L’Oréal became the world number one in luxury beauty in 2023. Cyril Chapuy, President, L’Oréal Luxe, shares the unique ingredients and highlights of this successful year.
The key figure of the year
Without a doubt, No.1 worldwide in Luxury Beauty.
2023 in three keywords
Expertise. Across our 24 magnificent and complementary brands, the L’Oréal Luxe teams have an unmatched luxury beauty savoir-faire. This allows our Division to master the art of developing luxury brands, leveraging their aspirational force, and turning them into billionaire brands – a milestone Helena Rubinstein reached this year.
Excellence. L’Oréal Luxe is a byword for unparalleled excellence in the luxury beauty landscape. In addition to state-of-the-art luxury products, our expertise lies in our luxury services and experiences. At L’Oréal Luxe, we are obsessed with omnichannel. Our talented teams are leveraging cuttingedge digital and beauty tech, always delivered with that inimitable human touch. That’s how we create meaningful and memorable experiences.
Robustness. Because our Division is growing in a very sustainable way. L’Oréal Luxe keeps winning year after year, all while reporting remarkable profitability.
What are you most proud of this year?
Our worldwide leadership in Luxury Beauty. My biggest source of pride is that in 2023 L’Oréal Luxe achieved a historic milestone, becoming THE number one luxury beauty company in the world. This position is a hugely important collective achievement.
My teams of luxury crafters. I’m proud of what lies behind our leadership : more than 30,000 talents who create the very best of luxury beauty, every day.
The acquisition of Aēsop, the epitome of modern, holistic luxury beauty. Aēsop has established a unique positioning through its singular design-led retail and product philosophy. This one-of-a-kind brand DNA is a perfect addition to our portfolio.
What advances in sustainability?
L’Oréal Luxe has the responsibility to lead the sustainable transformation of the luxury beauty industry. In 2023 we made significant strides with our refill model: all our major fragrance launches and major blockbusters are now refillable. By offering refillable products across all our categories, we aim to shift customers’ behaviour towards more mindful luxury beauty. On top of that, we are committed to developing the most effective and luxurious sustainable formulations. We have partnered with Cosmo International to create a pioneering low-energy Green Sciences extraction process – a true revolution for the future of fragrance.
What defines a luxury brand?
A luxury brand encapsulates the essence of elevation and irresistible aspiration. Beyond state-of-the-art formulas, exceptional product design and quality, and a quest for pioneering new territories, the luxury brand stands as a symbol of its time. It is there to leave a legacy for future generations, to contribute to its communities, and to be a cultural agent offering a meaningful artistic contribution. Take, for instance, Lancôme, our number one billionaire brand, born almost 90 years ago. In 2023, Lancôme presented its partnership with the Louvre Museum here in Paris, where two iconic French institutions unite to showcase diverse facets of beauty in an absolutely sublime way. This year was also the year Lancôme opened the doors of its fabulous Domaine De La Rose to the public. Here we strive to protect and nurture the Cultural Heritage of Grasse, the birthplace of fine fragrances, as recognised by UNESCO.
What are the strengths of couture brands?
The L’Oréal Luxe portfolio counts several powerful and global couture brands, such as Yves Saint Laurent, Armani, Valentino, Prada, and Mugler. Their strengths lie of course in their rich heritage in fashion and culture. The tireless creativity of our fantastic partner designers inspires us constantly: I’m talking about Miuccia Prada, Pier Paolo Piccioli, Giorgio Armani, Anthony Vaccarello and Casey Cadwallader, for example.
Couture brands are growing remarkably. Yves Saint Laurent, for instance, is reaching top positions in fragrance and makeup, and contributing significantly to our growth across all regions. We are absolutely confident in the future growth potential of our couture brands because this is where our proven luxury expertise really comes into its own.
How does the future look for luxury beauty?
The future for luxury beauty looks very bright! With the rise of the middle class and upper middle class in all parts of the world, we are expecting a growing demand for ultra-premium beauty. And, as one of the major entry points of luxury, this market will remain dynamic. This year, once again, luxury beauty has shown its resilience, even in the face of the undeniable headwinds the industry has been facing.
What makes L’Oréal Luxe future fit?
L’Oréal Luxe is well-prepared for the future because we will keep cultivating our uniqueness in 2024 and beyond. First, with our singular and unique culture, encapsulated in the three words: “la culture de l’écart”. This vision of Luxury is about constantly pushing boundaries, reinventing norms, and cultivating the art of surprise and disruption. This is the secret ingredient that makes our luxury brands so unique and successful. Next, we have the most powerful and aspirational portfolio of brands. Its complementarity allows us to respond to all our customer aspirations around the globe and tap into new segments of luxury beauty. And of course, we have our talented and passionate teams. I would like to thank once again all L’Oréal Luxe’s crafters around the world.