L’Oreal was affected adversely by a downturn in business in 2009. Therefore, it says that entry in to new markets is going to help to counteract limited growth opportunities in existing markets.
The company aims to double the number of individuals using L’Oreal brands across the world in the next decade.
With regard to financial performance, the makeup company has maintained its market share across the board, whilst coming up with innovations and entering markets, strategies vital to its three way future marketing strategy.
Growth in new markets had powered the cosmetics company in 2009, with new smaller markets anticipated to be the foci of future developments.
There are also the developing markets in China, Russia, India and Brazil, as well as the increasing significance of markets like South Africa, Thailand, Ukraine, Indonesia, Turkey and the Philippines.
In addition, there are new subsidiaries opening in Egypt, Vietnam, Kazakhstan and Pakistan, adding to the completion of L'oreal's globalisation strategy.
Growth in new market zones has been astonishing and the monetary value of these markets is predicted to overtake that of the European market in the next two to three years.
In less than ten years new markets will constitute 50 percent of the company’s total sales.
Loreal Concentrates on New Markets in 2010
Mon, 26 Jul 2010
