Loreal 2013 Annual Report Download - page 67

Download and view the complete annual report

Please find page 67 of the 2013 Loreal annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 96

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96

REVIEW & OUTLOOK
How would you describe
2013 for Active Cosmetics?
2013 was a year of acceleration
for both the division and
thedermocosmetics market
(+5.0%(1)). At +7.8%(2), we
arecontinuing to clearly
outperform the market, and we
contributed to some 40% of its
growth(1). Dynamism is being
driven by the vitality of Western
Europe, and the acceleration
of China, the Gulf states and
Saudi Arabia, along with the
boom in the Americas Zone,
particularly in Brazil with
+21.1%(2). Our brands are
recording strong performances:
VICHY’s new strategy is proving to
be a winner, LA ROCHE-POSAY
hasagain posted double-digit
growth and SKINCEUTICALS is now
a reference in cosmeceuticals.
What are the trends in
the health and beauty
market?
Skincare is the flagship
category: growth of around
+6% peryear is expected over
thenext decade(3), with
growing demand for products
combining innovation and
efficacy with safety. This is
auniversal and persuasive
purchasing criterion for 65%
ofwomen(4). To respond to
thenew challenges of UV
protection, pollution and
allergies, the positioning of
ourbrands in the health-
beauty-safety territory is
crucial. Consumers are
seeking advice from
professionals, in sales outlets
as well as on the Internet.
Digitalisation is booming,
notably e-commerce.
Recommendations and skin
diagnostics are now available
through our mobile apps,
intensifying our relationship
with consumers and traffic
onour websites.
What will be the distribution
channels and medical
partnerships of tomorrow?
Pharmacies remain at the
heart of our business.
InWestern Europe, they
represent, with “para-
pharmacies”, some 25% of
skincare sales(1). More recently,
we have shown agility by
adapting our model to
theNew Markets’ realities.
Ourpresence is being
stepped up in drugstores,
shopping malls and
department stores where
weare creating dermacenters
which allow us to stage
ourbrands thanks to expert
dermo-advisors.
In the medical field,
dermatologists remain our
privileged partners. Butweare
convinced that ourmission is
broader-based and includes
new professionals:
paediatricians, general
practitioners, aesthetic
surgeons, nutritionists and
even oncologists.
+31.3%
INCREASE IN ACTIVE COSMETICS’
DIGITAL MEDIA INVESTMENTS (2)
(1) Source: 2013 L’Oréal estimates of the
worldwide cosmetics market in net
manufacturer prices. Excluding soap, oral
hygiene, razors and blades. Excluding currency
effects. (2)Like-for-like. (3)Source: L’Oréal/
McKinsey study 2012. (4)Source: Sensisurvey
IFOP, 8countries, March2013.
⁄ RESPONDING TO
THE QUEST FOR ADVICE,
EFFICACY AND SAFETY
BRIGITTE LIBERMAN
PRESIDENT
ACTIVE COSMETICS DIVISION
65