One of the myths associated with the diversion topic is that we have perpetrated it ourselves by soliciting unauthorized business. I would like to reassure our millions of cherished customers that there is no truth whatsoever in this rumor.
On the contrary, we have always done everything in our power to ensure that professional products stay within the professional channel.
But, this is a fragmented distribution. There are 200,000 salons in the USA and policing that number of outlets is difficult. We continue to redefine our policy and won't give up fighting to protect the interest of our salon professionals and consumers.
Friday, July 11, 2008
Subscribe to:
Post Comments (Atom)
Posts
2 comments:
With 200,000 salons selling your multitude of products across the US, it seems nearly impossible to stop diversion to unauthorized peddlers. What I can't wrap my head around is how many L'oreal products are readily available at Target.com. If stylists are really being protected by the corporate entities behind these products why aren't they putting an immediate stop to this on-demand availability?
You are not attempting to police 200,000 salons, you are attemting to police 1 million plus, licensed hairstylists and the thousands of other licensed professionals in the beauty industry (nail techs, skincare Specialists, Massage Techs), all have total access to L'Oreal distributors and distributor stores. Nothing will change with diversion until you, the manufacturers are willing to do what it takes, which is to LIMIT distribution to numbers that can be controlled, professional salons ONLY. As long as anyone with any type of beauty license, is allowed total access to, what were once, SALON ONLY products, diversion will continue and grow. Aveda has changed their distribution system with such success, that now, the diversion of Aveda products is so low, it has become a non-issue.
The wide open distribution of professional products, coupled with the unfair trade practices of huge discounts to the chains, is breaking the backs of independent salons.
I have another question. Why doesn't L'Oreal use its power against the large retail chains that are selling our professional products. How about telling them that L'Oreal will pull ALL L'Oreal products from any store that sells diverted salon products?
Post a Comment