US. Four years after re-launching the brand in the US market, parent group L’Oréal has decided to close Helena Rubinstein there. US operations are scheduled to cease at the end of July.
The cosmetics brand – which is enjoying a real renaissance in other markets, including travel retail – has not generated the necessary level of profitability in the US for L’Oreal to continue its investment there. Rubinstein will continue to be marketed in Europe, Asia and South America.
Rubinstein was re-introduced to the US in late 1999 via the high-profile opening of a luxury spa boutique in New York’s SoHo district. Further roll-outs to selected specialty domestic doors followed, but the necessary critical mass did not materialise.
“L’Oréal USA has decided to focus its efforts within the Luxury Products Division on its core luxury brands: Lancôme, Ralph Lauren Fragrances, Giorgio Armani Parfums and Cosmetics, Kiehl’s Since 1851, Biotherm and Shu Uemura,” said the company in a statement released earlier today.
“Some of these brands are very well established in the US, while others require additional resources to realize their full potential.”
“Helena Rubinstein was available in fewer than 10 doors in the US,” a L’Oréal spokeswoman told The Moodie Report. “The decision is all about re-focusing our resources elsewhere, on other brands. Rubinstein is doing extremely well in other markets.”
