WHILE THE prestige beauty industry posted a healthy 6% sales gain in 2016, reaching $17 billion, the fra- grance category eked out just a 1% rise for the year
as consumers appeared to pour the majority of their cash into
makeup counter coffers and online portal repositories. In fact,
four out of every five dollars gained in prestige beauty last year
stemmed from makeup, according to NPD Group, Port
Sales of prestige fragrance juices rose 2% in 2017,
driven mostly by flankers, which, while representing
about 21% of all fragrance sales, accounted for 161%
of fragrance gains made during the course of the year,
based on NPD’s year-end number crunching.
Even the most wonderful time of the year for fine
fragrance wasn’t so wonderful. Prestige fragrance
sales declined 1% in Q4 2016, according to NPD.
Makeup, meanwhile, posted a 12% gain during that critical quarter which includes the
key holiday season.
NPD global beauty analyst
Karen Grant told Happi that while
December’s online fragrance activity
was positive, the traditional outpost for
perfumes and colognes revenue—the
department store—really struggled.
That’s not to say that 2016 was a
bust for everyone in the fragrance business. At Inter Parfums Inc., for example, 2016 sales rose 11.2% overall, with
US-based operations generating net
sales of $34.9 million, a 17.3% rise.
The fragrance company is banking
on more growth in 2017. Inter Parfums’ chairman and CEO Jean
Madar pointed to“an impressive line-up of fragrance launches”
that will debut in 2017, with special emphasis on its newer brands
such as the first new scent for the Rochas brand (Mademoiselle
Rochas) and the first Coach fragrance for men. Also in the works
are a new women’s version of First Instinct by Abercrombie &
Fitch, and Wave 2 from fashion retail brand Hollister.
According to Madar, the existing fragrances Inter
Parfums has with these two American fashion brands
“should continue to be growth catalysts in 2017.”
Older brands under the Inter Parfums umbrella will
also“welcome new members” to their fragrance fran-
chises, according to Madar. For example, Montblanc
will see a third flanker added to the Legend family,
Legend Night, as Inter Parfums looks build upon
the success of the second flanker (Legend Spirit),
which some estimated was one of the top
five new launches in the US last year. And
there’s activity brewing at Jimmy Choo
too, with new men’s and women’s scents
in the works.
Franchise expansion is also underway at three Parlux brands. Following
up Gold Rush Paris Hilton, for example, is a new men’s flanker called Gold
Rush Man. The new scent marks the
21st fragrance in the celebrity’s stash;
her first, Paris Hilton for Women, hit
By Christine Esposito • Associate Editor
The prestige fine fragrance sector fizzled
as 2016 came to a close. But as warmer
weather approaches, the category looks to
new launches and novel marketing endeavors
to generate excitement in the industry.
Hermes Parfums presents Eau des
Kiss by Rihanna, the third fragrance in the
performer’s RiRi collection, is described as a
flirta-tious, feminine and lighthearted white floral.