Innovating With AI And AR, L'Oreal Occupies First Position In The 2024 CPG Category IMD Survey

JAKARTA International Institute of Management and Development (IMD), a business educational institution in Switzerland, released the results of the 2024 Future Readiness Indicator (FRI) survey to rank the company. Of the many existing categories, LOreal was selected in the Consumer Package Goods (CPG) category as the first rank. With a score of 100, this cosmetic and beauty company outperforms Coca-Cola, Nest▁merugikan, to Unilever. Loreal was selected as first-ranked because it used technology properly. The company combines Augmented Reality (AR) and Artificial Intelligence (AI) in providing product recommendations, skin diagnostics, and virtual product trials. The application of technology for product purposes is a good step and is deliberately chosen by the company. The reason is, consumer demands undergo changes and they are more interested in the experience specifically designed. In utilizing technology, L'oreal uses data as a basis for making decisions, another designation for driven decision-making (AR) data. For example, the company performs social listening to analyze the buyer's habits. Social listening is also done to determine the next product line, marketing campaign, and supply chain optimization. This one way helps the company gain more insight into consumer behavior. Moreover, L'Oreal also uses omnichannel marketing strategies and provides convenience for online shopping and offline for consumers. With this entire business strategy, L'Oreal was selected as the first company in the CPG category.