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Paris-based L’Oréal, the world’s largest manufacturer of cosmetics and cosmetic supplies, maker of the Maybelline and Lancome brands, beat revenue projections for the fourth quarter of 2020 as beauty customers shifted to online buying and sales in China rebounded. L’Oréal’s sales reached $9.56 billion (€7.88 billion) for October through December, flat compared to the fourth quarter of 2019 on a reported basis but rising 4.8% like-for-like, without accounting for currency effects and asset acquisitions. Analysts had predicted flat-to-3% growth.

Earnings at beauty companies and luxury retailers sagged as pandemic restrictions reduced traffic at duty-free shops and high-end stores, and the pervasive use of face masks has reduced the market for makeup. But L’Oréal experienced increased demand for its professional products as beauty salons reopened along with increased demand for its skincare products as consumers shift to pampering products to be used at home. L’Oréal’s online revenues reached one-quarter of total sales, jumping 62% in 2020 alone.

L’Oréal China Sales and Online Sales “Spectacular,” Chairman Says

Chairman and Chief Executive Jean-Paul Agon told Les Echos newspaper ahead of a conference call with analysts that L’Oréal’s Q4 sales were “spectacular.” Said Agon, “E-commerce has become L’Oréal’s main market.” Despite the pandemic, the world’s number one cosmetics maker limited its turnover to a decline of 4% and maintained its margin at a record level of 18.6%. The explosion of e-commerce and market share gains – particularly in China, said Agon – have enabled the group to remain stable in a context of crisis.

L’Oréal’s success in China and its success online are intertwined, General Manager of L’Oréal China Stéphane Rinderknech says. Rinderknech says the success of the brand in china is based on L’Oréal China’s “consumer-centric 5-power model.”

The success of L’Oréal China rests on its recognition of the importance of social value. Chinese consumers respect companies that seek the greater good of society in all of their endeavors. But that does not mean that Chinese consumers do not appreciate a plethora of product choices.

L’Oréal China maintains a 22-brand portfolio in China. While each brand is unique and aspirational, the company maintains equity in capitalization and resources.

L’Oréal China recognizes that the needs and desires of Chinese consumers require unique innovations. Products that “work” in other settings do not necessarily provide Chinese consumers with desired results. In 2005, L’Oréal established a Research and Innovation Center employing 400 people who invent new products in China and for China.

The third factor in L’Oréal China’s success has been its investment in the retail market. Customers are able to buy at a store counter with their phones. But the same customers can also buy the same products online. L’Oréal China created disruptive online marketing content that maintained sales until China’s success in managing the pandemic allowed brick and mortar stores to reopen.

Stéphane Rinderknech says the success of L’Oréal China also rests on a basic insight into Chinese consumer behavior. He commented in an interview for “Beauty and the Middle Kingdom” that

“Over the past 20 or 30 years, there has been a tsunami of change in terms of consumer behavior. The generation born in the 70s, during the Cultural Revolution, was mostly behaving in conformity. Today if you look at young Millennials, it’s exactly the opposite. There is no norm for them. It’s all about “me, me and me” and about the way to express my own personality. This expression is also an explanation for the boom of the beauty market in China because this difference has to be expressed in some way. And on the other side we have this “silver generation”-the seniors- who represent hundreds of millions of additional potential consumers.”

However, L’Oréal can manage both the “we, we, we” as well as the “me, me, me.”

Agon Attributes Strength of Company to Corporate Culture

In his interview with Les Echos, L’Oréal chairman Agos attributed the strength of the company to its corporate culture. Agos commented to the newspaper:

“L’Oréal has weathered the crisis very well. Our priority has been to protect our employees and to support frontline healthcare staff. Our group’s solidarity with its suppliers and customers has had an incredible echo.”

In the second quarter, when hairdressers and small perfumers were threatened with going out of business, we froze their debts and made advance payments to small suppliers, which helped save many small businesses. It was a bet worth several hundred million euros, which we fully recovered. Everyone reimbursed when they could, as the reopening progressed, depending on the country, and was keen to do so. This created a very strong relationship with the L’Oréal group.”

L’Oréals culture of cooperation extends to its operations in the United States. In January 2021, the company announced a partnership with the NAACp to launch a grant program to support Black-owned businesses.

Protests against racial injustice sparked by the deaths of Breonna Taylor, Ahmaud Arbery, and George Floyd have moved major corporations to support initiatives that advance social change. L’Oréal USA has launched The Inclusive Beauty Fund to provide one-time grants of$10,000 for Black-owned services and brands in the beauty sector to help maintain their businesses.

