean & Clear
o Garnier
o Fair and lovely
o Olay
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o Clarins
o Every man jack
o Oriflamme

What are the deciding factors when you purchase cosmetic product
o Brand
o Price
o Advice from in store
o Special offer or promotion
o Recommendation from a friend
o Quality
o Packaging
Where do you tend to buy your cosmetic products?
o Specialist store
o Super markets
o Drugstore/chemist
o Internet
o Department stores
o Beauty stores






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Balance Sheet for
Garnier
Millions of Rupee
Annual Annual Annual Annual Annual
Period Period Period Period Period
Description(000) 2012 2013 2014 2015 2016

C
u
r
r
e
n
t

A
s
s
e
t
s


Cash and Cash Equivalents 1,339 1,012 1,102 1,150 1,100
Accounts Receivable 360 298 312 314 326
Inventory 240 280 321 334 356
Other Current Assets 870 1,150 1,370 1,650 1,530
Total Current Assets 2,809 2,740 3,105 3,448 3,312

N
o
n
C
u
r
r
e
n
t

A
s
s
e
t
s

Fixed Assets 7,740 11,454 9,826 10,233 12,724
Accumulated Depreciation (720) (1,440) (2,200) (2,550) (3,010)
Net Fixed Assets 7,020 10,014 7,626 7,683 9,714

Total Non Current Assets 7,020 10,014 7,626 7,683 9,714
Total Assets 9,829 12,754 10,731 11,131 13,026

C
u
r
r
r
e
n
t

L
i
a
b

Accounts Payable 616 670 728 715 812
Short Term Borrowings 1,200 1,830 2,580 3,100 3,550
Other Current Liabilities 1,050 1,250 1,480 1,590 1,301
Total Current Liabilities 2,866 3,750 4,788 5,405 5,663

Longterm Debt / Borrowings 1,160 1,750 800 700 1,250
Total Non Current Liabilities 1,160 1,750 800 700 1,250
Total Liabilities 4,026 4,616 3,666 3,566 4,116


Owners Equity 2,768 1,601 900 400 875
Retained Earnings 3,036 6,537 6,165 7,165 8,035
Total Shareholder Equity 5,804 8,138 7,065 7,565 8,910



Total Liabilities & Equity 9,830 12,754 10,731 11,131 13,026


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Income Statement for
Garnier
Millions of Rupee
Annual Annual Annual Annual Annual
Period Period Period Period Period
Description(000) 2012 2013 2014 2015 2016

O
p
e
r
a
t
i
n
g

Net Sales 6,000 6,720 7,526 8,430 9,441
Total Revenues 6,000 6,720 7,526 8,430 9,441
Cost of Goods Sold (3,000) (3,360) (3,763) (4,215) (4,721)
Gross Profit 3,000 3,360 3,763 4,215 4,721
Operating Expenses (712) (762) (815) (872) (933)
Total Direct Expenses (3,712) (4,122) (4,578) (5,087) (5,654)
Earning Before Interest
and taxes 2,288 2,599 2,948 3,343 3,788

N
o
n
O
p
e
r
a
t
i
n
g

Interest Expenses (396) (212) (216) (282) (304)
Earning Before Tax 1,892 2,387 2,732 3,061 3,484

Tax Effects (35%) 662 835 956 1,071 1,219
Net Income 2,555 3,222 3,689 4,132 4,703



Earnings Before Int & Taxes 2,288 2,599 2,948 3,343 3,788
Depreciation & Amortization (720) (720) (760) (764) (512)
Tax Rate 35.00% 35.00% 35.00% 35.00% 35.00%









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