Marketing91

  • HOME
  • Marketing Concepts
    • Marketing
      • Retail Tutorials
      • Market Research
      • Customer Management
    • Strategy
    • Management
    • Advertising
    • Branding
    • Business
    • Finance
    • Sales
    • Career Guidance
  • Digital Concepts
    • Blogging
    • Search Engine Optimization
    • Social Media Marketing
    • Facebook Marketing
    • Internet Marketing
    • Ecommerce
  • Brands
    • Marketing Mix of Brands
    • SWOT analysis of Brands
    • Brands Strategy Analysis
    • Business Models
    • Brand Competitors
    • TOP 10
  • Courses
Home » SWOT » SWOT analysis of Lakme

SWOT analysis of Lakme

May 4, 2019 By Hitesh Bhasin Tagged With: SWOT

Lakme is one of the leading cosmetics brand across the world from the house of Hindustan unilever. Interestingly, Lakme was named after the French opera, and Lakme is another form of the Goddess Lakshmi, most commonly known for blessings of wealth. Lakme is a heritage brand at least in India, and it was started in 1952.

Table of Contents

  • Strengths in the SWOT analysis of Lakme
  • Weaknesses in the SWOT analysis of Lakme
  • Opportunities in the SWOT analysis of Lakme
  • Threats in the SWOT analysis of Lakme

Strengths in the SWOT analysis of Lakme

  1. High Brand awareness: Lakme is a well-known brand in the cosmetic & beauty industry. High visibility through targeting high end beauty parlors/salons & also through sponsoring fashion events and strong promotions has helped the company in making top of mind awareness.
  2. Fantastic product line: Lakme contributes to the beauty of women through a fantastic product line, which has amazing depth of products. Lakme is also known to launch a variety of cosmetics which are innovative and are known to sole the problem of cosmetics for women.
  3. Extensive distribution system of the parent company: HLL is the parent company who purchased it from TATA group. Since HLL is already an established FMCG brand so it uses extensive distribution channel to make the Lakme products available in the market. Also in addition to traditional channel, it also uses unconventional distribution system to make the products available at pharmacist, beauty parlors & salons.
  4. Celebrity endorsement: Lakme positioned perfectly in the mind of prospective consumers by targeting apt celebrities to represent their brand.
  5. Strong parent company: HLL the parent company is the well-known company in the FMCG industry has stable financial position which is good for its group brands.

SWOT analysis of Lakme

Weaknesses in the SWOT analysis of Lakme

  1. Limited presence in the premium market: Lakme have presence in the VFM (Value for money) segment in which it is leader. Lakme is the overall market leader in the color cosmetic segment (lip care and nail enamel) with a wide range of products and prices but when it comes to premium market which is growing at the rate of 30% Revlon is the market leader.
  2. Problem of differentiation: Its broad portfolio sometimes creates confusion in the mind of the consumers. Such that, some products are known to be very good but others are ignored because no differentiation is present for them.
  3. Quality of Lakme salons: Falling quality of Lakme salons will result in the negative word of mouth which can affect sales & growth of the company in future.

Opportunities in the SWOT analysis of Lakme

  1. Changing lifestyle: Migrating population & with the saturation of developed economies, changing taste & preferences, Education & changing lifestyle of the developing economies had resulted into growth in the grooming segment. People now want to look sharp, smart & confident.
  2. Growing premium segment: There is a growth in the demand of premium segment goods of which grooming industry is not an exception. So with growing demand if Lakme extend its presence in this segment then it will help it in becoming a leader in grooming industry.
  3. Co-creating the growth strategies: Creating more Collaborative & participative community focused activities will help the company in building brand image & co-creating growth opportunities. 

Threats in the SWOT analysis of Lakme

  1. Intense rivalry: Intensive competition from the local, national & International players on price & availability factors is the major threat for the players in the segment which is affecting the industry as a whole.
  2. Counterfeit products: Fake products are directly affecting the brand image of the company in the rural market & small towns.
  3. International brands extending into other markets: International brands like Revlon which have centuries of expertise in the Personal care industry can affect the business of Lakme in the selected markets or can limit their growth rate.
  4. Increasing allergies cases: Due to change in the lifestyle skin is becoming more sensitive due to which companies in the personal care industry face risk of losing sales on allergic grounds.

Share this post:

Share on Facebook Share on Twitter Share on LinkedIn Share on Email Share on WhatsApp
Marketing91 Courses

Related posts:

  1. SWOT analysis of MAC Cosmetics
  2. SWOT analysis of L’oreal – L’oreal SWOT analysis
  3. SWOT analysis of L’Oreal
  4. SWOT analysis of Lush
  5. SWOT analysis of Maybelline
  6. SWOT Analysis of Pepsi – PepsiCo SWOT analysis
  7. SWOT Analysis of Huawei
  8. SWOT analysis of Apple Inc – Apple SWOT analysis
  9. SWOT analysis of Sephora
  10. SWOT Analysis of Prada

What Do You Want To Learn About? (Start Here)

  1. Marketing Hub
  2. Management Hub
  3. Marketing Strategy
  4. Advertising Hub
  5. Branding Hub
  6. Market Research
  7. Small Business Marketing
  8. Sales and Selling
  9. Marketing Careers
  10. Customer Management
  11. Top 10 Lists
  1. Internet Marketing
  2. Blogging
  3. Search Engine optimization
  4. E-commerce
  5. Facebook Marketing
  6. Social Media Marketing
  7. Business Model of Brands
  8. Marketing Mix of Brands
  9. Brand Competitors
  10. Strategy of Brands
  11. SWOT of Brands
GET DAILY MARKETING UPDATES

About Hitesh Bhasin

I love writing about the latest in marketing & advertising. I am a serial entrepreneur & I created Marketing91 because I wanted my readers to stay ahead in this hectic business world.

Comments

  1. AVNISH GUPTA says

    For distibutership

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement
Recent Posts
  • Days Inventory Outstanding (DIO) – Definition, Formula and Examples
  • Headhunter – Definition, Types and Pros & Cons
  • Churn Rate – Definition, Advantages and Examples
  • Comfort Letter – Definition, Types, Template and Examples
  • Delta Model – Definition, Importance and Case Study
Advertisement

Marketing91

MORE INFO

  • About Marketing91
  • Privacy Policy
  • Cookie Policy
  • Disclaimer
  • Terms of Use
  • Advertise
  • Contact us
  • Sitemap
  • ISO 9001:2015 Certified

LEARNING SERIES

  • What is Communications
  • Types of Communication

WE WRITE ON

  • Marketing
  • Small Business
  • Management
  • Internet Marketing
[email protected]

Copyright © 2022 Marketing91 All Rights Reserved