Wednesday, December 2, 2009

L'Oreal: Because You're Worth It


L’Oreal is the world’s largest cosmetics and beauty company and includes products that range from makeup and perfume to hair and skin care products. L’Oreal produces several well-known brands such as Lancôme, Maybelline and Redken. L’Oreal’s mission is to “help men and women around the world realize that aspiration, and express their individual personalities to the full.”
The early beginnings of L’Oreal started in 1907 when a hair color formula was developed in France. Eugène Schueller was a young French chemist who developed this hair color in his home and then sold the finished products to local hairdressers, with the only colors available being fiery red or coal black. In 1909 Schueller eventually formed a company for his products and registered it under the French name “Société Française de Teintures Inoffensives pour Cheveux,” meaning “French Society for Inoffensive Hair Dye.”
The 1920’s began L’Oreal’s growth spurt. By now, L’Oreal’s products were available in a total of 17 countries all over the world with a mere three employees working for the company. The end of World War I also played a big role in the success of L’Oreal due to the fact that women were taking more pride in their looks and shapely and bolder color hairstyles were the latest fashion.
Because of their widespread growth, the number of employees at L’Oreal increased by thousands over the next several decades and the company continued to grow. Today, L’Oreal is the producer of a wide range of products and is working on new ones every day.
L’Oreal is noted for its involvement within the community. They have launched worldwide campaigns throughout several different countries to help the communities around them. They have also taken initiative to help the community from within their own workplaces. As stated in a 2008 company report, last year L’Oreal cut their overall energy use by 3.6% and they cut their water use by 6.9%. Their Green House Gas (GHG) emissions were cut by 6.6% and their waste was cut by 4.9%. These are some of their major ways that they have cut back in their own workplace with an entire list located on their website.
L’Oreal plays a big role within their local communities. On their website, people can find an entire portion that is dedicated to local initiatives and how they are giving back to the community. At the factory in Indonesia, L’Oreal has increased their product output by 62% while at the same only increasing their energy consumption by 29%. This has done a lot to help this area and was achieved by making small changes within the factory.
In Europe, L’Oreal has started a Promoting Diversity Laboratory. This lab includes 15 international companies as well as several associations who are all proactive in the fight against all types of discrimination. Organizations that are involved include the European Network Against Racism (ENAR), the International Lesbian and Gay Association and the European Disability Forum.
In the United States, L’Oreal implemented their first Employee Volunteer Day in New York in 2006 to help support the communities where the company does business. They partner with volunteer group, New York Cares that matches available volunteers with the charities who need them. In Cranbury, New Jersey, L’Oreal’s local employees have raised money for breast cancer research since 2004. This specific distribution centre lost two employees to the disease and ever since have been supporting the Susan G. Komen Breast Cancer Foundation. They have hosted “Because Your Dog is worth It Too,” the charity event that brought together over 5,000 people and 2,600 dogs. At the event, pet owners could have a fun-filled day with events such as a costume contest for their pet, a dog wash and dog diving into a pool. In 2007, this event raised over $65,000 for breast cancer research and over the last four years they have raised over $225,000.
L’Oreal is also very involved in the fight against Ovarian Cancer. They have been involved with this since 1997 and over the years have raised more than $18 million dollars for the fight. They help to promote awareness of ovarian cancer as well as promoting advances in research. To support their involvement with this cause, L’Oreal has created a line of makeup that is called the “Color of Hope” cosmetics collection with $1 from the sale of each item going to the Ovarian Cancer Research Fund (OCRF).
Another great way that L’Oreal has become involved in the community is with their Women of Worth program. With this program L’Oreal recognizes, celebrates and supports women who make a difference within their communities. This program celebrates women all over the United States who are helping to better their communities.
Strengths of L’Oreal’s involvement in the community include, first of all, that they take initiative worldwide. They don’t just focus on one town or community; they do what they can to help each of their communities and benefit them in a positive way.
One weakness that definitely could have hurt this company if they had not changed is that they once tested their products on animals. Fortunately L’Oreal chose to stop this in the late 80’s and they have not tested their products on animals in over twenty years.
Opportunities for this company are far and wide. Because L’Oreal produces such a wide variety of products, they have the opportunity to excel in each product line. They have already created a new line of hair-care products called Ever Pure, which is a 100% Vegan product. They have also come out with more pure lines of makeup and they have the opportunity to create “cleaner” products with any of their product lines and also products that support local causes.
The only threats that could be possible for this company is the other cosmetic and beauty companies that they are in competition with. L’Oreal will have to continue their great community involvement in order to stay in top in this competitive industry.
As a whole, L’Oreal is giving back to the community in a large number of ways. They are doing all they can to ensure that consumers associate their name with a positive connotation. By getting involved worldwide, they have proven that they are her not only to sell their great products, but also that they truly want to help those around them.

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