Expansion of Origins Brand into Amazon's Exclusive Beauty Store Suite
Beauty brand Origins, a division of Esteé Lauder Companies, has announced its debut on the U.S. Amazon Premium Beauty store this month. Over 70 skin and body care products from Origins are now available on Amazon, including the GinZing Brightening Eye Cream, Checks and Balances Frothy Face Wash, and Mega-Mushroom Relief and Resilience Soothing Treatment Lotion.
This move is part of Origins' strategy to expand its U.S. customer base through Amazon, following a similar launch by several Esteé Lauder Companies' brands on the platform. As consumers increasingly shop online, especially for beauty products, Amazon is projected to capture a significant share of the market. A research report from investment bank TD Cowen expects Amazon's market share in the beauty industry to reach approximately 15% by 2030.
In a statement, Francesca Damato, vice president of global marketing at Origins, emphasized the brand's commitment to high-quality, nature- and science-powered skincare and body care products, with a focus on sustainability. Launching on the U.S. Amazon Premium Beauty store, she said, allows Origins to reach a broader audience on a trusted platform, while also offering a more convenient gifting experience.
Esteé Lauder's strategic reorganization began in 2024, as sales and earnings leveled off. This has involved executive changes, including the appointment of a new group president of North America and Brian Franz as chief technology, data, and analytics officer. The company also announced a reduction in its staff by up to 11% last February, and reported a 10% net sales decline in Q3 2021, accompanied by a 53% drop in net earnings to $159 million.
As the beauty industry continues to shift towards e-commerce, Amazon is poised to claim a substantial share. By 2025, it is projected to account for around 14.5% of the U.S. beauty market. This growth is driven by factors such as replenishment sales, social commerce integration, and the increasing shift towards e-commerce in the beauty sector.
- The beauty brand Origins, being a division of Esteé Lauder Companies, is attempting to expand its customer base in the U.S. by debuting on Amazon's Premium Beauty store.
- Origins has made over 70 skin and body care products, including the GinZing Brightening Eye Cream, available on Amazon, targeting markets that prefer online shopping, especially in the beauty sector.
- Research by investment bank TD Cowen predicts that Amazon's market share in the beauty industry will reach approximately 15% by 2030, signifying a significant impact of AI-driven e-commerce on the market.
- With the strategic reorganization initiated by Esteé Lauder in 2024, the company has seen a decline in net sales and earnings, prompting measures such as executive changes, staff reductions, and a greater focus on technology (under the leadership of Brian Franz) to adapt to the changing business landscape.
- As the beauty industry transitions towards online platforms like Amazon, it's anticipated that the platform will control around 14.5% of the U.S. beauty market by 2025, influenced by factors such as replenishment sales, social commerce integration, and the overall shift towards e-commerce in the sector.
- Origins' presence on Amazon not only introduces the brand to a broader audience but also offers a more convenient gifting experience, aligning with the evolving lifestyles and preferences in fashion-and-beauty, technology, and business markets.
