Wednesday, November 13, 2013

Natura back to invest in foreign markets in 2014

Brazil's Natura has a major challenge for the coming years: to internationalize the brand definitely. To this end, the cosmetics giant, which has made several attempts in this direction, will again concentrate on that task from 2014.
The company-which is currently used in some countries of Latin America, such as Argentina, Bolivia, Chile, Colombia, Peru and Mexico, in addition to France, in Europe-have taken the first big step in this direction in December 2012, when bought, for $ 148 million, a 65% stake in Australian skincare brand Aesop, which operates in 11 countries, encompassing the markets situated in the continent of Asia, European and North American.
On occasion, the Natura said the acquisition would help increase the exposure of the brand in regions beyond Latin America, while also allowing the exchange of experiences between the companies.
"We bet a lot in our international operations and follow attentive to everything that happens on the world stage. We have this great challenge to internationalize the brand and we intend to enter into various markets from 2014, "says Vice President of brands and businesses of Natura, José Vicente Marino.
According to the Executive, the company uses various strategies to expand its presence abroad. The main one, however, is based on building local partnerships. "We didn't make a list with the names of the regions in which we operate, because we are more concerned with the partnerships that can establish," says Marino.
In view of the professional, conquer foreign markets, managing to offer something new, is a complex and difficult task to be accomplished alone. "We know we can't do it alone. We need partners and these actions together can happen in the area of production, joint venture, among others, "he says.
The Executive explains that in many markets the Natura is a "challenging". "Today, our main challenge is how to establish the direct sale in those countries," says Marino.
According to the Executive, the company also must invest in the manufacture of exclusive products to foreign markets in which it operates, in order to meet local demands for quality and cost.
"The competition out there is fiercer than the observed in the Brazilian market. Therefore, we invest in innovation to offer differentiated items, "he says.
Attempts the company is initiating the process of internationalization in the Decade of 80, when he started answering some countries in Latin America. Since then, the brand has been raising their contributions in this area to enhance the presence of your cosmetics in the world.
In 2011, before the acquisition of Aesop, the Australian performance of Natura in foreign markets reached a net revenue of R $ 503,8 million, while business in the country totaled r $ 5.08 billion.
Last year, the movements in the international market contributed to a net revenue of R $ 734,4 million, while the domestic market accounted for revenue of $ 5.61 billion. On occasion, the brand said that the number of consultants Natura in Latin America had reached the home of 302 thousand professionals.
According to the company, this represented an increase of 22.8% in the number of consultants working with the Natura in Latin America, compared with the same period in 2011.
According to the company, the progress achieved in recent years with international operations made the area ended 2012, representing approximately 11.6% of total net revenues obtained by Natura.
In an interview with the DCI, Marino also confirmed that the company has capital and interest in making new acquisitions, but "cannot provide more information on that subject".
"Already we manufacture locally in Argentina, Colombia and Mexico to meet the local demand. We are interested in expansion and acquisition is one of the possibilities, "he concluded.
For the eighth consecutive year, Natura won the DCI Award most admired companies in the Cosmetics Department, in 2013.
Diário Comércio Indústria e Serviços – 12/11/2013
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