In 2024, the American beauty specialist has chosen the French capital to open L’Atelier, its future fragrance research center. The aim is to further strengthen its position in this buoyant segment, by focusing on innovation.
Paris is definitely making American eyes shine… Not only those of tourists, but also those of Beauty and Fragrance specialists.
While the Coty Group has just started trading on Euronext Paris, Estée Lauder has announced that it will soon be setting up a research center for its fragrances in the French capital.
A catalyst for innovation
“We are delighted to announce the creation of our new Atelier,” said Stéphane de La Faverie, Group Executive President responsible for Perfume, Make-up and Men’s strategy. “This location, which is intended to act as a catalyst for innovation across our fragrance portfolio, will give us direct access to some of the best creative resources, industry talent and local suppliers and perfumers, to help us continue to accelerate our momentum in this exciting category.”
Not content with being the cradle of modern perfumery, Paris is also its crossroads…
L’Atelier – as it is to be known – is due to open at the end of 2024, in an as yet unspecified location.
A buoyant market
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Led by industry experts, the Atelier “will deepen co-creation and collaboration with external partners to accelerate the time-to-market of innovative fragrances, packaging and concepts”, according to statements from the American group.
For Estée Lauder, it’s now a question of gaining strength, notably through a disruptive approach, in the buoyant prestige fragrance market.
Euromonitor forecasts annual growth of 9% until 2027 for very high-end fragrances.
Sales of the Estée Lauder Group’s Fragrance business, on the other hand, have risen by almost 40% since fiscal 2019, the last year before the pandemic. This trend is obviously encouraging at a time when the group has shown signs of running out of steam: like-for-like sales fell by 6% to $15.91 billion in fiscal 2022/23, which ended on June 30.
A broad portfolio
In addition to its own perfumes, Estée Lauder boasts an extensive portfolio of luxury fragrances: apart from the French brands Kilian Paris and Editions de Parfums Frédéric Malle, its portfolio includes Aerin Beauty, Jo Malone London, Tom Ford, Le Labo and Aramis.
Estée Lauder, on the other hand, has retained only one license (Balmain), having divested itself of all the others (Tommy Hilfiger, Michael Kors, Donna Karan, Zegna).
And with its research center, the American group intends to impose, more than ever, its own perfume houses in the race for innovation and desirability.
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Featured Photo: Estée Lauder
