L’ORÉAL’S BRITISH BLEND
FOR SUCCESS

L’Oréal had a great year in the United Kingdom, despite contrasting consumer trends. What are the keys to its success? Targeted innovations in strategic categories and a tailored approach to the market.

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GOOD PERFORMANCE
AT L’ORÉAL UK

“The UK is still one of the top places for beauty trends, especially in hair and make-up”

Michel Brousset
Managing Director
L’Oréal UK & Ireland

+4.4%

GROWTH IN UK SALES (1)

+41.6%

GROWTH IN E-COMMERCE (2)

(1) Like-for-like.
(2) Like-for-like growth, including distributor feedback and L’Oréal estimates.

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How would you sum up 2014?

Despite a relatively unfavourable consumer market, L’Oréal UK had a dynamic year. Faced with contrasts in the beauty market between a fast-growing luxury sector and a sluggish mass-market, we strengthened our positions across all distribution channels and recorded strong performances from many of our brands. With growth at +4.4%(1), we outperformed the market.

(1) Like-for-like.

What are the growth drivers in the UK?

The UK is still one of the top places for beauty trends, especially in hair and make-up. The Consumer Products Division did particularly well with the high-profile launch of Ultimate Blends by GARNIER, and MAYBELLINE NEW YORK at +7.2% (1). Make-up boosted the growth of L’Oréal Luxe, with URBAN DECAY posting the fastest increase in this category. There is much interest for dermocosmetics in Britain, so prospects for the Active Cosmetics Division are very promising.

How is L’Oréal UK adapting to changes in its market?

The United Kingdom is one of the most sophisticated markets in Europe in terms of digitalisation, and e-commerce is growing fast. We have set up a dedicated team to seize all opportunities in this field. We are also modernising the way we organise our work, by offering our employees greater flexibility. “Nothing is impossible!” in the words of our recruitment campaign slogan.

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A SERIES OF UK SUCCESSES

Ultimate Blends by GARNIER
GARNIER launched Ultimate Blends in the UK, a “Blended for Britain” version of Ultra Doux, with specific fragrances and formulas. A resounding success for L’Oréal, with more than 13 million units sold in 2014 (1).

(1) Source: Nielsen data, 2014.

URBAN DECAY
The Californian brand was the fastest-growing in L’Oréal’s UK make-up portfolio. In 2014, URBAN DECAY opened 24 new counters in department stores, and its first European free-standing store at Covent Garden in London.

Women fragrances
2014 was a great year for women’s fragrances, with the high-profile arrival of Black Opium by YVES SAINT LAURENT and Bonbon, which confirmed the success of the VIKTOR&ROLF brand in the UK. Sì by GIORGIO ARMANI and “La vie est belle” by LANCÔME continued to accelerate and drive the growth of L’Oréal Luxe.

LA ROCHE-POSAY
In the UK, LA ROCHE-POSAY is one of the fastest-growing dermocosmetics brands. LA ROCHE-POSAY is benefiting from the enthusiasm of bloggers and British consumers for a brand that is dedicated to sensitive skin.

“WORK SMART”
IN TODAY’S WORLD

L’Oréal UK is introducing the “Work Smart” programme, a new flexible approach to work based on output rather than how much time is spent in the office. All employees, in cooperation with their managers and co-workers, can adapt their schedule to work at the place and time they are most efficient, as long as their objectives are met. The aim is increased employee commitment and engagement, and offering a modern workplace to increase the attractiveness of the group’s employer brand.