Rémy Cointreau To Sell Perfume At 5,500 Euros A BOttle

Known for its prized Louis XIII cognac, Rémy Cointreau is entering the luxury fragrance market with the launch of Maison Psyche, an upscale perfume house that will sell scents starting at 5,500 euros a bottle, Dominique Vidalon reported for Reuters.

Photo Insert: Rémy Cointreau's Maison Psyche luxury fragrance

The French spirits group will draw on its experience in blending and aging spirits, as well as marketing to high-end clientele, as it seeks to tap into affluent consumers' thirst for exclusivity. The new business could be “potentially strategic,” Rémy Cointreau chief executive Eric Vallat told Reuters.

The executive did not provide financial details but said it would start out small, compared to the spirits group which has annual sales of around 1.3 billion euros.

"We have real ambition. If this project works, others will follow," said Vallat, noting he sees the label as "a natural extension" of Rémy Cointreau's activities. The move comes as the luxury industry doubles down on serving wealthier clients who can still afford to splash out on high-end goods despite rising inflation.

Orders have already been coming in, he said, noting the label would aim to serve wealthy clients that already buy the group's Louis XIII cognac, its blend of eaux de vie aged up to 100 years and priced at more than $3,000 a bottle on average.

The world's biggest luxury group LVMH has been investing in luxury hospitality serving higher end clients, and opening five-star Cheval Blanc and Bulgari hotels in Paris, while recent expectation-beating trading updates from labels like Hermes, which sells $10,000 handbags, illustrate the resilience of labels at the higher end.

The market for niche, high-end fragrances has also been booming, with strong appetite in the US in particular, prompting investments like Puig's purchase of Byredo.

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