Salon Success only sells Paul Mitchell products through selected hairdressing salons, refusing to supply Boots and other high-street stores in order to maintain its positioning as a professional brand.
However, Boots has been selling a limited range of Paul Mitchell products in nine of its flagship stores and online since January. According to Salon Success, Boots will not reveal its supplier or withdraw the products from sale.
A Salon Success spokes-woman said: 'It's a legal grey area. Boots bought the product in good faith, but the person that supplied it is breaching their contract with us. We don't plan to take legal action against Boots, but we would against the supplier if we knew who they were.'
A spokeswoman for Boots said: 'It is our preference to deal with the brand owners directly where possible and we are keen to forge a relationship with Paul Mitchell, Redken and MOP. However, our attempts have not been reciprocated.'
Salon Success has attempted to deplete the retailer's stock by buying the product back, but it said that Boots had cancelled web orders the company had placed for the product and claimed staff sent to buy up stock had been removed from Boots stores by security guards.
Verdict Research consulting director Neil Saunders said: 'I haven't heard of Boots going to the grey market before, but if it's the first high-street retailer to bring the brand to the wider market it could benefit hugely from it.'
The pharmacist has faced competition in recent years from supermarkets selling cut-price make-up and toiletries, but it has limited customer migration and retained its market position by rolling out its own or exclusive-to-Boots ranges.
.jpg)
.jpg)