PRAXIS BUSINESS SCHOOL

Brand Dossier of Garnier Fructis

Submitted By: Sumedha Dutta Debasish Devkumar Padhy Namit Sachdeva Sumit Khandelwal
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TABLE OF CONTENTS
1. Early history of the brand and its evolution over time. 2. Initial positioning and subsequent repositioning, if any. 3. Advertising, sales promotion and segmentation strategy followed by the brand. 4. Analysis of product and generic competition to the brand. 5. Strategies adopted over time by the brand to tackle competition or prime market expansion. 6. Distribution strategy followed by the brand. 7. Summary regarding the future directions for the brand. 8. Reference

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INTRODUCTION TO GARNIER
Garnier is an international company and is a mass market cosmetics brand of L'Oral, that has a line of extensive range of beauty products. The company sells and researches upon cosmetics products that are meant for body care, skin care, hair care, hair color and other beauty products. Products by Garnier ensure the customers that beauty is all about "taking care of yourself". It is sold in several markets around the world.

1. EARLY HISTORY OF THE BRAND AND ITS EVOLUTION OVER TIME

Garnier is a worldwide company affiliated with 29 other brands owned by L'Oreal. L'Oreal, based in France and the United States, has been in operation since 1909. It now owns five divisions including Garnier. The first Garnier product was made by Alfred Garnier in 1904, a hair tonic, when people still used soap on their hair. Besides this, Garnier has been the first to produce sun-care items (in 1936) and the first to make a permanent home hair color (in 1960). Today Garnier is the number-one brand in Europe using natural ingredients. The full company name, Laboratories Garnier, originated in the 1920s as a producer of hair care products made with organic ingredients. Garnier continues that mission today, as all of its products are made with natural ingredients. The L'Oreal Group has owned Garnier since 1965. Garnier came to India in 1992 and crafted a special place for itself in the Indian market .This is one global brand which has understood the dynamics of Indian market. Garnier came to India with its Ultra Duox range of shampoos. The brand is a mass market brand from Loreal. Loreal started its operations as a joint venture with MJ Group . Later in 1994, the company started its own operations. Globally Loreal is a company that is famous for its product innovation. Garnier too has built its brand by launching new products on a regular basis. Garnier is now present in a diverse range of personal care product categories. It is present in the hair-care and skin-care segments. The brand have two sub-brands : Garnier Fructis and Garnier Ultra Doux. Fructis is an interesting subbrand which has clicked in the Indian market because of its positioning as a fruit based product. Recently Garnier launched another new innovative product in the Indian market - Garnier Shampoo + Oil 2 in 1 shampoo. This is something that Indian consumer has never seen before.

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2.INITIAL POSITIONING AND SUBSEQUENT REPOSITIONING

I. INITIAL POSITIONING LOral entered India in 1992 with Garnier Ultra Doux Shampoo. It was chosen as a flagship brand in India because its natural-ingredient story was a fit in a country with a history of Ayurveda and natural remedies . The entry strategy it adopted was competitive pricing Devoid of any differentiation, the brand languished. It couldn't dent the shares of Hindustan Unilever and Procter & Gamble. In the meantime, the market place got tougher with the entry of homespun rivals like Dabur and CavinKare

II. REPOSITIONING Repositioning of Garnier was done. Garnier ultra doux gave pathway to Garnier frutics and Garnier Synergie to Garnier Skin naturals. The prices were set at a slight premium over mass brands such as Hindustan Unilever's Lakme or Sunsilk. It linked functionality to its price tag Garnier then started innovating different kinds of products to satisfy all types of consumers. Thereby started Garnier Fructis which offerred nine different hair care products in order to cater to the numerous hair care needs of its consumers. In doing so, Garnier Fructis has decided not to target specific types within its benefit segmentation but to mass market to all.

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3. ADVERTISING, SALES PROMOTION AND SEGMENTATION STRATEGY FOLLOWED.

