With the impact of inflation causing changes in consumer behavior and their preferences in extravagances, — with some opting for travel and others exploring luxury brands — luxury names such as Prada and Hermès have identified a previously untapped market potential. This realization has led them to venture into beauty product lines.
Read also: The Aspiration Shopper May Be Straying From Luxury and Turning to Travel
Historically, these labels have served a privileged clientele in search of premium goods. However recently they have welcomed a fresh group of aspiring buyers. While these individuals might not possess the means to indulge in the apparel and accessories offered by these brands, they still harbor a desire to experience the lifestyle that these brands symbolize.
So, luxury brands are feeling more inclined to view beauty products as a strategy to attract new customers, especially as beauty items can carry the brand’s identity — a logo, for example, introducing a touch of luxury and exclusivity for aspirational shoppers.
The latest to tap, or retap, into the beauty category is Marc Jacobs.
In a joint press release, the company is announcing its comeback via a partnership with the prominent beauty powerhouse, Coty. While Marc Jacobs Beauty had formerly focused its collaborations with Coty solely on fragrances, this fresh licensing arrangement is an expansion of their collaboration.
“The expansion and extension of our longstanding agreement with the house of Marc Jacobs, now in its 20th year, is a testament to the enduring success of our partnership and the brand’s limitless potential,” said Sue Nabi, Coty CEO, in a statement. “The revival of Marc Jacobs’ cosmetic portfolio, now in partnership with Coty, is eagerly anticipated by consumers around the world who have been campaigning for its return. This agreement reinforces Coty’s position as a go-to partner for global fashion houses and brands that share our ambition of creating leading beauty portfolios.”
This partnership is scheduled to span over 15 years, and consumers can anticipate seeing new products on the shelves by 2025. Coty’s renewed alliance with Marc Jacobs Beauty aligns with its endeavors to strengthen its presence in the high-end and luxury segments of the market.
During 2021, Marc Jacobs Beauty, originally launched in 2013 under the LVMH-owned incubator Kendo, garnered attention by quietly lowering the prices of its products in July — prompting speculations regarding the brand’s potential closure.
In response to these concerns, a representative of the brand reassured Business of Fashion that there was no intention to halt Marc Jacobs Beauty’s operations.
The move to relaunch its beauty segment follows Kohl’s recent earnings which revealed that Sephora’s shop-in-shop drove 90% of the retailer’s beauty sales.
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