“As the leading beauty company in the United States, we believe that we have a responsibility to invest in the small business owners and entrepreneurs who are the lifeblood of our dynamic beauty industry,” said Angela Guy, chief Diversity & Inclusion officer, L’Oréal USA told Black Enterprise.

“We are proud to team up with the NAACP to advance our shared mission of creating a more inclusive and equitable world during this time of great economic vulnerability for so many. We hope the Inclusive Beauty Fund will introduce us to entrepreneurs in the beauty industry that we can build strong relationships with well into the future.”

“Black-owned small beauty businesses are the heartbeat of their neighborhoods, and beauty business owners are navigating tremendous challenges stemming from the Covid-19 and recent events,” said Yumeka Rushing, chief strategy officer, NAACP. “The NAACP is proud to partner with L’Oréal USA to help support these entrepreneurs and ensure the longevity of the services and community their businesses provide.”

Agon Predicts a Roaring 20’s for the Beauty Industry

Agon, who is slated to hand over his CEO role to his No. 2, Nicolas Hieronimus later this year – told Les Echos that he remains prudent for 2021 but is confident that demand for beauty products will soar long-term.

“I’m convinced that when we come out of this crisis, it will be like the roaring 20’s,” he told Les Echos.

“After years of pervasive anxiety, the end of the pandemic will release a feeling of freedom. People will want to party and wear make-up and perfume.”

When it comes to finding auto insurance policies for your family, it’s imperative to understand what you’re doing. As an informed buyer, you’re far more likely to get the right policy at the right rate.

5 Things You Need to Know

Car insurance doesn’t have to be a confounding topic. With some willingness to learn the ropes and understand what’s really going on behind the scenes, you can find the perfect auto insurance policy for your needs. Here are a few recommendations:

1. Know What Your State Requires

Every state has its own laws regarding how much insurance drivers are legally required to carry with their vehicle.

In total, there are five types of coverage that a state can mandate: bodily injury (BI), property damage (PD), uninsured/underinsured bodily injury (UIM BI), uninsured/underinsured property damage (UIM PD), and personal injury protection (PIP). Some states only require BI and PD, while others require all five. Likewise, every state has its own minimum coverage.

There are only a few states that don’t require insurance. In New Hampshire, drivers only have to prove their ability to pay for damage in a car accident. (However, the state can require drivers to get minimum coverage after a major violation, like a DUI.) In Virginia, residents can pay an uninsured motorist fee of $500 per year instead of getting insurance. And in states like Mississippi, Alabama, and Alaska, drivers can post a cash deposit or bond equal to the minimum car insurance amount if they don’t want to purchase car insurance.

2. Understand How Rates Work

Car insurance rates are determined by two major factors: underwriting and rating.

Every insurance company assigns a risk value to each applicant. Based on the results, a rating is assigned and a price is given that reflects the cost the insurer believes it’s taking on for a potential claim. Each carrier’s rates are impacted by a proprietary blend of factors, which may include any or all of the following:

• Driving record
• Location
• Age and gender
• Marital status
• Vehicle (make and model)
• Vehicle use (higher mileage means more risk)
• Prior insurance coverage (missed payments, canceled policies, etc.)

Because each insurance company’s underwriting process and risk models are unique, you’ll find that rates vary from one carrier and policy to the next.

3. Know Which Discounts You Qualify For

Insurance companies offer discounts to customers as incentives for good behavior and loyalty. Being aware of these discounts and which ones you could potentially qualify for will make you a more informed driver.

Examples of discounts include multiple vehicle, home and auto bundles, driver education courses, anti-theft devices, safety devices, anti-lock brakes, and low mileage. The more of these you layer together, the better your rates will be.

4. Shop Around for Rates

Car insurance rates can vary significantly from one company to the next. If you put your focus on one insurance company and never consider the alternatives, you could end up paying more than you should for basic coverage.

As a recommendation, consider doing an annual rate check where you get at least three quotes from different companies to see if there’s a way to save money. You’ll have to be the judge of when it makes sense to change policies, but knowing the rates keeps you informed as to what the market is like at any given point in time.

5. Figure Out Your Own Risk Tolerance

You can significantly increase or reduce the cost of your auto insurance policy by playing around with different deductibles. One recommendation is to figure out how much you’re comfortable spending out of pocket in an accident. Based on this number, you can figure out your own personal risk tolerance.

