What does the olive oil actually do in this hand soap?

Olive oil is one of the emollient ingredients in this formula. In a rinse-off product like this, it does not stay on the skin the way a hand cream does. Instead, it helps reduce the rough feel that can appear after frequent washing by forming a light protective film on the skin surface while you wash.

Avocado oil adds a richer nourishing touch, which is especially welcome when hands are exposed to soap, water and temperature changes throughout the day. Glycerin works as a moisture-binding ingredient: it attracts water and helps hold it in the upper layers of the skin, so hands tend to feel less dry after washing. Panthenol and allantoin contribute to the smoothing and softening effect.

In short, the oils and moisture-binding ingredients are part of the formula to make the washing step feel less harsh. They are not meant to replace a hand cream. If you want a longer-lasting softening effect, apply a hand cream after washing, especially in cold weather or after frequent hand washing.