I. ADVERTISING GARNIER FRUCTIS Tagline: 1)Take care. 2)For hair that shines with all its strength.

 Garnier fructics product advertisement currently uses media outlets such as magazines, newspapers, Internet, television, and radio. The Garnier Fructis ad is a classic shampoo ad. In the commercial, a woman with broken dull hair cant have fun at a party. After washing her hair with Garnier Fructis shampoo, her hair becomes shiny and healthy. She not only has beautiful hair, but she is now able to have fun, play with a couple of guys and obtain some lip lock action from one of them. The Garnier Fructis ad shows that supposedly, if a girl wants a life of fun and boys, washing her hair with Garnier Fructis shampoo is all she needs to do. It gives the idea that a girl needs long luscious hair to have a guy or a boyfriend. This ad does a good job of attacking ones desires. Girls do want to have a life of fun and to be able to attain a boyfriend; this is the life many girls wish to have. Obviously Garnier Fructis shampoo cannot give anyone this, but again, it does do a good job at calling at these desires.

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II. SALES PROMOTION

Garnier follows a very popular technique to advertise and market its products that is the Viral Marketing policy. Viral marketing is a term coined to define the productive ways a marketing message is made available. he beauty of this marketing technique is that none of it requires any marketing. Customers, who have caught the virus, do the selling. Viral marketing describes any strategy that encourages individuals to pass on a marketing message to others, creating the potential for exponential growth in the messages exposure and influence. Like viruses, such strategies take advantage of rapid multiplication to explode the message to thousands, to millions. When Garnier launched its Fructis shampoo, they latched on to the idea. The firm had to introduce the aspect of five times stronger hair and the firm had a braid competition whereby consumers could register on a site and create a knot on the Fructis brand, as part of their entry into the contest. Garnier has featured endorsements by Bollywood stars for publicity. Garnier, over the years, has become one of the most popular brands in cosmetics. For the promotion of the Garnier products, the company has chosen a prominent and internationally famous Bollywood face Kareena Kapoor to give hair care tips to the customers. Kareena Kapoor has been chosen for Garnier endorsement because of her popularity and her confidence and to make it more reachable to the youths of India. By sales promotion Garnier fructis is able to reach Rs 117-crore market for hair conditioners, 4.6 per cent of the fiercely-contested Rs 2,887-crore shampoo market.

III. SEGMENTATION STRATEGY

Marketing segmentation is based on the premise that a particular marketing strategy will be most effective if the market as a whole can be divided into subgroups, with each subgroup unique in its needs, wants, and preferences for products and services. There are several approaches used for segmenting markets, such as the Benefit segmentation approach, the Psychographic segmentation, and the demographic segmentation approach. The benefit segmentation approach identifies markets by causal factors, rather than descriptive factors. It focuses on needs and
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benefits as well as specific brand perceptions with respect to those needs and benefits. Garnier Fructis uses the benefit approach. It looks at the benefits consumers prefer, and this tends to be the basic reason for the existence of its market segments. This approach is based on being able to measure consumer value systems in detail, and what consumers think of the various Garnier Fructis shampoo. Garnier Fructis focuses on four identified segments: one particularly concerned with dandruff control, one with color protection, another with moisture and nutrition, and yet another with control of frizz, waves and curls.  Anti dandruff The dandruff control segment includes people from all age groups with the exception of children, since children have their own product specially meant for them.  Color shield The color protection segment is mainly comprised of young people, teens, and a high volume of the adult population. This segment reflects people with active lifestyles who are very color conscious.  Daily care In moisturizing and nutrition segments, a large portion of consumers are families, whose basic concern is how to maintain dry or normal hair, and how to grow strong, long and healthy hair.  There are four major user types of Garnier Fructis products- Health conscious (dandruff issue), color conscious, ordinary users and style conscious.  Changing consumer behavior and perception of hair care products is also another factor in Garnier Fructis segmentation strategy.  Garnier have also launched a product specifically for men, Garnier MEN. Then in order to give more to the consumers they have conditioners, along with the shampoo, face wash, moisturizer and oil control + moisturizer.

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4. ANALYSIS OF PRODUCT AND GENERIC COMPETITION TO THE BRAND

I. Product: Garnier Fructis Anti-Dandruff Shampoo  Unique double-action formula.  Natural extracts and vitamin B3.  Basic cleaning for all hair types and invigorates hair and scalp. Major competitor: Head & Shoulder  100% flake free hair.  Effective ways to help eliminate dandruff symptoms.  Fresh, zingy scents and the rich formula leave hair feeling soft and manageable.

