BOLOGNA, Italy — Although Italy’s key perfumery channel slipped by 2.1 percent in sales last year, the new president of Unipro, the Italian Association of Cosmetic Industries, sees the glass as half full.
“The Italian market is stable,” said Fabio Franchina, adding that two drivers of today’s business are a move toward well-being products and a weeding out of poorly performing businesses.
He was speaking to WWD during an interview at Cosmoprof, the four-day beauty trade show that started here April 7. The 39th annual edition of Cosmoprof attracted 138,411 visitors, up from 137,247 last year.
Overall, the Italian beauty business rose 1.7 percent to 7.65 billion euros, or $9.29 billion at current exchange rates, last year. The perfumery category rang up 1.3 billion euros, or $1.58 billion, and exports reached 2.1 billion, or $2.55 billion, a 6.3 percent climb in the period.
Among other categories, the professional salon channel lost 1.1 percent. The mass market was flat. Pharmacy distribution gained 4.6 percent, and herbal shops rose 4 percent.
At least one Italian company that is making headway in exports is Deborah Group.
“In the last year, our international business has grown by about 400 percent,” said Malcolm Kemp, director of the company’s international division and a founder of Urban Decay, who added it now accounts for about 30 percent of Deborah’s turnover of some 150 million euros, or $182.1 million. In two years, he’d like to see that part comprise more than 50 percent.
The company is now in 35 markets and has five more in the works. Deborah has a new division in Singapore and plans to enter Indonesia.
The firm also has made a foray into fragrance. It just launched its first scent through a license with racing champion Giancarlo Fisichella.
Also on the international front, Brazil’s O Boticario plans to test Italian terrain starting this month. It has linked with a local partner that will begin selling a selection of O Boticario products in 20 to 30 stores, said Gilberto Martims, the brand’s general manager of Portugal.
Greece’s Korres plans to open its first U.S. freestanding store in New York’s SoHo early this summer, said Melina Galeadi, the company business development manager, who added that a freestanding unit in Taiwan is also in the works.
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The entrepreneurial Korres, which is still building consumer recognition in the prestige market, is about to plant both feet into the mass market with a new bath-and-body line called Kings & Queens. Aimed directly at supermarkets, the 30-stockkeeping-unit collection consists of 13 ingredient stories, each one focusing on a favorite herb or spice of a king or a queen in history. For instance, the Queen of Sheba supposedly had a weakness for pistachio. The new line is to launch in October.
Another Greek manufacturer to enter the beauty food chain is Apivita. Founded 30 years ago by Nikos Koutsianas, a pharmacist who is also a bee lover, the company introduced honey last year.
Apivita generated sales of about 30 million euros, or $36.4 million, last year. The company — whose line is based on the by-products of bees and herbs — has developed an export market of 16 countries, said Alexandros Aigyropoulosk, Apivita’s vice present export director.
The company has a major hair and body-care brand called Propoline, which is based on Propolis, a material prized for its antiseptic qualities that is found on the inside of beehives. Apivita also has an aromatherapy and a skin care line.
Another company to bolster its portfolio is Selective Beauty. The Paris-based distributor and manufacturer last year signed six licenses, including Trussardi, Diana di Silva and Balmain, and four distribution contracts.
Largely thanks to these deals, the firm had sales of 100 million euros, or $121.4 million, last year and expects to close this year with 144 million euros, or $174.9 million in sales, said Christophe Cervasel, founder and chief executive officer of Selective Beauty.
Monica Masini of Milan is starting over after selling parts of her old company, Saledo, to two different firms. The makeup kit and fragrance divisions went to Fine American Brands, while other color cosmetics and a bath line were snapped up by Loft, which will group the holdings under the name Beauty Games. Masini remains as the collections’ creative director consultant.
Cellap Laboratoire of Lausanne, Switzerland, has built up a network of 37 markets in 20 years with its Cellocosmet and Cellmen skin care brands. The company will soon enter the Mexican market, according to Roland Pfister, president and ceo. There are also talks under way to form a partnership with an American specialty store.
Still recovering from the loss of the Ferrari license, the Milan-based Luciano Soprani is focusing on its signature and Carla Fracci fragrance brands. A new Fracci addition, a woman’s fragrance called Medea, is set to launch starting in September, said Mario Usellini, vice president and ceo of Luciano Soprani.
Ferragamo is expected to launch a new signature women’s fragrance starting in September. For the first time, the company’s beauty division will introduce a TV advertising campaign in Italy and Korea to the tune of 2.5 million euros, or $3 million, according to industry sources.
At ITF of Lodi, Italy, new projects include a Roberto Cavalli men’s fragrance, called Black, starting in June. There is also Just Cavalli Blue and Pink scents, for men and women, due out in May. There will be a fall women’s introduction for Ferré this fall, as well.
Following the success of its Pink Sugar fragrance, Selectiva will launch a men’s version, called Blue Sugar in September in international markets.
Del Laboratories of Uniondale, N.Y., raised its flag at the show with a mission of building its international business, particularly the distribution for its new Elizabeth Arden Salon nail line. Harvey Alstodt, president of Del Cosmetics, capped off the effort with a dinner for 40, including distributors and retailers.