Estee Lauder Companies

Estee Lauder Companies is a manufacturer of premium and luxury skincare, makeup, fragrances and hair care products. The company is based in the US and was founded in 1946 by launching 4 skincare products. The firm has launched various brands and has acquired several cosmetic companies over the years.

In addition to this, Estee Lauder Companies is the global licensee for many designer brands of cosmetics and fragrances. 

The firm sells its products through its shops, through major retailers, perfumeries, prestige salons and spas, department stores and pharmacies and through its brands’ online shops.

As from the 1960s, Estee Lauder Companies started to venture into the international market by first selling its products in the UK and later in Hong Kong.

In 1995, the business was quoted on the New York Stock Exchange. 

Estee Lauder Companies achieved a turnover of € 11.7 billion in 2018 and employs 46000 people. The business was ranked 258th in the Fortune 500 List of the largest companies in the US in 2018. The group now sells its products in more than 150 countries. 

In 2018, 41% of its sales were made from skin care products and another 41% from makeup products. Sales from fragrances and perfumes consisted of 13% and hair care comprised of 4%. The remaining 1% consisted of ancillary products and services. 

Estee Lauder Companies launched several brands on the market. These include:

Estee Lauder: The company’s first brand which launched in 1946. The brand includes a range of skin care, makeup and fragrances and has gained a great reputation on the global market.

Aramis: The brand launched in 1964 and consists of skincare, fragrances and grooming products for men.

Clinique: This brand was launched in 1968 and consists of a range of products which are allergy-tested and fragrance-free. Dermatologists have contributed to the development of these products.

Origins: Origins consists of a wellness brand of natural cosmetics that comprises of makeup, hair care and fragrances. The products are sold by Origins stores 

Estee Lauder also acquired several cosmetics companies which include Mac Cosmetics, Bobbi Brown, La Mer, Aveda, Jo Malon London, Bumble and bumble, Darphin Paris, Becca Cosmetics and Too Faced Cosmetics. 

Furthermore, the company also has licensed agreements with Tom Ford, Tommy Hilfiger, Donna Karen New York, DKNY, Michael Kors and Tory Burch. Estee Lauder produces fragrances under these designer brands.

Estee Lauder has specific marketing strategies which are adapted for each brand based on the category of products, the type of brand, the targeted clientele and country. Promotional strategies include advertising on digital and social media marketing, magazine, newspaper, television, billboards and other media channels. In-store promotions are also used. Estee Lauder has also hired celebrities such as Karen Graham, Bruce Boxleitner, Gwyneth Paltrow and Kendall Jenner as brand ambassadors for its different brands. 

The company produces its products in the US, Belgium, Switzerland, UK and Canada. The business also works with third-party manufacturers from various countries. Estee Lauder ensures that high standards are maintained and the manufacturing plants are fitted with the latest equipment.

Estee Lauder has a Global Supplier Relations department which is responsible for sourcing all the necessary materials and ingredients in the production of the different products. These components include essential oils, alcohols as well as chemicals.