Organizational Strategy - Sustainable Development - L'Oréal

5 L’oréaL - GrI DaTa SHEETS 2011
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sPONsORsHIP: GROUP sUbsIDIaRIes MaKe COMMITMeNTs TO THeIR COMMUNITY aND FIGHT aGaINsT INseCURITY bY PROVIDING
WORK TO THe MOsT DIsaDVaNTaGeD.
L’oréal has always fought against exclusion and insecurity, especially by training less favoured groups in the beauty industry. a strong
group commitment to give back material independence and a future to the most vulnerable. Group subsidiaries have therefore launched
example initiatives, like in Vietnam, where the “beauty for a Living” programme has already allowed 120 less favoured women, victims
of violence or insecurity, to be offered training as hairdressers. a joint initiative with the Polytechnic University of Ho Chi Minh City, the
Women’s association, conducted with technical support from L’oréal Professional teams, which has enabled 12 graduates to open their
own salons and others to find work, increasing their income by a factor of two or even four times. The programme was welcomed by the
government. In Brazil, L’oréal concentrates its work on the young in the less favoured communities of Sao Paulo and rio de Janeiro, fighting
against the shortcomings in the education system. Its “oficina de Beleza” programme offers professional training as make-up artists and
hair stylists. apart from training, students benefit from networking opportunities and work with L’oréal partners in “Fashion and Beauty”
weeks or on television. 66% of the 130 young people trained have joined the job market. The subsidiaries also adapt to new needs in their
community. L’oréal Thailand thus extended its “Beautiful Tomorrows” programme, intended for women who are victims of violence to
those who have lost their jobs following the closure of factories caused by the floods in November 2011. This programme awards bursaries
for eight months of intensive training in beauty trades at Ketvadi-Gandini International Hair Dressing academy, in order to give them back
the stable resources which they need.
L’oréal Singapore is engaged with the National association for the Visually Impaired by offering make-up and care and “appearance
management workshops to these disabled people. In Japan, “100 Love Hands” gives hand massages to improve the well-being of women
suffering from cancer and to mothers of children with rare diseases. Insertion through the beauty trades is another strong commitment:
Through its “Beauty for a Living” programme, L’oréal Vietnam has helped 120 young women, since 2009, to escape from distress by training
them as hairdressers, allowing them to open their own salons or to find employment.
other countries undertake education for little girls, like, for the last three years, L’oréal Morocco, which has developed the “School for all”
programme with the INSaF association (National Institute for solidarity with Women in Distress), to promote the education of little girls and
fight against them being condemned to do domestic work. In 2011, workers also re-developed the premises of the Hsaine school in the
Chichaoua region, that teaches 270 pupils.
L’oréal entities also make commitments to emergency programmes. In Thailand, during the recent floods that struck the country, L’oréal’s
local teams assisted 10,000 victims in emergency centres in the capital, by distributing emergency hygiene products and offering haircuts.
In the longer term, the subsidiary is committed to extending its training programme in the beauty trades, initially intended for women who
are victims of violence, to those who lost their jobs due to the factory closures resulting from the floods.
Key figures: In 2011, L’oréal invested €33,208,098 around the world (other than sponsoring), allocated as follows:
• Foundation: €8,140,848
• Corporate: €11,221,376
• Brands: €13,845,874
Three main areas of action:
• Science: promoting careers for women in science
• Solidarity: assisting the most vulnerable to rediscover dignity and self-confidence
• Education: making education more accessible
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TOWaRDs beTTeR aCCess TO THe PRODUCTs
Today, the western world is no longer the most dominant market for the cosmetics industry. To attract new consumers, while ensuring
that products are accessible to them, requires constantly working on the economic suitability of the offering to the diversity of local
populations. Taking the local specifics of different markets into account has a change effect on the design work done by teams. To best
adapt the product offering to consumers’ requirements, the directors of subsidiaries and the local marketing departments now work
closely with Product Development and Packaging teams. actually, accelerating innovation for new markets such as India, the Philippines
and other aSEaN countries, requires knowledge of specific market requirements: for example, the right format for the product, the right
process and ad hoc distribution.
To adapt to south asian markets like Thailand, for example, L’oréal had opted initially for essentially urban distribution in hypermarkets. The
launch of 10 g sachets, distributed in a large number of rural superettes enabled a strong acceleration of growth and, today, the group
is the leader in skin care. This small-size packaging fits with consumers’ purchasing power, some paid by the week, as in the Philippines,
where everything is in sachets, from facial care to cigarettes. In India and in Indonesia, shampoo in 80 ml bottles is the most popular.
In parallel with these low-paid populations, a huge explosion of the middle classes in the big cities means that consumers are aspiring to
beauty practices of a higher quality or with a greater frequency. To meet these needs, the ranges grow in parallel, both in bottle size but
also in brand sophistication. In the New Markets, only China started with a less strong demand for sachets and with distribution provided by
a more developed infrastructure. But the growth dynamic there is the same as in other countries. It results in greater consumption, greater
appetite and more interest in the appearance of products. Close cooperation between the local marketing department and the Product
Development and Packaging teams allows the offering to be better adapted.
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