Q&A: Does Sephora Franchise in the UK?

Sephora is the #1 beauty retailer in the world. The big US cosmetics store sells must-have beauty and cosmetics products to international acclaim. Promising access to new and luxurious make-up with a personalised shopping experience, Sephora is something of a mecca for beauty enthusiasts.

In this article we’ll look at the success story of Sephora, whether it’s likely to franchise in the UK and the growth of the British Beauty industry in general. If you’re planning to run a business in the beauty sector there are lessons you can learn from Sephora’s success, as well as a host of franchise opportunities here at Point Franchise.

Does Sephora franchise?

Because it is a leading beauty retailer and a world-renowned brand, many entrepreneurs are interested to find out whether Sephora franchising opportunities are available. Unfortunately, the answer is no. Sephora has never employed a franchise model in order to facilitate expansion and does not seem to have plans to introduce one in the future.

All stores are company owned, and although Sephora was rumoured to be bringing its beauty goods to the UK, it seems the US make-up giant will not be opening on our shores any time soon.

This may be disappointing if you’ve got your heart set on opening a retail business in the beauty sector, but there’s no need to be downhearted – there are plenty of other profitable franchises that sell personal care products to consider. But, more on this later. Let’s explore the history of Sephora first.

History of Sephora

Sephora was established in France by Dominique Mandonnaud in 1969 who merged his perfume chain with the Sephora brand. In 1997 it was sold to LVMH which expanded the stores globally and the chain also included beauty and cosmetic products. Now there’s 430 stores across America, with the largest in Herald square in NYC. The Sephora franchise also branched out online to reach consumers in 34 countries across Europe, the Americas, the Middle East and Asia.

The retail chain offers its customers a huge range of products, from basic skincare to luxury brands. Sephora is also a store where consumers can find smaller niche brands – and try them for free. Mandonnaud is credited for designing and executing Sephora’s “assisted self-service” sales experience, which separated itself from standard retail models for cosmetics by encouraging customers to test products instore before purchasing.

It’s arguably this experience-based sales technique that has led Sephora to be such a successful and well-loved store. Today, most beauty counters all over the world offer this try-in-store sample service, fostering an atmosphere where customers feel welcome to look around before buying potentially expensive products.

Secret to success

Today, Sephora has developed a catalogue of 16,000 different products from more than 250 brands. And for every purchase made online, the buyer gets three free samples. The business also boasts The Sephora Collection, a dedicated portfolio of advanced beauty products that showcase the best it has to offer.

Sephora is dedicated to reaching as many consumers as possible across the globe, which is why it has developed no fewer than 17 online sales sites that are available in 10 different languages. These are hugely important for the brand and help to bring in a significant amount of revenue.

Did you know? The UK beauty industry is worth £30 billion.

However, the in-store Sephora retail experience is what’s known for attracting beauty junkies. Aside from the back-lit glam and gorgeous atmosphere, retail assistants are taught to refrain from the hard-sell that department stores rely on and instead work with each customer to find the products that match them best while stepping back as needed. Customers feel free to browse and to explore the high quality tutorials and assistance on offer from Sephora.

They also have a VIB loyalty program which grants members free gifts, in-store event offers and discounts. Members can fill in a profile with information regarding their preferences and factors like complexion and skin type, which will them tailor the offers to suit them. The personalised shopping experience extends to the web, which has been a big factor in keeping customers loyal to the Sephora franchise.

Beauty market in the UK

Boots vs Superdrug

It goes without saying that, as we don’t have Sephora, the British beauty retail market is dominated by two high street competitors, Boots and Superdrug. Both are widespread and popular, offering loyalty schemes and advantage cards in the health and beauty battle for returning customers.

Boots provides a range of services that stretches beyond the beauty industry and one in five Brits are owners of a Boots Advantage Card. As a health and beauty retailer it is closely followed by the second largest, Superdrug, which also provides pharmaceutical and consultation services.

Neither of the companies are currently offering any kind of franchise opportunity, but that doesn’t mean there’s no path to profit within the beauty business sector today.

Beauty is a booming industry

Instagram and selfie culture have helped push the beauty industry to a worth of £30 billion in the UK (The Telegraph). This year, a report found that the British beauty industry now contributes more to the economy than traditional sectors such as motoring and publishing.

With the visual aspect of social media and the impact of beauty influencers, more of us than ever are investing in our looks. However, while retailers of beauty products have slightly diminished in recent years, the number of beauty service providers has gone up in the UK, meaning our highstreets are now home to a greater number of beauty salons, hairdressers and nail parlours.

Research also shows that consumers are shopping in discount stores such as Poundland for their cosmetic fix. Even supermarket Aldi’s own-brand foundation Lacura took the beauty world by storm last year, showing us Brits still love a bargain.

The point is that people are willing to shop around to get the best personal-care treatments or products they can within the booming beauty industry. If you’re interested in cashing in, take a look at the opportunities within the health and beauty sector that we have here at Point Franchise.

>> Read more:

• Look the Part with Our Top Three Beauty Franchises
• Guide to starting a beauty store business
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Similar opportunities with Point Franchise

Guinot

If you’d loved to sell beauty products and make a healthy income, Guinot may be the franchise for you. As a supplier and manufacturer of high-quality skincare products, this business helps its customers select the very best lotions and potions for their body. Guinot is passionate about helping consumers make the right choice for them, which is why it offers in-store beauty consultations and treatments.

Guinot has been up and running since 1972. Its expertise has been gathered over the course of more than 40 years in the industry, and this has enabled it to become a member of the British Franchise Association (BFA). Its also established over 210 franchised locations across the world. That means its a fantastic opportunity for potential franchisees who can benefit from the brand’s huge pool of experience.

• How much you need to invest: To open your own Guinot business, you will need to make an investment of between £85,000 and £125,000.
• What you get for your investment: Once you’re on board, you’ll be able to take part in a unique training scheme that involves two days of shadowing franchisees at an existing Guinot salon. To make sure you’re kept abreast of changes to the business’ product selection and to the industry as a whole, you’ll gain access to regular refresher seminars and a dedicated Guinot mobile phone app.

What can we learn from Sephora?

Sephora’s success shows that a range of product options and a personalised approach are essential for any beauty franchise venture. By creating the in-store experience that consumers desire, rewarding loyalty and thinking digital, they have exemplified the keys to beauty industry success.

Remember, there are many more lucrative business opportunities available at Point Franchise. Why not browse our list of gym, sport and beauty companies or spa franchises to find your perfect venture?

>> Read more:

• Starting a Franchise: Top 5 Things You Must Do
• Top 10 Mistakes To Avoid When Starting A Franchise
• When to consider starting your own business
• Basic guide to franchising
• Conquer your fears and start a franchise
• Reasons not to start a franchise