US. 1 September is a red-letter day for Shiseido subsidiary Zirh International Corp. That’s the date when the new fcuk (French Connection United Kingdom) fragrance duo makes its debut on the US domestic market (The Moodie Report, 11 June 2003). The international roll-out is set for October. Eventually the line will be available in 8,500 doors internationally, including all French Connection stores.
“We are very, very excited by this launch,” enthuses Zirh president international and coo Nicholas Ratut. “The reaction from retailers [during sell-in] has been simply astounding. Initially, they started off being surprised by the concept. But by the end of the presentation we’ve had them asking to be our launch partner.”
Such enthusiasm is hardly surprising, given the current strength of the fcuk brand. French Connection began life in 1972 as a relatively low-key UK clothing chain. In the late 1990s its brilliantly subversive fcuk campaign catapulted the company into the stratosphere – and it hasn’t looked back since. French Connection now has over 1,500 outlets in 30 countries worldwide and forays into new product areas such as beauty, watches and sunglasses have helped it evolve into a global fashion brand.
The new fragrance launch will consolidate that position, especially in the strategically-important US market. Leading domestic retailers such as Bloomingdale’s, Macy’s East, Macy’s West and Sephora will lead the charge. The initial launch will cover about 800 doors, according to Ratut.
In line with fcuk fashion and accessories, the fragrance positioning and marketing will be edgy and irreverent – as will the promotional activities.
“We will be doing a lot of direct marketing,” Ratut confirms. “The target age-group is roughly 18-28 and we will be reaching a lot of them in colleges. For example, we’ve got funny college dorm door signs (a new twist on the standard “˜Do Not Disturb’ notices), complete with samples. We will also be running a lot of competitions. Participants can win anything from a surf- or snow-board to a naughty weekend away. And there will be fcuk condoms to be used in sets or as gwps.”
The print ad features a couple between the sheets, with the tagline “˜Scent to Bed’. “This will go into edgy, teenager-type magazines,” adds Ratut. “And we’ll also be doing cinema, although that ad is not quite completed yet.”
As you would expect from a fragrance branded fcuk, the campaign is centred heavily around sex – which Ratut openly acknowledges. But he is also at pains to point out that the advertising and promotional campaign is firmly on the right side of tasteful. “Yes, it is a little risqué, but it’s fun too,” he insists. “Everything is tongue-in-cheek – there’s nothing nasty or tacky about it. And we’re using TBWA, which is fcuk’s advertising agency. That will ensure that everything is totally coherent.”
ON THE RECORD: “THE CAMPAIGN IS A LITTLE RISQUE, BUT IT’S FUN TOO. EVERYTHING IS TONGUE-IN-CHEEK – THERE’S NOTHING NASTY OR TACKY ABOUT IT.” – NICHOLAS RATUT
The web will be another key marketing tool. “We already have an Internet site up and running www.fcukfragrance.com,” comments Ratut. “We will be running competitions on the site, involving pick-up lines, where participants can win anything from a bottle of fragrance to a weekend away for four. There will be MP3 downloads too – it will be a very interactive site.”
When the fcuk fashion campaign first broke, predictably it triggered uproar and outrage in many quarters. So far, the fragrance line seems to have reaped the benefits of the widespread publicity, without suffering any of the corresponding drawbacks.
“We have had a terrific reaction all over the world,” confirms Ratut. “Even in those countries where French Connection is not active, they know about it – and the general perception is that the fragrances really stand out from the current clutter of launches.
“In the UK, the controversy has mostly been and gone already – now it’s just part of the vernacular. But overseas there is still a novelty effect. However, people understand the humour, they understand that it’s irreverent. And ultimately the fragrance products themselves are valid, and retailers recognise that.”
That’s not to say that changes won’t be made in the less sexually-tolerant countries. In the Middle East, for example, the print ad will not feature the smilingly-amorous couple tucked up in bed, but a bottle shot instead.
The line is certainly eye-catching. The fcuk Him juice, which features notes of sangria, hemp and patchouli, is described as edgy, intoxicating and seductive. fcuk Her is modern, provocative and sexy, according to Zirh. Its ingredients include bergamot, jasmine and cedarwood.
