L'Oréal Wields New Tailored Products To Cut P&G's Lead In China's Personal Care Market

L'Oréal is relying on new products using traditional medical ingredients to cut its rival Procter & Gamble's lead in the beauty and personal care markets in China. More than 260 scientists are working L'Oréal's Shanghai research center to create products, including lipsticks and shampoos, designed for Chinese consumers. Examples of new products include a cosmetic balm for men seeking to cover up facial skin imperfections and skin serums derived from white fungus, ginseng, and a parasitic mushroom known as cordyceps. L'Oréal's share of the market, forecast by Euromonitor to reach $34 billion in 2013, rose to 11 percent in 2011 from 9 percent in 2008. P&G lost 1.6 percentage points to 15.8 percent in 2011.