II. Product : Garnier Fructis Color Shield  Specially formulated for color-treated hair.  Keeps hair silky and soft.  Innovative double-action formula combining acai berry. Major competitor: Pantene Color Preserves Shine Shampoo  Contains micro-polishers that smooth and refinish the outer layer of color-treated hair.  Gentle cleaning surfactants remove scalp oil and build-up without being harsh to vulnerable, colored hair.  The advanced formula helps protect color, while helping to restore brilliance. III. Product : Garnier Fructis Daily Care  Active fruit concentrate.  Vitamin B3, B6, fructose and glucose.  Nourishes, strengthens and smooth.  Keep it balanced and healthy-looking.

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Major competitor: Pantene Pro-V Classic Care  2 in 1 shampoo & condition.  Cleaning and conditioning benefit.  Formulated with gentle cleansing agents.  Removes build-up and leaves hair shiny.  Leave hair against hair damage. IV. Product : 2 in 1 Shampoo Plus Conditioner  Both cleanses and conditions.  Multi-vitamin formula hydrates without buildup or weigh down.  Good for people with shorter style that need to be cleaned and maintained.  Style balance Typical product: Garnier Fructis Sleek & Shine Shampoo  Specially created for smooth dry, unmanageable hair.  Contains Nutritive Fruit Micro-Oils - an innovative combination of apricot, avocado oils, and vitamins B3 and B6.

Major competitor: Pantene Last Volume Hairspray  Provides humidity defense to lock in styles for maximum all-day hold  Leaves your style full of healthy, lasting volume and protects from moisture.  Tresemme Naturals Finishing Spray  Get natural-looking hold and natural benefits with this new non-aerosol spray  Unique lightweight spray formulas, with organic extracts, keeps your style in place all day. V. product: Garnier Fructis Shampoo for kids  Big broad smile on the faces of mommies.  Strengthening the hair and prevent against damage and remove the tension of the mommies.  kids soft and easy to manage and it is tested that it does not give any to the eyes of children.

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Major competitor: Johnson & Johnson "Nothing But Tears"  Contains only the most abrasive of natural ingredients and is nearly impossible to rinse from a baby's screaming face.  "healthy dose of reality."

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5. STRATEGIES ADOPTED OVER TIME BY GARNIER FRUCTIS TO TACKLE COMPETITION OR PRIME MARKET EXPANSION.
Garnier Fructis is an interesting sub-brand of Loreal which has clicked in the Indian market because of its positioning as a fruit based product. Garnier Fructis Marketing Communication Strategy was introduced in 2003.Garnier Fructis was LOreals answer to its major competitors such as Unilever and P&Gs mass-market products. Garnier Fructis entered the hair care market with its sleek and bright green bottles of extra creamy shampoo that smelled like fruits and was infused with natural ingredients. With its salon-inspired line of shampoos that ranged from dandruff control to color protection, Garnier Fructisobjective was to capture market share in a wide range of benefit-oriented segments of the hair care market. Garnier has built its brand by launching new products on a regular basis. When the consumer sees regular new product flow from the brand, it creates a sense of excitement within the consumer which will prompt them to stick to this brand. Garnier launched another new innovative product in the Indian market - Garnier Shampoo + Oil 2 in 1 shampoo. Shampoo and oil are something that is not supposed to work together. But Garnier has thought of a plan to integrate two diametrically opposite things that would suit Indian market, who prefers oiling hair. Another interesting marketing strategy adopted by Garnier is its advertising execution. It uses a blend of foreign and Indian models and themes for its campaign. Garnier ads can be termed as localized international advertising which has a global touch but does not appear alien to Indian realities. The brand uses a careful blend of celebrities and models in their campaigns without relying much on their individual persona. Their products are always the stars in their campaigns. In August 2010, Garnier launched the men hair care product, Garnier Fructis Anti-Dandruff Shampoo. To promote the product, Garnier named hockey star Steven Stamkos as the new face for the brand in Canada. The promotion featuring Steven Stamkos was launched in April, when hockey season is at its peak in Canada. It will feature Stamkos announcing a contest to hockey fans: "Take your best shot with Fructis Anti-Dandruff and come hang out with me in Tampa". The brand will offer a unique experience with the famous hockey player: a chance to win a trip for four to Tampa Bay for 2 nights, 4 front row tickets to a game and a lunch with Steven. As per Sheila Morin, the brand-director of Garnier Canada, this new Fructis Anti-Dandruff line will
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target men of age group 18-45 as Canadian men are very passionate about Hockey. Steven Stamkos best fits the Garnier values : he is young, dynamic, successful and easily accessible. Thus Garnier used the perfect time as well as perfect face for launching its men hair care product. In April 2011, Garnier Brand announced an exclusive partnership with TerraCycle, Inc., the manufacturer eco-friendly products from non-recyclable waste materials. Garnier is the first to provide such a comprehensive solution to personal care and beauty packaging waste anywhere in the world - considering that personal care and beauty products account for 1/3 of all landfill waste. In addition to diverting packaging from landfills, the Personal Care and Beauty Brigade will help to recruit new members and to educate communities to help make a difference. For every unit of waste collected, Garnier will contribute two cents to the charity of the individual's choice. As part of a larger corporate responsibility program, TerraCycle will repurpose all collected personal care and beauty packaging, reusing it to build eco-friendly playgrounds across the U.S. To promote its TerraCycle partnership and the launch of Fructis Pure Clean shampoo and conditioner, in April 2011 Garnier started an mobile marketing program called The Cleaner Greener Tour. Its purpose is to educate consumers to think differently about waste, and to learn simple ways to make a positive impact on the environment. Extensive education, digital and social media efforts supported this partnership. The tour started in Times Square in New York City on April 11 and continued into the following cities: Cincinnati, OH at Earth Day Cincinnati (April 16); Nashville, TN at Main Street Festival (April 30-May 1); Fort Worth, TX at Mayfest 2011 (May 5-8); and Detroit, MI at Green Living Festival (May 13-15). Recently Garnier Fructis had launched its first biodegradable hair care line: Garnier Fructis Pure Clean. To promote it, Garnier lighted up Dundas Square with eco-friendly lights on 29th & 30th June 2011 and invited the visitors know about the everyday green practices that the brand follows for personal care. Thus, this brand focuses on customer and are organised to respond effectively to changing customer needs. They constantly works on innovating new products line as per the requirement and changing environment and hence, is always a challenge for its competitor.

