Still reeling from a disastrous 2008 holiday season and plummeting sales
through the first half of 2009, fine fragrance marketers hope autumn
launches and holiday promotions provide some much needed relief.
FTER AN AWFUL 2008 holiday season and further decline in the
first half of 2009, fine fragrance sales, to put it
“The first half of
2009 was ‘the
end of the
world’ and the
fragrance market had a
very difficult time
achieving sales, particu-
larly as retailers dis-
counted the price of prod-
ucts,” said Toon van Beeck,
senior industry analyst with
IBISWorld Inc., Jersey City, NJ.
“Mother’s Day and Valentine’s Day usually see large spikes in fragrance sales, but
this was less so for 2009.”
According to NPD Group., Inc, Port Washington, NY, prestige fragrance sales in the U.S. plummeted 10% versus first
half 2008. On the mass side, IRI reported that men’s sales fell
more than 6% and women’s fragrances declined nearly 4% for
the 52 weeks ended Sept. 13 (See chart, page 72).
With numbers like that, industry executives are hoping
Fall 2009 launches and absolutely critical holiday promotions will generate excitement among recession-rocked
consumers and provide some much needed relief. But will
it be enough?
“The hard part is, we don’t know,” said NPD global beauty industry analyst Karen Grant. “One would hope that
because fragrances declined by as much 10% last holiday,
we hope to see flat this season. But that is hard to tell.”
Some surveys suggest consumers might be more interested in purchasing fragrances this holiday season. According
to NPD’s recently released annual survey of consumers’
holiday spending intentions, while more respondents said
And the Fragrance
Foundation will trumpet
the cause—although it
will come after the critical holiday period—by
launching a new
created “to entice consumers back to the
pleasures of fragrance.”
The “One Drop Changes
Everything” campaign goal is to
entice the 62 million consumers who
already use fragrance sometimes to spritz
or splash more often.
Rochelle Bloom, president of the New York
City-based group, likened One Drop’s potential to the “Got
Milk?” campaign, which debuted 16 years ago and is credited
with boosting milk consumption. Increasing sales as little as
2-5% would have a significant impact on the total category,
Ms. Bloom noted. New York City ad and design firm Yard was
tapped to create the campaign, which will bow in January,
just in time for Valentine’s Day.
It’s a Man’s World
Despite all the gloomy news during the past several months,
there have been some bright spots in the fine fragrance market, one of them being the men’s prestige sector.
“The men’s market has seen a surge in demand in the past
Above: Josie Natori’s Natori, a scent from Parlux, is a new floral
oriental with notes of rose, plum, ylang ylang, peony, jasmine,
patchouli, amber and musk.