L'Oréal creates a Group Travel Retail Division

L'Oréal creates a Group Travel Retail Division

French cosmetics giant L’Oréal has created a Group Travel Retail Division. With the move, the number one in cosmetics hopes to stimulate sales in the fast growing ‘travel retail beauty segment’.

By land, by sea and by air

The “Group Travel Retail Division” will include all of the group’s brands, from ‘Luxe’ (Lancôme, Yves Saint Laurent) to ' Active' (Vichy, La Roche-Posay) and The Body Shop.  It will not only focus on airports and railway stations, but also offer products in tax free zones on ferries, cruise liners and airplanes.


The democratization of travel, especially in emerging countries, has led to an increased number of travelers and thus consumers who today are searching in this channel for a full selection of products that correspond to their beauty aspirations, whatever their nationalities, beauty rituals or purchasing power”, Managing Director Barbara Lavernos has stated.


“Sixth continent" for L'Oréal

According to L’Oréal, the travel channel represented some 41 billion euro in 2012, a 9.4 % increase compared to 2011. Research company Generation predicts this segment will double within the next ten years.


L'Oréal is confident it can steal away a large portion of that growth. “Travel Retail is a key channel for winning over one billion new consumers. This market, present around the world, could be considered as a “sixth continent.” L’Oréal already has extensive expertise and strong relationships with client-retailers, and has high ambition for the future of the channel”, CEO Jean-Paul Agon believes.


L'Oréal has commercialized 27 brands worldwide in 130 countries. With a market share of 15 %, it is currently number one in cosmetics. Within the “travel retail” sector, where beauty and care products generate 30 % of the total turnover, L’Oréal manages a market share of 21.6 %, according to its own numbers.




(Translated by Gary Peeters)

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