BW Confidential - Issue #12 - November/December 2012 - 48

Insight: Fragrance

Retail strategies

Retail scents
We ask three department-store retailers about recent shifts in their fragrance business and profile noteworthy in-store merchandising concepts
by Alissa Demorest

Printemps chief merchandising officer beauty, child & lingerie Charlotte Tasset
“We created the concept of La Belle Parfumerie [The store’s beauty area, which opened in 2011 and is centered on fragrance] in reaction to what we saw as an increasingly banal fragrance market. As retailers we need to encourage consumers to take their time in the store. A lot of perfumeries are like McDonalds—you stay for 20 minutes and then you leave. Fragrance consumers were happy to buy their cosmetics in open-sell environments because it was practical. However, this has had a negative impact on the experience that should be inherent in discovering a perfume—to see the bottle instead of just the box, to see the color of the juice and to test it on the skin rather than on a piece of paper and to be able take the time to do this. Since we opened La Belle Parfumerie we went from a fragrance market that was basically flat to one where we are seeing 18% growth.” On the growth of niche brands “We were surprised by the enthusiasm that our clients showed for the category, especially for the smaller, lesser-known brands. Some of our sales forecasts for these smaller players doubled or tripled our expectations, which was a sign that the consumer is ready to discover something new. These small brands make up 20% of our volume. We realized that even consumers that weren’t particularly educated in fragrance could tell the difference between a beautiful juice
48

and something a bit less original. There have always been beautiful boutiques offering niche fragrances, but consumers also want this kind of offer in a more traditional shopping environment. We offer the accessibility of the department store without making consumers feel intimidated or that they need to be fragrance experts. Obviously the bulk of the market remains in the hands of the majors and relies on strong marketing initiatives and this makes up 70 or 80% of our sales, but our business model is to create value for the category and we don’t discount or do promotions. In terms of what is doing well, new juices, like oud-based scents are performing strongly. This means that fragrances with a stronger signature are captivating the consumer and they are turning the page from the big fruity floral scents.” Shifts in the shopping experience “Today fragrance is sold like shampoo. I can understand that someone who always wears the same perfume and is not in discovery mode wants to buy online, but what a shame, as that means that the consumer is never able to experience anything new to the market. We are not an industry that presents collections every few months, although I would like to see fewer flankers and more truly new and exceptional fragrances. By buying in a mechanical way, we are closing ourselves off from discovering either new fragrances. There are a lot of new and interesting fragrances that don’t have the marketing might to be featured in the major women’s magazines or to be sampled at the entrance to Sephora on the Champs Elysées. I deplore that retailers push the brands that have powerful marketing investment, which leaves little room and visibility for the others. It’s fine that a consumer would want to discover the latest major launch, but it shouldn’t come at the expense of a smaller brand.”
November-December 2012 - N°12 - BW Confidential



BW Confidential - Issue #12 - November/December 2012

Table of Contents for the Digital Edition of BW Confidential - Issue #12 - November/December 2012

