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L’Oréal harnesses AI for virtual beauty assistant

Image © L'Oréal

Lore, a beauty advisor powered by a conversational AI platform, has been introduced by L’Oréal to offer its customers tailored product recommendations.

Created in partnership with NTT DATA, Lore is designed to allow hyper-personalised communication with each customer based on natural language, just like a human being.

At the core of the solution is Eva, a conversational AI platform. Eva also integrates the power of the latest Open AI technology to deliver a solution that can understand written and spoken conversations with fluency.

Lore makes recommendations to customers and advises on beauty products based on their needs, redirecting them to the brand’s online store, or even letting consumers shop within the same application. 

Francisca Unda, key account manager at L’Oréal, explained that Lore “was the opportunity to better connect with our customers, making them feel truly supported and humanising the service, with empathy and containment.”

A retailer case study in the RetailX Beauty and Cosmetics 2023 report tracked how L’Oréal continues to strengthen its position as a beauty technology powerhouse. Its Research and Innovation team currently comprises 5,500 tech and digital professionals.

In 2023, the beauty retailer reported continued growth. Group sales increased by 14.6% to €10.38bn in the first quarter, with L’Oréal outperforming the market in all geographies. Sales were particularly strong in South Asia and the Middle East/North Africa as well as in Latin America.

“This performance demonstrates the strength of L’Oréal’s balanced multipolar model,” said Nicolas Hieronimus, CEO, L’Oréal.

“Mindful of the current uncertainties, we remain optimistic about the outlook for the beauty market, ambitious for the future and confident in our ability to keep outperforming the market and achieve another year of growth in sales and profits,” he added.

Future growth in the luxury division will be accelerated by L’Oréal’s acquisition of Australian, clean beauty brand Aēsop. The brand, which was previously owned by Natura & Co, is known for its skin, hair and body products.

L’Oréal is one of six beauty retailer profiled in the RetailX report. Download the full report for a look at Amorepacific, Charlotte Tilbury, Douglas, L’Occitane and Sephora. The sector report also examines the beauty & cosmetics sector as a whole, the extent to which consumers are shopping online around the world, developments over the last year and the trends that will continue to drive ecommerce forward.

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