08.04.08
Sweden
www.oriflame.com
Sales: $1.37 billion
Sales:
$1.37 billion for skin care, fragrance, cosmetics and toiletries. Corporate sales: $1.51 billion.Key Personnel:
Jonas and Robert af Jochnick, founders; Magnus Brännström, chief executive officer; Gabriel Bennet, chief financial officer; Rolf Berg, human resources director; Patrik Linzenbold, investor relations; Zbynek Pejsek, international franchise manager; Jonathan Kimber, global supply director .Major Products:
Skin care, fragrances, color cosmetics, toiletries and accessories.
New Products:
Enigma and Radiant Lights fragrances, Optimals Radiance Glow self tanner, Lift Expert, Perfect Body, Lash Extreme, Royal Velvet Intensive Revitalizing Cloth Mask. Also, Diamond Musk, Silky Kiss lipstick, Diamond Cellular Anti-aging cream and Dermoprofessional Bio-Peeling Kit (all in September).
Comments:
Oriflame, which celebrated its 40th anniversary in 2007, sells skin care, fragrances, color cosmetics, toiletries and accessories in 60 countries through independent sales consultants. In 2007, group sales were $1.51 billion, with a 24% increase in local currencies and 21% increase in euros. Color cosmetics and skin care accounting for 27% and 26% of sales respectively, with Oriflame’s fragrance business tallying 18% of sales. Toiletry products sales accounted for 19%, with the remaining 9% coming from accessories.
Record growth in the final quarter of 2007 helped Oriflame’s color cosmetics business grow 25%. Oriflame Beauty, the company’s new color range, was introduced during the year with the successful launches of Wonderlash mascara and Powershine lipstick. Skin care experienced 22% growth during the year, with the new anti-wrinkle brand Ecollagen standing out as a major contributor. Fragrances were the fastest growing category during the year, up by 29%. Oriflame added the Gem Scent Collection, with the first scent, Amethyste Fatale, achieving good results. The scent category’s best seller during fourth quarter was Ascendent, a men’s fragrance.
By region, CIS & Baltics accounted for 56% of sales, followed by Central Europe & Mediterranean, 24%; Western Europe & Africa 9%; Asia, 6%; and Latin America, 5%.
Oriflame is entering the nutritional wellness segment and will begin test marketing in Western Europe in fourth quarter. Product roll out is planned for 2009-2010.