Online sales climbed 24% year over year, while Best Buy’s overall sales were flat.
Sephora’s parent company has acquired a 70% stake in Brazilian retailer Sack’s.
Sephora, an online and multichannel beauty products retailer in the U.S., France, Canada and China, will soon have a presence in the most populous country in South America: Brazil.
LVMH Moët Hennessy Louis Vuitton, the parent company of Sephora, No. 112 in the Internet Retailer Top 500 Guide, has acquired a 70% stake in Sack’s, a large Brazilian online retailer of fragrances, cosmetics and toiletries.
Terms of the deal weren’t disclosed, but traffic to the Sack’s e-commerce site, which launched in 2000, is about four million unique visitors per month, says LVMH.
The web site will be rebranded as a Sephora e-commerce site over time, says LVMH.
“South America has very promising countries for luxury goods and LVMH has been present there since 1973 and holds a leadership position in prestige beauty as well as in other segments of the luxury market,” says LVMH managing director Antonio Belloni. “The opportunity is formidable.”
LVMH and Sephora will keep in place Sack’s existing management, including CEO Carlos André Montenegro and partners Albatroz Participações and Marcelo Franco, says LVMH. The deal for Sack’s, which sells online at Sacks.com.br and carries an online inventory of more than 270 fragrances, cosmetics and toiletries brands, will close at the end of July, says LVMH.
The launch of the Sephora brand in Brazil is a sign of other e-commerce expansion to come, says LVMH. Within 18 months, Sephora will be selling online in most European countries, says LVMH.