Leading Australian omnichannel beauty retailer, Oz Hair & Beauty, has acquired Melbourne-based salon chain, Beauty Works, accelerating its push into service-led retail.
Acquiring both its Melbourne Central store and ecommerce business, the Beauty Works deal marks the next step in Oz Hair & Beauty’s brand evolution. The retailer has recently experienced significant growth, increasing annual revenue from $24 million in 2019 to over $100 million in 2026.
With nine stores scheduled to open before the end of the year, the $100 million dollar retailer’s 34 physical store locations currently stretch across every Australian state and territory.
Oz Hair & Beauty Co-owner and CEO Anthony Nappa said the Beauty Works acquisition was an important step towards expanding the brand’s physical store presence.
“Beauty Works gives us an established Melbourne customer base and a strong service capability that we can build on,” he said.
“Retailers can compete on price, or they can compete on experience. We believe the future of beauty retail belongs to businesses that combine trusted brands with expert advice, personalised treatments and services that customers can’t replicate online.”
The deal reflects the growing role of physical retail in the beauty industry, as brands seek to combine digital convenience with in-store experiences. While ecommerce continues to drive sales, many retailers are expanding their store networks to give customers opportunities to test products, receive expert advice and access services that help strengthen brand loyalty.
“We’ve spent years building an incredibly rich understanding of where our customers live, how they shop and what they’re buying,” Anthony said.
“That gives us a much clearer picture of where physical retail makes sense.
“We’re highly selective. Every new store has to strengthen our customer offering, complement our existing network and support where we see the business heading over the next five years.”
The trend is evident across the Australian market. Online retailer Adore Beauty has expanded beyond its digital roots with a growing network of physical stores designed to complement its ecommerce business, while Mecca continues to invest in larger, experience-led destinations that offer personalised services, treatments and product discovery. Together, the strategies highlight how beauty retailers are increasingly using physical stores to deepen customer engagement and strengthen their omnichannel offering.
“Professional services create more frequent customer visits, deeper engagement with our brands and a relationship that extends well beyond a product transaction,” added Co-owner and COO Guy Nappa.
“Our ambition is to build destinations where customers can discover premium brands, access expert advice and experience professional hair and skin services — all in one place,” he concluded.
