Your Questions Answered

Dear Esteemed Readers,

Thank you for your comments and your questions. Here are the answers to some of the questions I have received lately:

1. Why doesn’t L'Oréal buy out its products from the Diverters?
If L’Oreal were to purchase all of the diverted products from unauthorized retailers, we would actually be fuelling the demand for products in that location, funding more demand and more purchases, and consequently, drive further diversion.

2. What happens when I report a Diverter?
When you report a diverter through an email to nodivert@aol.com or by calling the Diversion Hotline (1-800 503.3997), our strategy is to log the location and send an investigator to purchase samples and then use our coding technology to track the product. We can then determine if the product is counterfeit, and if not, who was responsible for diverting it to that location. Through our national buy-back program we have been able to cut down over $30 million dollars in product sales by cutting off diverters.

3. Why doesn’t L'Oréal take legal action?
We have. Please read my Quality King Story post from August 19th. We have filed and appeal and will keep you posted on our status.


Have more questions? Please submit them as comments and I will do my best to address them.

Thanks!
David

Updates to our Anti-Diversion Hotline

Recently, I was disappointed to learn that our anti-diversion hotline was not as responsive as it could have been. We had too many people involved in the process and I wanted to confirm with you that we have now harmonized the functions.

Chris Lyden has taken over the role of leading our anti-diversion team as Sr. Director of Brand Equity Protection. Chris joined the professional beauty industry 17 years ago as a Distributor Sales Consultant and has worked closely with salons over the years. Throughout his career, he has visited nearly 8,000 salons so he understands what stylists care about most, and fighting diversion is at the top of their list.

If you spot diversion occurring in your area please report it.

You can call 1-800-503-3997 or email nodivert@aol.com and be assured that your concerns will be responded to and addressed.