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Ange ou Démon
by Givenchy,
a great perfume
presented in a real
sculpture.
KenzoAmour:
This new fragrance
testifies for the poetic
values incarnated
by Kenzo.
38
LVM H 2 0 0 6
PERFUMES & COSMETICS
GUERLAIN ACCELERATES ITS GROWTH
GUERLAIN confirmed its dynamic performance
and the relevance of its strategy to highlight its
status as a major perfume maker by achieving
growth rates that outpaced the market. Its 2006
performance was excellent in all its priority
markets, generating new and strong improve-
ment in Guerlain's profitability.
The company recorded double-digit revenue
growth, driven by a vigorous policy of innova-
tion, in its perfume, makeup and skin care
segments. Supported by the international
success of the premium product Orchidée Impé-
riale, launched early in the year, and by the
growth in the SuperAqua line, skin care achie-
ved the greatest advance. In perfumes, Guer-
lain benefited from the launch of Insolence in
the second half. The brand's new great women's
perfume received an extremely positive welcome,
both in France and in the English-speaking
countries where it benefited from the name
recognition of its muse, Hilary Swank. Along
with the launch of this leader, new editions of
its mythic perfumes and new limited-series
fragrances highlighted 2006, illustrating the
brand's unique expertise. Finally, the Guerlain
star lines KissKiss and Terracotta made a parti-
cularly strong contribution to growth in the
makeup segment for the third consecutive year.
After the magnificent renovation of its site at
68 Champs-Élysées in 2005, Guerlain remode-
led its site and its institute on rue de Sèvres on
the Left Bank of Paris. In addition, the conti-
nued deployment of the new concept of sales
counters in department stores generated higher
than projected success.
TRENDS FOR THE BUSINESS GROUP’S OTHER
BRANDS
PARFUMS GIVENCHY confirmed its new momen-
tum in 2006 with double-digit revenue growth
and an improved profit from recurring opera-
tions that exceeded initial objectives for the year.
The brand grew substantially throughout the
world, with particularly strong performances in
France, in other European markets, and in
Russia, while it continued to expand its presence
in the Middle East and Latin America, and
prepare for expansion to China.
The early months of the year were marked by
the launch of vintage versions of the perfumes
Amarige, Organza and Very Irresistible Givenchy.
The new perfume Ange ou Démon for women,
launched in the second half of the year in only
ten countries, recorded very promising results.
PARFUMS KENZO recorded strong growth in
2006, with a particularly strong performance
in Europe and America, and a solid performance
in Russia. The growth of the brand was driven
by the excellent reception given to the launch of
KenzoAmour. This new perfume, distinguished by
some creative elements of great originality, testi-
fies to the unique poetic values incarnated by
Kenzo. It is rapidly establishing a place along-
side FlowerbyKenzo, which is now a classic
perfume.