How L’Oréal is leveraging generative AI to transform its marketing

Good businesses are always looking to use the latest technologies to transform. For decades, L’Oreal Group is a leader in the beauty space and is now looking to use AI to revolutionize the industry.

With 37 global brands, the company meets the needs of contemporary consumers using innovative marketing and cutting-edge technology. L’Oréal is adopting generative artificial intelligence, transforming the way it interacts with its customers.

Through partnerships with technology companies such as Nvidia Corp. and experimentation with more than 800 AI-generated beauty images, L’Oréal explores new beauty paradigms. The company envisions a future in which mirrors are digitally connected, beauty products are driven by technological innovation, and robots operate salons. This AI-driven vision was described during a recent Nvidia GTC 2024 sessionwhere Asmita Dubey, Chief Digital and Marketing Officer of L’Oréal, shared her views on how generative AI is being used to augment marketing in the beauty industry.

Dubey said that by integrating generative AI into its operations, L’Oréal is focusing on three key areas: science, technology and creativity. This includes the company’s Generative AI Working Group and the GenAI Content Lab. The working group is responsible for a framework outlining the “guardrails” and “dos and don’ts” of generative AI. At the same time, the content lab serves as an innovation hub to “spur creativity” through technology.

Specifically, the Generative AI Working Group identifies potential applications and use cases for the technology within the organization. He is also responsible for upskilling employees to ensure they have the knowledge and skills needed to leverage AI effectively. Finally, it fosters a community within L’Oréal that spreads knowledge about AI throughout the organization.

The GenAI Content Lab is a space for creative experimentation to produce beauty content. It encourages collaboration through a network of partners and explores service models for AI-enhanced creativity. The GenAI Content Lab also establishes guidelines and ethical standards for the use of AI. For example, L’Oréal does not use AI-generated images of faces, skin, bodies or hair to falsely market its products. Instead, the company uses AI internally for brainstorming, design and planning.

By experimenting with generative AI, L’Oréal produces relevant and engaging marketing content. The technology has proven effective in resizing product photos and producing backgrounds, significantly reducing the resources required for traditional photoshoots. Beyond still images, L’Oréal is also exploring video generation to improve visual marketing.

L’Oréal uses Nvidia’s Omniverse platform for creating detailed 3D models of its products, which can be placed in various contexts and settings. The benefit is twofold: it significantly reduces the time and resources traditionally spent on photoshoots while providing flexibility in presenting products across different media platforms.

Omniverse allows easy contextual adjustments to make images more suitable for social media and e-commerce. For L’Oréal, it was a game-changer in the fast-paced world of beauty marketing, according to Dubey.

“We believe technology can push the boundaries of what is possible,” Dubey said. “We can cater to the endless diversity of beauty needs and as a result, we also provide our consumers with premium beauty services. We know that 70% of consumers are overwhelmed by the amount of beauty choices, which is why we offer beauty services that can help them navigate them.

One such service is Beauty Genius, a virtual beauty advisor that makes it easier for consumers to choose beauty products. Built using AI and augmented reality technologies from ModiFace, a company acquired by L’Oréal in 2018, Beauty Genius offers personalized skin analysis and allows users to “try on” makeup virtually. It also provides personalized product recommendations, selecting from over 750 skincare, makeup, and haircare options. Finally, by selecting content from L’Oréal brand websites and social media, Beauty Genius is an educational resource that provides consumers with beauty tips and tricks.

L’Oréal is adapting to developments in content creation by partnering with more than 50,000 influencers and creators who are experts in AI, AR, virtual reality and 3D modeling. These partnerships are global, with a strong presence in markets like China. They cover popular platforms such as Meta Platforms Inc.’s Facebook and Instagram, TikTok and Snapchat, reaching a wide range of consumers.

Moving forward, L’Oréal is focusing on three areas: improving technology readiness, ensuring AI is adaptable and modular, and effectively managing brand data. The goal is to merge human creativity with AI and personalize beauty through technology. According to Dubey, this shows L’Oréal’s commitment to using emerging technologies to lead the beauty industry and provide consumers with tailored beauty services.

One of the themes of GTC was that AI would change every aspect of our lives, and the show featured many use cases in healthcare, smart cities, and scientific discovery. I liked L’Oréal’s presentation because it shows how GenAI can be easily used by the general public to change the way consumers interact with the brands they love and use every day.

Photo: L’Oreal