Atelier Cologne: Business Struggles And Future Outlook

In February 2022, Atelier Cologne announced that it would be withdrawing from the US and Canadian markets. The perfume brand, which was acquired by L'Oréal in 2016, said it was entering a new chapter and would be closing its US-based stores and online operations by mid-March 2022. This decision caused panic among customers, who were offered a 40% discount on the brand's website as a token of appreciation for their support. Despite the brand's popularity, with fragrances such as Orange Sanguine winning prestigious awards, it seems that Atelier Cologne is downsizing, with reports of store closures in the Middle East and Europe.

Atelier Cologne is pulling out of the US and Canada

Atelier Cologne is pulling out of the US and Canadian markets, with the company withdrawing its operations by mid-March 2022. The announcement was made via an email to customers on 3 February 2022.

The email stated that the company was "entering a new chapter" and would be crafting "more modern and elevated perfumes to inspire the next generation of perfume enthusiasts". To achieve this, the company would need to "withdraw from the United States and Canada".

Both online and physical store operations in the US will be closed. The brand offered customers a 40% discount on their website as a "token of our enduring appreciation".

Atelier Cologne was launched in 2009 by Sylvie Ganter and Christophe Cervasel, who created a new category of perfumes: the Cologne Absolue. The brand was then acquired by L'Oréal in 2016.

Some customers have expressed disappointment and frustration at the news, with some speculating that the decision was financially motivated. Others have noted that they will still be able to purchase Atelier Cologne products online from European or Asian retailers.

The company is offering 40% discounts

In early February 2022, Atelier Cologne announced that it would be withdrawing from the US and Canadian markets by mid-March of that year. In an email to customers, the company stated that it was "entering a new chapter for the brand to craft even more modern and elevated perfumes to inspire the next generation of perfume enthusiasts". To facilitate this transition, the company would be closing its US-based stores and online operations.

As a token of appreciation for their customers' support, Atelier Cologne offered a 40% discount on all products on their website. This was a significant discount, as a 100ml bottle of perfume that typically costs around $140 could be purchased for $85 on Sephora after the discount was applied. The company's fragrances were also available at a discount at Sephora, although the official Atelier Cologne shopping site did not offer any reduced prices.

The 40% discount was a great opportunity for customers to stock up on their favourite Atelier Cologne products before the company withdrew from the North American market. It also provided an incentive for new customers to try out the brand, perhaps for the first and only time in North America. With such a substantial reduction in price, many people could have been encouraged to purchase multiple fragrances or larger bottles than they might usually buy. This would have been especially appealing to those who wished to hoard their favourite scents before they became more difficult to obtain in the region.

The 40% discount also served as a marketing strategy for Atelier Cologne, creating a sense of urgency and encouraging customers to make purchases quickly before the brand's exit and the end of the sale. With such a large discount, the company likely saw a boost in sales during its final months in the US and Canadian markets. This strategy may have been particularly effective for loyal customers who were disappointed by the brand's departure, as well as those who were curious to try Atelier Cologne before it became more challenging to access.

Overall, the 40% discount offered by Atelier Cologne during its transition out of the North American market was a generous gesture to customers and an effective business strategy. It allowed shoppers to stock up on fragrances and provided an opportunity for new customers to discover the brand. The discount may have also helped Atelier Cologne to increase its sales and clear inventory during its final months in the US and Canada.

Customers will have to buy from Europe or Asia

In February 2022, Atelier Cologne announced that it would be withdrawing from the US and Canadian markets by mid-March of that year. The brand stated that it was "entering a new chapter" and wanted to "craft even more modern and elevated perfumes to inspire the next generation of perfume enthusiasts". While the company did not explicitly mention a pull-out from Europe, some customers in Europe have reported difficulties in purchasing Atelier Cologne products.

As a result of this decision, customers in North America will need to look to other markets if they wish to continue purchasing Atelier Cologne products. This means that customers will have to buy from Europe or Asia, where the brand still has a retail presence.

