L’Oréal’s BOLD spritzes into China: Funds To Summer for a fragrant Eastern journey

15 Feb 2024 --- L’Oréal’s strategic venture capital fund, BOLD (Business Opportunities for L’Oréal Development), invests in the Chinese market, providing funding to luxury fragrance brand To Summer. 

“The latest entrant to the BOLD family joins our growing portfolio of innovative Beauty Brands serving the next-gen consumer,” states BOLD in a LinkedIn post.

“Founded in 2018, the homegrown brand is a trailblazer in the Eastern art of fragrance. Its expertly crafted perfumes, home fragrances and hand and body care products feature a distinctly Eastern identity thanks to notes native to the region, such as Yunnan tea, Guangxi osmanthus and Chinese cedarwood.”

Boosting international presence
To Summer takes a modern approach to aromas inspired by Eastern flavors and traditions.To Summer takes a modern approach to traditional aromas inspired by Eastern Literature Shanghai, Chinese sweets made of chestnut and Eastern Philosophy. 

“Through the strategic partnership, BOLD will support To Summer’s global expansion plans and its aim to bring curated Eastern olfactory experiences to consumers worldwide,” says the company.

“With BOLD’s Beauty Brands vertical, we invest in brands with innovative ideas for the future of beauty. We partner with the visionaries pioneering unique takes on products and selling to ‘Create The Beauty That Moves The World.’”

Tea-based perfumes
Notable perfumes from To Summer include Black Pine Ink with top notes of bergamot, coconut and iris. The middle notes are cedarwood, sandalwood, juniper and ink, with base notes of amber, musk and tonka beans.

Another fragrance, Void, presents bergamot, sage and green in the top notes with mate, Sri Lankan tea, jasmine and rose in the middle, while amber and musk form the base notes.

L’Oréal noted strong growth in emerging markets, but market softness in China posed challenges.Meanwhile, the perfume Isolated Islands contains Sichuan bergamot, cardamom and saffron as top notes, with Grasse rose, tea and raspberry as mid-notes. Sandalwood, patchouli, black amber and cedar form the base.

Fragrance frenzy
In its recent financial performance, the L’Oréal Luxe division grew in double digits, driven by investment in its complementary brand portfolio and omnichannel strategy.

In China, the company points to its early adoption of the social media app Douyin and ongoing investment in point-of-sale quality as important success factors. L’Oréal noted strong growth in emerging markets, but market softness in China posed challenges. Fragrances remained the division’s star performer in 2023.

Previously, L’Oréal’s CEO Nicolas Hieronimus stated: “I remain very positive about China in the short and long term. In the years to come, 190 million consumers will enter the middle class, increasing to nearly 550 million in total by 2025, while the demand for beauty will continue to grow.”

“The Chinese beauty market is demanding, competitive and ever-evolving. Consumers are looking for innovative products that address diverse beauty needs. Understanding and addressing the wishes and aspirations of Chinese consumers is key.”

In other China funding, L’Oréal’s Shanghai Meicifang Investment made a minority investment in biotechnology specialist Shinehigh Innovation to initiate a long-term partnership for co-developing sustainable beauty solutions using supramolecular chemistry.

By Venya Patel