The cosmetic sector is getting bigger in these last years, we talk about a market share up from $483B in 2020 to $511B in 2021 and with an annual compounded growth rate of 4.75% worldwide, it’s predicted to exceed $716B by 2025. And $784.6B by 2027. Figures that attract investors and shareholders to enhance these opportunities and develop its business model. in order to diversify the company’s revenue. Modiface is a Canadian start-up that brings together researchers and experts in digital technologies. Among its projects is the creation of a concept based on an “augmented reality software development kit” AR SDK, dedicated to the cosmetics sector. An augmented reality software development kit or AR SDK, allows developers to build digital objects that appear to blend into the real world. An AR SDK is crucial to any business that creates AR experiences. These tools offer functions such as 3D object tracking, image recognition, visual SLAM (simultaneous localization and mapping), multi-tracking, and more, which allow developers to produce digital images. AR experts can utilize these SDKs to develop mobile apps, marketing experiences, and more. These SDKs are typically intended for specific frameworks and hardware; however, some AR SDKs can be supported across multiple systems, creating more flexibility. By adopting Modiface solutions, which are a virtual makeup try-on, virtual hair color try-on, and augmented reality shopping, the customers will virtually (e-commerce websites) test the beauty product, and it will be easy for them to make the buy decision. L’Oréal Group decide to make a change that allows its business to optimize its operational processes and to increase performance, while simultaneously offering simplified management and remote working. In this way, the process of the testing product, which is very important for the customer, can be digitized. The acquisition of Modiface by L’Oreal was a business model change, in order to bring the possibility to unify the businesses and organizations of a company because it creates transversal synergies and increases agility and collaboration in the working methods. To help the company improve performance management as well as the human experience, L'Oréal should have a strategic objective of collecting data on customers, different products, and brands all over the world to use them to define new needs of customers and target audiences through a different platform.
By Mounib Mrani
Strategy & Transformation Consultant
Alton Morocco