The stellar performance of celebrity scents looks set to come to an end as the market becomes over-saturated with new products, according to a new report from Euromonitor International.
The World Market for Cosmetics and Toiletries report details the celebrity fragrance market, which has witnessed a vast influx of products over the past few years, is bracing itself for a backlash. In the U.S., where celebrity perfumes have previously driven sales growth, mass fragrance sales are predicted to decline by 25% by 2010 as the celebrity trend weakens.
This will lead to problems for global players, particularly as the ranges are being continuously revamped to keep up with the image of the celebrity. The J Lo fragrance collection alone, for example, has seen six product launches since the original launch of Glow in 2002. “With so many new releases, manufacturers are running the risk that consumers will become increasingly confused and frustrated by the never-ending choice," said Diana Dodson, senior industry analyst, Euromonitor International.
The future of the global fragrance market looks set to focus on quality products, according to Euromonitor International’s forecasts. With the global market for premium fragrances generating $18.7 billion, an impressive 60% share of the total market, quality is clearly in demand. Manufacturers are expected to respond by taking longer over new product development, and as such the industry will become less driven by fast-turnover innovations characterised by the celebrity trend.
“The fragrances market has strong potential for growth if manufacturers can find ways to pull customers towards ‘quality’, rather than selling on image alone. As part of this move towards premium products, ingredients will play a more central role. Jo Malone’s Pomegranate Noir has taken the first step in this direction, riding on the wave of popularity of the purple superfruit," said Dodson. Manufacturers are also expected to bolster sales by employing marketing strategies that persuade women to apply their fragrances more frequently throughout the day, supported by the introduction of more portable fragrance formats, such as roller-balls. Coty has responded already to this by launching the Lovely by Sarah Jessica Parker Liquid Satin Serum rollerball fragrance.