Estée Lauder Cos. To Close Aramis & Designer Fragrances Divisions

As part of its plan of “investing its resources into the most strategic long-term growth opportunities and value creation globally,” The Estée Lauder Cos. will close the Aramis & Designer Fragrances division.

The division includes brands such as Aramis, Tommy Hilfiger, Michael Kors, Donna Karan, DKNY and Ermenegildo Zegna. Aramis, the prestige men’s line launched in 1963, will be moved into another division within Lauder. The other licenses will wind down between now and 2023. DKNY and Donna Karan licenses are headed to Inter Parfums, as reported by Happi this week.

“After careful and thorough consideration, ELC and the four fashion houses have mutually decided to not renew the licensing agreements,” the company said in a statement. “This means that ELC will wind down the ADF division by June 2023.”

The move comes after Estée Lauder's fragrance sales soared 23% to more than $1.9 billion in fiscal 2021. The gains were attributed to an increase in net sales from Jo Malone London, Tom Ford Beauty and Le Labo. 

Fragrance was one of the hardest-hit categories during the early days of the pandemic. In 2020, ELC's fragrance sales fell 13%. But since those dark days, fine fragrances sales have come roaring back, according to analysts.