L'Occitane cosmetics set for Sept launch in India  ( June '14,2001, ET)

PARIS in the monsoons. Mon Dieu, yet another chic French company, seems intent on pampering this country. Come September and the very premium, $500-million, Paris-based L'Occitane will "officially" launch its entire global portfolio in skincare, haircare, bath and perfume, soaps, men's products, home fragrances, the new buzz -- aromachology -- and makeup here. All under the L'Occitane brand of course.

In an exclusive partnership, the Delhi-based Ravissant will be establishing franchise operations across all the major metros within the next few years, and various L'Occitane boutiques and corners in department stores will also be set up, says Ravi Chawla, owner and chairman, Ravissant. He projects more than Rs 1 crore in sales for the first year alone for their two boutiques, one each in Mumbai and Delhi.

These boutiques are being furbished for the September launch and a corner in a Mumbai department store is also being identified. In time, Chawla sees some five L'Occitane boutiques being established in Mumbai alone.

Spray on some more interesting news. Ravi Chawla hopes to actually manufacture many of these very elite products within two years from a facility near Delhi. He hopes to generate an initial turnover of Rs 10-12 crore per annum from this plant. They will supply the local Indian market and L'Occitane's global markets at costs which would prove a good 30 per cent cheaper, claims Chawla. Besides, local manufacturing would neutralise the effects of the whopping 100 per cent average import duties slapped on cosmetics.

There are about 350 L'Occitane boutiques and more than 2,000 store 'corners' present in about 40 countries in the world, and the US is their major market followed by Japan.

Pricing for the L'Occitane range starts at Rs 200 per unit and is 15 per cent cheaper than the US market and on par with the rest of the world, informs Chawla.

Other than the creme-de-la-creme retail market, they see a good opportunity in the gifting and loyalty programme areas and institutional sales -- especially from hotels like the Taj and Oberoi. L'Occitane is already bought by the Fours Seasons Hotel and Delta Airlines, etc..

Brand awareness is very low for L'Occitane in India but Chawla seems unperturbed. He reckons that the market is ready for some Parisian luxury, though he admits that skincare will take time to catch on since brand loyalty is much stronger for this line.

For some background aroma: L'Occitane was founded in 1976 by Oliver Baussan, an ecologist who created a cosmetic company based on essential oils and natural ingredients. L'Occitane means `woman of Occitane' and pays tribute to an historical region of southern France and the age-old Occitane culture of man and nature living together as one.