The Evolution of Luxury Beauty
Recognising the importance of having a robust beauty arm, brands are investing to developing expertise in this growing area.
The post The Evolution of Luxury Beauty appeared first on LUXUO.
The beauty industry has been in the spotlight in recent months as various happenings in the sector caught the eyes of investors. This included the takeover of luxury brand Tom Ford by Estee Lauder, which now owns the brand?s fashion and beauty units; Puig?s acquisition of Byredo and Coty?s sale of the Lacoste license back to the brand. The industry is riled with transactions during the end of 2022 and could possibly see more movement in 2023.
The allure of having a beauty arm is simple because it is considered one of the fastest ways where brands can stand to grow their revenue and expand their reach to a wider audience. On the first point of revenue generation, in the recent financial report by luxury conglomerate LVMH, its perfumes and cosmetics business group recorded a 17 per cent growth in 2022 to ?7.7 billion while other legacy beauty companies like L?Oréal, Coty and Shiseido posted revenue of ?38.2 billion, US$5.26 billion and US$8.2 billion respectively.
All For The Revenue
Taking into account challenges like rising inflation rates and disruption in the supply chain, beauty companies have performed well. While the initial phases of Covid-19 had brought about a decrease in demand for makeup as a majority of the people are not going out, brands have pivoted to focus on...
The post The Evolution of Luxury Beauty appeared first on LUXUO.
The beauty industry has been in the spotlight in recent months as various happenings in the sector caught the eyes of investors. This included the takeover of luxury brand Tom Ford by Estee Lauder, which now owns the brand?s fashion and beauty units; Puig?s acquisition of Byredo and Coty?s sale of the Lacoste license back to the brand. The industry is riled with transactions during the end of 2022 and could possibly see more movement in 2023.
The allure of having a beauty arm is simple because it is considered one of the fastest ways where brands can stand to grow their revenue and expand their reach to a wider audience. On the first point of revenue generation, in the recent financial report by luxury conglomerate LVMH, its perfumes and cosmetics business group recorded a 17 per cent growth in 2022 to ?7.7 billion while other legacy beauty companies like L?Oréal, Coty and Shiseido posted revenue of ?38.2 billion, US$5.26 billion and US$8.2 billion respectively.
All For The Revenue
Taking into account challenges like rising inflation rates and disruption in the supply chain, beauty companies have performed well. While the initial phases of Covid-19 had brought about a decrease in demand for makeup as a majority of the people are not going out, brands have pivoted to focus on...
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