BODY SHOP’S NEW HEAD/2 ARNAULT, FRERE FORM FUND/2 Women’sWWD Wear Daily • The Retailers’FRIDAY Daily Newspaper • October 20, 2006 • $2.00 Beauty ▲ Clarins’ new Expertise Digging 3P. Page 4. For Gold Parfums Christian Dior has set its sights on recapturing a share of the high-end U.S. specialty store business with L’Or de Vie, a two-item skin care offering developed specifi cally for the American market. Two forms, a cream for $320 and an extract for $350, will enter 60 Neiman Marcus and Saks Fifth Avenue doors on Dec. 26, and sources estimate they could do $5 million at retail in their fi rst year on counter. For more, see page 4. Tommy’s Latest Take: Moving Upscale While Expanding Abroad By Miles Socha The $1.7 billion company “The one thing we want to avoid PARIS — At a massive party soldiers on with a global upgrade at all costs is overexposure,” said headlined by Lenny Kravitz and expansion, but aims to do so Fred Gehring, chief executive officer Y MEGAN MCINTYRE performing for a busload of in modest, measured fashion, now of Tommy Hilfiger Corp. “We’re celebrities, Tommy Hilfiger this that it’s out of Wall Street’s glare not going to be volume-driven.” week feted his new flagship here in following its acquisition last May That’s quite a change for the fine, flashbulb-popping style. by an Apax Partners fund. See Reconfi gured, Page 9 PHOTO BY ROBERT MITRA; STYLED B ROBERT PHOTO BY 2 WWD, FRIDAY, OCTOBER 20, 2006 WWD.COM L’Oréal Taps Director for Body Shop By Julie Naughton that they can do great business around the world.” L’ORÉAL SA HAS NAMED That’s a belief he shares with WWDFRIDAY Philip Clough global brand di- Agon, who said in March, “The Beauty rector for The Body Shop. This Body Shop can succeed in all is the fi rst appointment L’Oréal parts of the world. In France, it GENERAL has made to The Body Shop’s has very few boutiques, so there The $1.7 billion Tommy Hilfi ger operation is marching on with a global upgrade management since acquiring is a lot of development poten- 1 and expansion following its May acquisition by an Apax Partners fund. the global chain for $1.14 bil- tial there, as well as in Eastern L’Oréal has named Philip Clough global brand director for The Body Shop, lion in March. Europe. In the U.S., where there 2 L’Oréal’s fi rst appointment since acquiring the global chain in March. In his new role, Clough will is very little penetration, there is be charged with strategic plan- huge potential. In Latin America, BEAUTY: Parfums Christian Dior wants to reestablish a stronghold in ning for The Body Shop on a Philip there are only a few stores in 4 upscale U.S. stores with L’Or de Vie, an antiaging skin care offering. global basis. He will report to Clough Mexico, and in Asia there are Wall Street will be looking for signs of how this year of seismic shocks Peter Saunders, chief executive several in Hong Kong. It is not 6 plays out as beauty fi rms start reporting third-quarter earnings next week. offi cer of The Body Shop, and beefed up its men’s facial skin present in China or in India. The will be based in London. care business and created sev- globalization of The Body Shop MARKETING: Fashion and luxury fi rms are looking beyond the art world Clough is expected to begin eral breakthrough skin care tech- is only just beginning.” The Body 10 to raise brand profi les to the fi elds of literature, theater and architecture. his new job in December. nologies, including the “survival Shop operates in 54 countries, in By tying a luxury brand to a noble cause, companies are giving consumers Clough, who has been presi- molecule” that powers its best- many of them through franchised a chance to feel virtuous about upscale products they purchase. dent of Kiehl’s Since 1851, a selling Abyssine Cream, an anti- businesses. 