Description of competition

Shampoo appeared in Europe in the 19^th century, and since then, the shampoo market has constantly evolved. Today, on shelves, we can find a huge amount of modem shampoos with various features.

Due to the fact that the shampoo market includes numerous manufacturers and brands, competition is very strong. Consequently, to be successful, products need to be particularly competitive; actually, producers try to differentiate their products in various ways, i.e. by creating distinctive smell and by providing enriching vitamins. They also create products designed for specific groups of consumers.

In the market, shampoo brands can be divided into several groups according to various classification criteria. Competition is tolerated or even encouraged within the same group of brands.

Parameter	Classification	Examples
By sex and age	Shampoo for women	Elseve, Dessange, Ultra Doux, Le Petit Marseillais, Timotei
	Shampoo for men	Dove men, Neutralia, Head & Shoulders, Pétrole Hahn
	Shampoo for children	P’tit Dop, Ultra Doux, Cadum
Price	Premium	Elseve, Dessange, Schwartzkopf
	Middle	Le Petit Marseillais, Fructis, Syoss
	Low	Timotei, Dop, Pantene
Particular purpose	Technology, high value, professional, engineering	Elseve, Dessange, Provost, Jean Louis David, Schwartzkopf, Pantene, Syoss
	Naturalness and sensuality	Ultra Doux, Le Petit Marseillais, Timotei, Dop, Fructis
	Care	Nivea, Cadum, Vendome, Dove, Cyde Vital
	Old-fashioned	Neutralia, Biorene, Pétrole Hahn, Vendome
	Ethics	SoftSheen Carson
Place of purchase	Supermarkets	All of the famous brands: Elseve, Head & Shoulders, Ultra Doux, Dop, Dessange, Le Petit Marseillais, Cadum, Nivea, Dove, etc.
	Pharmacies	Rogé Cavaillès, Klorane, René Furterer
	Hairdressers specialized stores	L’Oréal Professional, Jean-Louis David, René Furterer.

The shampoo market is very saturated. Moreover, the market is growing, although temp of growth is slowing. Actually, the global financial crisis has contributed to this slowing market growth. To compensate, shampoo producers try to keep attracting customers by expanding product range, developing new packaging, and creating new segments every year.

To meet the needs of the market, manufacturers are forced to innovate constantly in order to offer novelty to consumers. For instance, the new sales-point of multinational companies is based on efficiency promises made to consumers regarding the benefits of shampoos after hair washing. In that case, advertising emphasizes on scientific achievements realized in laboratories. Products are positioned as technological and scientific innovations, such as those of Elseve and Head & Shoulders.

Several consumers are not loyal to certain brands because they are always ready to replace former products by new ones promising better results. In other words, consumers are constantly looking for products that better meet their needs in both health and beauty, and that bring pleasure. As a result, shampoo buyers are always willing to try new products until they find the right one for them, i.e. the one solving personal hair issues.