Global megatrends, including climate change, urbanization and digitalization, as well as other trends such as ultra-personalization and the rise of the individual, have been documented in recent years as impacting consumers and their lifestyles. Leaders of global brands and corporations have been shifting priorities and adapting accordingly. One such leader is Marcelo Lu, who on January 1st, 2021 began his role as senior vice president of BASF Care Chemicals North America. Lu has been focusing on two topics: sustainability and personalization.

“As I am finishing my first year in Care Chemicals, I can say that being in this role has been very exciting,” said Lu. “If there is one division in BASF where sustainability is at the forefront, it is Care Chemicals. We are so close to the customer.”

Before assuming his new role, Lu was president of BASF Canada for five years. Prior to that, he served as VP-marketing and sales at BASF East Asia. During his time in Canada, Lu immersed himself in sustainability issues, becoming deeply involved in ESG and reporting metrics.

“This is a strength of BASF,” he explained. “We have many biobased products that enable our customers to formulate in responsible ways.” In fact, by the end of 2021, BASF Care Chemicals North America will make available all of its carbon footprint data on all of its products to its customers. According to Lu, educating customers and consumers about how BASF products are sourced and produced is an important part of the process.

“When it comes to sustainability, BASF has a lot to offer in terms of bio-based products, biodegradability, transparency and traceability,” Lu explained. “We are energized and well-positioned to respond to these trends. In the next two to three years, you’ll see even more from BASF in these areas.”

One example: BASF is investing in offshore wind farms to provide the Ludwigshafen chemical site, BASF’s global headquarters, with green electricity and to enable CO2-free production of hydrogen. The aim is to electrify the production processes for basic chemicals, which are currently based on fossil fuels, according to the company.

“We are looking for similar opportunities in North America and Asia,” explained Lu. “All of these investments are part of BASF’s commitment to achieve net zero CO2 emissions by 2050.”

A Personal Approach

The pandemic accelerated the move to digitalization and personalization. Lockdowns, work-from-home routines and office closures made customers more comfortable accessing information online.

To meet their growing needs, earlier this year BASF Care Creations launched D’lite, a digital service that helps brands keep track of trends and consumer demands that are impacting product development at every step of the process. The platform includes the latest BASF marketing concepts to inspire chemists, as well as social media data analysis to keep users up to date on the latest trends. D’lite provides information on the top-performing products and brands in the market, including sales figures and consumer sentiment—insights which are very helpful for new product development. Finally, the platform can help researchers identify the perfect personal care solution with the right ingredients using the latest BASF scientific expertise on products and formulations.

“D’lite is a repository of market intelligence for thousands of products and ingredients,” stated Lu. “We have concept formulations that are especially well-suited for small and medium companies, and we can create personalized formulations, too.”

Using this digital lab format, users have 24/7 access to BASF’s entire range of product and formulation expertise. For large customers, D’lite serves as a tool for lab personnel. For small and medium customers, D’lite cuts down the time needed to innovate. They don’t have to develop a new formulation—everything they need can be found on D’lite, according to Lu.

Besides enhancing innovation, digitalization boosts transparency. BASF Care Chemicals has an online 1,4-Dioxane calculator, while its Ingredient Insider Tool can aid formulation personalization as well.

The pandemic forced many companies to limit or eliminate in-person sales calls. A year ago, McKinsey noted that the pandemic forced B2B buyers and sellers to go digital and nearly 75% of buyers and sellers said they preferred digital self-serve and remote human engagement over face-to-face interactions.

But for customers who crave some facetime, not FaceTime, BASF hit the road, literally. Throughout summer 2021, BASF teams got in a van and met customers outdoors outside their brands’ offices in the North East.

“We have that kind of agility to be there for customers,” explained Lu. “We can address their concerns while continuing to innovate.”

Meeting customers and their needs wherever and whenever needed, is part of BASF’s makeup. “Our customers expect us to be leaders in sustainability, personalization, inclusion and trend forecasting,” he concluded. “We continue to innovate in these areas.”