Coty considers selling CoverGirl, Max Factor brands

Global beauty icon Coty may shed its iconic CoverGirl and Max Factor brands as part of a strategic review of its consumer beauty business. The publicly traded company says the U.S. — its largest individual market — was a “top driver of our underperformance,” with mass beauty market sales declining “by a mid-teen percentage.” The company says it will more closely integrate its prestige beauty and mass fragrance businesses, which account for 69% of sales. “The fragrance category already drives the majority of our revenues and profits,” CEO Sue Nabi says. “Coty has a proven right to win at all price points of scenting, from $5 to $500, and is already making strong headway in the exciting new $7 billion mist market.”