Sephora, Ulta (Nasdaq:ULTA) and other major online and offline beauty retailers have to be concerned about Amazon's (Nasdaq:AMZN) foray into the luxury beauty and skin care market with its Luxury Beauty Store launched late last week.
Featuring upscale grooming, skin care, fragrances and cosmetics lines for both men and women, the Luxury Beauty Store features brands such as Burberry, L'Occitaine en Provence and Stila. With Amazon's undeniable reach, it won't be long before shoppers seek out their favorite upscale brands with the benefit of Amazon's shipping and value options.
"We have heard very clearly from our customers that they are looking for luxury brands," Chance Wales, Amazon's director of beauty, health and personal care,. "The flipside is we also needed to do something on the brand side, so we put a lot of time and effort into refining the experience."
The 24 brands featured on the site are "certainly not the drugstore staples already found on the site or the discounted high-end fare we've come to expect from Amazon Marketplace," Huffington Post reported. In addition, Amazon has enlisted a team of 12 editors to curate the page, spotlighting anwhere shoppers can purchase runway-inspired looks.
Amazon offers free shipping on the Luxury Beauty products, for orders over $25. Sephora.com's free shipping offer does not kick in until shoppers order at least $50 worth of product and Beauty.com offers free shipping on orders over $35.
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