In the fashion and beauty market, we most often see fashion brands entering the beauty market, bringing their unique fashion aesthetics to beauty products. The most successful examples, of course, are Dior Beauty and Chanel Beauty, two high-end brands, whose achievements in skincare, makeup, and perfume categories are well known. However, recently, there has been a reverse trend in the market, where instead of fashion entering the beauty industry, it is beauty entering the fashion world.
The highlight of the beauty industry this year is the acquisition of the American beauty giant Estée Lauder and the equally prominent Tom Ford from the United States in the fashion world. As a beauty enthusiast, you should be quite familiar with Tom Ford Beauty, but this time Estée Lauder’s acquisition target is the eponymous fashion line Tom Ford founded by the famous fashion designer Mr. Tom Ford in 2005. While cross-industry collaborations between beauty giants and the fashion world are usually limited-time occasional partnerships, this acquisition now represents a long-term investment goal, making it no wonder that it has become a hot topic in the fashion and beauty industry.
After Tom Ford released the 2023 spring/summer collection, rumors of an impending acquisition have been circulating. One potential buyer is the Kering Group, where Tom Ford himself once worked. Now, the Estée Lauder Group has officially announced its agreement to acquire Tom Ford for $2.8 billion, with the acquisition expected to be completed in the first half of 2023. This acquisition will give Estée Lauder ownership of both Tom Ford’s fashion and beauty businesses, making it the first high-end fashion brand in the group. However, Estée Lauder has stated that they will focus on the Tom Ford Beauty business for now, while the fashion business will be licensed to the Italian luxury fashion group Ermenegildo Zegna. Mr. Tom Ford will continue to serve as the brand’s Creative Visionary, providing input on creative direction. Fashion and beauty enthusiasts, let’s look forward to the collaboration between Estée Lauder and Tom Ford after this acquisition!
