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    Breaking News

    Revlon Bets on Amazon

    A digital-led turnaround?

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    02.27.17
    Revlon Inc. is counting on digital to lift its sagging fortunes. A new marketing strategy will put its logo right on 10 million Amazon shipping boxes, fronting celebrities including Lady Gaga in a series of ad campaigns. As part of the makeup company’s larger “Love Project” campaign, Revlon will advertise on 10 million Amazon shipping boxes, taking direct aim at a growing cohort of Millennial ecommerce shoppers. As Amazon dominates the online retail space, traditional consumer products retailers have moved quickly to boost their digital presence, some deciding to go all in and team up with the industry leader.

    The new Amazon deal marks Revlon’s first major marketing push after its acquisition of Elizabeth Arden Inc. last year. The move is the latest attempt to stop the momentum of upstart cosmetics brands. The beauty products company has hired former Allure magazine editor Linda Wells to spearhead the new branding campaign as Revlon’s new chief creative officer.
     

    “Digital is so important is to us as a company,” said Revlon’s vice president of global digital marketing, Eunice Byun. “That’s where the consumer is. That’s where she is talking to her friends, learning about new trends.”
     

    Revlon Chief Executive Officer Fabian Garcia ambitiously hopes to turn around the company’s declining share of the crowded cosmetics market, aiming for $5 billion in annual sales over the next five years. That means the New York-based firm will have to increase its current $3 billion in annual sales by 66%, all while integrating the unprofitable Elizabeth Arden business. Last year, Revlon acquired the cosmetics, skin care and fragrance company in a deal worth $800 million, including debt.
     

    Shares of Revlon, trading at a price of $34.40 Monday afternoon, represent an approximate 18.4% incline over the most recent three-month period, reflecting investors’ improved confidence in the cosmetics leader’s long-range turnaround plan.

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