Remaining one of the few luxury brands to manage its beauty division in-house, Dolce & Gabbana is ambitious to conquer the global market.
Diversification is now one of the luxury sector’s favorite words, and Dolce & Gabbana is no exception. As the concept of lifestyle has gained significant traction in recent years, fashion brands are pushing beyond their original sectors to position themselves in adjacent markets.
Beauty has emerged as a key area for extending their activities.
Since bringing its beauty operations in-house in 2022, Dolce & Gabbana has aimed to transform this division, which includes perfumes, makeup, and skincare.
In 2023, the fashion house announced an ambitious plan: to increase the retail value of its beauty division from 1 billion euros to 3 billion euros (3.3 billion dollars) by 2027.
Today, its intentions remain unchanged and are even bolstered by a revenue that now stands at 1.5 billion euros.
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A New Momentum
In 2021, the Japanese cosmetics group Shiseido announced its intention to end its licensing agreement with Dolce & Gabbana, contracted in 2016, to focus on its own operations.
However, this separation seems to have benefited the Italian brand. After more than thirty years in the beauty market, managed through licensing agreements, D&G Beauty took matters into its own hands by bringing its headquarters back to Milan.
Its activities are now divided between these offices and five other branches located in Miami, Dubai, Singapore, Paris, and Madrid, bringing together a total of 300 employees worldwide.
An Experienced Leader
While the head of the beauty division of the House is obviously the group’s boss Alfonso Dolce, it is primarily its “operational CEO” who is paving the way for success. Gianluca Toniolo, a former executive at L’Oréal, Lancôme, and LVMH Perfumes & Cosmetics, is the driving force behind all of D&G Beauty’s ambitions and its recent momentum.
“In the first year of operation, we exceeded our target by 50%, reaching a retail sales value of 1.5 billion euros compared to the projected one billion.” he said in an interview with Fashion Network.
Encouraged by this growth, the director sees beyond these promising initial results: “The goal is to more than double the results by 2026-27. In 2022, makeup accounted for 5% of total sales, but we aim to reach 30% within the next 3 to 5 years.”
New Products on the Horizon
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Featured Photo: © Dolce & Gabbana Beauty
