Gen Z Fuels the Global Luxury Fragrance Boom

Perfume has become the new symbol of status among young consumers. According to Circana and Reuters, households with at least one Gen Z member now account for 38% of global fragrance spending, marking a shift in the core of beauty and luxury consumption.

Brands such as Coty, Estée Lauder, and L’Oréal Luxe are redirecting their strategies toward this demographic, investing heavily in AI-driven marketing, digital storytelling, and viral content on TikTok. Fragrances have evolved into a form of sensory self-expression, a more accessible entry point into the luxury world.

This generation seeks identity over ostentation — scents that tell stories, evoke emotions, and convey authenticity. Online sales are also surging, powered by immersive virtual boutiques and limited-edition launches that merge art, technology, and desire.

Once seen as an accessory, the fragrance category now stands at the heart of luxury’s new growth cycle, driving profitability across the sector even as traditional luxury segments cool down.