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The Estée Lauder Companies Teamed Up With Microsoft To Revolutionize Luxury Beauty

ELC and Microsoft are set to develop solutions that enable ELC brands to forge stronger connections with consumers and accelerate their speed to market with local relevance.

In an unprecedented move aimed at revolutionizing the prestigious beauty industry, The Estee Lauder Company (ELC) and Microsoft Corp . have announced the establishment of an AI Innovation Lab as part of their expanding global network aimed at this collaboration Using the cutting-edge generative AI capabilities of Microsoft’s Azure OpenAI service to drive innovation and enhance customer experience to the forefront of the entire extensive ELC beauty brand network of more than 20 brands.

Empowering Beauty Brands with Generative AI

ELC and Microsoft are set to develop solutions that enable ELC brands to forge stronger connections with consumers and accelerate their speed to market with local relevance. The AI Innovation Lab will play a pivotal role in this endeavor, positioning both companies as leaders in revolutionizing the beauty industry through generative AI.

Driving Innovation Across ELC’s Business

This expanded collaboration will focus on several key areas to drive innovation and efficiency within ELC’s business:

1. Faster Response to Trends and Consumer Demands:

ELC and Microsoft have already developed an internal-facing generative AI chatbot, enhancing marketing effectiveness globally. This tool utilizes advanced conversational AI technology to navigate ELC’s extensive database of product and claim data, enabling brands to launch locally relevant campaigns more rapidly.

2. Enhancing Product Innovation:

Generative AI tools will be applied in research and development to expedite product development processes. This will allow scientists and product development specialists to respond swiftly to emerging product and ingredient trends.

A Testament to Collaboration

Jane Lauder, EVP, Enterprise Marketing, and chief data officer at The Estée Lauder Companies, highlighted the significance of technology in supporting the company’s core strengths. She stated, “With Microsoft’s generative AI tools and extensive expertise, we are able to leverage ELC’s tremendous data to create more personalized consumer experiences and faster insights to action resulting in increased speed to market and stronger local relevancy.”

Shelley Bransten, corporate vice president, Global Industry Solutions, Microsoft, emphasized the vast potential of generative AI in the beauty industry, stating, “Generative AI represents a significant opportunity for the beauty industry — creating more engaging customer experiences, getting products into the hands of consumers faster, developing new products more efficiently and sustainably, and much more.”

Deepening the Partnership

The AI Innovation Lab marks a deeper collaboration between ELC and Microsoft, which commenced in 2017. Previously, ELC utilized Azure AI as the platform for its Voice-Enabled Makeup Assistant, a pioneering mobile app launched in 2023 to assist visually impaired users in applying makeup confidently.

About The Estée Lauder Companies Inc.

The Estée Lauder Companies Inc. is a leading manufacturer, marketer, and seller of quality skin care, makeup, fragrance, and hair care products, boasting a portfolio of luxury and prestige brands sold in approximately 150 countries and territories.

About Microsoft

Microsoft is a technology company dedicated to creating platforms and tools powered by AI to deliver innovative solutions that meet the evolving needs of customers. Committed to making AI available broadly and responsibly, Microsoft aims to empower every person and organization on the planet to achieve more.

Picture of Anshika Mathews
Anshika Mathews
Anshika is an Associate Research Analyst working for the AIM Leaders Council. She holds a keen interest in technology and related policy-making and its impact on society. She can be reached at anshika.mathews@aimresearch.co
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