Even as L?Oreal India is investing R500 crore for its expansion plans, Hindustan Unilever (HUL) is betting big on star power and innovations to promote its cosmetics and beauty services brand Lakme in domestic markets. While HUL has roped in cine star Kareena Kapoor to endorse its new range of cosmetics ?Lakme Absolute?, L?Oreal India is currently beaming a high-voltage television campaign featuring Aishwarya Rai Bachchan to promote its flagship brand L?Oreal Paris.
As part if its growth strategy, L?Oreal India is setting up a research & innovation centre at Mankhurd in Mumbai and a new factory in Pune. With increasing competition, Lakme and L?Oreal will compete to gain market share in the branded beauty products sector in India.
On L?Oreal India?s strategy, Dinesh Dayal, COO, L?Oreal India said: ?India is one of the most important and strategic markets for L?Oreal and will one day become the world?s largest beauty market. L?Oreal will invest over R500 crore in India over the next 5 years to set up a research and innovation centre and a new factory in Pune.?
According to Dayal, L?Oreal new research centre will create products that are further customised to suit the needs of consumers in India and a new factory that will double local manufacturing capacity. The company already has a manufacturing capacity in Pune ?Through understanding the beauty needs and expectations of Indian consumers, L?Oreal has developed new categories of products and services for India – almost 70% of our launches this year will be locally developed and designed,? he added.
The French company in India today faces strong competition from global rivals Unilever and Procter & Gamble. At present, L?Oreal?s major brands in India include, Garnier, L?Oreal Paris and Maybelline among others.
HUL is sharpening its focus on innovations to sustain its leading edge in the branded cosmetics and beauty services sector. On HUL?s strategy, Farida Kaliyadan, general manager, Lakm? said: ?With the launch of Lakme Absolute, we have taken our make-up to the next level. Our new launch is specifically designed for the contemporary Indian woman.
We chose Kareena Kapoor as she epitomises the spirit of our new brand.?
To announce the launch of Lakme Absoloute, HUL is getting ready to launch a multi-media ad campaign featuring Kareena Kapoor. ?Our core focus is on market development. Combining international cosmetic technology with an understanding of the Indian woman?s needs, we launch our new products.
