Fuelled by remarkable outcomes across the initial nine months of 2025 (+18%), the fragrance firm is poised to extend its successes by leveraging its perfumers’ abilities, with the intention of delivering both novelty and excellence to consumers and bolstering each market sector.
As a component of its 2025-2030 blueprint introduced in September, Givaudan seeks to present a high-caliber solution to the robust desire for scents. Even though the specialized perfume sector is fruitful and enthusiastic about olfactory audacity, significant corporations should not be discounted: they persistently refresh their core fragrances, thereby amplifying exclusive assortments. This vibrant dynamism is especially attributable to the sentimental, rather than purely practical, aspect of fragrance.
An entry point to opulence and fantasies, fragrances have been the most energetic segment of the beauty industry in recent years. “Our obligation as a fragrance house is to present consumers with both superior quality and novelty, ensuring that fragrances remain a sought-after item,” clarifies Xavier Renard, Global Head of Fine Fragrance at Givaudan.
Maintaining an edge in shifting global markets
Following five years of robust advancement with double-digit escalations propelled by the industry’s premiumisation, the fragrance market is presently exhibiting indications of steadiness. “In the U.S., as an illustration, the prestige segment’s expansion achieved 6% in monetary value, and 2 to 3% in volume during the initial half of 2025”, Renard states.
However, the mass market expanded by 17% during the same timeframe. While High Perfumery largely escapes this pattern, a partial transition from Prestige to mass market is surfacing, sparked by diminishing buying strength.
The Prestige category additionally faces competition from brands originating in the Middle East, which are rapidly expanding globally. They feature reasonably priced creations developed by renowned perfumers. This strategy appeals to today’s well-versed consumers, who are in pursuit of superior products.
Emerging horizons
Over the past five years, the fragrance realm has broadened into novel areas, notably within Asia, together with new distribution avenues such as e-commerce and social platforms, reaching a fresh demographic of consumers. “2024 witnessed a 22% surge in fragrance acquisitions among Gen Z and Gen Alpha,” Renard points out. This age bracket holds significant appeal for brands. “Consequently, the industry must educate young consumers by crafting high-quality, unforgettable, diffusive, and enduring olfactory signatures,” the executive stresses.
The fragrance market is predicted to acquire 350 million new consumers in the coming three years, making it vitally crucial to grasp their traits, anticipations, and origins (Asia, the US, Latin America, the Middle East…). This tactic is already underway, as evidenced at the event What Is Love in 2023, where Givaudan interpreted Gen Z’s requirements.
Perfumers taking the reins in creative strategy
Within a swiftly evolving landscape, Givaudan’s plan entails supporting the Prestige category, alongside High Perfumery, Fine Beauty, Specialty Retail, and direct-selling, highly favored in Latin America.
Currently, Givaudan asserts between 22 and 25% of market portions within each segment. This proportionate distribution safeguards the fragrance house from geopolitical and economic instability. “Regardless of the segment, our methodology should rest on quality, alignment between the brand and the perfumer, and fulfilling commitments made to consumers. Harmony is essential if we want creations to be as triumphant as Guidance by Amouage, composed by Quentin Bisch. For this reason, it is vital to provide our perfumers with a creative sanctuary,” Renard expresses.
To furnish a top-tier response to the market’s diverse desires, Givaudan primarily depends on its Fine Fragrance team of perfumers. The global array of 42 perfumers recently welcomed Fanny Bal, Margherita Carini and Alexis Grugeon. Approximately 20 of them are stationed in Paris.
According to Givaudan, talent variety, notably concerning proficiency and olfactory trademark, constitutes a team’s forte, as it simultaneously equips brands with value and promotes innovation and the pursuit of the unconventional to forestall the erosion phenomenon. The organization endeavors to nurture this significant asset through new hires, as well as by developing young talent trained at its perfumery institution.
Beyond its perfumers, “without whom nothing would be achievable,” as Renard is fond of emphasizing, Givaudan’s inventiveness undeniably hinges on its assortment of ingredients, the caliber of its raw materials, as well as novel synthetic molecules compliant with regulations, which unlock fresh olfactory avenues. “These ingredients amplify perfumers’ innovation potential within a profoundly saturated market to conceive tomorrow’s exceptional fragrances,” the executive concludes.
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The prominent trends and latest innovations in fragrance progression will be showcased and deliberated at the forthcoming Fragrance Innovation Summit on November 26 in Paris. Comprehensive agenda: www.fragranceinnovation.com/en/ |