Cover
Comment
Contents
Update
- Brand & retail news recap
- Companies on the move
Take note Market facts, figures & trends
Best of BW Highlights from our e-publication
Launches The latest in fragrance, skincare & make-up
Interview L'Oréal Luxe president Nicolas Hieronimus
Insight: Fragrance
- Category overview
- Regional breakdown
- Retail strategies
- Sampling
- Launch roundup
Wellness
- Clarins' spa strategy
- Spa case studies
Retail
- Chinese shoppers abroad
- Direct sales
- Store concepts
Digital
- QR codes
- Selling beauty online
- Marketing strategies
Market watch: South East Asia
- Regional overview
- Thailand
- Indonesia
- Vietnam
Travel retail
- Industry analysis
- Retailer viewpoint
- New niches
- Retailer factfile
Emerging markets Company profile: Dabur
Radar Up-and-coming beauty brands
Packaging
- Sustainable packaging in the BRICs
- Packs for Chinese consumers
- Luxe Pack preview
Last word Uber founder Sarah Cross
BW Confidential - Issue #12 - November/December 2012 - Cover
BW Confidential - Issue #12 - November/December 2012 - 2
BW Confidential - Issue #12 - November/December 2012 - 3
BW Confidential - Issue #12 - November/December 2012 - 4
BW Confidential - Issue #12 - November/December 2012 - 5
BW Confidential - Issue #12 - November/December 2012 - 6
BW Confidential - Issue #12 - November/December 2012 - Comment
BW Confidential - Issue #12 - November/December 2012 - 8
BW Confidential - Issue #12 - November/December 2012 - Contents
BW Confidential - Issue #12 - November/December 2012 - 10
BW Confidential - Issue #12 - November/December 2012 - 11
BW Confidential - Issue #12 - November/December 2012 - - Brand & retail news recap
BW Confidential - Issue #12 - November/December 2012 - 13
BW Confidential - Issue #12 - November/December 2012 - 14
BW Confidential - Issue #12 - November/December 2012 - 15
BW Confidential - Issue #12 - November/December 2012 - 16
BW Confidential - Issue #12 - November/December 2012 - 17
BW Confidential - Issue #12 - November/December 2012 - - Companies on the move
BW Confidential - Issue #12 - November/December 2012 - 19
BW Confidential - Issue #12 - November/December 2012 - 20
BW Confidential - Issue #12 - November/December 2012 - 21
BW Confidential - Issue #12 - November/December 2012 - 22
BW Confidential - Issue #12 - November/December 2012 - 23
BW Confidential - Issue #12 - November/December 2012 - 24
BW Confidential - Issue #12 - November/December 2012 - 25
BW Confidential - Issue #12 - November/December 2012 - Take note Market facts, figures & trends
BW Confidential - Issue #12 - November/December 2012 - 27
BW Confidential - Issue #12 - November/December 2012 - Best of BW Highlights from our e-publication
BW Confidential - Issue #12 - November/December 2012 - 29
BW Confidential - Issue #12 - November/December 2012 - 30
BW Confidential - Issue #12 - November/December 2012 - 31
BW Confidential - Issue #12 - November/December 2012 - Launches The latest in fragrance, skincare & make-up
BW Confidential - Issue #12 - November/December 2012 - 33
BW Confidential - Issue #12 - November/December 2012 - 34
BW Confidential - Issue #12 - November/December 2012 - 35
BW Confidential - Issue #12 - November/December 2012 - Interview L'Oréal Luxe president Nicolas Hieronimus
BW Confidential - Issue #12 - November/December 2012 - 37
BW Confidential - Issue #12 - November/December 2012 - 38
BW Confidential - Issue #12 - November/December 2012 - 39
BW Confidential - Issue #12 - November/December 2012 - - Category overview
BW Confidential - Issue #12 - November/December 2012 - 41
BW Confidential - Issue #12 - November/December 2012 - 42
BW Confidential - Issue #12 - November/December 2012 - EC1
BW Confidential - Issue #12 - November/December 2012 - EC2
BW Confidential - Issue #12 - November/December 2012 - 43
BW Confidential - Issue #12 - November/December 2012 - 44
BW Confidential - Issue #12 - November/December 2012 - - Regional breakdown
BW Confidential - Issue #12 - November/December 2012 - 46
BW Confidential - Issue #12 - November/December 2012 - 47
BW Confidential - Issue #12 - November/December 2012 - - Retail strategies
BW Confidential - Issue #12 - November/December 2012 - 49
BW Confidential - Issue #12 - November/December 2012 - 50
BW Confidential - Issue #12 - November/December 2012 - 51
BW Confidential - Issue #12 - November/December 2012 - 52
BW Confidential - Issue #12 - November/December 2012 - - Sampling
BW Confidential - Issue #12 - November/December 2012 - 54
BW Confidential - Issue #12 - November/December 2012 - 55
BW Confidential - Issue #12 - November/December 2012 - - Launch roundup
