Top Companies Report

23. Pierre Fabre

August 2, 2013

France
www.pierrefabre.com

Sales: $1.3 billion

Key Personnel: Pierre Fabre, chairman of the board; Pierre-Yves Revol, vice chairman of the board; Didier Miraton, group CEO; Eric Ducournau, Dermo-Cosmetics CEO; Thierry Denjean, human resources officer; Luc Péligry, financial and operations officer; Michaël Danon, public, legal and regulatory affairs officer; and Marc Alias, corporate communication director.

Major Products: Skin care and hair care products. Brands include A-Derma, Avène, Ducray, Elancyl, Galénic, Klorane and René Furterer.

New Products:  A-Derma Hydralba UV moisturizer.

Comments:  Pierre Fabre Dermo-Cosmetics (PFDC), which recorded sales of more than $1.3 billion in 2012, employs approximately 4,200 people. Corporate sales exceeded $2.6 billion. The company invested more than $63 million in R&D in 2012.

In May 2013, the firm inaugurated the new Pierre Fabre Dermo-Cosmetics production site in Soual, Tarn, France. Built in close proximity to the original Pierre Fabre Laboratories plant, this new site will enable the firm to keep pace with the international growth coming at Avène, Klorane, Ducray, René Furterer, A-Derma, Galénic and Elancyl. The site, which is equipped to produce sterile cosmetic products, employs a patented packaging system and a unique manufacturing process in accordance with pharmaceutical industry standards.

Earlier this year, PFDC opened a Korean affiliate to sell Avène, Ducray and A-Derma brand products, ending its almost decade-long contract with Yuhan Corporation. PFDC says it intends to contribute to the overall development of dermo-cosmetics in Korea, becoming involved with public health initiatives through organizations such as the Atopic Dermatitis Foundation.

“Korean consumers are becoming more and more demanding, especially in terms of effectiveness, but also safety,” noted Soeun Park, vice president of PFDC Korea. “Our primary objective is to better understand their expectations and needs, in order to inform and advise them on the products that are suited to their specific requirements. There is now real potential for development in dermo-cosmetics in Korea. As a forerunner in this field, we are giving ourselves the means to contribute to this market evolution.”

Pierre Fabre is also big on another Asian market—China. The firm aims to double its turnover in the country in the next five years, and brands such as Avéne appear to have Fabre on its way. Celebrating the 10th anniversary of its launch in the growing country, the range is offered in 200 Chinese cities and distributed in more than 1,000 sales outlets. Based on Avène thermal water, the line has gained the trust of Chinese dermatologists and consumers. In fact, one Avène product is sold every five seconds in China, according to the company.

All of these moves come under the guidance of a new CEO. Last October, the board of directors—chaired by Pierre Fabre himself— appointed Didier Miraton to the post of CEO of Pierre Fabre SA. He replaced Jacques Fabre, who remains a member of the group’s board of directors as well as a board member of the Pierre Fabre Foundation.
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