Estee Lauder Group to pursue mono-brand retail expansion
U.S. beauty giant Estee Lauder Group follows in the footsteps of its competitors such as L’Oreal (Lancôme, Kiehl’s, Roger Gallet)) and LVMH (Guerlain, Dior, Acqua di Parma) to expand its retail through directly operated mono-brand boutiques both in mature and emerging markets. The success of the opening of its MAC flagship store 5 months ago on Champs Elysee in Paris (the largest store of MAC in the world) has prompted Estee Lauder Group to decide on expanding three of its brands MAC, Bobbi Brown and Jo Malone mostly through mono-brand boutiques, in France alone, with 5 to 10 sale points per year.
In the past 3 months, L’Oreal opened in Paris the first mono-brand boutique of Roger Gallet, a Lancôme pop up store and 2 mono-brand boutiques of Kiehl’s. LVMH opened its third Guerlain boutique in Paris and the first Dior beauty pop-up, also in Paris. Internationally, in major emerging markets such as China and India, all major cosmetics groups are pursuing expansion mostly through directly operated mono-brand boutiques.