Tommy Hilfiger Sales Surge 30% as Perfume Distribution in Spain Shrinks
Tommy Hilfiger's sales have surged by 30% in the second quarter, while its parent company, Phillips-Van Heusen, saw a 56% increase in turnover to $2,703 million in the first half of the year. However, Estée Lauder's Aramis and Designer Fragrances division plans to reduce Tommy Hilfiger's perfume presence in Spain.
Aramis and Designer Fragrances aims to optimize distribution by closing around 200 to 300 less profitable stores. Currently, Tommy Hilfiger's perfumes are available in 1,800 multi-brand points of sale in Spain. The goal is to boost sales per store. Aramis has a European agreement with Perfumerías Douglas to sell Tommy Hilfiger's women's perfumes. A third Tommy Hilfiger perfume is set to join the Douglas network in March. Phillips-Van Heusen, which owns Tommy Hilfiger, reported a profit of $124 million in the first six months of the year.
Despite the sales increase, Tommy Hilfiger's perfume distribution in Spain will see a reduction. Aramis and Designer Fragrances seeks to optimize sales by closing less profitable stores. Meanwhile, Tommy Hilfiger continues to expand its fragrance offerings in Europe.
