IBLAC: L'Oreal chairman calls Shanghai its top global innovation hub

Vincent Boinay, president of L'Oreal's North Asia and CEO of L'Oreal China, said Shanghai stood out for its speed, sophistication, and service.

He said consumers in the city were influencing not only which products companies developed but also how brands communicated and delivered services. Boinay cited the popularity of short-form dramas and the use of Chinese AI platforms such as Qwen and DeepSeek to search for products and brands as examples of shifting consumer behavior.

Artificial intelligence is also being applied directly to consumer services. One example is a generative AI beauty adviser device introduced by makeup brand 3CE, providing consumers with product information and personalized recommendations.

Boinay said the examples showed how L'Oreal was using consumer insights and digital technology in Shanghai to develop products and services.

According to L'Oreal, AI also helps researchers simulate ingredient performance and accelerate new formulation development. Agon said the technology should support, not replace, people, improving employees' work, consumer experiences, and research capabilities.

L'Oreal plans to continue investing in talent, research, and innovation in Shanghai. Boinay said the city's universities provided access to skilled graduates, while its technology companies and startups broadened opportunities for collaboration.

Agon also highlighted Shanghai's business environment and the support provided by the municipal and Jing'an district governments, which he said had helped the company develop its operations, creativity, and talent base.

China is currently L'Oreal's second-largest market worldwide, with substantial room for further growth. Agon said that Shanghai's digital infrastructure, AI capabilities, responsiveness to consumer demand, and extensive service network position it to become a leading global center for innovative services.