If you have adequate financial resources and are able to pay a larger deductible without compromising your financial situation, you might be willing to raise the deductible and “self-insure” part of the risk. But if a large deductible would sink your finances, it’s better to pay a few bucks more every month for lower risk. Massage the numbers to see what works!

Don’t Rush the Process

When shopping for auto insurance, it’s important that you take your time and do the proper due diligence. Rushing through the process could lead you to make a premature decision that leaves you paying more and/or getting less coverage than you need. Be disciplined and intentional!

The downturn of global tourism during the coronavirus pandemic of 2020 significantly impacted certain regions where the hospitality industry was going through a renaissance. Armed conflict and political tensions in Iraq, the Levant, and Yemen had already driven tourists away from established destinations such as the United Arab Emirates, and the pandemic managed to exacerbate the situation even further.

It took quite a few months for tourism industry leaders to realize that they had to come together in order to face the crisis and make the best of it. The challenge was underscored by reality; in order to stay in business, hospitality leaders had to adjust accordingly and offer safe and hygienic accommodations to travelers, guests, and patrons, but the diminished activity was unsustainable on its own. Thankfully, we now have the prospect of vaccination campaigns on the horizon, and this has brought about hope that 2021 will be a much better year.

In 2020, the annual Arabian Hospitality Investment Conference was held in a virtual manner through a series of video conference calls via Zoom and other platforms. The feeling was somewhat surreal because traditional tourism conferences typically take place in a major tourism attraction such as a landmark hotel, and the activities include taking potential investors on tours of spots that travelers are bound to enjoy. For 2021, the AHIC event is tentatively scheduled to be held at the Madinat Jumeirah in Dubai in September. The tentative label must be attached to all major gatherings in 2021 because it is nearly impossible to chart the course and genetic mutations of SARS-CoV-2, but the outlook is positive in this regard.

There are many reasons to be hopeful about a recovery of the Arabian hospitality industry in 2021. The contagion rate in many regional countries has been taking a downward turn, and public health officials are working closely with vaccine providers to ensure they have adequate supplies not just for healthcare workers but also for people employed in the hospitality sector. Health and hygiene measures have been implemented across hotels, resorts, shops, restaurants, pubs, and tourism attractions. The region is eager to welcome international visitors once again, and tourism operators have been preparing for their return.

In the last press release AHIC issued before the World Health Organization announced that SARS-CoV-2 had become a pandemic, the investment forecast over the next two years suggested that more than $20 billion would be spent on new hotel construction in countries such as Egypt, Oman, Saudi Arabia, and the United Arab Emirates. These projects were certainly delayed by the pandemic, but everything points to a resumption of activity as soon as public health conditions improve.

The establishment of diplomatic relations between the UAE and Israel in 2020 is already bearing fruit for the regional hospitality sector. As reported by the Washington Post in mid-December, thousands of Israeli visitors have been flocking to the UAE over the last few months; many of these travelers are Arabs born in Israel who could not previously visit because of passport restrictions, but shop keepers in the famous gold souk of Dubai have been pleasantly surprised to see Orthodox Jewish businessmen visiting with an explicit interest in jewelry.

One particular tourism market that is very eager to get back to normalcy is Ras al-Khaimah, the tourism jewel of the UAE. For this year’s AHIC, His Highness Saud bin Saqr al Qasimi, ruler of Ras al-Khaimah, will be a featured speaker, and he has a lot to tell about the tourism boom that has been developing in his emirate over the last few years.

Long before his ascension, His Highness Saud bin Saqr had already spent a couple of decades working on the socioeconomic development of his emirate; he has always been a firm believer in the power tourism has in terms of promoting development, and he knows that Ras al-Khaimah has a lot to offer in this regard. In ancient times, the natural beauty of Ras al-Khaimah attracted visitors from all around the Arabian Peninsula; thanks to the geographical location and topography of the emirate, the climate is far more refreshing when compared to Dubai. Basically, Ras al-Khaimah is like a giant oasis in the UAE, and it is filled with family-friendly tourism attractions, which means that it will soon attract many visitors from Israel and around 

the world.

Matthew Fleeger, Gulf Coast Western, and the Sadie Keller Foundation are on a mission to provide Christmas joy to kids who are in the hospital, stricken with cancer.

