German-based Cosnova Beauty achieved record sales of €165.7 million in 2011. According to the company, this was the result of significant market share gains in established markets such as Germany, as well as further expansion into new countries both in and outside of Europe.
According to AC Nielsen, Cosnova’s leading brand, Essence, achieved a volume market share of 26.0% in Germany in 2011, compared to 23.8% in 2010. This increase further strengthened the brand’s position as the top-selling cosmetics range in Germany. Launched in 2002, Essence increased its value market share to 10.9%, compared to 9.7% in 2010, making essence the second largest cosmetics brand in value in Germany. Internationally, Essence attained unit market leadership in Switzerland, Austria, the Netherlands, Ireland, Hungary, Croatia, Bosnia, Slovenia and Slovakia. The growth, according to the company's financial statement, has reinforced Essence’s position as the top-selling brand in Europe in the lower price segment.
The company’s relaunch of the Catrice color cosmetics brand in 2011 has been highly successful. According to AC Nielsen, Catrice was able to increase and almost double its volume market share from 0.9 % (in 2010) to 1.6 % (in 2011) in Germany.
“Catrice has a completely new look and now offers cutting-edge innovation," said Christina Oster-Daum, owner and managing director, Cosnova Beauty. "This completely new brand appearance has had a dramatic impact on sales. We want to keep proving that trendy, innovative and high quality products do not have to be expensive.”
With its corporate philosophy of offering ideal ranges for price-conscious consumers who place a great deal of importance on trends and premium quality, Cosnova Beauty has enjoyed rapid growth in cosmetics markets around the world. “This growth in turnover was achieved by various means in 2011, with market share increases coming from the introduction of innovative new products in both the essence and Catrice ranges, as well as by tapping into new sales channels.” said Oster-Daum.
The sales development in the various foreign markets was also very positive. “As in previous years, our business in central and eastern Europe has developed extremely well," said Javier González, owner and managing director, Cosnova Beauty. "Despite the international economic and financial crisis, we were able to continue the rapid growth of 2010 in southern Europe, where we achieved an increase in turnover of more than 30% in Italy and an increase in turnover of more than 40% in Spain. In addition, we have enjoyed excellent results in North America, including a listing for essence in Shoppers Drug Mart, which is Canada’s largest cosmetics retailer. The development in turnover in the Middle East, Asia, Australia, Latin America and Africa has also been very positive as a result of successful brand launches and growing distribution.”
For fiscal 2012, the company plans to achieve post another double-digit growth performance in annual sales. “This is a realistic objective: our national and international business is continuing to develop superbly despite economic uncertainty and volatile financial markets," said González. "At the same time, we will encourage further development in the European market as well as expansion in the Middle East, Asia, Latin America and Africa.”