BW Confidential - Issue #17 - March/April 2014 - (Page 7)

Comment BW Confidential 4 avenue de la Marne 92600 Asnières sur Seine France Tel: +33 (0)1 74 63 49 60 Fax: +33 (0)1 53 01 09 79 contact@bwconfidential.com www.bwconfidential.com Subscribe on page 65 Publisher Nicolas Grob ngrob@bwconfidential.com Editorial Director Oonagh Phillips ophillips@bwconfidential.com Deputy Editor Alissa Demorest ademorest@bwconfidential.com Contributors Tina Clark, Louise Dury, Claire Duffy, Alex Wynne, Renata Ashcar, Raphaëlle Choël, Tina Milton, Naomi Marcoulet, Mayu Saini Editorial Coordinator & Assistant Darlene Lim dlim@bwconfidential.com Art Direction APSC Design Cover art direction: Kaïs Brahmi Marketing Director Nicolas Leclerc nleclerc@bwconfidential.com Advertising advertise@bwconfidential.com Subscriptions 1 year: electronic publication (20 issues) + print magazine (4 issues) + daily news: €499/US$699 Price per issue Electronic publication: €25/US$35 Print magazine: €125/US$175 subscribe@bwconfidential.com BW Confidential is published by Noon Media 513 746 297 RCS Nanterre Printed in France by Imprimerie de Champagne Copyright © 2014. All rights reserved. Reproduction in whole or in part without permission is strictly prohibited. Cover image credit: istock BW Confidential est édité par Noon Media SARL 4 avenue de la Marne, 92600 Asnières sur Seine Directeur de la publication : Oonagh Phillips Imprimeur : Imprimerie de Champagne ZI Les Franchises 52200 Langres ISSN 2109-3350 Abonnement annuel: publication électronique (20 n°) + magazine imprimé (4 n°)+news quotidiennes: 499€/699US$ Prix de vente au numéro Publication électronique : 25€/35US$ Magazine imprimé : 125€/175'S$ Dépôt légal à parution BW Confidential magazine n°17 mars-avril 2014 n° CPPAP 0512 T 90373 March-April 2014 - N°17 - BW Confidential Treading cautiously T he year 2014 started out on a cautionary note. Christmas sales in many countries in Europe, such as France, and even Germany, were disappointing, while beauty's growth engine, emerging markets, are also giving cause for concern. In January, currencies in many emerging markets-from Argentina to Turkey and South Africa to Russia-tumbled, giving investors the jitters and shaking confidence among companies who have built sizeable businesses in these countries. There is also a lot more nervousness around China. Beauty sales slowed in the country last year, with growth coming in at a very respectable 10%, but still lower than the 15% seen in 2012, according to Bain. And while the slowdown in China has been talked about for more than two years, more companies seem to be feeling its effects more deeply. US-based Revlon recently announced it would leave China-it is thought that the group had a hard time gaining scale there and that doing business had become too expensive. L'Oréal, too, announced that it would stop selling its Garnier brand in China. Others, however, continue to be bullish on China. Estée Lauder Companies recently said that the slowdown in China was confined mainly to tier-one cities, and that it is continuing to expand aggressively in tiertwo, tier-three and tier-four cities, where growth is still buoyant. LVMHowned Guerlain ceo Laurent Boillot, who was interviewed for this issue, told us that China is a top priority and that it would expand its distribution and ramp up media investment in the country. Despite the current negativity over China, the good news is that the Chinese are still traveling and spending abroad. This, combined with other pockets of growth in markets like Mexico, Colombia (see our market watch) and the Middle East, as well as in travel retail, may help the industry get through what could be another tough year. Oonagh Phillips Editor in Chief ophillips@bwconfidential.com 7 http://www.bwconfidential.com http://www.bwconfidential.com

Table of Contents for the Digital Edition of BW Confidential - Issue #17 - March/April 2014

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 Guerlain ceo Laurent Boillot
Insight: Make-up
Category overview
Budget brands
The latest trends
Retail
Innovative strategies
Retail
Vending machines
Store concepts
Digital Social media content
Market watch: Latin America
Regional overview
Mexico: country analysis
Mexico: prestige retailing
Colombia: country analysis
Colombia: prestige retailing
Argentina: country analysis
Argentina: prestige retailing
Radar A profile of six up-and-coming beauty brands
Emerging markets Company profile: Mahogany
Travel retail: Brazilian travelers
Analysis
Industry viewpoint
Packaging: Decoration techniques
Trends analysis
Innovations
Last word Diagonal Reports analyst Jacqueline Clarke

BW Confidential - Issue #17 - March/April 2014