Armani Beauty plans Asian roll-out after Hong Kong debut

Kevin Rozario

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L’Oréal has confirmed plans to open new Giorgio Armani Beauty boutiques elsewhere in Asia after the success of its debut concept

Parent company L’Oréal has confirmed plans to open new Giorgio Armani Beauty boutiques elsewhere in Asia, particularly China, following better than expected sales at the concept’s first travel-retail outlet at Hong Kong International airport (HKIA).

The 30sq m (323sq ft) open-plan, L-shaped unit in the East Hall of terminal one was opened on January 17 by Scental, the Asia/Pacific arm of L’Oréal Luxury Products Travel Retail division, in association with Nuance-Watson (HK). According to Scental division manager designer fragrances Helena Rubinstein Vera Breuer, sales in the first two weeks have exceeded forecasts. She said: “Sales have been steadily above target by 10%. It is still early days, but we expect sales to further develop with increased awareness.”

By far the biggest-spending nationalities have been the Chinese and Taiwanese. “Store penetration by mainland Chinese is about 50% today,” added Breuer. “Considering that Armani Beauty has not yet opened in China, it shows the power of the brand. Further developments in Asian travel-retail will depend on launches in domestic markets. We will focus on the greater China region in the next phase.”

The Giorgio Armani Beauty store at HKIA is a landmark for L’Oréal as it is the first time the company has put together a coherent retail and merchandising concept to present the brand’s entire beauty range, from colour cosmetics and fragrances to men’s and women’s skincare. Two tower showcases feature the fragrances, and make-up products are displayed adjacent to a video wall. The other side of the boutique is dedicated to skincare.

International marketing manager travel-retail worldwide Jean-Michel Bostroem said: “We are on the right track now with this concept and its merchandising, and we will be able to develop faster than in the past.” Giorgio Armani has opened just four locations in five years.

Nuance-Watson (HK) regional managing director Alessandra Piovesana said: “Nuance-Watson (HK) takes genuine pride in the fact that the new initiative was the direct result of consumer research commissioned in 2006. The survey shows our desire to launch pioneering brand concepts by leveraging our unrivalled understanding of travellers’ brand preferences for fragrances and cosmetics.”