Sweet Smell of Success

Gucci Group NV (Amsterdam) has completed the integration of its Boucheron fragrance operations with YSL Beaute, the group's fragrance and cosmetics division. This move follows the integration of manufacturing and logistics in France and the merger of the distribution operations in the United States.

By early 2003, YSL Beaute will manage all aspects of Boucheron perfume's worldwide activities, including marketing, distribution and the coordination of the international subsidiaries and distributors. The image of Boucheron perfumes will continue to be managed by Boucheron's management and design team consistently with the development of jewelry and watches.

“This initiative is in line with our strategy to develop our brands, while maximizing operational efficiency and ensuring strict cost control,” says Domenico De Sole, president and ceo of Gucci Group NV. “It also makes very good sense for both companies. On one side Boucheron will focus on the development of its jewelry and watch businesses while maintaining consistency among its different product categories. At the same time we will capitalize on YSL Beaute's resources and know-how in the fragrance industry to strengthen Boucheron's perfumes presence in the key markets worldwide.”

Gucci Group, an Italian company that sells French fashion designed by Texas-born creative director Tom Ford, offers handbags and other leather goods, shoes, ready-to-wear clothing, ties and watches. Gucci has about 200 company-owned and franchised stores worldwide. Gucci also owns most of French fashion house Yves Saint Laurent.