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Company’s fragrance business has delivered 10 consecutive quarters of at least double-digit organic net sales growth through fiscal year-end 2023.
September 28, 2023
By: Christine Esposito
Editor-in-Chief
The Estée Lauder Companies smells opportunity in luxury fragrance. Building on the strength of its fragrance business—where reported net sales have grown nearly 40% since pre-pandemic fiscal year 2019—Estée Lauder Cos. (ELC) will establish an atelier in Paris. ELC plans to open the studio by end of 2024. The atelier will further accelerate what ELC calls its “strategic ambitions” in luxury and prestige fragrances, supporting the “company’s existing enterprise-wide fragrance capabilities to help drive breakthrough innovation, speed-to-market, and artisanal quality at scale, leveraging synergies across the brand portfolio.” With the establishment of the atelier, ELC expects to capitalize on the momentum of its fragrance business, which has delivered 10 consecutive quarters of at least double-digit organic net sales growth through fiscal year-end 2023, and realize the compelling long-term growth opportunities of the category. The Paris-based Atelier will be exclusively focused on fragrance innovation and craftmanship and will provide holistic support for ELC’s fragrance brand portfolio in proximity to the Company’s fragrance house partners, ingredient suppliers and manufacturing network, according to the company. It will be led by an agile team of dedicated fragrance experts and help enable “deeper co-creation and collaboration with external partners to help unlock breakthrough product, packaging, and concept innovation at greater speed-to-market,” ELC said in a statement. “We are thrilled to announce the establishment of our new Atelier,” said Stéphane de La Faverie, executive group president. “Serving as an innovation enabler across our fragrance portfolio, its location will give us direct access to some of the best creative design resources, industry talent and local suppliers and perfumers, to help continue to accelerate our momentum in this exciting category.” Estée Lauder’s first fragrance debuted in 1953. Today, the company’s fragrance portfolio includes Jo Malone London, Tom Ford, Estée Lauder, Le Labo, Clinique, Kilian Paris, Editions de Parfums Frédéric Malle, Aerin Beauty, and Aramis. “ELC’s continued commitment to its long-term fragrance strategy is built on this extraordinary heritage of creativity and innovation,” said Fabrizio Freda, president and CEO. “The power of the Company’s fragrance portfolio, bolstered by the strategic support of the Atelier, positions the company well to drive future growth and value in this dynamic and fast-growing category, enabling ELC to continue to deliver exceptional luxury and prestige fragrances to consumers worldwide.”
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