Estee Lauder sales growth mostly contributed by Asian country
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Positive sales growth in Asia has helped boost Estee Lauder net sales to US$3.74 billion for the quarter to the end of December.
Up from $3.21 billion from the same quarter the previous year, the beauty brand also credits the improvement to growth in online sales globally as well as travel retail.
“We continued our strong momentum in our second quarter and generated stellar results,” says president/CEO Fabrizio Freda. “In constant currency, our sales grew 14 per cent.
“We delivered double-digit sales gains across most product categories and many brands, including Estee Lauder, luxury brands and most mid-sized brands.”
Tom Ford and the Estee Lauder brand were significant contributors to the company’s growth. Eye shadow and lip colour sub-categories drove Tom Ford sales, while the Estee Lauder brand sales were supported by its Double Wear foundation and Pure Color lip collections.
The Tom Ford brand also saw success with its Private Blend fragrances and other scent-related product launches, including the limited-edition fragrance Fucking Fabulous.
Estee’s acquisition of popular lower-end brands such as Becca and Too Faced also supported its growth with incremental sales.
Questions & Answers
Q.Which specific product categories and brands were highlighted as significant contributors to Estee Lauder's sales growth?
Which specific product categories and brands were highlighted as significant contributors to Estee Lauder's sales growth?
Double-digit sales gains were seen across most product categories and many brands. Specifically, the Estee Lauder brand, luxury brands, and most mid-sized brands were mentioned as key contributors to this growth.
Q.What product types specifically helped drive sales for the Tom Ford and Estee Lauder brands?
What product types specifically helped drive sales for the Tom Ford and Estee Lauder brands?
Tom Ford sales were driven by eye shadow, lip colour, Private Blend fragrances, and other scent launches like 'Fucking Fabulous'. The Estee Lauder brand's sales were supported by its Double Wear foundation and Pure Color lip collections.
Q.Besides sales in Asia, what other factors did Estee Lauder credit for its improved net sales this quarter?
Besides sales in Asia, what other factors did Estee Lauder credit for its improved net sales this quarter?
In addition to positive sales growth in Asia, Estee Lauder also attributed the improvement in net sales to growth in online sales globally. Travel retail was another factor cited for the increased revenue.
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