Chanel goes big on brick-and-mortar, starting in Brooklyn.
The prestige brand is opening a 1,324.5-square-foot boutique in Brooklyn’s Williamsburg neighborhood on North sixth Street that may encompass makeup, skincare, fragrance, Chanel eyewear and seasonal, small leather goods. It also will offer distant ordering, curbside pickup, same-day delivery and virtual shopping appointments.
A chosen space for personal consultations will include a menu of services, from constructing skincare routines to education around makeup routines and the brand’s fragrance offering, which celebrated its centennial in 2021. The boutique opens Thursday.
The strategy for launching more stand-alone boutiques, in tandem with expanded wholesale distribution — Chanel entered Ulta Beauty earlier this 12 months in that retailer’s bid for luxury shoppers — is to raised meet shoppers where they “live, work and play,” said Barbara Menarguez, general manager of Chanel’s beauty business.
“We glance to ascertain a presence in markets where our chanel.com clients are most concentrated to further construct upon those existing relationships with omnichannel experiences, in addition to in markets where we imagine there may be a high potential to construct latest client relationships,” Menarguez said.
The boutiques are magnets for much-coveted beauty shoppers. “We’re seeing that our [fragrance and beauty] boutiques attract a client that’s majority latest to Chanel and so they skew more heavily toward Gen Z than many other points of distribution,” Menarguez said. “These locations are designed to offer the last word luxury Chanel experience — and clients tell us through our world-class client satisfaction scores that we’re doing just that.
“We take into consideration our points of distribution as a ‘harmonized network’ — each playing a singular role in meeting our many purchasers where, when and the way they need to shop and interact with us,” Menarguez continued.
That strategy appears to be working. The boutiques “stand alongside our most prestigious points of wholesale distribution in having incredibly high loyalty and engagement, and we’re learning that the more opportunities we provide our clients to interact with Chanel, the more they deepen their relationship with us. Many consumers who begin their Chanel journey in fragrance and sweetness go on to interact with our fashion and watch and superb jewelry products,” Menarguez said.
No wonder it has so many more on the docket. “We also look to enhance our wholesale points of distribution as we’ve found that having a fragrance and sweetness boutique in a market has a positive halo effect on the encompassing points of distribution. By the tip of next 12 months, we can have significant coverage in our top 20 chanel.com markets including multiple boutiques in top markets like Recent York, Los Angeles and Miami,” Menarguez said.
“Over the past few years, with the rise of hybrid working, we’ve got targeting placing our boutiques where our clients live and dealing and back in 2021 we recognized that North sixth Street was rapidly becoming a must-visit retail destination in a vibrant Recent York City neighborhood — the right spot for us to fulfill our clients,” Menarguez said of the choice to open a door in Williamsburg.
The corporate ended last 12 months with 565 boutiques globally, with fashion accounting for 262 doors, as reported by WWD. Chanel overall reported 17 percent revenue gains to $17.22 billion across divisions. Business on the sweetness side stays equally buoyant.
“Chanel stays the number-one prestige fragrance and sweetness brand available on the market,” said Menarguez. “In beauty, Chanel has returned to and exceeded our pre-pandemic sales levels and we’ve got increased our beauty client base in existing distribution. We attribute this success to our investment in people and the services they supply to our clients. We’re also focused on meeting our clients where they need to shop.”
Services have been imperative to attracting and retaining clients, and Menarguez said the boutique network represents “the usual for all Chanel [fragrance and beauty] distribution by way of service, experience, and sharing the incredible history and heritage of our house.”
To that end, Chanel has invested in hiring ambassadors in each door with Ulta Beauty. “Ulta is one other place we are able to speak to a Gen Z beauty enthusiast who could also be discovering our products for the primary time — it’s an ideal place for us to place ourselves in the trail of the client to introduce them to the world of Chanel fragrance and sweetness,” Menarguez said. “We’re in a really limited variety of Ulta stores, and we love that they’re a house for beauty enthusiasts to check and play. We all know that our clients love personalized service, so we’ve got dedicated brand ambassadors in each Ulta door to create that luxurious experience for them.”
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