Record Christmas Eve Sales Signal Major Win for Fragrance Retail

The Fragrance Shop (TFS) has reported a record-breaking holiday period, led by its strongest Christmas Eve performance to date. The Manchester-headquartered retailer saw sales for the nine weeks ending 3 January 2026 rise 6.3% against the previous year.

Industry data indicates that fragrance remains a primary driver in the UK premium beauty market, where it currently holds a 35% share. For TFS, this growth was largely steered by a spike in demand for high-end scents and premium gifting. Top performers over the festive weeks included Prada Paradoxe and YSL Libre, while Tom Ford’s Private Blend collection maintained strong momentum in the luxury tier.

The surge in footfall on 24 December proved especially significant, suggesting that physical stores still hold a critical role for shoppers seeking expert advice and last-minute purchases. CEO Sanjay Vadera noted that this result shows customers still trust the high street for "experience, expertise and genuine reassurance".

Store Investment and International Expansion

This physical success was bolstered by the brand’s ongoing store investment strategy. Refurbished and relocated sites outpaced the average with a 14% sales growth over the same period.

Key developments during the quarter included:

  • International Growth: The opening of two new stores in Ireland, marking the start of the brand's international ambitions.

  • Flagship Success: A standout performance from the new flagship store in Blanchardstown, Dublin.

  • Experience-Led Retail: A focus on a more premium gifting experience both in-person and through digital channels.

Loyalty as a Growth Engine

Loyalty remains a central pillar of the business’s trajectory. The MyTFS programme saw a 48% jump in new sign-ups, likely encouraged by a refreshed value proposition of 20% savings throughout the year and a new price promise. This focus on membership value aligns with broader 2025 market trends where shoppers are becoming more strategic, often waiting for clear deal moments or loyalty benefits before committing to a purchase.

While some heritage beauty brands have faced market share pressures recently, TFS appears to be holding ground through a mix of digital updates and store-led experiences. The retailer continues to operate 221 stores across the UK and Ireland, aiming to integrate its physical network with a seamless online offer.

Natalia Kulak