Coty is one of the world's largest beauty companies, organized around two divisions: Prestige and Consumer Beauty. Prestige is Coty's core business, built primarily around licensed designer fragrances — brands like Hugo Boss, Burberry, Calvin Klein, Gucci, Marc Jacobs, Chloe, and Davidoff — which together represent roughly 60% of total company sales. Coty licenses these brand names, pays royalties on net revenues, and handles fragrance R&D, manufacturing, marketing, and global distribution. Prestige products are sold through department stores, perfumeries, specialty retailers like Sephora, duty-free, and e-commerce. Consumer Beauty is Coty's mass-market division, selling through hypermarkets, drugstores, and supermarkets. It contains two diverging businesses: mass fragrances (brands like adidas and Nautica), a growing and higher-margin category where Coty holds the #1 global position, and mass color cosmetics (CoverGirl, Rimmel, Sally Hansen), a structurally challenged category facing declining demand and competition from indie brands. Coty's business model is offer-driven — blockbuster fragrance launches create franchise anchors and drive step-change revenue growth, with subsequent line extensions building on that base. Profitability is supported by pricing power in prestige fragrances, ongoing supply chain savings, and a multi-year cost transformation program. Coty's strategy is shifting more explicitly toward fragrance across all price points, including a new fragrance mist category expansion, while reducing investment in mass cosmetics.