What’s Happening with Glamglow?
Overview of the Recent Developments
The iconic skincare brand Glamglow, owned by Estée Lauder, has recently removed its ecommerce capabilities from its official website. Instead of the usual online shopping experience, a simple text-based page now greets potential customers, stating that while new orders cannot be accepted, support for existing orders and refunds remains available.
Availability of Products
Consumers looking to purchase Glamglow products can still find them available on platforms like Amazon. This shift indicates a significant change in how the brand is distributing its products, focusing instead on third-party retailing.
Uncertainty Surrounding Glamglow’s Future
When questioned about the brand’s current status and whether it is permanently shutting down or exclusively selling through Amazon, Estée Lauder declined to provide specific comments. This has led to growing speculation among industry experts regarding Glamglow’s future.
Brand Trajectory and Challenges
Glamglow has faced a series of challenges since being acquired by Lauder in 2014. In 2022, Fabrizio Freda, the former CEO, implemented layoffs, although the exact numbers were not disclosed. Additionally, the brand has significantly reduced its international market presence, now offering products solely in the U.S.
Streamlining Product Offerings
In an effort to regain profitability, Glamglow has streamlined its product offerings to focus on around 13 top-selling items. This strategic shift targets the brand’s hero products and those with high replenishment rates, aiming to enhance consumer engagement and sales efficiency.
Future Growth Opportunities
Estée Lauder expressed optimism about these changes, highlighting that the initiative aims to bring Glamglow back to profitability while ensuring that loyal customers have an accessible point for experiencing and purchasing the brand. This focus on core products may lay the groundwork for future growth opportunities.
Evaluating Brand Portfolio
Glamglow is part of a trio of California brands under Estée Lauder, which also includes Smashbox and Too Faced. As the company evaluates its brand portfolio, there is speculation that Glamglow and its counterparts may be considered for potential divestment. During an earnings call in August, Stéphane de La Faverie, the president and CEO, mentioned that an external adviser has been engaged to assist in this evaluation process.
