L’Oreal seeks beauty throne
Firm aims to double local industry sales
L’Oreal Thailand expects this year’s sales to grow at twice the industry’s pace, paving the way for L’Oreal to become a market leader among local beauty companies.
Managing director Nathalie Gerschtein Keraudy said that while the Thai economy has not improved as much as expected, the company’s performance still got off to a strong start this year.
L’Oreal is confident that the Thai beauty market will improve on last year’s showing. Thais will continue to spend on beauty products because they love to look beautiful and have new beauty experiences, Mrs Keraudy said.
“Thailand is a very important market for us,” she said. “L’Oreal Thailand is one of the largest subsidiaries in this region. Despite a volatile and uncertain economic context here, we’re confident of once again outperforming the Thai beauty market this year and recording another year of sales and profit growth.”
The company’s vision is to have at least one L’Oreal product in every Thai household, Mrs Keraudy said. Sales are forecast to rise by double the industry’s growth for the sixth year in a row.
Market research company Euromonitor said Asia-Pacific represents nearly a third of the global beauty and personal care market, with developing markets such as Thailand driving growth for the region.
Thailand’s beauty market is one of the largest in Asean.
To continue its strong growth this year and fulfil its ambition to become the No.1 beauty company in Thailand, L’Oreal Thailand will focus on four key areas: consumercentric approach, connected beauty, being a great employer and being a great citizen.
Paying attention to consumer demand will play a vital role in achieving the company’s goals.
Product innovation will remain the core of the brand experience, enhanced through different initiatives and platforms.
Earlier this year, Lancome launched its counter concept “Parisian Apartment”, blending modernity with French heritage.
The new counter at Siam Paragon mall provides a convivial environment of free expression to play with textures and colours, enabling consumers to define their own vision of femininity.
The company will connect its beauty brands with a digital scheme. Earlier this year, L’Oreal Paris, Maybelline New York, Biotherm, Lancome and Kiehl’s launched their Line accounts to connect with Thai beauty communities.
A YouTube channel for Maybelline New York was also created as the first make-up brand channel.
The company recently appointed Duangkwan Synsatayakul as its first digital director to lead digital transformation initiatives from the corporate level and animate the digital community at L’Oreal Thailand.
The company plans to increase its digital marketing budget by 30% from last year to strengthen the online experience for customers.
Last year, L’Oreal Thailand’s e-commerce sales rose 169%, Mrs Keraudy said.
Thailand’s beauty market grew by 6.5% to 154 billion baht in total sales in 2016. Of the total, 46% was skincare products, 19% haircare products, 14% make-up and 21% other products such as fragrances.