The men’s line comprises 1.7oz and 3.4oz edt sprays, a 4.2oz aftershave gel, a 6.7oz hair & body shampoo and a 2.6oz deo stick. The recommended domestic price points range from US$14.50 to US$48. The feminine line also features 1.7oz and 3.4oz edt sprays, priced at US$39 and US$49, respectively. The ancillaries include a Body Wash Soufflé, a Fragrance Shimmer Stick and a Shimmer Body Lotion.
The unusual flacons are the brainchild of designer Fabien Baron, renowned for his creative work on Calvin Klein’s Crave and BPI’s Issey Miyake.
fcuk might be the priority for Zirh at the moment but it’s not the company’s only fragrance licence. At the end of last year Zirh signed an agreement with John Varvatos, formerly the head designer for Ralph Lauren and Calvin Klein, who has since launched his own menswear line. “We will launch a John Varvatos fragrance in Spring 2004,” reveals Ratut. “It will be upscale, and in very selective distribution.”
Yet more licences might well materialise but for now Zirh claims to be satisfied with its portfolio. “We have always got an eye open for new opportunities,” admits Ratut. “But we feel we’ve got so much potential in all three of our current brands that we are not actively looking for anything else right now.”
ON THE RECORD: “WE HAVE ALWAYS GOT AN EYE OPEN FOR NEW OPPORTUNITIES. BUT WE FEEL WE’VE GOT SO MUCH POTENTIAL IN ALL THREE OF OUR CURRENT BRANDS THAT WE ARE NOT ACTIVELY LOOKING FOR ANYTHING ELSE RIGHT NOW.” – NICHOLAS RATUT
Zirh Skin Nutrition is that third brand axis. The men’s line, which currently ranks three in the US market, according to Ratut, has been making good progress in the travel retail channel too.
“We have been fairly selective in travel retail,” explains Ratut. “Our most important doors to date are at London Heathrow and London Gatwick – in conjunction with Caroline South Associates – who have done a tremendous job. We have seen huge sales increases. Basically, customers are getting used to seeing us, so we are getting a lot of repeat business – and also men’s skincare in general has started to snowball.”
He continues: “Of course, travel retail is a great way to gain awareness. Our target market for Zirh is males aged 18 to 38 and there are a lot of those going through hub airports.”
Amsterdam, Oslo and Copenhagen are among Zirh’s other key travel retail locations. “Looking forward, in 18 months’ time I’d like to see further growth in the main European countries,” comments Ratut. “I’d also like to stimulate growth within Asia. To this end we’ve appointed Pierre Forsans [most recently president of Guerlain Asia and vastly experienced beauty business executive] as our agent for the region.”
Ratut remains supremely sanguine about the recent spate of entries into the men’s skincare sector by leading beauty houses such as Clarins and Lancôme. “I think there is room for everybody,” he maintains. “And I am sure it won’t be long before all of the major brands have a serious men’s skincare offer. I am of the opinion that as more products are launched, the category will become bigger and retailers will allocate a lot more space to it – which can only be good. That is one of the biggest obstacles we face at the moment. I understand that giving space to men’s products is viewed by some as a bit of a gamble, but those who are taking the risk are seeing it pay off.”
ON THE RECORD: “I AM SURE IT WON’T BE LONG BEFORE ALL THE MAJOR BRANDS HAVE A SERIOUS MEN’S SKINCARE OFFER. AS MORE PRODUCTS ARE LAUNCHED, THE CATEGORY WILL BECOME BIGGER AND RETAILERS WILL ALLOCATE A LOT MORE SPACE TO IT, WHICH CAN ONLY BE GOOD.” – NICHOLAS RATUT
However Ratut acknowledges that to date 2003 has been a tough year for the beauty industry. “In general, things are still very tight,” he admits. “And I sometimes wonder if the business will ever return to those halcyon years of guaranteed growth. In a sense, we’re lucky to be so small and so young [Zirh was founded in 1995], and that comparatively we’re still growing very fast. We haven’t lost ground at all, but in five years’ time it would probably be a very different story.”
He concludes: “At present we don’t have a huge market share that we are struggling to hold onto – our focus is on opening up markets in the first place. In short, we have so much less to lose than others by virtue of our youth.”