Lauder-owned Tom Ford Beauty is on course to become a billion-dollar brand by 2020, according to a report published by WWD.
The company’s sales are set to hit US$500 million this fiscal year, according to WWD sources, representing an increase of 29 percent. Should the current growth rate continue, the brand would achieve revenue of US$1 billion in just four years hence.
“We have a glide path to basically double this business in a very short time,” John Demsey, Executive Group President of Estee Lauder Companies told WWD. “The evolution from signature fragrance to full Tom Ford beauty house and the way that evolution is taking place is a big driver of growth. It’s not just singular-category growth, it’s expanding the franchise in existing locations.”
Ford launched his signature scent, Black Orchid in 2006, quickly capturing the hearts of consumers and bringing niche fragrance to the mainstream in one fell swoop. To celebrate the milestone, the brand is launching 10 exclusive products this summer, including a solid perfume, lip color and powder. The products will launch on tomford.com for pre-sale tomorrow, before being rolled out to retailers in July.
The brand is also diversifying in terms of geographical reach and demographic, with a Taiwan and New Zealand launch slated for this year, and the brand upping its listing in Sephora, with a goal to double its presence to 50 doors as millennials snap up the Soleil color cosmetics franchise, Signature scents and Soleil Blanc Private Blend. The brand has also revealed an ambition to increase its presence in the skin care category.