The market of perfumery and cosmetics is considered one of the fastest growing in the world. The annual growth rate of the market in Russia is 20%, outpacing the worldwide rate, which is 15%. Total turnover is more than $ 8 billion. Expenditure on perfumes and cosmetics in the world (a month, $, 2009).
Currently, the cosmetics industry develops in two directions: creation of new creams, based on the achievements of chemistry; search for active ingredients.
In 2009 the market of men's cosmetics and perfumes earned slightly less than $ 1 billion in general.
The largest share in sales of cosmetics is held by hair care products. The second place is taken by make up. Hygiene products take the third place. And perfumes take the fourth place.
The 4 leading perfumery and cosmetics chains are: «L'Etoile-Sephora » (marketed as separate networks, both owned by Alcor); Douglas-Rivoli (owned by the German company Douglas Holding AG and the Russian company "Lux Holding"); «Ile de Beaute» (owned by "United Europe"); Brocard (owned by German Brocard Group Ltd.).
Comparative advantages and disadvantages of major perfumery and cosmetics chains (aggregated customer feedback in the press and Internet forums) NetworkValueLimitations Ile de Beaute, Douglas-Rivoli high level of service professional advisors tests on the entire range availability of exclusive brands a range of luxury brands small number of shops high prices « L'Etoile » high level of service professional advisors large number of stores range mainly consists of luxury brands but also includes mass-market products high prices tests (probes) for the entire range
Comparative description of two major DM-companies. Indicators Oriflame Avon turnover$600 million$6,2 billion The number of countries that sell products share turnover in Russia33%2% growth since times6,5 times Sales in Russia$100 million
Competitive advantages and dynamics of development of various means of sales. AlternativesDynamicsCompetitive Advantage Network scale trade breadth quality guarantee customers discount programs Direct Sales individual approach to consumer detailed consultation low prices convenient shopping Internet convenient shopping low prices Pharmacies image associated with the attitude to medicine, scientific research, etc. availability of qualified consulting Beauty saloons exclusive services individual approach to consumer most professional approach quality A department store convenient shopping (along with other goods) Open markets low prices
Dynamics of sales in the Moscow market.
Factors influencing the decision to buy cosmetics
Thank you for your attention!