How Target Is Approaching the Growing Fragrance Market

Target is betting big on fragrance. 

As the fragrance category continues to grow — according to data from Circana, fragrance in the mass sector is up 17 percent — the retailer is aiming to position itself as an accessible authority within the category by expanding its collection, working directly with brands to create viral products and prioritizing its assortment via endcaps, dedicated displays and in-store events. At Target, fragrance sales have grown 700 percent since 2018 and are expected to have double-digit growth over the next year.

“We’ve had such success in this area, and we’re continuing to freshen the strategy and position Target as this ultimate beauty authority, this one-stop destination that curates inclusive, value-driven irresistible assortments,” said Amanda Nusz, Target’s senior vice president of merchandising, essentials and beauty. “We’re seeing heightened interest [and] demand from consumers who want fragrance as a way to express themselves, to personalize their self care routines.” 

As consumers look to fragrance to “personalize their self care routines,” it doesn’t stop at just a signature scent. Nusz said customers are increasingly implementing fragrance in a variety of daily routines. Given this, Target’s approach to fragrance includes everything from typical eau de parfums with brands like luxury-inspired Dossier, which is soon to launch at the retailer, and Fine’ry, to body care with brands like Tree Hut to ritual-based wellness products from brands like Being Frenshe. 

“We’re starting to see more and more that fragrance delivers this emotional value,” Nusz said. “It can deliver confidence, comfort, mood lift, and give people a way to express themselves through a signature scent or creatively layering. What we’re finding is there is a lot of demand in terms of freshening people’s spaces, creating daily rituals, making an easy, meaningful gift. The desire to personalize their fragrance is something that we think we can do from the home to the person, balancing joy, utility and value.” 

Nusz said Being Frenshe was one of the best examples of this ritual-based approach to fragrance, as it offers everything from lip care and body care to hair care and home scents. In addition to its product assortment, the brand employs MoodScience scent technology to ensure everything provides a functional benefit, such as its Lavender Cloud scent created to amplify rest. Nusz added that the team is working with brands to think about how fragrance can further address certain need states.

“[We’re] thinking about, what does it look like to work with the brands on trends but then put them together in terms of stories in ways that just allow for more discovery at that irresistible value,” she said. 

As consumers’ interest in personalization and fragrance layering has increased, Nusz said Target is doubling down on additive formats like hair perfumes from brands like Kitsch, Blake Lively’s Blake Brown and Tresemmé, and body mists from brands like Fine’ry, Daisy and Being Frenshe. 

“It’s a wonderful way to offer incredible value but also that ability to layer,” she said. 

The Target team is also eyeing online chatter to identify future scent trends, most notably pistachio. After identifying the scent as a growing area of interest, Target partnered with Eos to create its Crème de Pistachio Body Lotion, $11, which has become a bestseller. The retailer also offers a pistachio-scented dry shampoo from Fine’ry.

In addition to scent trends, Nusz said the retailer is increasing its focus on the male consumer, particularly with brands like Tone, founded by viral Twitch content group AMP. For men’s fragrance, Nusz said woodsy pine scents, which Tone offers, are a growing area of opportunity in particular.

To ensure fragrance is highlighted in-store, the retailer will be implementing endcaps and towers, as well as hosting in-store events starting in October where customers can explore the assortment and sample fragrances before they purchase. Target will also be implementing moments of surprise-and-delight, specifically by bringing back Being Frenshe’s Moon Milk scent, which has gone viral several times over. 

Being Frenshe founder Ashley Tisdale previously told WWD: ““So many people were going crazy over Moon Milk… I have had so many people personally reach out to me, being like, ‘I need six more, and I can’t get it at Target.’”

In the way of Moon Milk, Nusz said that gourmands, which the retailer will highlight for holiday through its displays, remain a top seller, with pistachio and marshmallow as key notes that are gaining traction.