Natura & Co – the entity now collecting the brand names Natura, Avon, The Body Store, and Aesop – published earnings development in the first quarter of 2020, with a very strong digital ramp-up in the past numerous weeks as the firm swiftly adapted to the extraordinary worldwide influences of the Covid-19 pandemic.
This quarter is the first to consist of Avon Products, Inc after its purchase closed on January 3, 2020. With the addition of Avon, Natura & Co becomes the leader in the Latin American cosmetics, fragrances and also toiletries market, with 11.8% market share (according to data from Euromonitor).
Natura & Carbon monoxide has actually sped up Avon’s combination and also is increasing its target synergies by US$ 100 million to in between US$ 300 million as well as US$ 400 million, including brand-new top line harmonies to be accomplished over four years at Natura & Carbon Monoxide Latam.
Natura & Carbon monoxide’s combined net profits reached R$ 7.5 billion, up 1.9% vs the very same quarter in 2014. The development was driven by a solid rise in sales by the Natura brand in Brazil and also in Hispanic Latin America as well as continued double-digit development at Aesop.
Digital sales skyrocket
Amid the Covid-19 pandemic, electronic social selling and also e-commerce sales grew tremendously as consumers adapted to social distancing and lockdown actions by mid-March. The team’s ecommerce sales grew by nearly 250% in recent weeks compared to the same duration in 2015. Throughout the lockdown, e-commerce expanded by 150% at Natura and also Avon integrated, 300% at The Body Store as well as over 500% at Aesop.
“We entered 2020 with enjoyment as well as a solid strategy around the integration of Avon into Natura & Co. We had no suggestion that so rapidly our focus and willpower would certainly be tested by a global pandemic as never ever prior to seen,” stated Roberto Marques, Exec Chairman as well as Team Chief Executive Officer of Natura & Co.
“First, we prioritized our people, using task safety, support to our network as well as safety problems to our frontline associates. Second, we quickly relocated to enhance our production of necessary items, giving away a significant amount to local communities while supporting the important reason for domestic violence. Ultimately, to keep our business running, we increased training and also capacities with our electronic selling tools to make sure that every person can access our products,” he added.