Ocado will launch its premium beauty tie-up with Marie Claire next month, in a move described by one city analyst as a “no-brainer”.
From August, the online retailer will deliver brands such as Estée Lauder, Bobbi Brown and Urban Decay to customers in its one-hour time slots in partnership with the women’s magazine.
The cosmetics will be available from separate website Fabled.com - jointly run with Marie Claire - but customers will be able to add their orders to Ocado food deliveries.
Marie Claire will provide editorial content for the website such as beauty trends and tips, while Ocado will handle the delivery side of the business.
There will also be a flagship store in London’s West End, marking Ocado’s first bricks-and-mortar presence.
The move will add to the 3,509 health and beauty products available directly on Ocado’s website, which include more mainstream brands such as Maybelline and Max Factor.
Ocado did not make any comment on the announcement, but city analyst John Kershaw said the move into premium beauty was a natural progression for the retailer.
“It’s probably fairly niche but given the demographic of the customer base, it’s a no-brainer,” said Kershaw, equity analyst at Exane. Premium cosmetics were small and easy to deliver and generated a “nice margin”, he explained. “It’s not really a driver of shares but it could add value,” he said.
No comments yet