Estee Lauder to Create New Line for Kohl’s
By George Anderson
A deal is expected to be announced as early as today that would put Estee Lauder cosmetics counters in Kohl’s stores, reports the Wall Street Journal.
The deal, as reported, would have Estee Lauder create a new line of beauty products, BeautyBank, exclusively for Kohl’s. Counters for the line would be in 250 stores by next
fall and in all Kohl’s locations by 2005.
The deal would not include existing Estee Lauder products currently sold elsewhere. According to the WSJ report, the cosmetics manufacture “doesn’t want to risk jeopardizing
the image of its existing brands — or its relationships with more upscale department stores — by selling prestige brands such as Clinique and Mac at Kohl’s.”
Kohl’s President Kevin Mansell said BeautyBank fills a hole in the retailer’s product portfolio. “When you looked at our store, having so many elements of a department store,
one element clearly was lacking,” he said.
Moderator’s Comment: What are your thoughts on the Kohl’s/Estee Lauder deal reported in the Wall Street Journal?
The cheap chic movement grows. Discount is king. [George
Anderson – Moderator]