What: Harvey Nichols exits standalone beauty retail with Liverpool Beauty Bazaar closure, contrasting with competitors' expansion in specialized beauty formats.

Why it is important: The decision marks a pivotal moment in Harvey Nichols' transformation strategy, prioritising full-category operations while other retailers invest in specialised beauty concepts.

Harvey Nichols has announced the closure of its Beauty Bazaar in Liverpool One, a 22,000-square-foot, three-floor beauty destination that has operated since 2012. The decision comes as part of the company's strategic focus on full-category stores under new CEO Julia Goddard's leadership. This closure stands in stark contrast to competitors' approaches, particularly as Sephora prepares to open in Liverpool One this spring, and other retailers like Harrods continue expanding their standalone beauty operations through concepts like H Beauty. The timing reflects broader shifts in premium beauty retail, with various players including Boots, M&S, and Next strengthening their beauty offerings. The closure, expected by mid-April, will leave a significant space in Liverpool One, though the mall's management indicates well-progressed plans for the site's transformation. This strategic withdrawal from specialised beauty retail demonstrates Harvey Nichols' commitment to consolidating its operations around traditional department store formats.

IADS Notes: This strategic shift aligns with Harvey Nichols' broader transformation initiative launched in February 2025, supported by a GBP 25.5 million investment from owner Dickson Poon. The decision to focus on full-category stores contrasts notably with Harrods' continued expansion of specialized beauty retail, as evidenced by their December 2024 announcement of a sixth H Beauty store. This divergence in approaches highlights the evolving dynamics of luxury retail, where different operators are pursuing distinct strategies in response to changing market conditions.

Harvey Nichols to shutter Liverpool One Beauty Bazaar