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Here is an excerpt of ourcosmetics magazine :
Brazilian Ethnic Market Expands
According to the Brazilian perfumery union Abihpec/Sipatesp, the ethnic market increased by +60% in 1999, while the average growth in the sector rose by +11%. The overall turnover for ethnic products in 2000 is expected to reach R$320 million (US$160 million).
Two specialist trade fairs, Cosmoetnica and Etnic 2000, were held this year in São Paulo between November 10 and 13. Cosmoetnica brought together 32 exhibitors including Impala, Niely, Avlon and Umidfica, in a space of more than 3,000 sq.m. Raw materials manufacturers like Croda and Ionquimica were on hand to display their latest developments. Rival event, Etnic 2000, welcomed 56 exhibitors in a space of more than 5,000 sq.m. Revlon Professional, Payot do Brasil and Cravo e Canel were among the participants.
Moving and Shaking at Henkel
The company's interested in buying Clairol and selling Cognis
Germany’s Henkel Group has rather a lot on its plate at the moment. First, company chairman Ulrich Lehner last week expressed an interest in buying the Clairol haircare brand from US pharmaceutical company, Bristol-Myers Squibb. The brand had annual sales of €2.7bn/$2.3bn in the last fiscal year. Second, Henkel is looking for a buyer for part or all of its Cognis chemical products business, despite double-digit growth from the unit in the nine months to September 30.
Cognis, which manufactures chemicals based on natural raw materials for use in cosmetic and nutrition products, was formed last year when Henkel spun off its chemicals business into a separate company to concentrate on its core businesses. This year, the unit achieved €2.2bn/$1.9bn in sales (+15%), and saw operating profit rise nearly 60% to €165m /$141.9m. Henkel has commissioned an investment bank to find a buyer, and a shortlist of offers will be drawn up in January 2001.
The group announced a 12% increase in nine-month global sales to €9.4bn/$8.1bn, with sales outside Germany rising 15%. Operating profit was up 11% to €704m/$605.5m, and net earnings were €359m/$308.7m, 29% higher than the similar 1999 period. Sales in the cosmetics/toiletries business sector were up 11%, reaching €1.5bn/$1.3bn, while operating profit grew 9% to €95m/$81.7m.
Echoes from Cosmoprof 2000
The mini-typhoon that swept Hong Kong harbor Tuesday, did nothing to dampen the spirit of recovery in the air as the fifth edition of Cosmoprof Asia kicked off with a traditional lion dance. The show now takes up a total exhibition area of 25,000m2 in the Hong Kong Convention and Exhibition Centre.
With 650 exhibitors hailing from 33 countries including 14 national group pavilions, the organizers foresee at least 26,000 visitors during the three-day show. Cosmoprof Asia offers a mix of exhibitors from perfumery, cosmetics and toiletries to salon equipment, hair products, packaging and raw materials, private label and contract manufacturing.
Laura Zaccagnini, marketing director for Cosmoprof Asia, was particularly proud of the exhibition’s evolution into a showcase for regional business, from its beginnings as a platform from which to introduce US and European brands to the region. "Approximately 40% of our exhibitors appear under the national flags of Korea and China, just to mention two rapidly growing manufacturing poles in Asia."
Although Asian recovery is patchy, and methodical rather than meteoric, Michael Duck, Director Cosmoprof Asia Ltd., is optimistic for the region's future. "I would say I am reasonably optimistic for outlook in Asia." Mentioning the strong recovery in Singapore, Korea and Taiwan, Duck stated the upcoming WTO entry of China as a major opportunity for business in the region.
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