16 June 2010

Scent Branding Sweeps the Fragrance Industry

From Abercrombie & Fitch to Fiat, companies are using "ambient scenting" in an effort to leave indelible impressions with their customers

By Spencer Morgan

On a recent April afternoon, a limousine carrying two French perfumers from multibillion-dollar, Manhattan-based International Flavors & Fragrances idled in front of a squat, clay-colored building in the South Bronx. The perfumers, Bruno Jovanovic and Pascal Gaurin, had with them a bottle of their newest concoction, L'Eau Verte du Bronx du Sud (translation: the Green Water of the South Bronx) to show Majora Carter, a leading green consultant and neighborhood resident. The perfume wasn't meant for Carter. Its intended recipient was a nearby low-income housing development—the Sister Thomas Apartments. By pumping this specially engineered scent into the building's hallways and common areas, the unlikely threesome believes the 200 residents will be infused with optimism and happiness. "The part of your brain that senses scent can allow you to feel really bad about what you see in front of you—or really good—depending on what it is," she explains. "The question is: How do you evoke a certain feeling without imposing on people in any way?"

The fragrance industry thinks it has the answer. Jovanovic and Gaurin, who are responsible for luxury colognes and perfumes such as Tom Ford Black Violet and Giorgio Armani Onde Extase, are leading the latest fragrance business craze, a form of sensory branding known as "ambient scenting." Jovanovic, 34, helped pioneer the trend by creating the "woody" aroma—a combination of orange, fir resin, and Brazilian rosewood, among others—for Abercrombie & Fitch. Since its roll-out in stores across the country two years ago, Abercrombie's Fierce, which also pervades sidewalks outside the clothier's stores, has become an integral part of the shopping experience. Popular demand compelled the company to produce the trademark odeur in bottle form, and, according to Jovanovic, customers have complained when store-bought T-shirts lose the smell after multiple washes.

Scenting an entire building is the latest ambition in a growing business that has, for years, gone unnoticed by most consumers. Roger Bensinger, executive vice-president for scent marketing company Prolitec, estimates there are now 20 companies worldwide specializing in ambient scent-marketing and dispersion technology. While many of these companies are privately held, industry executives value the business at roughly between $80 million and $100 million. These enterprises typically pair with fragrance companies and share in the scenting and machine maintenance dues, which can range anywhere from $100 to $10,000 a month depending on the size of the space to be scented.

No longer confined to lingerie stores, ambient scenting became standard practice in casinos in the early 2000s and invaded the hospitality sector soon thereafter. Sheraton Hotels & Resorts employs Welcoming Warmth, a mix of fig, jasmine, and freesia. Westin Hotel & Resorts disperses White Tea, which attempts to provide the indefinable "Zen-retreat" experience. (Despite its abstraction, the line was successful enough to inspire Westin's 2009 line of White Tea candles.) Marriott offers different smells for its airport, suburban, and resort properties. The Mandarin Oriental Miami sprays Meeting Sense in conference rooms in an effort, it claims, to enhance productivity. In the mornings, the scent combines orange blossom and "tangy effervescent zest." In the afternoon, executives work away while sniffing "an infusion of Mediterranean citrus, fruit, and herbs."

Scent branding is becoming just as prevalent in retail. Researchers believe that ambient scenting allows consumers to make a deeper brand connection, and data has led many other non-scent-related companies to join the fray. Recently, Gaurin, 41, helped create a fragrance for Samsung's stores, which has been cited throughout the industry as a milestone in scent as design.

[Courtesy of Business Week]