China Daily Global Edition (USA)
L’Oreal staff witness to firm’s huge growth
Those who have worked for beauty giant L’Oreal have not only witnessed the company’s growth in China in the past two decades, but more importantly the development of the Chinese cosmetics and skincare industry as a whole.
Ma Xiaoyu, currently general manager of Lancome at L’Oreal China, joined L’Oreal in 1997. In the past 20 years, she has witnessed each of the three development stages of the high-end cosmetics business in China.
The period between 1996 and 2004 saw brands battling for fame, according to Ma. At that time, high-end cosmetics were hardly heard of and prices were higher. But, China’s economy was developing in leaps and bounds, which provided enough room for Lancome to begin to grow.
“We did the right thing at the right time. Lancome chose the right time to build its name and get itself deeply rooted in consumers’ hearts,” saidMa.
The second stage, as Ma explained, was when consumers were no longer satisfied with just knowing the brand but were asking for more signature products. It was during this period that Lancome made its Absolue series better-known in China.
“Now Lancome has entered the third stage when we are able to come up with chic new products according to changing consumer needs and market trends. We have reached the target of becoming the number one high-end cosmetics brand in China. We have made it,” she said.
In a company note, released in 2016, L’Oreal stated that the growth of its highend ranges has doubled in the past decade. Lancome has been the fastest growing brand under L’Oreal, increasing by 12 percent annually. According to international data provider iziRetail, the sales revenue of Lancôme reached 3.5 billion yuan ($503 million) in 2015, which made it the unparalleledNo 1 high-end brand in China.
Lan Zhenzhen, vice-president of communications and corporate affairs at L’Oreal China, is driven by a different dream. The reason Lan joined L’Oreal 25 years ago, is her lifetime pursuit of beauty.
She said: “When I was at university, I used to varnish my nails under the covers before going to sleep. After the lights went out, I would switch on a torch to appreciate them, then I would remove the varnish and go to sleep very happy. Unfortunately, at that time the pursuit of beauty was not encouraged.”