BW Confidential - Issue #13 - March/April 2013 - (Page 78)

Travel retail Brazilian travelers: Passenger profiles Shopping credentials Brazilians like travel retail and duty free, but how exactly do they shop for beauty in the channel? by Tina Milton T nnn credit: istock 78 he Brazilian traveler’s love affair with duty-free shopping is a no-brainer. The channel provides a wide spectrum of brands that are not readily available across the local market in Brazil, while high local duties and import taxes make dutyfree prices attractive for price-conscious consumers who travel. Beauty is one of the most sought-after categories and fragrances are the mainstay of purchases. L’Oréal Luxe travel retail Americas fragrances marketing director Marcelo Colombo explains: “Even though the three categories [fragrance, skincare and make-up] are part of a Brazilian women’s everyday routine, fragrance is the core category, as it is associated with wellbeing, social status and imported brands.” In the fragrance category, L’Oréal Luxe’s luxury brands like Giorgio Armani, and designer brands such as Ralph Lauren and Cacharel, are pillars in duty-free. Three-axis brands, such as Lancôme and Yves Saint Laurent, have also increased their presence in the duty-free outlets, through high service levels, customized assortments, and impactful retail animations. Cosmetics and skincare on the rise In cosmetics, the preference is for mascara and foundation, but women also complement their make-up routine with eyeshadows and lip products (especially lip gloss), according to Colombo. Retailer Shopping China operates five large border shops on the frontiers between Brazil and Paraguay, Uruguay and Bolivia, and 90% of its clients are Brazilian. The average consumer spend is $1,000, of which cosmetics represents 45%. Shopping China owner and ceo Felipe Cogorno says: “Most customers are women between the ages of 30 and 40 who buy a lot of face-lifting products for their personal use, as well as make-up sets, lip glosses and nail polish as gifts.” Shopping China’s best-selling cosmetics brands are Bourjois, “ [Brazilian travelers] like entertainment, enjoy material possessions and are very into well-known brands. They spend above average in all categories and 88% buy every trip, regardless of its purpose or destination ” m1nd-set partner Peter Mohn ArtDeco and L’Occitane. Traditionally, Brazilian shoppers prefer large product sizes, which offer better savings over smaller formats. Categories like shampoo, body products, and haircare are also among their main concerns. “In March-April 2013 - N°13 - BW Confidential

Table of Contents for the Digital Edition of BW Confidential - Issue #13 - March/April 2013

Cover
Comment
Contents
Update
- Brand & retail news recap
- Companies on the move
Take note Market facts, figures & trends
Best of BW Highlights from our e-publication
Launches The latest in fragrance, skincare & make-up
Interview Natura Cosméticos evp José Vicente Marino
Insight: Make-up
- Category overview
- The latest trends
- Social media
- Retail viewpoint
- Retail case studies
- Increasing usage
Retail
- European perfumeries
- Store concepts
Digital Mobile strategies and brand case studies
Strategy spotlight Trends to inspire
Market watch: US
- Country overview
- Department stores
- Specialty stores
- Industry viewpoint
Emerging markets Company profile: Jequiti
Radar A profile of six up-and-coming beauty brands
Travel retail: Brazilian travelers
- Overview
- Passenger profiles
Packaging Designs for travel retail
Last word The Beauty Company’s Alisa Marie Beyer on new ways to converse with consumers

BW Confidential - Issue #13 - March/April 2013