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L’Oréal and the Shampoo MarketYour Guide to Evaluating a Brand

Brand Pulse

Summary of Findings

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L’Oréal Brand Findings Hair Care IndustryThe name sticksL’Oréal holds very high aided awareness but ranks lower than both Pantene and TRESemmé.

Tough competitionPantene sticks out as L’Oréal’s key competitor to watch for in the market.

Converting usersL’Oréal needs to focus on increasing conversion from consideration to choice.

Where does L’Oréal stand?L’Oréal scores high marks in terms of price as does Pantene but TRESemmé outperforms every brand on size and price.

Women don’t just buy shampoo anymoreMultiple hair care-related products are in the marketplace, and women are trying them all out.

A brand is more than just one product Women’s experiences in buying other products created by the same brand name influence their purchase decisions for other categories.

Quality is #1Women care about their hair, so it’s no surprise that quality is ranked #1 in terms of what is the most important attribute in a shampoo product.

Created by and for the use of SurveyMonkey Audience for marketing purposes.This study was not commissioned by L’Oréal or the other companies measured in this study.

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Methodology

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Table of Contents

Key Findings

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Awareness, Familiarity, Consideration, Choice

10

Product Usage Analysis

18

Feature Performance

19

Overview

5 Business- Critical Metrics

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Brand Conversion

7

Attitudinal Statement Analysis

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Methodology

How?When?

The survey was fielded on the SurveyMonkey panel from 01/05/15

to 01/06/15.

A total sample of 1,075 women, ages 18 and

over, were surveyed for the purpose of this study.

SurveyMonkey Audience fielded a Brand Pulse

study to better understand consumer buying behaviors

for the L’Oréal brand and other key players within the

shampoo market.

What?

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Overview

How to Understand Your BrandA lot goes on in the marketplace, especially if your brand is up against tough competition.

Know what sticks

You want to understand whether or not potential customers like you. But it’s also important to understand how they feel about various aspects of your brand, like whether they see you as traditional or innovative. That way, you can position your messaging so it addresses any perceived shortcomings.

Reposition when necessary

And even if your brand is resonating with consumers right now, you want to keep an eye on the competitive landscape, adjust to changing consumer expectations, and make sure you stay number one all while moving at the speed of business today.

The way most brand research is conducted doesn’t work for businesses that want results fast; most brand studies provide piles of data and take tons of time.

Focus on critical metrics

The SurveyMonkey approach focuses on business-critical metrics that can help you spend more time making important business decisions for your brand, instead of having to distill mounds of data on your own.

We used SurveyMonkey Audience’s Brand Pulse Solution to evaluate L’Oréal’s brand and the shampoo market.

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Business-Critical Metrics

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L’Oréal’s Path to Revenue

These are the top areas that you need to have insight into:

Awareness

Familiarity

Choice

Consideration

91%26%

Conversion Rate

52% Conversion

Rate

39% Conversion

Rate

24%

13%

5%

Brand ImagePast Purchase

Value PerceptionLoyalty Programs

Quality of Product

Brand ImageWord of MouthPast Purchase

Price/PromotionStrategy & Messaging

Past PurchaseTime in Business

Category RelevanceOnline/Offline Media

Strategy & Messaging

DistributionPast Purchase

Time in BusinessTraditional Media

Category Relevance

Category can include:

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What People Are Saying About L’Oréal

Offers something other shampoos do not

I am proud to tell others about

Is an example of a high quality product

Provides me value for my money

Does what it says it will do

3%

19%

3%

13% 9%

6%

9%

4%

6%

5%

Strongly Agree Agree

L’Oréal is a shampoo that…

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Key Findings

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When You Think of Shampoo, What Companies Come to Mind?Here we checked the unaided awareness for shampoos (or the frequency of times women recalled their shampoo brand) to understand what brands are top of mind.

PanteneTRESemméDovehead

L’Oréal paul

garnier

essences

aveda

fructis

nexus

frieda

johnsonshoulders

mitchell

herbal

aussie

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When You Think of Shampoo, What Companies Come to Mind?We then identified the most popular brands from the list of competitors.

PanteneTRESemméDovehead

L’Oréal paul

garnier

essences

aveda

fructis

nexus

frieda

johnsonshoulders

mitchell

herbal

aussie

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Pantene Has the Highest AwarenessThis graph shows unaided awareness, aided awareness and total awareness. When you know how visible (or invisible) you are to consumers, you’ll understand how strong your brand is in your target market, and whether or not you need to tailor your marketing efforts to building awareness.

60%

82%

80%

75%

38%

14%

10%

15%

98%

96%

90%

90%

Aided Unaided

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Women Are Very Familiar With PanteneUnderstanding the distribution of familiarity allows for better diagnosis of awareness levels.

