New Delhi: French beauty and cosmetics major L'Oreal's professional products divisions will spread its network of salons as it expects a 25 percent year-on-year growth for the next five years.
"We see at least 25 percent CAGR (compounded annual growth rate) for the next years. We have doubled our distribution in the last three years. We have gone to a large number of tier II and tier III cities.
"Idea is to continue growing. While smaller cities will grow faster, bigger chunk of business still exists in big cities," L'Oreal Professional Products Division Director Aseem Kaushik told PTI.
L'Oreal Professionals' products are available in 350 cities and sold through 35,000 salons. The company's professional products range contributes 25 percent to total turnover.
Talking about new launches, Kaushik said: "We continue to add sub brands in India. We know that scalp concerns are a big need gap in India, specially in the professional products arena. We will look at it next year. It will be a full range of products."
However, he refused to elaborate on it.
Last year, the company launched L'Oreal mythic oil range.
The company is also bullish on its initiative to train and educate hairdressers across the country and had also organised the annual Indian Hairdressing Awards.
"This will drive the growth of organising hair dressing industry. The company has 50 facilities across India and last year it trained 1.5 lakh professionals," Kaushik said.
L'Oreal's product divisions include luxury, professional products, consumer products and cosmetics.
