by Brussels – More than 250 guests flocked to the majestic Museum of History and Art in Brussels to help launch the Value of Beauty Alliance.
Among the attendees there on Wednesday evening were members of the European Parliament and the European Commission – whose hearts and minds the new alliance aims to reach in particular and the alliance was established to emphasize the importance of the value chain European beauties.
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The event was attended by beauty executives and journalists, who heard keynote speeches from Nicolas Hieronimus, chief executive officer of L’Oréal, and Vincent Warnery, CEO of Beiersdorf, as well as people from EU regulatory bodies.
The alliance is the brainchild of Hieronimus and Warnery, and includes four other founding corporate members – Givaudan, IFF, Kiko Milan and Ancorotti Cosmetics – whose executives were present to help launch a report entitled “What Is the Value of Beauty” present.
This means crystallizing the role of the beauty value chain for the economy and innovation of the European Union; society and culture, and health and well-being.
In his speech, Hieronimus said the alliance was “a very important milestone for the European beauty and personal care industry”.
“In an increasingly complex and uncertain world, the beauty and personal care industry is a very important contributor and growth channel for economies across the EU, with a value chain firmly rooted in Europe,” he said. “We are a powerhouse of science and innovation, a proud exporter of Europe’s cultural heritage and a leader in sustainability.
“And, of course, it is also an industry that brings well-being, happiness and self-confidence to millions of people around the world but, of course, also in Europe,” continued Hieronimus. “Despite this, however, our industry is often misunderstood and undervalued – seen as futile and superficial. I have heard that many times. As a result, we sometimes face increased challenges and complexities, including when it comes to regulations.
“So the Value of Beauty Alliance aims to change this situation,” he said. “Our objective is to reveal the beauty of our industry throughout our entire value chain, celebrate the positive impact of beauty and personal care, and unveil the ‘Value of Beauty’ report.”
Hieronimus said: “Tonight is the beginning of this journey. Our industry has a very sophisticated value chain, including farmers and research scientists, manufacturing, packaging suppliers and distribution.”
He explained that the original members of the alliance represent different aspects of the beauty sector.
“I would like to welcome all members of our extensive value chain, industries and associations to join this Beauty Value Alliance,” said the executive. “Together, we will amplify our voices and demonstrate the socio-economic importance of our industry in Europe.”
The beauty and personal care industry is a major contributor to Europe’s economic value and an important engine of growth, Hieronimus continued. The EU beauty market would be worth 74 billion euros in 2022, equivalent to generating 200 million euros per day.
“This shows how much beauty is valued by EU consumers, with 80 per cent saying it is very important to their lives,” he said.
Europe is a flagship market for “high-quality and highly desirable goods around the globe,” Hieronimus continued. “When we go to China, to the United States of America, the ‘made in Europe,’ ‘made in France,’ ‘made in Italy’ is making a big difference in terms of sales.”
In terms of sales, the EU beauty market ranks second, behind the US and ahead of China, despite having only a third of its population.
EU beauty exports will generate almost 24 billion euros in 2022. “France is the world’s largest exporter of beauty and personal care products,” said Hieronimus.
In 2023, this sector was the third largest contributor to the country’s positive foreign trade balance, behind aviation and wines and spirits.
It is estimated that beauty and personal care together bring at least 29 billion euros in added value to the European economy every year.
“The sector also supports the livelihood of millions of Europeans, whether they are self-employed or work in companies as diverse as SMEs or large multinational corporations, such as L’Oréal,” explained Hieronimus. “In fact, across the EU, the sector will employ over 3 million people in 2022. So the beauty and personal care industry [a cornerstone] of the European economy, a staunch supporter and beneficiary of a single market, and supports millions of European citizens.”
He described how the sector is a cradle of scientific progress. “Not only can innovation offer consumers a wide range of products, increase product performance and improve the environmental footprint of our industry, it can also help ensure that the EU remains at the forefront of competitiveness through economic prosperity combined with scientific intelligence,” said Hieronimus. . “In addition to driving business results, all companies now have a responsibility to consider their impact on society and the environment.”
He said the beauty industry has long been committed to protecting the planet and its people, working on sustainable solutions across its value chain.
Hieronimus indicated that the efforts were recognized, and in 2022, five beauty companies were among the 13 that received a triple-A rating from the TTF, out of 15,000 competitors.
“We also understand that we have a responsibility for human rights across our diverse ecosystem, including working with suppliers who promote ethical and responsible practices and advocate for fair working conditions,” said Hieronimus.
“The beauty and personal care industry is as embedded in our consumers’ daily lives as almost any other industry,” continued Warnery.
He cited a survey that said the average European consumer uses more than seven beauty and personal care products every day, and almost 13 different products on a weekly basis.
Today almost 2 billion people worldwide experience skin conditions such as acne, eczema and skin cancer, and the number of these cases is constantly increasing. In Europe, up to 90 percent of the population claims to have some skin sensitivity.
The beauty and personal care industry plays a vital role in helping alleviate such conditions, which can affect the emotional well-being of patients, according to Warnery.
Sunscreen, for example, helps fight melanoma. Cases of this are increasing and it has an impact on the European healthcare system, which in 2020 had to pay around 2.7 billion euros in treatment costs alone.
Beauty and personal care products not only play a role in physical health, but also in emotional well-being.
“The beauty industry also plays a role in connecting European citizens to their shared cultural heritage,” said Warnery, referring to the example of fine fragrances. “The beauty and personal care industry helps to export the diverse skills of European know-how, culture and heritage around the world.”
He said the industry is also helping to foster a more diverse and inclusive society.
“The beauty and personal care industry is a dynamic and ever-changing sector fueled by relentless innovation. With a strong focus on sustainability this vast and diverse ecosystem stretches across Europe,” said Warnery.
He invited the Alliance to new companies and associations working in the value chain. “This is an open platform,” Warnery said.
Starting next week, the alliance will begin its positioning campaign and will provide regular updates on its activities and progress throughout the year.
“Symbolically, it is important to be here in Brussels today, because this alliance is part of the solution to get better synergies between the main actors, including European decision makers,” said Warnery. “The future looks great for our industry. The main categories of fragrance, hair care, skin care and makeup are expected to grow by around 4 to 6 percent annually, adding billions to the European economy.
“With the support of all stakeholders, we must ensure that we do not fall behind, but continue to increase our competitiveness also at the global level, so that we can leverage the full potential of our industry,” he said. .
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