RIVALRY

L'Oreal, founded in 1909 as a hair dye company, denied it was losing market share in France or anywhere else in Europe and said professional sales in France continued to grow in recent months.

The company, also known for perfume, Lancome creams and other beauty products, still makes 40 per cent of its sales from hair products. It estimates that it has more than 50 per cent of the French hair salon market.

"In France, L'Oreal offers the most complete portfolio of brands which enables us to meet expectations and needs of all salons," L'Oreal said in a statement issued to Reuters.

Industry experts say it is difficult to verify market share in France as there is no independent panel and companies are reluctant to divulge details.

Wella and Schwarzkopf both say they are gaining ground in France.

In an e-mail, Wella said it had poached large customers from L'Oreal in September, including the Michel Dervyn group, which is behind a 270-salon group including the super-posh Alexandre de Paris.

Schwarzkopf, named after the Berlin drugstore owner who created the brand a century ago, said it had seen the net number French professional customers rise 10 per cent in the year to date.

"Our market share is growing in France and we keep winning new salons," Katharina Hoehne, head of Schwarzkopf's professional division in France, said.

She said Schwarzkopf expected professional sales in France this year to grow 8 per cent, as they did in 2007 – in spite of the consumer downturn – thanks in part to the launch of new lines such the Essensity organic natural product range.

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