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Published
Jul 8, 2021
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Salvatore Ferragamo signs fragrance deal with Interparfums

Published
Jul 8, 2021

A month after Italian luxury brand Salvatore Ferragamo revealed that it was in negotiations with international perfume manufacturer Inter Parfums, Inc. (Interparfums) about a fragrance license, the two companies have signed a deal.


Interparfums has guaranteed that the Salvatore Ferragamo fragrances will be produced in Italy - Photo: Salvatore Ferragamo

 
Announced on Wednesday, the agreement sees Interparfums secure an exclusive, worldwide license for the production and distribution of Ferragamo brand perfumes. Effective from October 2021, the license will last for 10 years with a five-year optional term, subject to certain conditions.
 
According to Interparfums, activities related to the license will be managed and coordinated by a wholly-owned Italian company, which is based in Florence. The group has also guaranteed that the fragrance will be produced in Italy.

“Inter Parfums’ great competence and recognized creativity make it the ideal partner to preserve the values and heritage of our brand with Made in Italy products,” commented Salvatore Ferragamo president Leonardo Ferragamo in a release. “Its great commercial expertise will also ensure a new boost to the business of our fragrances, which will be distributed through a carefully selected sales network.”
 
The Florentine luxury label has developed its fragrances in house up until now, but already produces its eyewear and watches through licensing agreements. The house is hoping that its new fragrance license will give a boost to its beauty business.
 
Salvatore Ferragamo launched a restructuring process in 2019, following a tough streak in the two preceding years. The company was heavily impacted by the economic impact of the Covid-19 pandemic, but has seen something of a turnaround since the start of this year, posting a 10.3% year-over-year increase in its first-quarter revenues, which totaled 245 million euros, as well as a significantly reduced quarterly net loss.
 
Interparfums, which makes fragrances under license for a wide range of brands, including the likes of Montblanc, Coach, Oscar de la Renta, Anna Sui and Guess, posted net sales of $198.5 million in Q1 and net income of $27.7 million.
 
“We are very proud that Salvatore Ferragamo has chosen Inter Parfums for this new partnership,” said the company’s chairman and CEO, Jean Madar. “Salvatore Ferragamo is in fact one of the most iconic and well-known brands in the luxury segment to which we want to dedicate all our attention for the best future development. The entry of Ferragamo in our portfolio represents a great opportunity to further develop our business in the fashion and luxury segment.”

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