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Sisley president Philippe d’Ornano The service factor “ Unfortunately trading up the customer [in perfumeries] is not always done effciently anymore. The distribution doesn’t realize to what extent it is missing a chance to grow its business in high-end skincare and to what extent it is losing sales ” Sisley president Philippe d’Ornano the reputation of Sisley. A product can be said to be successful when it continues to grow after the frst two years: this means there is re-purchasing. Look at a product like Sisleÿa, which launched 16 years ago, it is a market reference and is still growing by 5% in 2015, and it is the same with Emulsion Ecologique or All Day All Year. So it is about a mix between best-selling classics and new products. The second thing is that we have always tried to be close to our retailers. However, our market share is now much better in department Sisley factfle stores than in perfumeries and this shouldn’t be. The reason is that Sales by category: skincare 67%; make-up 18%; perfumery chains are often weaker in advising high-end brands. fragrance 15% Sales by region: Europe 49%; Asia 35%; Americas What do you see as the main issues with service at retail? 14%; Middle East 2% Let’s face it: in the perfumery channel there has been a big change in service and how the consumer is advised. Take France—the French selective channel has lost 1.6 million consumers since 2011, according to Kantar WorldPanel: that should make the profession question itself. Some perfumery chains have lost the sense of service. For a while for fnancial reasons they went too far in reducing their stock, and experienced a lot of shortages. The frst service to the customer is to have the product he or she wants to buy, especially when it’s new. Each time a customer can’t fnd his product it’s a lost opportunity and sometimes a lost customer. Just before BW Confdential More importantly is the question of advice. Fair service started to went to press, we learnt of weaken at the end of the 90s with national promotions. Every week, a the death of Hubert d’Ornano, different brand had to be pushed to meet objectives. This put a lot of founder of Sisley. He was 89. pressure on the BAs and changed the quality of the advice. Then came Hubert d’Ornano took over the the trend of over-promoting exclusive brands in the middle of the Sisley brand in 1976 with his 2000s. Most of these brands were unknown, and the BAs had to sell wife Isabelle d’Ornano. Since them at any cost. When the BA doesn’t have the freedom to sell what 2013, Sisley has been headed by she thinks the customer wants, it is clear that there is a risk of bad their son Philippe d’Ornano. service and the customer might not come back. In business, n n n November-December 2015 - N°24 - BW Confidential 33

