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Skincare Products Get A New Lease On Life Around The Globe

L'Oréal sees the skincare market reviving globally, especially in China, and that’s a “good phenomenon,” according to CEO Jean-Paul Agon. Skincare sales at the company are up by single-digit rates. Active Cosmetics was its second-biggest growth story in the first six months of the year, behind L’Oréal Luxe, which grew 15.4 percent. The consumer division, however, was its second-weakest in the first half of fiscal 2017, with sales up 3.8 percent to about $6.4 billion, hurt particularly by mass market makeup in the U.S. L'Oréal thinks the reasons might be “a certain transfer into higher-price items and maybe a reallocation of [consumer] spending" to different categories. [ Image credit: © Shanghai Daily  ]

"L'Oréal Benefits From 'Skin-Care Comeback,' With Mass Makeup Slowing", Rose Sheet, September 08, 2017

Acquisitions, Divestitures, Keep L'Oréal Growing

L'Oréal is rapidly gaining on household and personal products market leader Unilever in the international top 30 companies list compiled by Happi.com. Despite the company’s agreement to sell The Body Shop to Natura – “the best new owner we could imagine to nurture the brand,” said CEO Jean-Paul Agon – the company grew in size after acquiring CeraVe, AcneFree, and Ambi from Valeant for $1.3 billion. Last year, L'Oréal acquired IT Cosmetics for $1.2 billion and Atelier Cologne. The Active Cosmetics unit, parent of CeraVe and other product lines, saw sales rise 5.7 percent, driven by a 12 percent increase in La Roche-Posay sales. The division is also ramping up efforts to reduce skin cancer with an array of sun care products. [Image credit: © ...  More

"The International Top 30: An emerging trend", News release, Happi.com, September 01, 2017

Americans Are Woefully Ignorant Of How To Properly Wash Their Faces

A national survey sponsored by L’Oréal’s CeraVe skincare brand found that 80 percent of Americans are not cleaning their faces properly, making mistakes like using bath wash or hand soap, water alone, or not washing at all. The survey of 1,000 adult Americans found that 60 percent feel uninformed about proper skin cleansing methods. Nearly two-thirds had no idea what ingredients to look for when purchasing a facial cleanser, and fewer than 10 percent had heard of the skin ingredients called ceramides – a key ingredient of the CeraVe line of products – that restore moisture and strengthen the skin barrier. A N.Y dermatologist said the results are “troubling” but not surprising. [ Image credit: © Dr. Cynthia Bailey  ]

"National Study Reveals Up to 80 Percent of Americans Wash Their Face Incorrectly", News release, CeraVe, September 01, 2017

L’Oreal Seeks U.S. Marketing Chief For CeraVe Products

L’Oreal is looking to hire a New York-based marketing manager for its CeraVe anti-aging cosmetics line. The company’s help-wanted ad describes a manager who will create and execute sustainable, consumer-centric plans involving all elements of the marketing mix; launch new products; coordinate U.S. marketing campaigns; and conduct routine business analysis, among other responsibilities. The company prefers someone with an MBA, but at least an undergraduate marketing degree, and several years’ experience. [ Image credit: © CeraVe  ]

"JOB POSTINGS: Manager, Marketing – CeraVe", L’Oreal, August 18, 2017

CeraVe Achieves Cult Status On Social Media

L’Oréal’s CeraVe is the drugstore skincare brand that is followed closely on Reddit’s huge Skincare Addiction thread patronized by dermatologists, experts, and full-blown skin care lovers. It has turned CeraVe into a “legit cult-favorite and desert-island necessity.” Launched in 2005 with a cleanser, moisturizing lotion, and moisturizing cream, the brand has expanded to include a full line of moisturizers, cleansers, body washes, and SPFs. Visitors to the Skincare Addiction thread on Reddit focus on CeraVe’s ability to get rid of stubborn breakouts and moisturize oily skin without aggravation. A key to the success is CeraVe’s low-cost, easy-to-find products that work with all skin types. [ Image credit: © Wikimedia  ]

