Douglas acquires parfumdreams and strengthens German and European e-commerce business. Douglas acquires a majority stake in German beauty retailer Parfümerie Akzente with its successful online shop parfumdreams from owner family Renchen. Two-brand strategy envisaged: parfumdreams to continue operating under current brand name. parfumdreams’ founder and Managing Director Kai Renchen to join Douglas’ top management team. Douglas CEO Tina Müller: “By acquiring parfumdreams we will strengthen our position as a top address for beauty and cosmetics in Europe.”
Agreement with the owner family was signed on friday
Beauty retailer Douglas is pushing ahead the implementation of its strategy programme #FORWARDBEAUTY by strengthening its German and European e-commerce business. The company is acquiring a majority stake in Parfümerie Akzente, one of the leading independent retailers of premium beauty and skincare products in Germany. A respective agreement with the owner family Renchen was signed on friday.
Domestic market Germany – parfumdreams operates in ten European countries
Parfümerie Akzente owns parfumdreams – an online shop founded by Kai Renchen in 2004 – as well as 28 brick-and-mortar stores in Germany, most of them in the south-western region. Driven by its robust online business, the family-run enterprise has grown rapidly in recent years. With its 450 employees, Parfümerie Akzente generated net sales of around 75 million Euros in 2017. In addition to its domestic market Germany, the online shop parfumdreams operates in ten European countries including the Netherlands, Belgium, Italy, Spain and France.
Müller: By acquiring the online pioneer parfumdreams, we sharpen our e-commerce focus
“By acquiring the online pioneer parfumdreams, we sharpen our e-commerce focus, drive forward the digitalisation of our brand and thus strengthen our position as a top address for beauty and cosmetics in Europe,” says Tina Müller, CEO of Douglas. “The beauty market in Europe is growing – especially online. As one of the leading e-commerce platforms, we want to play an active role in shaping this growth going forward. Therefore the transaction is an important step in our future efforts to modernise Douglas in the context of our #FORWARDBEAUTY strategy.”
Renchen: Acquisition will accelerate parfumdreams growth even further
Kai Renchen, Managing Director of parfumdreams: “In Douglas we have found the ideal partner for our company. Under the roof of one of the leading beauty retailers in Europe, parfumdreams will be able to leverage its e-commerce know-how and unique service orientation even more extensively. We have become this successful through our extensive range of numerous large and many small brands and we will continue this path. Together with Douglas, we want to write another chapter in the parfumdreams success story and accelerate our growth even further.”
parfumdreams will operate under its current brand name
Upon conclusion of the transaction, Douglas is planning to continue operating the successful online shop parfumdreams under its current brand name. By selectively positioning the two brands, Douglas wants to further enhance its competitiveness in online retail. An effective two-brand strategy will allow Douglas to cover all customer segments optimally. Furthermore, with a tailored portfolio of products, complementary private labels and personalised marketing strategies, Douglas will be able to address individual customer needs even better. In the context of its #FORWARDBEAUTY strategy, Douglas recently announced plans to significantly upgrade its own brand with a more premium approach.
Managing Director Kai Renchen will join the top management team of Douglas
By acquiring parfumdreams, Douglas will also be gaining valuable know-how. With conclusion of the transaction, parfumdreams’ Managing Director Kai Renchen is set to remain in charge of the parfumdreams business. He will also join the top management team of Douglas, contributing his considerable e-commerce expertise. Tina Müller: “I am delighted that we were able to win Kai Renchen, a proven e-commerce expert, for Douglas, and I am happy to welcome the many new colleagues to the Douglas group when the transaction is concluded. Together, we will continue to work on further improving the shopping experience for our customers.”
Douglas acquires parfumdreams – Closing of the transaction is subject to customary conditions
Closing of the transaction is subject to customary conditions including merger control approval. The parties have agreed not to disclose financial details of the transaction.