Below is a look at the company's 2019 highlights, recent acquisitions, best-selling brands and latest innovations.
Beauty (Perfumes & Cosmetics) Sales
- Bernard Arnault, chairman and chief executive officer
- Antonio Belloni, group managing director
- Nicolas Bazire, development and acquisitions
- Chris de Lapuente, global president and CEO, Sephora
- Jean-André Rougeot, chief executive officer Sephora Americas
Luxury Perfumes and Cosmetics, including:
- Guerlain, Acqua di Parma, Parfums Christian Dior
- Givenchy Paris, Maison Francis Kurkdjian, Perfumes Loewe
- Benefit Cosmetics, Make Up For Ever, Kenzo Parfums
- Fresh, Kat Von D Beauty, Marc Jacobs Beauty
- Fenty Beauty by Rihanna, Sephora
- Christian Dior Joy by Dior, Dior Ultra Rouge lipstick
- Dior Backstage Face & Body, Guerlain Rouge G makeup
- Givenchy L’Interdit, Kenzo Badgal Bang! Mascara
- Fresh Black Tea Kombucha age-delay facial essence, Fenty Mattemoiselle lipstick
- Marc Jacobs Beauty Shameless liquid foundation
Driven by consumers’ lust for luxury, LVMH rose to new heights in 2018, topping $52 billion in total corporate sales, a 10% boost over the previous year. Performance was attributed to all sectors and all regions, but Asia and the United States, in particular, saw strong growth, according to Bernard Arnault, chairman and chief executive officer. Perfumes & Cosmetics contributed 13% of 2018 revenue—$6.9 billion. By product category, Makeup was the strongest, with 47% of revenues, followed by Perfumes (35%) and Skincare products (18%). 18% of LVMH’s 156,000-plus employees work within the sector.
LVMH reported “strong progress of flagship brands and rapid progress in Asia.” Parfums Christian Dior experienced “remarkable growth and increased its market share in all regions of the world.” The brand’s new perfume Joy and the widespread success of Sauvage, plus J’adore and Miss Dior all were strong contributors. Makeup and Skincare also picked up the pace.
Guerlain made great strides with Abeille Royale in skincare and Rouge G in makeup. Benefit strengthened its top position in the eyebrow segment and Parfums Givenchy moved ahead, thanks in particular to makeup and its new perfume L’Interdit. Fresh and Fenty Beauty by Rihanna continued on a growth trajectory.
2018 also proved to be another year of strong growth for Sephora—especially in North America, Asia and the Middle East—and gained market share. Sephora has more than 1,900 stores and 29 online shops, and is present in 34 countries. It was named Retailer of the Year at the 2018 World Retail Congress.
One example of LVMH’s sustainability initiatives as far as packaging is Parfums Christian Dior. The weight and volume of packaging used for the new Diorskin Nude box and foundations in the Backstage range was reduced considerably in 2018, according to an LVMH report. The transformation of the brand’s skincare packaging also continued, with thinner cases made from FSC-certified card introduced for the Capture Youth range.
Kicking off the year, Jean-André Rougeot, the CEO of Benefit Cosmetics for 12 years, was named chief executive officer of Sephora Americas. He reports to Sephora’s global president and CEO Christopher de Lapuente. During Rougeot’s time at Benefit, sales reportedly passed the $1.5 billion mark.
In June, LVMH chairman and CEO Bernard Arnault joined Amazon and Microsoft founders to become the third person to amass a personal fortune of $100 billion, according to a report published by Money and Markets.
Later in the year, rumors swirled around the possibility that LVMH had proposed a buyout of its prestige competitor Chanel, who denied that any talks had taken place.
First Half 2019
For the first half 2019, LVMH reported revenues of $28.5 billion euro, up 15% over the previous year, and with particularly strong growth in the U.S., Asia and Europe (sales in France saw a rebound in the second quarter).
Perfumes & Cosmetics rose 9% (organic). Within the category, flagship brands continued to rise, with Parfums Christian Dior maintaining “strong momentum” driven by the ongoing strength of perfumes and the “rapid progress” of its makeup and skincare lines. Guerlain’s Rouge G lipstick and the Abeille Royale skincare range were cited for a strong year, and the company’s launch of its first digital transparency and product traceability platform was named among the first half highlights. Givenchy, Benefit and Fresh were also called out for their success.
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