The global fragrance industry is worth approximately EUR 35 billion, and in recent years, a flood of less expensive synthetic and celebrity fragrance launches have been changing the dynamics of the category.
Whether catering to this trend or offering consumers a better quality, higher-end alternative, fragrance players have been innovating at a rapid rate, and as the category continues to develop, partnerships between companies have signalled a new era of collaboration in research and development.
Givaudan, for example, recently teamed up with Amyris on active cosmetic ingredient partnership, with the companies looking to develop advanced active ingredients using biotechnology.
L’Oréal is another player broadening its fragrance reach: in July, the company acquired Atelier Cologne, a niche prestige brand found only in selected retail outlets.
Spanish company Puig is one player also keen to cater for consumers looking for more exclusive fragrance lines: it recently bought a stake in EB Florals, an ultra-exclusive line of floral-based fragrances.
Art & Fragrance is another looking to adopt a higher-end image, and the took on the elevated sophistication of a French-themed brand identity when it swapped its name to Lalique Group for the whole company rather than just one division.
Getting back into the game with its first launch of a fragrance in seven decades, Louis Vuitton also carried out a sidestep in strategy earlier this summer.
A nose for innovation
In terms of emerging innovations and trends, memory triggering scents are hot on the agenda. Eurofragrance, a Spain-based player, recently presented its latest concepts as #REMEMORIES at the Beautyworld Middle East event.
Indeed, its a theme also being explored by fellow market leader Givaudan, whose representative, Angello Kostandas, presented concepts for Nivea at a recent Beiersdorf event.
“Fragrance is like a powerful magician: it connects us to our feelings and our memories. Studies show that after six months only about 25% of people can remember a picture, but 82% can remember a specific fragrance. Even ‘lost’ memories can be activated with fragrance.”