BW Confidential - Issue #12 - November/December 2012 - 57
BW Confidential - Issue #12 - November/December 2012 - 58
BW Confidential - Issue #12 - November/December 2012 - 59
BW Confidential - Issue #12 - November/December 2012 - 60
BW Confidential - Issue #12 - November/December 2012 - 61
BW Confidential - Issue #12 - November/December 2012 - 62
BW Confidential - Issue #12 - November/December 2012 - 63
BW Confidential - Issue #12 - November/December 2012 - - Clarins' spa strategy
BW Confidential - Issue #12 - November/December 2012 - 65
BW Confidential - Issue #12 - November/December 2012 - - Spa case studies
BW Confidential - Issue #12 - November/December 2012 - 67
BW Confidential - Issue #12 - November/December 2012 - 68
BW Confidential - Issue #12 - November/December 2012 - 69
BW Confidential - Issue #12 - November/December 2012 - - Chinese shoppers abroad
BW Confidential - Issue #12 - November/December 2012 - 71
BW Confidential - Issue #12 - November/December 2012 - - Direct sales
BW Confidential - Issue #12 - November/December 2012 - 73
BW Confidential - Issue #12 - November/December 2012 - 74
BW Confidential - Issue #12 - November/December 2012 - 75
BW Confidential - Issue #12 - November/December 2012 - 76
BW Confidential - Issue #12 - November/December 2012 - 77
BW Confidential - Issue #12 - November/December 2012 - - Store concepts
BW Confidential - Issue #12 - November/December 2012 - 79
BW Confidential - Issue #12 - November/December 2012 - 80
BW Confidential - Issue #12 - November/December 2012 - - QR codes
BW Confidential - Issue #12 - November/December 2012 - 82
BW Confidential - Issue #12 - November/December 2012 - 83
BW Confidential - Issue #12 - November/December 2012 - 84
BW Confidential - Issue #12 - November/December 2012 - - Selling beauty online
BW Confidential - Issue #12 - November/December 2012 - 86
BW Confidential - Issue #12 - November/December 2012 - 87
BW Confidential - Issue #12 - November/December 2012 - - Marketing strategies
BW Confidential - Issue #12 - November/December 2012 - 89
BW Confidential - Issue #12 - November/December 2012 - 90
BW Confidential - Issue #12 - November/December 2012 - - Regional overview
BW Confidential - Issue #12 - November/December 2012 - - Thailand
BW Confidential - Issue #12 - November/December 2012 - 93
BW Confidential - Issue #12 - November/December 2012 - - Indonesia
BW Confidential - Issue #12 - November/December 2012 - 95
BW Confidential - Issue #12 - November/December 2012 - - Vietnam
BW Confidential - Issue #12 - November/December 2012 - 97
BW Confidential - Issue #12 - November/December 2012 - - Industry analysis
BW Confidential - Issue #12 - November/December 2012 - 99
BW Confidential - Issue #12 - November/December 2012 - 100
BW Confidential - Issue #12 - November/December 2012 - 101
BW Confidential - Issue #12 - November/December 2012 - - Retailer viewpoint
BW Confidential - Issue #12 - November/December 2012 - 103
BW Confidential - Issue #12 - November/December 2012 - - New niches
BW Confidential - Issue #12 - November/December 2012 - 105
BW Confidential - Issue #12 - November/December 2012 - - Retailer factfile
BW Confidential - Issue #12 - November/December 2012 - 107
BW Confidential - Issue #12 - November/December 2012 - 108
BW Confidential - Issue #12 - November/December 2012 - 109
BW Confidential - Issue #12 - November/December 2012 - Emerging markets Company profile: Dabur
BW Confidential - Issue #12 - November/December 2012 - 111
BW Confidential - Issue #12 - November/December 2012 - Radar Up-and-coming beauty brands
BW Confidential - Issue #12 - November/December 2012 - 113
BW Confidential - Issue #12 - November/December 2012 - 114
BW Confidential - Issue #12 - November/December 2012 - 115
BW Confidential - Issue #12 - November/December 2012 - 116
BW Confidential - Issue #12 - November/December 2012 - - Sustainable packaging in the BRICs
BW Confidential - Issue #12 - November/December 2012 - 118
BW Confidential - Issue #12 - November/December 2012 - 119
BW Confidential - Issue #12 - November/December 2012 - 120
BW Confidential - Issue #12 - November/December 2012 - - Packs for Chinese consumers
BW Confidential - Issue #12 - November/December 2012 - 122
BW Confidential - Issue #12 - November/December 2012 - 123
BW Confidential - Issue #12 - November/December 2012 - - Luxe Pack preview
BW Confidential - Issue #12 - November/December 2012 - 125
BW Confidential - Issue #12 - November/December 2012 - Last word Uber founder Sarah Cross
BW Confidential - Issue #12 - November/December 2012 - 127
BW Confidential - Issue #12 - November/December 2012 - 128
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