The Global Retail and Beauty Digest: Markets & Mergers.
Digest #6 Beauty Beyond Borders. From France to Africa and the Revolution of Pop-Up Experiences.
Fashion
The US economy shows resilience with Q2 GDP at 2.1% despite inventory drawdowns. July consumer spending hits a 6-month high.
Hong Kong's retail sales in July surged 16.5% YoY, marking the 8th month of growth. Boosted by tourism revival.
The Global Cosmetics Market is set to grow at 5% CAGR, reaching a staggering $663 bn by 2031. The Asia-Pacific region, driven by rising living standards and evolving consumer preferences, is expected to dominate this growth.
French cosmetic exports surge by 15.6% YTD. The American market is leading the growth. One in every five products from France is exported to the U.S.
China beauty brands ambitions to go global. LVMH next big bet with products made from traditional Chinese Medicine.
African brands expanding their reach into new territories with ancient ingredients and setting new trends.
The Body Shop exploring selling Natura. Why does no one know what to do with The Body Shop? This move followed L'Oréal's acquisition of Aesop to Natura & Co in a $2.5 bn deal.
Observation: Hyperphysical pop-ups. High fashion meets Luxury Tourism.
Pop-up stores are revolutionizing retail by offering immersive brand experiences. Merging fashion with experiential retail, they captivate shoppers by narrating brand stories in transient spaces.
Chanel to open beauty-themed retro diner pop-up to celebrate fragrance launch.
Can Lab-Grown Diamonds go mainstream? Lab-grown diamonds now constitute 10% of diamond sales, with a projected value of $55.5 billion by 2031. Pandora has expanded its lab-grown collection, with prices starting at £225. Swarovski is also taking its collections global.
Harrods has introduced the "Handbag Clinic" to its iconic London store, offering luxury handbag restoration and resale services. This move aligns with Harrods' strategy to cater to luxury consumers, as seen with the upcoming launch of "The Residence" its exclusive 250 members club in Shanghai.
Meanwhile:
The court isn't just for sports anymore. Tennis is the new luxury fashion playground.
Lululemon's Q2 revenue rise by 18% to $2.2 billion, prompting plans to open 55 new stores this year and expand internationally.
Lanvin Group posts 6.4% revenue growth in H1 FY23.
Kering released a €3.8 billion bond to fund its acquisition of perfume brand Creed.
Luxury brands expand accessibility: 54% are now available at major retailers like Nordstrom and Farfetch.
Fashion Tech
The EU's Digital Services Act (DSA) now mandates large online platforms to offer users a content feed that doesn't utilize personal data for customization.
This shift may alter how brands and marketers engage with audiences, especially if they rely on algorithmic suggestions for visibility.
With the potential for reduced reach and precise targeting, brands might pivot towards direct channels and prioritize more organic, engaging content.
Captivating you at every turn. Predictive AI fine-tunes inventory, while generative AI crafts dynamic in-store displays. Together, they redefine the in-store experience, promotions, and customer satisfaction.
Order placed? Expect a bonus. Dive into why brands are pouring resources into post-purchase technology.
One last bite:
What to know about EU’s upcoming Digital Product Passport.
Brands are increasingly testing out virtual sizing tools.
Music merch gets the tech treatment. Integrating apparel with unique digital assets and pre-sold tickets.
Copy, the First AI-powered fashion magazine.
Adidas Unveils NFT Artist RESIDENCY with Plans for Physical Collaborations.
Until next time.Thanks for reading.
