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L'Oréal SWOT Analysis

Published by MBA Skool Team in FMCG category Last Updated: June 26, 2024Read time:

Here is a detailed SWOT analysis of L'Oréal covering strengths, weaknesses, opportunities and threats.

L'Oréal Strengths

  1. Continuing research and innovation in the interest of beauty which assures that the L’Oreal Cosmetics offers the best to their consumers.
  2. L'Oréal is a leader in the growing cosmetics industry despite the competition in the market.
  3. High-end advertising which adapts to the culture of target audience
  4. L'Oréal has over 80,000 employees globally
  5. Apart from hair colour, skin care, sun protection, make-up, perfumes and hair care, the company is active in the dermatological and pharmaceutical fields and is the top nanotechnology patent-holder in the United States
  6. L’Oréal has operations in over 130 countries and over 4o manufacturing plants

Above are the strengths in the SWOT Analysis of L'Oréal. The strengths of L'Oréal looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

L'Oréal Weaknesses

  1. Decentralized organizational structure. Due to the many subdivisions of the Company, there is also the difficulty in the control of L’Oreal
  2. Stiff competition from other leading cosmetic established brands

These were the weaknesses in the L'Oréal SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

L'Oréal Opportunities

  1. L'Oréal can tap the growing market that ranges from the affluent, the aging and also the masses of the developed countries
  2. Greater market share because of the numerous patents registered by the Company.

Above we covered the opportunities in L'Oréal SWOT Analysis. The opportunities for any brand can include prospects of future growth.

L'Oréal Threats

  1. Growing competition within the field of cosmetic brands
  2. Economic downturn that is quite evident in other countries
  3. L’Oreal Group may be producing the best of its line, people may find that their products are not of their basic needs and would skip buying L’Oreal products.

The threats in the SWOT Analysis of L'Oréal are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the L'Oréal SWOT analysis.

About L'Oréal

The table below gives the brand overview along with its target market, segmentation, positioning & USP

L'Oréal Overview
Parent Company



Personal Care brands- Cosmetics



Tagline/ Slogan

Because you’re worth it


L'Oréal best caters to the beauty demands of women of different cultures through constant research and innovation

L'Oréal STP

Women of upper middle class

Target Market

Affluent young & elderly women looking for beauty products


L'Oréal offers high end brand in beauty & cosmetic products

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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