Over 70 percent of Chinese consumers use artificial intelligence-related information for beauty purchases, a rate significantly higher than the global average of 40 percent, positioning China atop the world marketplace.

The core industry data were unveiled recently by Vincent Boinay, president of L'Oreal North Asia and CEO of L'Oreal China, at an annual results press meeting in Shanghai.

Boinay said the widespread use of AI beauty applications in China has reshaped consumer behaviors — from information searching and product comparison to final purchases. This shift has accelerated the industry's digital transformation and research and development progress.

The news briefing revealed L'Oreal China's latest business performance and long-term strategies. The group retained the top market share in China's beauty sector in 2025, posting mid-to-high single-digit growth in the first quarter, and maintaining its leading position in the industry.

All four core divisions of L'Oreal China delivered steady growth.

The luxury cosmetics division held around 30 percent of the segment market, ranking first. The skin science beauty division logged 19 percent year-on-year growth, with SkinCeuticals leading professional skincare. L'Oreal Paris and Kerastase led mass cosmetics and professional hair care, respectively.

Omnichannel expansion has strengthened the company's market leadership.

L'Oreal ranked first across all major online e-commerce platforms. Offline, it opened over 150 new stores in the past year. Smaller city growth outpaced first and second-tier cities.

Boinay highlighted a structural shift in China's beauty consumption landscape.

"Consumers keep telling us that they need something highly relevant. Besides relevance, they also demand sustainability. In other words, a product must be good for me, beneficial and meaningful, and also good for the planet," Boinay explained.

Ma Xiaoyu, deputy CEO of L'Oreal China and general manager of the luxury cosmetics division, said the brand will return to fundamental skincare and beauty needs, adapting to long-term trends via a full-spectrum brand portfolio, multi-category development, omnichannel operations and consumer emotional engagement.

The "AI for Beauty" concept was officially launched at the conference, making full-chain AI application the group's core strategic focus, covering R&D, consumer services and internal operations.

Boinay explained that AI has delivered tangible efficiency gains. Traditional beauty formula testing, which once took two months, now takes only two hours with intelligent tools.

Externally, AI upgrades smart skin consultations and matching. Internally, it powers digital tools to boost operational efficiency.

L'Oreal has stepped up R&D investment in China, building the region into a global innovation hub. In 2025, its Chinese team developed over 300 new formulas and obtained 94 patents, accounting for 15 percent of the group's global total.

For supply chain upgrading, L'Oreal is strengthening its Yangtze River Delta layout, and 2026 marks the 30th anniversary of its Suzhou, Jiangsu province factory, the group's largest production base worldwide in terms of production capacity. The Suzhou intelligent operation center is operational, and the Nantong center will break ground this year to support e-commerce growth.