Japan proves to be fastest growing market for L’Occitane

By Michelle Yeomans contact

- Last updated on GMT

Japan proves to be fastest growing market for L’Occitane

Related tags: Retailing, Sales

Global French beauty giant, L’Occitane reports Japan to be its' biggest Asian market with total net sales up 15.2% to 133.9 million euro.

L’Occitane’s uniquely French and luxury feel has seen it achieve great success in the Asian market, which accounts for just under half of the company’s sales.

The company is based in the Provence region in southern France and its products use local ingredients such as lavender and olives.

Japan was the company’s single fastest growing market with total net sales up 15.2% to 133.9 million euros in the nine months ended December 31, from 128.9 million euros in the same period a year earlier.

Hong Kong, the United States and China follow as the brand's biggest growth markets.

Four new stores were opened in Hong Kong in 2014, bringing the total number of own retail stores to 36, three of which are in Macau.

CEO, André Hoffmann of the Mediterranean cosmetics boutique says he believes expanding in Macau “is worth” obstacles like high rent or insufficient labour.

The president says that human resources is a key issue and that Macau’s “very tight labour market​” had surprised him. “The casinos have sucked a lot of people out of the labour pool. So finding qualified retail staff is a challenge,​” he told the Macau Business Daily.

Hopefully, the government can review their policies and perhaps make the law a little bit more flexible, a little bit easier to bring labour here,” ​he added.

Unique in store experience also contributing to brand's success...

Hoffmann also attributes in store cafés in Tokyo and Taipei as part of the brand's success in Japan.

Customers get to know L’Occitane often through the café. The café is drawing customers into the shop​,” he told the publication.

The French brand also launched Erborian, a French-Korean brand of skin therapy products, in the mainland last year and now intends to launch it in Macau as well.

Hoffmann also has plans to introduce its smaller brands in the region, starting with its Melvita organic skin care products.

The French company is present all over Europe and the US and has been operating for approximately 30 years. 

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