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Translated by
Nicola Mira
Published
May 4, 2021
Reading time
2 minutes
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Shiseido, Dolce & Gabbana put partial end to their licence agreement

Translated by
Nicola Mira
Published
May 4, 2021

Japanese cosmetics group Shiseido and Italian luxury label Dolce & Gabbana are putting a partial end to the licence agreement they inked in October 2016 to develop skincare, make-up and fragrance lines. The contract modification is expected to be effective from December 31 2021 for all product categories and all markets except France. 


A visual for Dolce & Gabbana Beauty


Shiseido and Beauté Prestige International (BPI), the Paris-based Shiseido subsidiary that runs the group’s perfume business, indicated that the French licence termination is still under discussion, as requested by Dolce & Gabbana. 

“Beauté Prestige International is currently assessing a proposal by Dolce & Gabbana to terminate the licence activity in France by the end of the year, and to continue to produce and distribute Dolce & Gabbana Beauty products worldwide for a minimum period of twelve months from January 1 2022,” said the Shiseido group in a press release, underlining that consultations with BPI employees are under way.

The change of direction would allow Shiseido to continue its reorganisation, with a view to eventually jettisoning its fragrance business. The Japanese group recently unveiled its 2021-2023 strategic plan, notably designed to refocus the group’s attention on the skincare segment, which is expected to account for 80% of Shiseido’s sales within the next two years. According to Women’s Wear Daily, Shiseido is even envisaging parting ways with make-up brands like Laura Mercier and Bare Minerals.
 
Shiseido’s 2020 results have been severely affected by the crisis, and in February the group signed an agreement to cede its mass-market beauty and personal care businesses to the CVC investment fund, transferring assets worth JPY160 billion (€1.3 billion).

 

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