Despite Brazil’s economic downturn the beauty and personal care market grew by 57.6% between 2010 and 2015, which makes Brazil the fourth-largest beauty market in the world, after the US, Japan and China. A large part of this beauty market is dominated by local companies, such as Natura Cosmétics and Grupo Boticário.
The cosmetic pharmacy market in Brazil is expected to grow at a CAGR of 6.57% during the next five years. Culturally, beauty and personal care are very important in Brazil, which leads to a high consumption of hygiene-related products and fragrances. Furthermore, Brazilians have recently adopted the health and wellness trend, as the middle class has expanded due to years of economic growth.
Overall, the beauty market accounts for 1.8% of Brazil’s GDP and represents 9.4% of the global market, according to the Brazilian Association for the Personal Hygiene, Perfume and Cosmetics Industry. Historically, the beauty industry in Brazil accelerates two to three times faster than the national economy. Brazil is the number one consumer of deodorant, fragrances and sun protection in the world and second in consumption of baby care, men’s hygiene, hair, bath and depilatory products.
The key players in Brazil’s cosmetic pharmacy market are represented by both domestic and international brands. International companies include Unilever, L’oreal and Procter and Gamble, which are focusing on acquisitions and expansions in the Brazilian cosmetic market in order to diversify their offering for further growth.
However, a large part of the Brazilian beauty market is dominated by local companies, which export US$98million worth of products to 134 countries. Natura Cosmétics is a Brazilian-based manufacturer, which ranked first in Brazil in terms of beauty and personal care value share and 16th in the world. The company is especially concerned with its social message to manufacture environmentally friendly products and 98% of its sales were generated in Latin America, with 76% in Brazil alone. Another key player in the Brazilian cosmetic pharmacy market is Grupo Boticário, which is a beauty specialist retailer, founded in 1977. It represents the second-largest beauty specialist within the Brazilian market, generating 99% of its sales domestically.
Featured images: Skeyndor – 626647832
Photo by Raphael Nogueira on Unsplash
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