The Travel Retail Division was expanded a year ago with company CEO Jean-Paul Agon commenting: “Travel retail is a key channel for winning over one billion new consumers. This market, present around the world, could be considered a ‘sixth continent.’”
With this in mind the company is rolling out its plan for the dermocosmetics and professional hair care products in Asia by the end of the year, and the Americas at the start of 2015.
Vichy and La Roche-Posay will be retailed through Dermacenter flagships, ‘shop-in-shop’ outlets devoted to dermocosmetics, while hair care brand Kérastase will see a tailor-made retail approach and professional hair and scalp consultations available in dedicated brand hair Studios.
“By meeting consumers’ beauty aspirations, whatever their nationalities, beauty rituals or purchasing power, L’Oréal Travel Retail plays a strategic role in conquering new consumers who will pursue their experience with our brands in their home countries,” says Nicolas Hieronimus, president Selective Divisions.
“The launch of Vichy, La Roche-Posay and Kérastase in Travel Retail demonstrates our confidence in the huge potential of this channel. From now on, all of the Group's major brands will have the opportunity to develop on this ‘sixth continent’.”
L’Oreal has been present in the travel retail market since the 1960s with L’Oréal Luxe, positioning L’Oréal Paris in the space in the last decade, and The Body Shop in the last few few years.
Travel Retail, which represents all products sold in the travel distribution channel caters to over 2.4 billion international travellers every year, with Beauty occupying the number one category in the market, where L’Oreal is seen as a leader in the field, holding a 21.3% market share in 2013.
The 2013 global Travel Retail market was estimated at US $60 billion and is tipped to double in value before 2025 reaching US $120 billion.