The Estée Lauder Companies has announced progress in its One ELC model, alongside the appointment of British media firm WPP as its global media partner.
This operating model is an effort to centralize the wider group with improved efficiency. It comes after years of declining profits, resulting in a loss of more than $1 billion in fiscal 2025.
“This more unified and scalable system will enable us to be faster, more agile and efficient, and support unlocking additional growth,” Stéphane de La Faverie, president and CEO, The Estée Lauder Companies, said.
“Together with our execution progress, we are confident that we are on a trajectory to deliver sustainable, profitable long-term growth.”
The company said that WPP’s appointment will create a unified, “enterprise-led” approach to media buying, moving from a regional media structure to a global one.
“Today, beauty is discovered and experienced across a constantly evolving mix of platforms. To lead in this environment, we are building a connected, AI-enabled media system that brings brand building and performance together at a global scale,” Aude Gandon, chief digital and marketing officer, The Estée Lauder Companies, added.
“Partnering with WPP strengthens our ability to invest with greater precision, move with greater speed, and deliver stronger, more measurable returns, while keeping creativity and brand leadership at the center of everything we do.”