Fragrance player Maurer & Wirtz restructures to form three new divisions
The company, which is based in Stolberg, Germany, is dividing the business into three strategic units, each targeting a specific area of the highly competitive market for fragrances.
The strategy, which will also include a wide range of measures to optimize the efficiency of the business and ultimately cut costs, will see the business split into Beauty, Prestige and the 4711 divisions.
Growing the business domestically and internatioanlly
The move is the brainchild of company managing directors Dr. Hermann Wirtz and Fabian Krone and aims to grow the company’s markets share, both in its domestic market and internationally.
In recent years the company has been particularly targeting new international markets, and the restructuring aims to build on this core market strategy.
“By establishing these three corporate pillars we want to ensure that these competences are used even more effectively and efficiently by aligning them to the needs of specific market segments, and by clearly optimizing them for the specific needs or our business partners,” said Krone.
Beauty, Prestige and 4711 divisions...
The Beauty division will primarily hold the company’s own fragrance brands, which include Original, Tosca and Nonchalance, as well as the ongoing licensing agreements it has with a number of fashion brands such as Betty Barclays and s. Oliver.
The Prestige unit will be focused on license agreements that focus on the prestige and luxury segment, which currently agreements with holdsbrands such as Strellson and Michalsky, together with the Velvet Kitten and Pussy Deluxe brands.
The 4711 division will encompass the company’s Glockengasse brand, which is also the name of Maurer & Wirtz flagship store, 4711 Glockengasse, in Cologne, As well as its eponymous 4711 fragrance brand, this division will also house brand extensions that includes the aromatherapy line Acqua Colonia.
Targeting Brazil, Russia and Asia Pacific
The company says it specifically wants to target growth of the prestige and 4711 globally, while expansion of the Beauty division will largely be concentrated on the European market.
As well as Europe, key target countries include the high growth and emerging markets in Russia and Brazil, together with North America and the Asia-Pacific regions.
Maurer & Wertz is a family-owned business established approximately 160 year ago and currently generates yearly revenues of approximately €130m.
