What beauty empire is the highest valued company?
L’Oréal. Valued at US$12 billion.
L’Oréal (brand value up 7% to US$12 billion) reigns supreme as the overall winner in the Brand Finance Cosmetics 50 ranking. As one of the world’s most popular and well-known cosmetics brands, L’Oréal operates in over 150 countries and has a global portfolio of over 30 brands.
In its analysis, Brand Finance has determined that the key measures of familiarity and consideration towards L’Oréal have increased. This increase may be attributed to the company’s digital marketing strategies and enhanced online presence. By leveraging its enormous social media following, (over 10 million followers on Instagram and 438k+ followers on TikTok) the brand has enhanced its familiarity amongst younger consumers, producing visually appealing content that is often led by popular influencers. Further, L’Oréal also boasts an innovative and continually expanding product range, a key attribute identified in the investment pillar of its brand strength.
Following the appointment of a new CEO in June 2022, Nicolas Hieronimus, L’Oréal has also expanded its efforts in digital transformation and sustainability.
“L’Oréal has once again come out on top, and Hieronimus has an ambitious and strategic vision for the giant’s future. TheL’Oréal brand must continue to prioritise innovation, sustainability and digital transformation as it continues to expand its influence across the globe in the coming years,” said Annie Brown, Director of Brand Finance.
Who follows behind L’Oreal?
Maybelline and Dove are second and third fastest growing brands.
Maybelline’s brand value is up 30% to US$4 billion.
Dove has recorded the third fastest growing brand value this year, increasing 27% to US$6.5 billion. Dove has celebrated strong sales across the North American market thanks to the launch of its new refillable deodorants.
China’s CHANDO (brand value up 36% to US$1.3 billion) has taken the beauty world by storm with its innovative branding and unique products and this year is the sector’s fastest growing brand.
Estée Lauder’s performance this year has presented a stark contrast to its remarkable growth of 39% last year. The brand has experienced a 10% decrease in its brand value, which now stands at US$7.2 billion. This drop in value can be largely attributed to the COVID-19 related lockdowns in China, along with currency fluctuations and the unprecedentedly high inflation rate. Estée Lauder brands have also suffered. M.A.C (brand value down 19% to US$2.7 billion).
Every year, leading brand valuation consultancy Brand Finance puts 5,000 of the biggest brands to the test, and publishes over 100 reports, ranking brands across all sectors and countries. The world’s top 50 most valuable and strongest Cosmetics brands are included in the annual Brand Finance Cosmetics 50 2023 ranking.