Saudi Arabia’s beauty industry is rapidly emerging as one of the world’s most consequential growth markets, fueled by economic diversification, shifting consumer behaviors, and a young, digitally connected population redefining beauty consumption across the region.
For global beauty companies, the Kingdom is increasingly becoming more than a high-growth sales market. It is evolving into a strategic hub where beauty, technology, luxury, and cultural identity intersect and where future beauty trends are shaped in real time.
Few companies have invested more heavily in that vision than L’Oréal Groupe. The French beauty giant, which has operated in Saudi Arabia since the 1960s and established a local subsidiary in 2012, recently deepened its commitment to the Kingdom by opening new offices in Jeddah and plans to double its local workforce by the end of 2026.
“Saudi Arabia is not just a fast-growing market for L’Oréal; it is one of the most strategically significant in our global portfolio, home to a young, digitally native and highly sophisticated consumer base that is reshaping beauty standards,” Manuel Villaveces, General Manager of L’Oréal’s Professional Products Division in the Middle East, told BeautyMatter.
The Kingdom's strategic importance is increasingly reflected in the company’s performance. According to Villaveces, L’Oréal Middle East—driven largely by Saudi Arabia’s acceleration—ranked among the group’s top five growth contributors globally in 2025.
The conglomerate outlined its latest investments during the second edition of its L’Oréal for the Future summit in Jeddah earlier this year, where executives highlighted initiatives spanning workforce development, sustainability, beauty technology, and professional education.
Saudi Arabia today represents the Gulf’s largest beauty market. Rising disposable incomes are supporting the Kingdom’s beauty growth, increasing female workforce participation, and positioning it as one of the most digitally connected populations in the world, with internet penetration reaching 99%.
Yet beauty’s significance in Saudi Arabia extends beyond economics alone. “Beauty in Saudi Arabia serves as a powerful medium for self-expression and the cultivation of identity,” the report states.
That relationship is visible across categories, from the enduring importance of fragrance and oud traditions to increasingly sophisticated skincare, makeup, and haircare routines among younger consumers. According to the L’Oréal, Saudi women own an average of 23 makeup products and use up to eight skincare products and seven haircare products as part of their regular routines.
Fragrance remains particularly embedded in daily life. L’Oréal’s research found Saudi men apply fragrance twice daily on average, underscoring scent’s enduring role in hospitality, ritual, and personal identity throughout the Gulf.
As consumer expectations evolve, technology is becoming an increasingly important differentiator. Villaveces believes the next phase of beauty growth in the Kingdom will be defined by personalization, connectivity, and technology-driven experiences.
“The future of beauty in Saudi Arabia over the next five years will be defined by hyperpersonalization, seamless connectivity, and purposeful, tech-driven experiences,” he said. “Saudi Arabia is rapidly transforming from a consumer market into a leading incubator and testing ground for global beauty innovation.”
That transformation was on display at LEAP 2025 in Riyadh, where L’Oréal became the first beauty company to participate in the technology conference, showcasing more than 20 beauty-tech innovations, ranging from AI-powered diagnostics to personalized beauty solutions.
The company reported significant interest in technologies such as K-Scan by Kérastase, an AI-powered imaging tool that analyzes scalp and hair conditions to create customized treatment recommendations, and AirLight Pro, L’Oréal Professionnel’s next-generation hair dryer designed to improve hair health while reducing environmental impact. The device is expected to launch in the region in early 2027.
The growing demand for premium, personalized experiences is also reshaping the professional beauty sector. In partnership with Al Hokair, L’Oréal recently launched what it describes as the world’s first Kérastase Hair & Scalp Spa in Saudi Arabia. Now operating across three locations, the concept combines advanced diagnostic technology with customized luxury treatments.
According to Villaveces, the spa was developed specifically in response to Saudi consumers’ appetite for luxury and personalization and is expected to serve as a blueprint for future expansion both regionally and globally.
Alongside technology and luxury experiences, workforce development has become a key pillar of L’Oréal’s strategy in the Kingdom, aligning closely with the objectives of Saudi Vision 2030.
One of the company’s flagship initiatives is the L’Oréal Professionnel Academy, developed in partnership with Princess Nourah bint Abdulrahman University, Imam Abdulrahman Bin Faisal University, and Effat University. The program aims to address the growing demand for skilled salon professionals while expanding employment opportunities for Saudi women.
“The Academy is the first of its kind in the Kingdom, upskilling hairdressers and certifying Saudi women as professional hairstylists, directly supporting Saudization and female workforce participation,” said Villaveces.
To date, 150 women have completed the program, with a reported employment rate of 70%. Several graduates have gone on to launch their own salons. Accredited by the Technical and Vocational Training Corporation and supported by the Human Resources Development Fund, the academy aims to certify more than 1,000 women by 2029.
The company has also expanded its Beauty for a Better Life initiative in partnership with Education for Employment, which prepares women for careers as beauty advisors. More than SAR 600,000 has been invested in the program locally, with 100 graduates expected in 2026.
According to research conducted with economic consultancy Asterès, L’Oréal’s value chain generates SAR 3.2 billion annually for the Saudi economy and supports 8,765 jobs across the Kingdom. Its educational and social initiatives have benefited more than 35,000 people.
Sustainability remains another focus area. Through its Join the Refill Movement campaign, L’Oréal expands access to refillable beauty products in Saudi Arabia while encouraging more circular consumption habits. The initiative forms part of the company’s broader L’Oréal for the Future sustainability strategy, which focuses on climate transition, circularity, and waste reduction.
As Saudi Arabia continues its economic transformation, global beauty companies increasingly view the Kingdom as more than a regional growth opportunity. For L’Oréal and its peers, it is becoming a market where innovation is tested, talent is developed, and new models for the future of beauty are being built.
“Saudi Arabia is not just a market we serve,” said Villaveces. “It is one we are actively co-building with.”