Aesop‘s Expanding Footprint: A Deep Dive into the Brand’s Unique Retail Strategy

LONDON – With 25 Aesop stores scattered across London, the Australian personal care brand has made a significant mark on the city’s retail landscape. This expansion raises questions about the brand’s strategy and its commitment to creating a unique shopping experience. Aesop, known for its high-quality skincare and body care products, has evolved from its humble beginnings as a hair salon in Melbourne to a global retail powerhouse.

Aesop’s Architectural Identity

Aesop’s stores are not just retail spaces; they are architectural statements. Each location is designed to reflect its surroundings, incorporating local elements into its aesthetic. For instance, the Stratford City store, located in a Westfield mall, features terracotta plaster and a recessed ceiling that pays homage to a nearby monastery dating back over a thousand years. In contrast, the Lamb’s Conduit store offers a more understated experience, with copper shelves that double as a subtle water feature.

Globally, Aesop operates around 400 boutiques, primarily in major cities like New York and Tokyo. This strategic placement reflects the brand’s ambition to establish itself as a local apothecary with a global presence. The first wave of stores, launched between 2010 and 2015, targeted high-traffic shopping districts, while subsequent openings have focused on neighborhoods with a strong local clientele, such as Le Marais in Paris.

A Shift in Retail Strategy

The brand’s retail strategy underwent a significant transformation following its acquisition by Natura & Co in 2016. Aesop’s head of global retail design, Marianne Lardilleux, articulated the brand’s vision: “We want to be like the boulangerie on the next corner.” This philosophy emphasizes the importance of local engagement in a retail environment increasingly dominated by digital channels and omnichannel strategies.

In a market where terms like “BOPIS” (Buy Online, Pick Up In Store) and “click-and-collect” dominate, Aesop stands out by prioritizing physical retail experiences. The brand’s commitment to in-store interactions is a deliberate choice, focusing on creating memorable customer experiences rather than solely relying on digital sales.

The Local Apothecary Concept

Aesop’s retail network aims to make customers feel at home, albeit in a space designed by top architects and stocked with premium products. In the UK, over half of Aesop’s 31 stores are located in London, resembling neighborhood apothecaries. The brand’s early locations were strategically placed near other high-end bathing goods retailers, pharmacies, and grocers, while newer stores have emerged in Westfield malls.

Each Aesop store is distinct, reflecting the brand’s commitment to architectural diversity. For example, the flagship store on Regent Street is a two-story structure made of stone, while the Borough Market location features a cozy wooden facade. Despite these differences, all stores adhere to strict design codes, ensuring a consistent product presentation.

Overcoming Initial Challenges

Aesop’s journey in the UK was not without its hurdles. The brand initially struggled to gain traction, with its first flagship store on Mount Street failing to meet expectations. Opened in 2008, it closed five years later after incurring significant losses. Similarly, a store on Paris’ Left Bank faced challenges, prompting a shift to trendier neighborhoods like Shoreditch, where the brand found a more receptive audience.

Key milestones in Aesop’s history include its acquisition by Natura and the subsequent purchase by L’Oréal for approximately $2.3 billion. This acquisition marked one of the largest beauty mergers of the decade, underscoring Aesop’s growing influence in the industry.

The Role of Aesopians

Integral to Aesop’s retail experience are its associates, known as “Aesopians.” These trained staff members engage customers in a unique retail choreography, welcoming them as if they were guests in a home. This approach fosters a sense of comfort and connection, encouraging customers to explore the brand’s offerings.

Aesop’s in-store experience is designed to draw customers to the basins, which serve as focal points in each store. These basins are not merely functional; they are crafted with care, often using found objects, and are tailored to enhance customer comfort.

Expanding Product Lines and Services

While Aesop is renowned for its hand soaps, the brand has diversified its product offerings to include a broader range of skincare and fragrance options. Many stores now feature a “fragrance armoire” for testing perfumes, and select locations offer facial services, enhancing the overall customer experience.

Despite the growing importance of digital channels in retail, Aesop remains committed to its in-store experience. Lardilleux emphasized that the brand’s approach is rooted in human connection, stating, “There’s nothing more human than this.”

Conclusion

Aesop’s retail strategy exemplifies a unique blend of local engagement and global ambition. By prioritizing architectural diversity, in-store experiences, and customer relationships, the brand has carved out a distinctive niche in the competitive beauty market. As Aesop continues to expand its footprint, its commitment to creating memorable retail experiences will likely remain a cornerstone of its success. The brand’s journey from a small salon in Melbourne to a global retail phenomenon serves as a testament to the power of thoughtful design and customer-centric strategies in the ever-evolving landscape of beauty retail.