The Estée Lauder Companies (ELC) today announced the opening of
its new, state-of-the-art distribution center located in Galgenen,
Switzerland to accommodate the dynamic and future growth of its
global Travel Retail business. Travel Retail, which covers the
world of duty-free environments including airports, downtown
locations, airlines, cruises and border shops, is one of the
company’s highest growth channels and touches over 3 billion
consumers a year. This new 300,000 square foot facility expands
upon the company’s existing distribution footprint in Switzerland
and will enable ELC to remain at the forefront of delivering its
prestige beauty products and high-touch services to traveling
consumers around the world. The center is equipped to support the
continued growth of Travel Retail and will further drive the
company's sustainability efforts.
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Umair Ansari, VP/GM, Travel Retail EMA,
Fabrizio Freda, President and Chief Executive Officer, Jane Lauder,
EVP, Enterprise Marketing and Chief Data Officer, and Roberto
Canevari, EVP, Global Supply Chain cut the ribbon at the new
Galgenen distribution center. (Photo: Business Wire)
Fabrizio Freda, President and Chief Executive Officer,
Israel Assa, Global President, Travel Retail Worldwide and
Roberto Canevari, Executive Vice President, Global Supply
Chain hosted the opening ceremony with Nadine Graf, Senior
Vice President, General Manager, Europe, Middle East, and Africa
(EMEA), Maike Kiessling, General Manager, Switzerland, Jamal
Chamariq, Senior Vice President, Global Supply Chain, EMEA and
Travel Retail Worldwide and Sascha Trabelsi, Vice President, Supply
Chain, Travel Retail Worldwide. The opening ceremony was
attended by special guests including retailers, suppliers, local
government officials, media and ELC employees.
“Travel Retail continues to demonstrate its resilience, driving
tremendous growth over the last decade for The Estée Lauder
Companies. We remain extremely confident in the channel for the
long-term, especially as travel restrictions ease globally and
people start traveling again,” said Fabrizio Freda. “The opening of
our new Galgenen distribution center will enable us to adapt even
better to ever-changing retail needs and growth opportunities for
the channel, and expand upon our existing distribution presence in
Switzerland.”
The Estée Lauder Companies’ Travel Retail division is the market
share leader in the channel within the total beauty category across
skin care, makeup, fragrance and hair care1. With a strong brand
portfolio that resonates with consumers globally, ELC’s Travel
Retail division continually demonstrates best-in-class marketing
activations tailored to travelers’ needs, recruits new consumers
and builds brand equity around the world. Accounting for 28% of
ELC’s sales in fiscal year 2021, Travel Retail is uniquely
positioned to win in this high growth environment with the
company’s recent investment to expand its distribution network to
meet the demands of the traveling consumer population.
“As we mark the 30th anniversary of The Estée Lauder Companies’
Travel Retail business, we are incredibly proud of our track record
of exciting and delighting travelers all over the world with our
exclusive products and high-touch experiences for the Travel Retail
industry and having made the channel an integral engine of growth
for ELC,” said Israel Assa. “As we look to the future, this
investment here at Galgenen is a testament to our belief in the
long-term growth potential of this channel and that by investing in
these capabilities and with our retailers, we can capture the next
generation of growth in this dynamic, prestige marketplace.”
The Estée Lauder Companies has a long history of success within
Switzerland, opening its affiliate office more than 55 years ago
and its first manufacturing plant more than 45 years ago. As the
fifth largest employer in the canton of Schwyz, ELC prides itself
on its inclusive and collaborative culture, competitive
compensation and benefits, career development opportunities,
commitments to health, safety and sustainability, and
high-performance. The company currently has four distribution
centers in Switzerland. Switzerland is also home to ELC’s EMEA and
TR Supply Chain Management Hub in Wollerau, which drives agility,
speed, and collaboration across our EMEA and Travel Retail supply
chain teams. With the addition of the new facility in Galgenen, the
Travel Retail business will double its total output capacity,
enabling the flexibility necessary to adapt to the channel’s high
growth potential.
“Galgenen will serve as a cornerstone of The Estée Lauder
Companies’ agile, global fulfillment network,” said Roberto
Canevari. “This distribution center will not only significantly
enhance our capacity but enable operational efficiencies,
speed-to-market and resiliency through innovative, highly automated
equipment and technologies. Additionally, we are proud that
Galgenen is also a shining example of ELC’s commitment to safety,
quality, and sustainability.”
Galgenen will further advance the sustainability of ELC’s global
manufacturing and distribution network and the company through its
best-in-class environmental design and renewable energy efforts.
The building’s design is based on the newest standards to reduce
energy and water consumption. It features total LED lighting, an
energy-efficient HVAC system and the roof’s solar panels generate
1600 kilowatts at peak performance (kWp). Furthering sustainability
efforts, a comprehensive waste management system has been
implemented to separate out numerous recyclables, with electric
trucks ready for waste removal. As part of the recycling
undertaking, wooden waste pallets will generate renewable heating
energy. Worldwide, ELC is driving strategic initiatives to reduce
its environmental footprint, integrate environmentally responsible
practices and invest in innovative technology as part of efforts to
not only provide consumers with transformative products and
experiences, but also to contribute to the well-being of the
planet.
About The Estée Lauder Companies
Inc.
The Estée Lauder Companies Inc. is one of the world’s leading
manufacturers and marketers of quality skin care, makeup, fragrance
and hair care products. The company’s products are sold in
approximately 150 countries and territories under brand names
including: Estée Lauder, Aramis, Clinique, Lab Series, Origins,
Tommy Hilfiger, M·A·C, La Mer, Bobbi Brown, Donna Karan New York,
DKNY, Aveda, Jo Malone London, Bumble and bumble, Michael Kors,
Darphin Paris, TOM FORD BEAUTY, Smashbox, Ermenegildo Zegna, AERIN,
Le Labo, Editions de Parfums Frédéric Malle, GLAMGLOW, KILIAN
PARIS, Too Faced and Dr. Jart+, and the DECIEM family of brands,
including The Ordinary and NIOD.
[1] Generation Research 2020
ELC-C
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Colleen T. Leahy cleahy@estee.com
Jill Marvin jimarvin@estee.com
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