Beauty boost? Revlon eyes global brand extensions ‘for significant long-term revenue’ via MDR Brand Management

By Kacey Culliney

- Last updated on GMT

The global partnership with MDR Brand Management will be focused on creating extensions for the two flagship mega brands: Revlon and Elizabeth Arden (Image: Revlon)
The global partnership with MDR Brand Management will be focused on creating extensions for the two flagship mega brands: Revlon and Elizabeth Arden (Image: Revlon)

Related tags Revlon Elizabeth arden Branding Marketing expansion retail New product development

International beauty major Revlon has partnered with MDR Brand Management to create a global brand extension strategy that takes it into new spaces and drives deeper consumer engagement across the EMEA, APAC and Americas.

The long-term, exclusive global partnership with MDR Brand Management will focus on growing Revlon Consumer Products Corporation’s flagship mega brands Revlon and Elizabeth Arden. This growth would be achieved via various brand extensions – new product launches, wider retail reach, and fresh consumer engagement projects, among others – some of which would be designed to take Revlon and Elizabeth Arden beyond their core reaches.

“This is not expansion for expansion sake; it’s expansion to create significant long-term revenue,”​ said Daniel Avener, CEO of MDR Brand Management.

“…Brand owners look to brand extension for different reasons. Typically, top of the list is revenue because this is revenue that goes to the bottom line. But [this is] a much, much broader strategic play about creating new consumer touchpoints, perhaps in different retail outlets or in different geographies,”​ Avener told CosmeticsDesign-Europe.

MDR Brand Management was “extremely pleased”​ to welcome the Revlon and Elizabeth Arden brands into its global portfolio and start refining plans in the coming weeks and months.

EMEA push? UK, France, Germany and UAE key beauty markets

Whilst the brand extension plan would have global reach, Avener said the EMEA region was an “extremely important”​ part of plans.

“I would call out a few important markets like the UK, France, Germany and the UAE,” ​he said. “And, essentially, those markets will have slightly varying strategies based on the geographical environment, economic environment, and retail environment.”

In the UAE, for example, he said focus might skew more towards experiential activations given shopping and consumer trends in this market versus Europe.

Irrespective of what expansion looked like on a local level, he said any brand extension would adhere to the “global resonance”​ Revlon and Elizabeth Arden were known for in beauty.

New product launches and brand concepts under the partnership would likely start to come to fruition by Q4 2021, Avener said, subject to the environment defined by the ongoing COVID-19 crisis.

So, what might these brand extensions look like? They could take on various forms, he said, such as a Revlon salon or spa to tap into rising men’s grooming and beauty needs or an experiential digital platform for deeper consumer connections.

“The brand management, brand extension and licensing model is a particularly effective strategy, especially through the economic times we’re going through because we can create an asset-light solution (…) to expand their brand geographically.”​ Products could also be created in more cost-effective ways to deliver sustainable, long-term growth, he said.

Importantly, he said any new product launch, brand concept or extension would absolutely align with the sustainable values of Revlon – ensuring sustainability was upheld from the beginning to end of the supply chain.

Still space for beauty growth despite competitive COVID-19 market

And this expansion drive came at a particularly timely moment, Avener said, as beauty brands worldwide invested heavily in innovations, product development and deepening consumer contact through the COVID-19 crisis.

“If you look at the pandemic and look at beauty as a category, along with the likes of food and beverage, it has not only survived the pandemic but it’s really thrived through this lockdown period,” ​he said.

Asked if it was too competitive in beauty for Revlon to attempt a deeper global brand push, he said: “There’s definitely been fragmentation of the market with more startup brands and brands that are being driven by influencers, and I think that only adds fuel to further growth. When you’re dealing with big, global brands that have been around and in the consumer psyche for such a long time, that provides us with an opportunity to innovate and really attack the market with some great new product innovations outside of what each brand in known for.”

Despite a rise in beauty innovation this past year, he said there was plenty of space for beauty brands to “exist or co-exist”.

“…Delivering sustainable growth for the long-term is key. So, this isn’t a short-term promotional, it really is a long-term strategic play for long-term partnerships, building consumer connections at retail or online or through experiential, and delivering sustainable revenue for the brand.”

Martine Williamson, global chief marketing officer at Revlon, said: “We are pleased to welcome MDR Brand Management and their wealth of experience within the beauty space. MDR is well suited to support us in developing profitable new product categories through their strong and valuable connections with licensees globally, and in delivering sustainable growth outside of our core product portfolio.”

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