12 role he will relinquish within aging moisturizer. The Body Shop acquisition the next few weeks, has been Derm Solutions, Kiehl’s an- gave L’Oréal an entry into the EYE helping his successor, Rob swer to the proliferating doctor burgeoning masstige market, as As they say, there’s no rest for the weary, and this week’s jam-packed Robillard, settle into his new skin care lines, is also thriving, well as the growing fair trade 16 social schedule in New York and Los Angeles was no exception. role. Robillard, formerly senior Clough said. market, both positions that vice president of marketing for The Body Shop — founded L’Oréal will likely leverage as it Classifi ed Advertisements.............................................................15 L’Oréal Paris, was named gen- by Anita and Gordon Roddick in grows The Body Shop. There is To e-mail reporters and editors at WWD, the address is fi rstname. eral manager of Kiehl’s on Sept. 1976 — has long been regarded also a direct-selling component [email protected], using the individual’s name. 5. At that time, L’Oréal execu- as the wild child of the environ- of the company, dubbed The Body WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPY- tives said that Clough “would be mental/fair trade movement, but Shop at Home, which is expected RIGHT ©2006 FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. named to a key post elsewhere Clough points out that the chain to be a major growth engine for VOLUME 192, NO. 84. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one ad- ditional issue in January and November, two additional issues in March, May, June, August and December, and three ad- in parent L’Oréal within the is already a global force with a the company. ditional issues in February, April, September and October by Fairchild Publications, Inc., a subsidiary of Advance Publications, next few weeks.” clientele as devoted as Kiehl’s. Clough, a longtime L’Oréal ex- Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Advance Magazine Publishers Inc.: S.I. Newhouse Jr., Chairman; Charles H. Townsend, President & C.E.O.; John W. Bellando, Executive Vice President and Clough oversaw Kiehl’s for “Jean-Paul Agon saw great pos- ecutive, has been general man- C.O.O.; Jill Bright, Executive Vice President_Human Resources; John Buese, Executive Vice President_Chief Information Officer; three years, helping it to evolve sibilities for The Body Shop, or ager of Kérastase worldwide David Orlin, Senior Vice President_Strategic Sourcing; Robert Bennis, Senior Vice President_Real Estate; Maurie Perl, Senior Vice President_Chief Communications Officer. Shared Services provided by Advance Magazine Group: Steven T. Florio, Advance from a cult brand to a retail pow- it wouldn’t have been acquired,” and helped L’Oréal integrate Magazine Group Vice Chairman; David B. Chemidlin, Senior Vice President_General Manager, Shared Services Center. erhouse with a solid scientific said Clough, noting that The Body Matrix when it acquired the Periodicals postage paid at New York, NY and at additional mailing offices. Canada Post Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 88654-9096-RT0001. Canada post return undeliverable foundation. The brand is available Shop is being run as an indepen- salon brand. Later, he was the Canadian addresses to: DPGM, 7496 Bath Road, Unit 2, Mississauga, ON L4T 1L2. POSTMASTER: SEND ADDRESS in about 150 specialty store doors dent entity within the L’Oréal brand’s international head. CHANGES TO WWD, P.O. Box 15008, North Hollywood, CA 91615-5008. FOR SUBSCRIPTIONS, in the U.S., including Neiman Mar- group, selling only The Body Although he’s excited to take ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615-5008; Call 800-289-0273; or visit www.subnow.com/wd . Four cus, Barneys New York, Saks Fifth Shop-branded products. “The on a new challenge, Clough noted weeks is required for change of address. Please give both new and old address as printed on most recent label. Avenue and Nordstrom, as well as Body Shop already has over 2,000 that it’s an “emotional wrench” Subscriptions Rates: U.S. possessions, Retailer, daily one year: $109; Manufacturer, daily one year $145. All other U.S., daily one year $205. Canada/Mexico, daily one year, $295. All other foreign (Air Speed), daily one year $595. 22 Kiehl’s freestanding stores and freestanding stores, and that to be leaving Kiehl’s.“It’s only for First copy of new subscription will be mailed within four weeks after receipt of order. Address all editorial, business, at kiehls.com. number will likely double. The a job like this one that I would and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions and reprint requests, please call 212-221-9595 or fax requests to 212-221-9195. Visit us online: www.wwd.com. To On Clough’s watch, Kiehl’s Body Shop has already proven consider it,” he said. subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened companies that offer products and services that we believe would interest our readers. If you do not want to receive these offers and/or information by mail and/or e-mail, please advise us at P.O.