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6. DISTRIBUTION STRATEGY FOLLOWED BY GARNIER

Convenience: Focus on how easy it is for the customers to buy the product instead of how easy it is for companies to distribute the product. Garnier has one of the most convenient and penetrated distribution channels. The distribution network of Garnier is a very simple but follow very effective distribution network spreading across various channels providing for an in depth coverage facilitating the products to reach the consumers. The products come from factory to the D.C (Distribution Channel) situated in each state of India and then the distribution divides into URBAN DISTRIBUTION, RURAL DISTRIBUTION and MODERN TRADE.  Garnier products are available in most drug stores, mass retail outlets, pharmaceutical shops, supermarkets and hair salons  Garnier has developed massive sampling and street smart initiatives involving direct contact with customers in all countries.  Garnier products are even available in various online stores.

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7. SUMMARY REGARDING THE FUTURE DIRECTIONS FOR THE BRAND

Garnier Fructis is one of the leading Brand in personal and beauty care products all over the world. The smart pricing, innovative products, heavy and innovative investment in brand marketing has enabled this brand to create a special place in personal care industry. Its eco-friendly approach in generating new products will always keep it in one of the top position in the market.

 Presently, Garnier Fructis target to the upper middle class and the rich section of the society. So, in future, the brand is also planning to develop products to target the lower middle class to increase its sales and market penetration.  Garnier is planning improve its channel by adding the feature of buying online directly from its site.  To increase sales, Garnier is also planning to contact the branded salons so that they can use it and recommend it to their customers.  Garnier is also trying to focus on two way communication with customers by listening and learning instead of one-way communication, telling and selling.  Garnier is planning to have online or in store survey form with their products along with some discount coupons or offers so that they satisfy the purpose.

Thus, looking after the present marketing strategy as well as worldwide market share and the future directions, we could conclude that the brand, Garnier Fructis will remain as one of the top brand in personal and beauty care industry.

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8. REFERENCE
 Marketing Management By Philip Kotler  www.garnier.com/  TerraCycle, Inc.: Private Company Information BusinessWeekhttp://investing.businessweek.com/research/stocks/private/snapshot.asp?pr ivcapId=11882957  Garnier Fructis Pure Clean Tour @ Yonge Dundas Square - RedFlagDeals.com Forums http://forums.redflagdeals.com/garnier-fructis-pure-clean-tour-yonge-dundas-square1051928/  http://marketingpractice.blogspot.com/2010/01/garnier-take-care.html

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