Burberry to team up with Shiseido to conquer Japan?

By Michelle Yeomans contact

- Last updated on GMT

Burberry to team up with Shiseido to conquer Japan?

Related tags: Cosmetics

Burberry's luxury fragrance house is speculated to be teaming up with Asian cosmetics giant, Shiseido to distribute its' perfumes in Japan.

While Shiseido’s 'Beauté Prestige International' already works with Burberry on fragrances in the West, some now say that the beauty behemoth could be set to distribute the luxury player's perfumes in Japan over the next year.

WWD.com reported that a source had told them that Burberry "is in advanced talks​" with Shiseido about a deal that could also encompass the brand’s skin care and colour cosmetics line.

A good match, in theory?

Earlier this year, WWD reckoned Shiseido was a likely partner for Burberry’s planned skin-care line, making references to Burberry’s chief operating officer John Smith's quote in 2014; “We are talking to a range of possible partners about a range of possible relationships,​” with regards to skin care.

However, at the time of publication, the companies have yet to publicly comment on the speculation.

Fashion houses are heavily investing in beauty lines of late, as they acknowledge brand awareness on a greater platform can be accessed through the global demand for premium cosmetics.

Industry analysts are reporting cosmetics ranges to be boosting the awareness of luxury fashion brands now more than ever, as a mascara or lipstick is often the first item a consumer looking to buy from a top designer can afford.

This essentially builds brand loyalty so that when a consumer does have the means to afford high-end fashion, they are already familiar with a brand's cosmetic arm.

Fashion houses partnering up with cosmetic firms to find their bearings

Many luxury fashion labels choose to partner up with an experienced cosmetic firm to help find their bearings in the beauty market.

To date, luxury designers Marc Jacobs, Tory Burch, Michael Kors and Tom Ford have partnered up with the likes of Estée Lauder, L'Oreal and Sephora to create beauty lines in an effort to establish their brand with new consumers.

In 2014, Estée Lauder reported its make-up category raked in 4,210 million dollars in net sales thanks to a double-digit sales increase from the Tom Ford cosmetics line, in it's fourth quarter financial report.

Related topics: Business & Financial, East Asia, Fragrance

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