For those in North America, there are a few options for purchasing Atelier Cologne products from these regions. One option is to use online retailers or auction sites that are based in Europe or Asia and offer international shipping. For example, some customers have suggested using sites such as Jomashop, lorealbeautyoutlet.ca, or Notino to purchase Atelier Cologne fragrances. However, it is important to exercise caution when purchasing from unfamiliar websites, as some sites may not be legitimate.

Another option is to take advantage of duty-free shopping when travelling internationally. For example, one customer suggested purchasing Atelier Cologne products from the duty-free shops at the airport in Paris, France (CDG). This can be a convenient way to purchase products without having to pay additional shipping costs.

It is worth noting that some customers have reported finding Atelier Cologne products at discounted prices on North American retailer websites, such as Sephora, even after the brand's official withdrawal from the market. However, this may be due to leftover stock that will eventually run out.

Overall, while Atelier Cologne's decision to withdraw from the North American market may have come as a surprise to customers, there are still options available for those who wish to continue purchasing the brand's products. By purchasing from European or Asian retailers, either online or in-person during international travel, North American customers can continue to access Atelier Cologne's fragrances.

The brand was acquired by L'Oréal in 2016

In 2016, L'Oréal acquired Atelier Cologne, a niche perfume house founded in 2009 by Sylvie Ganter and Christophe Cervasel. The acquisition was part of L'Oréal's strategy to expand its fragrance portfolio and capitalise on the rapid growth of the niche perfumery segment.

At the time of the acquisition, Atelier Cologne had a significant global presence, with over 800 points of sale in 40 countries, including prestigious stores and perfumeries, as well as a strong online presence. The brand also had six stand-alone stores, with three in France, two in the United States, and one in Hong Kong.

The founders of Atelier Cologne expressed their excitement about joining the L'Oréal Group, believing that L'Oréal's expertise in retail, digital, and olfactory domains would contribute to the brand's success and further development. They stated:

> Today, another dream comes true as we join the L'Oréal Group with a shared ambition to reach new heights, keeping the entrepreneurial spirit of our Maison.

The acquisition of Atelier Cologne added to L'Oréal's diverse brand portfolio, which includes well-known names such as Giorgio Armani, Yves Saint Laurent, Lancôme, and Ralph Lauren. L'Oréal's commitment to beauty and innovation, along with its global reach and expertise, were expected to enhance Atelier Cologne's growth and presence in the competitive fragrance market.

However, in 2022, Atelier Cologne decided to withdraw from the United States and Canadian markets, closing its stores and online operations in these regions. The brand cited the need to craft more modern and elevated perfumes to inspire the next generation of perfume enthusiasts as the reason for this decision. Despite this setback, Atelier Cologne continues to operate in other regions, and there are plans for new fragrance releases, indicating ongoing efforts to evolve and adapt to the dynamic nature of the fragrance industry.

Atelier Cologne was founded in 2009

In 2016, Atelier Cologne was acquired by L'Oréal. However, in 2022, the brand announced that it would be withdrawing from the North American market, closing its US-based stores and online operations by mid-March of that year. This decision came as a surprise to many customers, who received an email explaining that the brand was "entering a new chapter" and aiming to craft even more modern and elevated perfumes to inspire the next generation of perfume enthusiasts. The email also offered a 40% discount on all products as a token of appreciation for their customers' support.

Following the announcement, there was some speculation about the reasons behind the brand's decision to leave the North American market. Some customers wondered if the company was having trouble following specific US regulations or if certain ingredients in their products had been deemed harmful. However, no official explanation beyond the company's desire to focus on the European market was given.

Despite the withdrawal from North America, Atelier Cologne continued to operate in other regions, including Europe and Asia. The brand also released new fragrances, such as the 'Bohemian Orange Blossom', indicating that they were still creating new products and aiming to expand their reach.

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