L’Oréal leads the pack on sustainability in the Cosmetics Industry, Brazilian Natura not far behind: Sustainability Outlook’s latest research finds out

2024-04-18 10:29:23 Lifestyle

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Sustainability Outlook has released Sustainability and Cosmetics: A Compendium of Global Cosmetics Industry Actions on Sustainability, an in-depth market assessment report, which analyses the performance of top 23 global cosmetics majors based on their disclosure against 56 sustainability metrics.

The companies surveyed include: AmorePacific Corporation, Avon, Beiersdorf, Colgate Palmolive, Dr. Bronner's, Emami, Estee Lauder, Henkel, HUL, Johnson & Johnson, Kao Corporation, Kose Corporation, L?Occitane International, L?Or?al, LVMH, Marico, Natura Cosm?ticos, Nu Skin, Oriflame, Procter & Gamble, Revlon, Shiseido and Unilever.

The top 23 companies were selected based on their annual turnover from cosmetics being at least USD 100 million or higher. Collectively, these companies had revenues exceeding USD 125 billion from their respective cosmetic segments in 2015.

What?s In This Report?

The report analyzes the:
? Disclosure of ESG (Economic, Social and Governance) metrics by cosmetics company
? Differences in companies' respective sustainability goals
? Completeness and comprehensiveness of Sustainability Disclosures of companies
? Ranking of global giants' vis-?-vis their peers on environment, social and governance disclosure
? Key material sustainability performance indicators which remain unaddressed
? Key sustainability innovations across the cosmetics value chain
? Key compliance requirements for cosmetics sector

Some Key Findings of the Report

? THE TRENDSETTERS: L?Or?al Ahead of the Curve when it comes to sustainability with Natura not far behind
? AN ABUNDANCE OF VISION: 20 of the 23 companies analysed have a distinctly defined sustainability vision thus underlining that risks associated to sustainability are now better understood
? VISION NOT TRANSLATING INTO ACTION: There is little correlation between targets and disclosure of cosmetics companies
? CIRCULAR ECONOMY STILL A PIPE DREAM: Only 23% of the companies had defined targets for the use phase of the products and 13% for the end of product life phase.
? REGULATIONS DRIVING DISCLOSURES: 90% of the companies studied were found to release sustainability/business responsibility reports at regular intervals with major areas of focus as board structure, policies and standards, social development initiatives, most of which are mandatory for the companies to disclose.

Sustainability and the Cosmetics Industry

For companies today, sustainability implies a balanced consideration of social responsibility, environmental protection and economic development. Global businesses have been actively working on reducing greenhouse gas emissions, ensuring fair trade practices, reducing waste production, promoting employee?s health and safety, protecting labour rights and community development to name a few.

Consumer demand along with civil society mobilization and government regulations are acting as key drivers for sustainability in the cosmetics industry. Globally, customers are demanding better environmental and social standards of the products that they use. Also, with increasing demand for cosmetics (driven by rising affluence and aspirations in emerging economies), there is increasing pressure on scarce resources which is forcing companies to innovate and make do with fewer resources, i.e. become more resource efficient.

To access the report, go to:
http://sustainabilityoutlook.in/content/market/sustainability-and-cosmetics-compendium-global-cosmetics-industry-actions

To access the complementary report excerpt, go to: http://sblf.sustainabilityoutlook.in/file_space/CosmeticsSOS_ExecSummary.pdf

For any enquiries related to the report write to us at mait@sustainabilityoutlook.in or call us at +91.11.410.511.95

Media Contact
Anushua Chowdhury
Sustainability Outlook
mait@sustainabilityoutlook.in
+91.11.410.511.95