Above: Image from Hermès
Long celebrated for the steady success of its fragrance and beauty division since its launch in 2020, Hermès has now recorded its first-ever decline in beauty sales. This unexpected downturn highlights growing challenges for the house in an increasingly competitive market, marking a key moment in the brand’s beauty trajectory.
What Happened
- Fragrance and beauty arm posts a sales decline for the first time since its beauty division was introduced in 2020.
- This contrasts sharply with robust growth at rival conglomerates. LVMH and Kering continue to expand their beauty portfolios vigorously
The Jing Take
- The dip suggests Hermès may be at a crossroads, needing to reassess its beauty strategy amid evolving customer habits and narrative demands.
- While Hermès has traditionally leaned into understated, refined aesthetics, this moment may call for more bold or emotionally resonant storytelling in beauty offerings
Broader Market Context
- Competing luxury groups are leaning into dynamic marketing and rapid innovation to capture market share.
- Hermès, by contrast, might risk losing traction if its beauty development and messaging remain too predictable or cautious.
Hermès’s first beauty sales decline signals that even established luxury players must stay agile in a fast-evolving beauty market. The brand’s hallmark elegance may now require a thoughtful inflection toward storytelling that resonates more vividly with modern beauty consumers. As rivals accelerate forward, Hermès’s next steps in beauty, from product innovation to narrative strategy, will be pivotal in reaffirming its presence in the category.
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