In a year when a large part of the Brazilian population has reduced their outdoor activities to carrying out their daily activities (working, studying and chatting with friends) from home, the perfume market could have – as elsewhere in the world – register a significant decline. But that’s not what happened! According to the Brazilian Association of Personal Hygiene, Perfume and Cosmetics Industry (ABIHPEC), the perfume market in Brazil grew 8.4% from January to December 2020, compared to the same period of the previous year.
The devaluation of the Brazilian currency against the dollar and the euro, restrictions on travel and the increasing quality of perfumes offered by national brands help to explain this growth since opportunities for purchasing abroad have been reduced. “Brazilians are increasingly surprised by the offer of domestic perfume brands which, in addition to offering very high quality, have made constant investments in innovation in recent years,” said João Carlos Basilio, president of the ABIHPEC.
30 additional shops for Água de Cheiro
“The year 2020 has been a challenge for everyone,” said Olindo Caverzan Júnior, Managing Director of Água de Cheiro. “We have realigned some forecasts, adjusted our schedule but, despite the chaotic situation, we have been successful in maintaining our franchise network and opening new points of sale.” The company which, before the pandemic, had planned to open 80 units in 2020, finally opened about thirty new points of sale over the year.
The company’s sales rose by 23% in 2020 compared to 2019. According to Olindo Caverzan Júnior, the search for well-being linked to the pandemic combined with the “deserve it” effect have driven sales in the category. “In addition, we have invested more in the advertising, especially in television, we have launched new products and special actions with major brands,” he emphasized.
New market players
The year 2020 also allowed the emergence of new players in the Brazilian market. CR Beauty, for instance, launched in December 2020. “I very much agree with the proverb that says ‘Smooth seas do not make skilful sailors’,” explained Cecilia Rascovschi, Creative Director of the brand. In the midst of the second wave of Covid-19, the young perfume brand invested in a digital strategy alongside a team of influencers. “We understood that we had to take advantage of this moment, when consuming was not a priority for people, to provide information on CR and its products, without trying to force sales,” she explained.
CR Beauty offers genderless fragrances, that are classified according to their olfactory families. A fairly new approach in Brazil.
Another novelty comes from the Boticário group. In addition to the launch of its luxury perfume brand O.U.i, the Brazilian giant has also made a new foray into this category with Vult. Initially specializing in make-up, the brand launched its first line of perfumes, created in collaboration with Brazilian influencer Gabriela Sales (aka Rica de Marré).
“We are betting on the strength of the co-creation movement and on a partnership with one of the main beauty influencers in Brazil to consolidate the brand’s entry into this category“, explains Diego Costa, perfume marketing director of Grupo Boticário.
According to the marketing director, the three new fragrances are already showing very promising results. “We carefully monitor the behaviour of consumers and we know that their relationship with perfumery has changed during the pandemic. But, it is a category which generates high emotional bonds and whose consumption has not stopped, even at home.”