24% 24%

56%

36%

22% 18%

29%

26%

54% 58%

15%

39%

Very Familiar Somewhat Familiar Not at all Familiar

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Women Are Reaching for PanteneFor your next purchase, how likely would you be to use each brand?

Top 2 BoxTotal Consideration

56%

29%

43%

20%

31%

28%

13%

13%

Top 2 Box includes ‘Extremely’ and ‘Quite’ Likely to consider using.

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L’Oréal Scores Higher With Everyday Hair WashersSegmenting the data by looking at different groups allows you to see differences in responses and compare results more easily.

Top 2 box consideration scores (Extremely + Quite) are cross-tabbed by user type (frequency of use).

Pantene TRESemmé DoveL’Oréal

15%12%

27%

18%

13% 11%

35%

21%

12%

30%

23%

14%

Everyday Several times a week Few times a month

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Pantene Is the Top Choice Among All Brands*

For your next purchase, which brand would you be most likely to choose?

59%

5%

7%

11%

18%Pantene

TRESemmé

Dove

Other

L’Oréal

Herbal Essences

Garnier

Aveda

SuaveOrganix

Head & Shoulders

John Frieda

Paul Mitchell

*Among all brands in the study.

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Why Women Prefer Each Brand

“There are many options for many kinds of hair

issues. For example, dry hair, oily hair, limp hair

frizzy hair etc. I like to pick one that addresses the

issue I have with my hair.”“TRESemmé has salon results without salon

prices. I started using it about 9 months ago and it made a huge

difference. My hair has never been so soft.”

“It has taken the best care of my hair and it never felt healthier

than when I used loreal. Unfortunately, it’s a little

more expensive than what I can afford...”

“I like the way it makes my hair feel,

very soft. Also, it does not have the drying

out effect of Pantene.”

18%

11%

7%

5%

Actual verbatim responses.

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Pantene Has Stood the Test of TimeBrands purchased in last six months vs. ever allows for a general understanding in “lapsed” users.

Usage rates are indexed against the average.

L’Oréal

% Used in Past 3 Months % Used Ever Usage Index over Average

Pantene

TRESemmé

Dove

Average

13% 46% 88

33% 85% 118

20% 62% 97

11% 43% 81

19% 59% 32

*Usage rate = (% Used in past 3 months) ÷ (% Used Ever)

Overindex ≥ 115 Underindex ≤ 85

Usage index is indexing frequency of use (3 months usage/used ever) for each brand, against the average of all brands.

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Stacking Up The Competition

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Attribute Importance vs. Performance

It’s one thing for consumers to be aware of your brand—but knowing what they think about your brand category (or which brand attributes or characteristics they associate with it) is just as important. Plotting how important people feel an attribute is with the performance of a brand’s attribute allows you to see how the competition stacks up.

IMPO

RTA

NC

E

BRAND PERFORMANCE

High-Growth Opportunity

Non-Business Drivers Category Monitoring

Mission CriticalMore activity here is good and means the company is doing what consumers care about.

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Attribute Importance vs. Performance: L’Oréal

Ingredients

Professionalism

Availability & Quality of App

Friendliness of Drive

Cost

Quality

Range of Features IMPO

RTA

NC

E

BRAND PERFORMANCE0% 100%25%

25%

75%

75%

100%

More of these in this square is goodHigh-Growth Opportunity

Non-Business Drivers

Category Monitoring

Mission Critical

L’Oréal

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Attribute Importance vs. Performance: Pantene

Ingredients

Size/Amount

Price

Scent

Variety

Quality

Range of Features IMPO

RTA

NC

E

BRAND PERFORMANCE0% 100%25%

25%

75%

75%

100%

More of these in this square is goodHigh-Growth Opportunity

Non-Business Drivers

Category Monitoring

Mission Critical

Pantene

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Attribute Importance vs. Performance: TRESemmé

Ingredients

Size/Amount

Price

Scent

Variety

Quality

Range of Features IMPO

RTA

NC

E

BRAND PERFORMANCE0% 100%25%

25%

75%

75%

100%

More of these in this square is goodHigh-Growth Opportunity

Non-Business Drivers

Category Monitoring

Mission Critical

TRESemmé

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Attribute Importance vs. Performance: Dove

Ingredients

Size/Amount

Price

Scent

Variety

Quality

Range of Features IMPO

RTA

NC

E

BRAND PERFORMANCE0% 100%25%

25%

75%

75%

100%

More of these in this square is goodHigh-Growth Opportunity

Non-Business Drivers

Category Monitoring

Mission Critical

Dove

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Attribute Importance vs. Performance: Combined

Ingredients

Size/Amount

Price

Scent

Variety

Quality

Range of Features IMPO

RTA

NC

E

BRAND PERFORMANCE0% 100%25%

25%

75%

75%

100%

More of these in this square is goodHigh-Growth Opportunity

Non-Business Drivers

Category Monitoring

Mission Critical

L’Oréal

TRESemmé

Pantene

Dove

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