The fragrance category is growing globally, as well. L’Oréal’s recent investments indicate the French company’s desire to penetrate two distinct but growing fragrance markets: China and the Middle East.

“Up until recently, the big conglomerates — L’Oréal, Lauder, Puig, LVMH, all those guys — have been relying on acquisitions of Western brands to get in the niche fragrance business. But also, they were relying on those brands to do well in Asia,” said Ohana. “There’s a new trend, which is for those conglomerates to go and also make investments in local brands.”

— Glossy on L’Oréal's investment in Amouage and Borntostandout. Read more in What’s behind L’Oréal’s niche fragrance investments.