3min chapter

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L’Oreal: Because You’re Worth It - [Business Breakdowns, EP. 91]

Business Breakdowns

CHAPTER

E-Commerce Returns

E-commerce returns are 30% of overall business that's done. To see a product like this, which is naturally going to have less returns, certainly has a major impact on the financial profile of something like e-commerce for them. Loreal consistently gaining share means that they can achieve 6% to 7% organic growth and then make acquisition along the way. And it creates an element of scale, which they then invest into both the marketing side, advertising and promotion, but mostly advertising. Then R&D is an important part, which I'm sure you'll be coming back to later on.

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