Leonard A. Lauder, the business titan who transformed Estée Lauder from a modest family business into a global beauty empire, has died at the age of 92.
According to Bloomberg, the Estée Lauder Companies confirmed that Lauder passed away on Saturday, June 14, surrounded by his family.
In a heartfelt statement released the following day, his son William P. Lauder, chairman of the company, said: “My father dedicated his life to transforming the cosmetics industry, leading countless innovations and setting new trends. But more than anything, he treated everyone he met with true kindness.”
Lauder played a pivotal role in scaling the company founded in New York by his parents, Estée and Joseph Lauder, into one of the most recognizable names in beauty.
When Leonard Lauder joined the company in 1958, Estée Lauder’s annual sales were just $800,000. By the time he stepped down as chairman in 2009, revenues had soared to $7.3 billion.
Under his leadership, the company experienced remarkable growth, launching or acquiring a roster of iconic beauty brands, including Clinique, Aveda, MAC Cosmetics, Tom Ford Beauty, Bobbi Brown, Jo Malone London, and La Mer.
As of March 2023, Leonard Lauder’s net worth was estimated at $26.2 billion, according to Bloomberg’s Billionaires Index, placing him among New York’s wealthiest individuals.
The Business Mind Behind the Lipstick Index
Leonard Lauder’s impact extended beyond the business world. In 2001, amid an economic downturn, he introduced the now-famous lipstick index, a theory suggesting that during recessions, consumers often turn to small luxuries, such as lipstick, even as they cut back on other expenses.
Following the 9/11 attacks, lipstick sales in the U.S. spiked 11%. Similarly, during the Great Depression, sales of cosmetics reportedly rose by 25%. The lipstick index has since become a widely cited concept in both economics and marketing, offering valuable insights into consumer behavior.
During the COVID-19 pandemic, when mask-wearing became common, the theory evolved into what some referred to as the “eye makeup index,” reflecting shifting beauty habits.
Beyond business, Lauder was deeply committed to philanthropy and the arts. A passionate art collector, he donated 78 Cubist masterpieces, including works by Pablo Picasso, to New York’s Metropolitan Museum of Art in 2013. The gift, valued at approximately $1 billion, remains the largest single donation in the museum’s history.
He also founded a research foundation dedicated to discovering treatments for Alzheimer’s disease.
His first wife, Evelyn Lauder, who passed away in 2011, was a pioneering figure in breast cancer awareness and helped launch the iconic Pink Ribbon campaign through the Breast Cancer Research Foundation.
Today, the Estée Lauder Companies continues to thrive, operating over 25 brands in approximately 150 countries. Leonard Lauder’s legacy endures not only in the global beauty industry he helped shape but also in the lives he touched through his philanthropy and generosity.
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