Monday, May 9, 2016Sector

L’Oréal Paris remains the most valuable cosmetics brand

© L'Observatoire des Cosmétiques

Every year, brand valuation and strategy consultancy Brand Finance analyses thousands of the world’s top brands to determine which are the most powerful and most valuable. The top cosmetics brands grouped in the Brand Finance Cosmetics 50. In 2016, L’Oréal Paris is the most valuable cosmetics brand for the third consecutive year.

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L’Oréal Paris remains the world’s most valuable cosmetics brand. A 22% increase on its 2015 brand value* brings the total to US $13.7bn, a record for the industry. It also has the strongest brand; Brand Finance creates a Brand Strength Index (BSI) score out of 100 for each brand based on indicators such as familiarity, consideration, loyalty, investment, social responsibility and preference. L’Oréal Paris’ score is 91.5, making it not just the strongest cosmetics brand, but the third strongest from any industry, beaten only by Disney and Lego.

Commenting on the label’s strong performance, Brand Finance ’s Cosmetics Analyst Emilie Milton-Stevens stated, 'L’Oréal Paris continues to impress: bettering itself and raising its game the whole time. It is performing well in three key respects: it is investing in trends and technology; it is innovating digitally; and it continues to inspire trust. Across the Brand Finance Cosmetics 50, brands based outside the US have been negatively impacted by foreign exchange rate changes, but L’Oréal revenue and brand performance was so strong that it not only counteracted that impact but actually grew 22%.'

Brazilian brand Natura did not experience the same good fortune this year. 81% of the brand's revenue comes from …

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