São Paulo – The Boticário Group is expected to invest BRL 300 million (USD 77 million) next year in Brazil alone, chairman Artur Grynbaum (pictured above) said during the Boticário Summit, attended by journalists and influencers this Thursday (6) in São Paulo. The amount matches that of 2018, including manufacturing, logistics, mobile systems. Etc. “We very much believe in our role of promoting a Brazil that works, a Brazil that’s successful,” said Grynbaum. The Boticário Group comprises brands O Boticário, Eudora, Quem disse, Berenice?, The Beauty Box, Multi B and Vult.
The chairman also discussed the results expected by the end of 2018. “The pickup in Q4 gave way. We were expecting 8% growth, but the year should end at around 7%, which is a great number considering the scenario,” he said.
Gryunbaum claimed to be optimistic and made comments on the current scenario. “Reforms need to be implemented, especially the social security reform. The tax reform is also important, as is ensuring that the labor reform is kept and expanded, thereby creating the conditions for the market to start hiring again. Because creating job opportunities for people is, for me, the way to fix [the economy],” he argued.
International presence
The Boticário Group spans 15 countries, with eight Quem Disse, Berenice? Stores and 55 O Boticário stores. The latest international O Boticário outlet to open was the one in Dubai, last September, with another one slated to open in January 2019 at the Dubai Mall – the biggest mall in the Middle East and one of the biggest in the world. “Dubai is a major consumption hub, and it has been very rewarding to witness people interacting with our brand, our products, trying them out, buying and then buying again,” said Grynbaum.
He also said that besides being a shopping hub, the emirate is regionally influential, therefore these outlets could provide a measure of the feasibility of opening stores in nearby countries. “We are interested Saudi Arabia. Talks are underway. That would be our next step [in that region],” he revealed. “But I would like to take some more time with the Dubai stores, to get some more experience before planning out the next steps,” he said. For the time being, the group does not intend to open outlets for its other brands in the Middle East.
The best-selling items from the Dubai shop are perfumes, especially Floratta and the Nativa Spa line, particularly açaí-based products. The Malbec Signature perfume had its world premiere in September at the UAE outlet. The perfume has notes of Oud, a resinous wood of Asian origin whose oil is widespread in Arab perfumes.
“The behavior of [Arab] buyers is interesting, because whenever you go to a different country, everyone will ask you where you are from. And it isn’t usual in Brazil to export value-added products. It’s more about soy and poultry. So if you’re bringing added value, you need to provide better explanations. And then you have the effort of entering a country with your brand, and the third step is to deliver what you promised with your product. That much is easy for us. And once you complete that last step, you’ll see people buying again, because they you’re your product,” pondered Grynbaum.
Translated by Gabriel Pomerancblum
