No one doubts that beauty is the new battleground for luxury. However, today, more than ever, there are numerous strategies. There are those who sell to cash in and those who slowly build a sensory universe. Kering and Hermès are moving in opposite directions, but with the same goal: to transform beauty into a new narrative. And the way they do it says a lot about what luxury is becoming
by Domenico Casoria
The world of luxury is rewriting the rules of the game in the beauty sector, but that’s not the real news. What really matters is what has happened in the last month. Signs that indicate the direction in which the entire sector is moving. Between billion-dollar acquisitions and strategic launches, the landscape is rapidly evolving. There are two leading players: Kering and Hermès, which are taking different approaches. In mid-October, Kering sold its beauty division, Kering Beauté, to cosmetics giant L’Oréal for €4 billion.
Under the leadership of CEO Luca de Meo, this move aims to strengthen the presence of its fashion houses in the world of beauty by relying on the global leader in the sector. The agreement provides for exclusive 50-year licences for Gucci, Bottega Veneta and Balenciaga perfumes and cosmetics, which will be managed by L’Oréal, with the promise of widespread distribution and unrivalled industrial power. Or with the aim, for the Pinault family group, of obtaining liquidity. Completing the picture (or frame) is Creed, a niche perfumery brand acquired by Kering in 2023, which further consolidates the group’s position in the ultra-premium segment.
Beauty is power
This is not a simple agreement. According to de Meo’s statements, Kering’s decision to relinquish direct control of its beauty division is a strategic move aimed at capitalising on efficiency and global penetration. By relying on a partner such as L’Oréal, the group aims to accelerate the growth of its maisons in the world of beauty, leveraging a solid industrial structure and a widespread distribution network. The joint venture between the two giants promises to ‘explore new frontiers at the intersection of luxury, wellness and longevity’, with the ambition of offering increasingly innovative and sophisticated beauty experiences. Rapid expansion, therefore, and synergy between the creativity of the fashion houses and the operational power of a global leader.
The slow gesture of Hermés
Hermès, on the other hand, is a different story altogether, as it may choose to embark on a new adventure, as it has done in the past. Following its debut in makeup in 2020 and its hand care line in 2021, the Parisian fashion house is poised to launch its first skincare line in 2028. This is a long way off, but consistent with the brand’s philosophy: meticulous design, perfect gestures, sophisticated packaging and an aesthetic vision that prioritises authenticity. Hermès is not the first luxury brand to approach a skincare line.
From Chanel to Prada, there are several examples. But it would be the first to launch a line exclusively dedicated to this. The details are not yet known, but the news comes as a surprise for a fashion house specialising in leather accessories. It is a beauty strategy that is evolutionary rather than expansive, which could inspire other brands to follow a more thoughtful and distinctive approach. Two opposing trajectories, one ambition: to transform beauty into language. Because today, beauty is not just cosmetics, it is cultural identity.
Photos by Creed were generated using artificial intelligence tools
Read also: