Question

"CRUELTY FREE NEW PRODUCTS FOR LOREAL PARIS"

Who is your target market, give a detailed account of your target market; who are they?

What bases of segmentation are you using and why?

State at least 2 different segmentation criteria that you prefer to use.

Refer to the segmentation strategies that we discussed in class. Don’t forget to explain your reasons for why you choose these segmentation strategies (8 pts)

Answer 1

Oreal Group, the largest cosmetics and beauty corporation in the world , offers beauty product innovation to women and men with regards to their diversity through its large portfolio brand that is present in 130 countries. Their new product is targetting differently segmented of customers with its 34 brands in several product categories, it has devised differentiation strategy to target middle, upper middle and upper-income class customers majority of who are working professionals and are those who want to flaunt their personas. In Retail segment, its targets the young, upper middle income and upper social class customers in the age group of 20-45 years who believe to buy best cosmetic productsThe brand has positioned itself as most ethical cosmetics and beauty Care Company focusing on Universalisation i.e respecting the differences in cultures, desires, and aspirations of the internal & external stakeholders.

Loreal Paris will better to use segmentation on the basis of product usage luxury consumers and of proffessional pharmaceuticals.

We can use either Psychographic segmentation which means to target people with specific persona and is a also used to group prospective, current or previous customers by their shared personality traits, beliefs, values, attitudes, interests, and lifestyles. The other optimum segmentation that can be used is  Geographic segmentation. It  is a common strategy when you serve customers in a particular area, or when your broad target audience has different preferences based on where they are located. We can target those high end people by geographic segmentation.