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  Interview  
 

Artur Grynbaum: “As group, we want to strengthen operation in the fashion. We are seeking to offer consumers a more interesting range of products"
01/23/2012

                         

1 - You have stated that O Boticario´s revenue in 2011 was 20% higher than in 2010. What  would be in value this revenue?

Artur - Close to US$ 1,15 million in the year 2011.


2 - What do you wanted to mean by saying that the Brazilian market offers increasingly opportunities, even considering its increasing competitiveness?

When there is a mass of new people entering the market, there are new experiences in cosmetics. There are then new market opportunities, such as the Eudora brand. We create a differentiated value proposal for these new consumers.


3 - How it has been the escalation of Eudora in direct selling ? How the brand have conquered new consultants?

It is doing well, according to the objectives outlined at the time of the Strategy Plan. The brand has had excellent attention. The consultants are satisfied with the quality of services offered to them, due to the distribution centers and also of the Central Services offered to them. The products are well accepted by consumers, especially the lines Elements, Entre 4 Paredes (between 4 walls) and Eudora. We do not use or will use the accessories that we used for the line Entre 4 Paredes, of the newly acquired brands of lingerie (Scalina and Trifil) in the brand porfolio (in truth a minority participation. They are from different segments, two different ways of actuate.
Scalina and Trifil are actually an opportunity of retail maximization, which will bring improvement in the value proposal and way of delivering of this value proposal.


4 - How does the O Boticario Group wants to strengthen its position in fashion (and beauty)?

It means that, as group we want to strengthen the area of CFT (Cosmetics Fragrance and Toiletry) and have operations in the fashion. This consumer is similar to the consumer of beauty. So this is an opportunity to more of an understanding of consumer and we are seeking to offer her amore interesting basket of products.


5 - With more than 3000 stores across Brazil, there is still room for O Boticario opening new franchises without cannibalizing existing ones?

Yes there is enough space. We are now opening up 186 new franchises, but we will close up to the end of the year 200 stores, totaling 3,220 franchises. There is not this risk you mention of cannibalism, because our governance system is mature and respects the ones who participate or will participate of the brand franchises in order to have their investments considered and respected. What matters is that our system is respected.


6 - Native SPA, is a project to succeed as a franchise in 2012? What is scheduled for this brand?

This was a pilot project of O Boticario brand to understand consumer responses. Once again it was a daring experiment in terms of to taking a line from the selling point  creating a own environment for it (the mark).


7 – The reverse logistics implemented in stores of O Boticario was a project that worked?

We make reverse logistics already for some time. We have urns in stores for the consumer plays its role by returning the packs. Sustainability is embedded in our business model, it embodies the group's proposals and 1% of net revenue is allocated to social investment.


8 - With the master sponsorship of Sao Paulo Fashion Week by  O Boticario in 2012, what´s the profile chosen by the brand for its lounge?

The lounge brings the news of Make B, our makeup most sophisticated brand .


9 - Brazil is already the first in sales in perfumery in the world ranking. The brand O Botcario, which has always believed in the segment, will have many launches  in 2012 to face the concurrence?

For us this is a very important segment. That’s why every year we have an intense movement in perfumery, which is part of our DNA.the area of CFT and to have

 


 
 
   
 
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