Spain’s National Commission on Markets and Competition (CNMC) has fined I.C.O.N. Europe €1.2 million for engaging in a sustained pattern of anticompetitive conduct in the professional haircare products market over more than a decade. The authority has also barred the company from participating in public procurement procedures nationwide for a period of five months.
I.C.O.N., which operates as a wholesaler of professional hairdressing and cosmetic products and sells directly to consumers through its website, was found to have systematically restricted competition between 2010 and 2024. According to the CNMC, the company imposed resale price maintenance and strict commercial conditions on its distribution network, effectively eliminating price competition among distributors of its products.
The investigation revealed that I.C.O.N. fixed resale prices in both wholesale and retail channels. In the wholesale market in the Canary Islands and the Balearic Islands, distributors were contractually obliged to apply the prices set by I.C.O.N. when selling to hair salons in their respective territories. At the retail level, particularly online and across Spain, the company required distributors to adhere to mandatory retail prices by repeatedly issuing binding price lists between 2017 and 2023.
Beyond price fixing, I.C.O.N. imposed additional restrictions on its distributors, including strict limits on discounts and promotions, a ban on selling products through online marketplaces such as Amazon, and a prohibition on offering discount vouchers or conducting independent promotional campaigns without prior approval. To enforce these rules, the company implemented an active monitoring system to track distributors’ websites, detect deviations, and demand immediate corrective action. The CNMC also documented the use of threats and retaliatory measures against distributors that failed to comply.
The authority further found that I.C.O.N. encouraged coordinated responses among distributors when they were asked to provide information during the investigation, raising additional concerns about obstruction. At the same time, despite banning its distributors from selling on Amazon, I.C.O.N. marketed its own products on the platform through an intermediary company, a fact that was concealed from both its distribution network and the CNMC during inspections.
According to the competition authority, these practices formed part of a broader strategy aimed at maintaining tight control over pricing and commercial conditions, preventing any form of competition within the brand. This resulted in uniformly high retail prices, to the detriment of consumers, and hindered the emergence of more efficient distribution models and sales channels.
The CNMC imposed a total fine of €1,197,907 for two infringements of Spanish competition law, relating separately to the wholesale and retail conduct. In addition, it ordered a five-month ban on I.C.O.N.’s participation in public sector contracts across Spain for the supply of professional haircare products, both wholesale and online retail.