Every year, the Brand Finance consulting firm publishes the Brand Finance Cosmetics report, which lists the 50 strongest cosmetics brands. It probably won’t surprise anyone that L’Oréal remains the world’s most valuable cosmetics brand. The fastest growing, however, is Estée Lauder.
L’Oréal’s value increased by 10 percent to $11.2 billion and remains the world’s most valuable cosmetics brand. After a difficult two-year pandemic that significantly reduced cosmetics sales worldwide, the value of the L’Oréal brand has almost returned to its pre-pandemic value.
L’Oréal remains a leader in the global cosmetics industry thanks to its valuable brands, led by the L’Oréal Paris brand. The French brand has built significant value over 100 years of operation.
But the fastest growing brand is Estée Lauder, whose value is up 39 percent this year to $7.9 billion, and jumped three places from 5th in this year’s ranking to become the second most valuable cosmetics brand in the world. In doing so, EL overtook Gillette (brand value down 8 percent to $6.9 billion), Nivea (brand value up 10 percent to $6.8 billion) and Guerlain (brand value up 8 percent to $6.1 billion) in the valuation.
Fresh from celebrating its 75th anniversary, Estée Lauder is investing in innovative technological solutions focused on improving sustainability, with a particular focus on reducing plastic consumption.
In addition to calculating brand value, Brand Finance also determines the relative strength of brands using metrics such as marketing investment, stakeholder capital and business performance. Brand Finance includes original market research data from more than 100,000 respondents in more than 35 countries and nearly 30 sectors.
Natura, whose brand value increased by 17 percent to $2.4 billion, is the strongest brand in the cosmetics ranking with a Brand Strength Index (BSI) score of 91.5 out of 100 and a corresponding AAA+ brand rating.
Natura’s brand strength is bolstered by South American respondents. The brand benefits from both local patriotism and the belief among many consumers that the brand cares about local natural heritage, such as the Amazon rainforest.
Lifebuoy (owned by Unilever), on the other hand, enters the Top 50 ranking with its hand sanitizer and soap. The brand’s value rose 27 percent to $0.7 billion) made the Brand Finance Cosmetics 50 list for the first time. Lifebuoy was the second fastest-growing brand after Estée Lauder. The brand responded to strong global consumer demand for hygiene products in response to the pandemic.
Lifebuoy benefits from its presence in the Unilever portfolio, and this has enabled it to gain wide distribution to supermarkets around the world.
