Over the past few years, Sephora has experienced significant growth. The LVMH-owned retailer was a standout performer for the business's Q1 2024 market results, achieving 11% organic revenue increase. Sephora’s success can be attributed to its continuously expanding presence globally, as well as its dedication to its out-of-store retail activations.
With over 2,700 stores in 35 different countries, the retailer is currently dominating the beauty scene worldwide. In the past two years alone, Sephora has shown a hunger to have a higher presence outside of the US and Canada. The retailer rejoined the UK beauty realm in 2023, and by the end of 2024 will have six locations across Britain. Its first store in London’s Westfield White City’s launch performed 300% better than the business had anticipated, and shop openings in area including Manchester’s Trafford Center attracted so much attention that consumers were camping outside and queuing for hours to be the first through the door.
Internationally, the retailer launched its first “store of the future” in China last summer, following the opening of its first concept store in Singapore in 2022. The location was described by Alia Gogi, President of Sephora Asia, as the perfect showcase for the retailer's “obsession with experiential retail” where consumers can “enjoy curated and on-trend beauty offerings.” This passion for experiential retail is also evidenced through the brands store-in-store activations such as Sephora at Kohl’s where sales exceeded $1.4B in 2023 and are expected to surpass the previously shared goal of $2B in sales by 2025. The retailer also announced a partnership with Tanger recently, with the intention to open locations in five of its outlets including Phoenix, Arizona, and Palm Beach, Florida, in the near future.
Sephora’s “beauty festival,” Sephoria, is another activation to be commended when speaking of the retailers evolving triumphs. Sephoria initially began in 2018 hosting an in-person event in LA, which was then shifted to a global virtual event in 2021 due to the pandemic as a temporary way to keep connected with loyal customers. Last year, Sephoria took place in a hybrid format in NYC, with a live-ticketed event that amassed over 4,200 attendees and a free, global virtual experience in select markets.
Sephoria’s 2023’s event included innovative programming and a curated product assortment that took beauty fans on a first-of-its kind journey, which consisted of an immersive, customizable 3D gaming-like platform. The festival featured hit activations including a spin-the-wheel from Danessa Myricks and conversations with virtual NARS ambassadors, showing its dedication to keeping up with trends across the industry.
Hoping to replicate the buzz from last year's event, Sephora is bringing Sephoria to Atlanta and beyond for 2024, creating an immersive experience for beauty enthusiasts. The event is set to deliver an “abundance of newness” this year, beginning with the Beauty Funhouse theme, which celebrates the spirit of joy, surprise, and discovery in beauty.
“We are thrilled to take the Sephoria experience to Atlanta, broadening our reach and creating buzz in a highly immersive new market,” said Jessica Stacey, SVP External Communications, Experiential & Marketing Partnerships at Sephora.
The activation will feature exclusive product launches, expert-led masterclasses, and interactive activities designed to celebrate the diverse beauty community. The two-day debut stop in Atlanta will take place at Pullman Yards on September 27 and 28, hosting more than 50 brand activations from names including Dr. Dennis Gross Skincare, The 7 Virtues, and Fenty Beauty.
Three-hour morning and afternoon sessions will be presented across both days of the festival. Tickets are available in two tiers: general admission for $135 per session and VIP for $420. VIP tickets include perks such as one-hour early entry through a dedicated entrance, a lounge with photo spots, beauty services, and a higher-value swag bag filled with complimentary products.
“Our Funhouse comes to life through multisensory, transportive, prismatic activations, which extend to the many amazing brand booths and masterclasses on-site, creating an atmosphere in which all are welcome to express themselves in vibrant new ways,” Stacey continued. “We look forward to debuting an ever-evolving beauty event and celebrating our beautifully diverse community with surprises and perks throughout the event journey.”
The choice to expand the event to Atlanta represents a strategic move to deepen Sephora’s engagement with a broader audience, tapping into the city’s diverse and vibrant $230M beauty market. Once finished in Atlanta, Sephoria will be leaving the US, making stops in Paris (October 4-5), Shanghai (October 24-27), Rio de Janeiro (November 1-3), and Dubai (November 6-8).
Sephora is cementing its international plans, showing no intention of slowing down growth in the near future. By hosting the festival in these new locations, the retailer can directly connect with local consumers, further fostering brand loyalty and driving sales through exclusive product launches and personalized experiences. Also, the move is sure to be beneficial for brands stocked at Sephora, bringing some to markets they may not currently be held in, creating a sense of exclusivity to push consumers towards the event. International dates for Sephoria allows Sephora to better understand regional beauty trends and preferences, enhancing its market intelligence and enabling more tailored marketing strategies.
