Skip to main content
BoF Logo

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

L'Oreal to Collaborate With Paris-Based Beauty Start-Ups

L'Oreal has opened a beauty workshop, where it will develop new tech products like sensory hairbrushes with 10 start-up brands as it looks to ramps up its digital inventions.
L'Oreal | Source: Reuters
By
  • Reuters

PARIS, United States — L'Oreal, the world's biggest cosmetics company wants to see more beauty tech like sensory hair brushes that tell you how to care for your hair, and skin patches that let you know how much sun you are getting.

So it said on Friday it was launching a programme of start-up collaborations in Paris as it ramps up digital investments and seeks out new beauty products like its "smart" hairbrushes.

L'Oreal makes an ever greater slice of sales online and has rolled out services and items for tech-savvy consumers, such as a phone app for virtual make-up tests.

The French group said it was looking to develop more inventions at a site for start-up companies in Paris, where 10 to 12 firms will work on projects with L'Oreal every year.

ADVERTISEMENT

"The world of beauty has already become very digitalised ... this will allow us go even further than what we do today," L'Oreal chairman and chief executive Jean-Paul Agon said, at a reconverted 1920s railway depot in Paris that now houses a start-up campus.

Known as "Station F" and launched by billionaire businessman Xavier Niel, it will now have a L'Oreal workshop.

Agon did not say how much L'Oreal had invested so far in start-up ventures and online development, but said the group's budget for all things digital was growing fast.

L'Oreal now spends 35 percent of its media budget on digital campaigns and had recruited 1,700 people to work in this area, he said. Five years ago staffing in this section was closer to 150.

L'Oreal derives about 7 percent of its revenues — which totalled €13.4 billion ($15.8 billion) in the first half of the year — from online sales, up from just over 5 percent in 2015. It has not disclosed online growth targets.

The company has already invested in London's Founders Factory, a so-called start-up incubator, last year, and it has its own innovation programme in San Francisco.

Products developed there include an electronic UV skin patch that measures exposure to the sun.

Aside from seeking new technology, such as developments in artificial intelligence or voice recognition software, L'Oreal will also work with start-ups developing new beauty products, be it creams or make-up, the company said.

ADVERTISEMENT

L'Oreal's push comes as Paris seeks to overtake London as a leading European tech centre for investors and inventors, in a "start-up nation" championed by France's pro-business president Emmanuel Macron.

"We're also happy to be contributing to that project," Agon said. L'Oreal is France's fourth-largest listed company.

By Sarah White; Editors: Dominique Vidalon, Jeremy Gaunt
In This Article
Organisations

© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from Technology
Analysis and advice on how technology is disrupting fashion and creating new opportunities.

Meeting Consumer Expectations Through Augmented Reality, In-Store and Online

Zero10 offers digital solutions through AR mirrors, leveraged in-store and in window displays, to brands like Tommy Hilfiger and Coach. Co-founder and CEO George Yashin discusses the latest advancements in AR and how fashion companies can leverage the technology to boost consumer experiences via retail touchpoints and brand experiences.


view more

Subscribe to the BoF Daily Digest

The essential daily round-up of fashion news, analysis, and breaking news alerts.

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON
The Business of Beauty Global Awards - Deadline 30 April 2024
© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions, Privacy Policy, Cookie Policy and Accessibility Statement.
The Business of Beauty Global Awards - Deadline 30 April 2024