2025 Universal Registration Document

4. Sustainability Report

Main ongoing actions related to Scope 3

Scope 3 accounts for a significant proportion of the Group’s emissions. The decarbonisation levers extend across the entire value chain, requiring close collaboration with partners and suppliers.

With regard to product packaging:

  • continuing to reduce the weight of packaging;
  • increasing the proportion and availability of reusable and refillable formats;
  • increasing the proportion of recycled materials in packaging;
  • promoting low-carbon decor techniques and processes;
  • encouraging and helping packaging suppliers to reduce the emissions related to their activities and enhance the transparency and monitoring of their emissions.

With regard to product formulas:

  • promoting the use of plant-based ingredients as an alternative to petrochemicals;
  • replace carbon-intensive ingredients;
  • continuing to combat deforestation and promote sustainable and regenerative agricultural practices;
  • encouraging and helping ingredient suppliers to reduce the emissions related to their activities and enhance the transparency and monitoring of their emissions.

With regard to digital marketing:

  • reducing the impact of producing digital advertising content;
  • increasing the reuse rate of digital advertising content;
  • optimising digital advertising content formats to reduce the impact of their distribution;
  • encouraging and helping agencies and media service providers to reduce the emissions related to their activities, and increase the transparency and monitoring of their emissions.

With regard to point-of-sale (POS) promotions:

  • encouraging the adoption of environmental design practices and tools for POS advertising;
  • promoting lighter-weight POS advertising, using monomaterials and a higher proportion of recycled materials, and limiting the amount of waste generated;
  • continuing to reduce power consumed by permanent POS displays;
  • encouraging and helping POS suppliers to reduce the emissions related to their activities.

With regard to logistics:

  • reducing the proportion of air freight by substituting it with sea and rail freight;
  • using multimodal transport;
  • optimising fill rates;
  • using lower-emitting engines and fuels;
  • encouraging and helping logistics suppliers to reduce the emissions related to their activities.

With regard to business travel:

reducing the impact of business travel through a dedicated travel policy.

In the other levers category:

encouraging and helping service providers to reduce the emissions related to their activities.

SCOPE 3 DECARBONISATION LEVERS (1)

This diagram presents L'Oréal's Scope 3 decarbonisation levers, in the form of a waterfall chart, illustrating the cumulative reduction in emissions between the 2019 base year and the 2030 objective, representing a total decrease of 28%.

Reduction levers by category and contribution in points:

  • Category 1:
  • Raw materials: -6 pts
  • Product packaging: -9 pts
  • Digital marketing: -2 pts
  • POS promotions: -5 pts
  • Other levers: -2 pts
  • Category 4:
  • Transport: -3 pts
  • Category 6:
  • Business travel: -1 pt