"How CeraVe Became the Internet’s Cult-Favorite Drugstore Brand", stylecaster, August 05, 2017

Procter & Gamble Cuts $140 Million From Digital Advertising Spend

Procter & Gamble reduced spending on digital advertising by $140 million in the second quarter of 2017. With the company reporting no adverse impact on revenue performance during the quarter, marketers have to ask their marketing and media agencies some questions, including how they are measuring the effectiveness of digital marketing spending. Also, clients need to understand the methods used by digital and publishing partners to measure the effectiveness of digital campaigns.

"P&G'S $140 Million Lesson on Transparency", Advertising Age, August 03, 2017

Active Cosmetics Are A Rising Star In L’Oréal’s Firmament

L’Oréal’s half-year financial results shed some light on the hot “active cosmetics” trend in the beauty industry. The company’s Active Cosmetics Division showed a sales growth rate of 11.1 percent through the end of June, and 4.6 percent like-for-like. Profit was 26.7 percent, compared with 27.7 percent a year ago. The division includes brands with derma/pharmaceutical profile and image, and are sold in healthcare outlets. They include Vichy, La Roche-Posay, and SkinCeuticals, “dermocosmetics” developed and endorsed by dermatologists, pediatricians, cosmetic doctors. North America is the number one contributor to the division's growth, reflecting the successful integration of CeraVe into the portfolio, and the dynamism of SkinCeuticals and ...  More

"Spotlight on active cosmetics: growth accelerating as trend becomes mainstream", CosmeticsDesign-Europe.com, August 02, 2017

L’Oréal CEO Says CeraVe Line Doing Well, Will Expand To Europe In 2018

In a conference call with analysts in June discussing six-month sales and profit performance, L’Oréal CEO Jean-Paul Agon [left] commented on the progress of its newly-acquired CeraVe skincare product line. According to Agon, CeraVe is “already contributing with double-digit growth” in the U.S. market. And the company’s globalization strategy includes a plan to expand CeraVe to Europe beginning in mid-2018, “because we need some time to adapt the formulations for Europe, but it would be deployed next year.” CeraVe was acquired from Canada’s Valeant in March 2017 and is now part of the fast-growing Active Cosmetics division. [ Image credit: © L’Oréal  ]

"L'Oreal's (LRLCF) CEO Jean-Paul Agon on First Half 2017 Results - Earnings Call Transcript", Seeking Alpha, July 28, 2017

 
Companies, Organizations  

L'Oreal India Poaches Vodafone's Media Chief Neel Pandya

L'Oreal India has named Vodafone India's national media and digital head Neel Pandya as its new national head of media. Neel joined Vodafone in 2014 as media manager and was promoted to national media and digital chief in 2016. He managed the launch of the telecommunications company's launch of a Twitter Brand Emoji, India's first, for Vodafone's IPL Campaign in 2016.

"Exclusive: Vodafone’s National Media Head Neel Pandya Joins L'Oréal India", adageindia, August 11, 2017

Marketing & Advertising  

The Body Shop Launches Natural Hair And Scalp Care Product In Sri Lanka

Beauty retailer The Body Shop has launched the Fuji Green Tea Cleansing Hair Scrub haircare product in Sri Lanka. Inspired by a combination of Japanese green tea, mint menthol, salt crystals, and Community Trade honey from Ethiopia, the product is designed to deal with scalpcare problems caused by exposure to heat, pollution, and other harmful external factors. Faithful to the company's “Enrich, not Exploit” corporate principle, the product's ingredients are fully vegetarian, free from parabens, and sourced from sustainable suppliers.

"Refreshingly clean hair with The Body Shop’s Fuji Green Tea Hair Scrub", Daily Mirror, August 17, 2017

Dove Spotlights Shonda Rhimes-Led Crew in Emmys Ad

Advertising Age, September 13, 2017

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