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The answer to these questions could have great implications for the comfort business. As the country’s comfort manufacturers struggle to make a profit in clothing, they’re looking to boost sales and profitability by expanding into elegance. According to a Mckinsey record, perfume and cosmetics are a “flagship” organization that can drive expansion in many other categories for extravagance brands.
But the method is not without dangers. The crowded classification european women can be difficult to crack. And the divisions of a brand often do n’t speak to each other, making it difficult to create integrated marketing and communications campaigns.
The scenario of Burberry, which took its splendor organization in- residence under original Ceo Angela Ahrendts in 2013, offers a cautionary tale. The decision to terminate the agency’s registration deal with Interparfums Sa, which held the permit for its Montblanc and Van Cleef & Arpels shampoos, sent shares of the company tumbling 9.4 per-cent on Sept. 6. Kering’s order of Creed at a 14- instances income different in October moreover made investors sit up and take notice.