The day Gulf Coast Western and Matthew Fleeger host the company Christmas party has become a day its Dallas office transforms into a hub with a truckload of toys to be loaded onto Sadie’s Sleigh — the charity’s means of distributing toys to 11 hospitals covering all of Dallas-Fort Worth, plus treatment facilities in Austin, Houston, and five other states.

At the core of the relationship are two cancer survivors, Gulf Coast Western CEO Matt Fleeger and 13-year-old Sadie Keller.

“I have a survivor’s compassion for the emotional and physical impact cancer can have on an adult, but I could not fathom what it takes for a child to endure the suffering, treatments, and emotions,” Matthew Fleeger said.

In 2020, the friendship was tested by the pandemic that forced the entire world to change its focus. COVID didn’t stop kids from getting cancer. It only piled onto their problems.

Because of COVID protocol, hospitalized kids no longer get to be around each other in common area playrooms. Their visitors are often limited to a single parent. 

“In any given year, your heart goes out to these families and these children in the oncology wards. Removed from their home, removed from friends and family,” said John Engel, chief operations officer for Gulf Coast Western. “Typically, they can only see immediate family and other kids in hallways and the playrooms. But this year, they can’t socialize because of COVID.”

Charities that provide relief, like the Sadie Keller Foundation, are facing the economic brunt of the pandemic. The Foundation had to cancel its annual Yellow Ball fundraiser. Some individual contributors are tapped from helping people in need since the spring, when COVID hit. Others are among those now out of work. 

“It is my goal to not only collect over 10,000 toys for kids fighting childhood cancer in a hospital during a pandemic,” said Sadie, who has collected toys for kids who are spending their holiday season in a hospital since her own Acute Lymphoblastic Leukemia diagnosis at age 7. “To hope they all get what they want for Christmas and maybe just have a smile for a minute.”

All told, it’s a huge burden for 13-year-old shoulders. But Sadie’s relationship with Gulf Coast Western is deeper than corporate partners who cut a check. These are friends.

“This year was different. I’m so proud of my Gulf Coast Western coworkers. They really stepped it up,” said Tim Taylor, executive vice president. “Even with a tough year for an oil company, it pales in comparison to what they are going through.”

With Matthew Fleeger matching his employees’ contributions, Gulf Coast Western increased its contribution to Sadie’s Sleigh by 25% over 2019 with thousands of toys donated.

The shopping is done personally, with employees matching their strengths to specialize in age groups, often playing off their own parental expertise to find gifts that fit from toddlers to teens. Once it’s known they’re on a mission for cancer-stricken kids, Engel said the Gulf Coast Western shopper employees feed off the energy of workers and others in the store who watch in awe as thousands of dollars in gifts come off the shelves.

“Our focus changed to toys they could play within their rooms,” Taylor said. “We shifted away from bicycles or Power Wheels and focused on toys like Nintendo Switch, Oculus, action figures, and even wireless headphones. We really wanted to get items that could provide ways to pass the time and enjoy in their confined spaces.”

Clearly, they are toys any kid would want, continuing what the foundation praises as the company’s track record of getting the gifts just right.

“It’s about emotional support,” said Sarah Keller, Sadie’s mom. “To allow a child who’s fighting cancer to still be a kid. To help their mental health that they’re able to fight.”

In addition to the toy donations, Matthew Fleeger has also purchased more than a handful of Sadie’s paintings – artwork that supports all aspects of the foundation.

Just as Sadie has other donors, her foundation is but a slice of the charitable portfolio for Matthew Fleeger and the company. Gulf Coast Western is also involved with the North Texas Food Bank, Children’s Medical Center, Shriner’s Hospitals, St. Jude Children’s Hospital, Magdalene House and Smile Train.

Most of Gulf Coast Western’s Boise, Idaho, office employees were also able to join in the 2020 presentation for Sadie’s Sleigh.

“At the end of the day, when we’re all together at the company Christmas party with our spouses, the toy donation is still all the buzz, separate from the awards and the other traditions of the event,” Taylor said. “It’s the best team-building exercise we’ve ever done.”

Just as Sadie was unable to see the emotions of the children at the receiving end of the gifts this season, the masks worn at the gathering prevented the corporate and charity friends from seeing the smiles when the lobby full of gifts were presented and loaded on the truck by dozens of Gulf Coast Western employees.

But the feeling in their hearts was the same, maybe even better, than at previous Christmases.

“It’s what makes them different,” Sarah Keller said. “Even in hard times they come through and come through big. They’ve shown up for us in a year that it matters most.”