Brazil
www.natura.net

Sales: $2.2 billion

A weak real continued to hurt Natura’s standing in our International Top 30, but the company said sales were stable in local currency. To enable consumers to purchase products when and where they want, the company launched the new version of the Natura app, which allows to locate the nearest consultants or to buy directly from the Rede Natura.
To help keep track of all these orders, Natura opened a new, 22,000-square-meter distribution center in the Buenos Aires metropolitan area. Back in São Paulo, the company’s logistics hub in Itupeva achieved LEED certification, with an emphasis on water and energy efficiency. Natura opened five stores in São Paulo shopping malls, to give consumers more opportunities to try products.

Outside South America, Natura opened a store in Manhattan’s Nolita neighborhood. Initially the space is carrying the Ekos line, but will add the Chronos and Mamãe e Bebê lines in the future. In addition, the company acquired all shares of Aesop, an Australian brand, which opened 41 stores in 2016, including the second unit in Brazil (São Paulo).

Last year, Natura began offering educational opportunities to consultants and their families, such as discounts and scholarships for university education. Eleven thousand people took Natura up on its generous offer, according to company executives.

Finally, The Natura Startups Program was launched. This open innovation initiative connects entrepreneurs who have the skills to develop projects related to Natura’s business. Natura also held an innovation marathon called Mãos na Mata: Traga a Natureza para seu Dia a Dia (Hands on the Forest: Bring Nature for Your Day to Day). The idea was to promote Ekos projects to connect consumers with Natura and the Amazon.

Brazil
www.natura.net
Sales: $2.4 billion

Despite a tough local environment, Natura managed to flourish in 2016 thanks to a growing business outside its home country. Sales rose more than 6% last year for Brazil’s No. 1 cosmetics manufacturer and direct sales leader. International operations represented nearly 30% of sales and are growing faster than the overall business. Also providing a lift was Aesop, the Australian skin care brand in which Natura holds a majority stake. Last year, Aesop opened a store in São Paulo, its first in Latin America. At the close of 2015, Aesop had 135 stores in 18 countries throughout the world.

This year Natura is expanding its retail presence by opening Natura stores in Brazilian shopping malls to meet urban consumers’ needs. Of course, Natura is committed to its network of consultant that, at the close of 2015, included nearly 1.4 million in Brazil and more than 500,000 in Argentina, Chile, Colombia, France, Mexico and Peru. In Argentina, Natura was named one of the best companies to work and was selected as one of the most prestigious, too. Natura is already the direct sales leader in Chile; to further boost sales, the company launched its Natura Network. Natura’s sales in Peru rose more than 10%—very impressive in a direct sales market that rose less than 1% last year.

No matter where its operations, Natura may be best known for its environmental efforts. The company is one of the largest B Corps in the world and was the first publicly traded companies to get this certification. Last year, it received the Champions of the Earth Award from the United Nations Environment Program.

Things have gotten off on the wrong foot for Brazil and Natura in 2016. As we go to press, the world is watching to see how the Rio Olympics play out against a background of economic duress and Zika stress. For a company like Natura, which is based in Sao Paulo and derives more than 70% of sales from its home country, there are widespread effects. In Q1, sales fell 10% and the company reported a nearly $20 million loss.

Brazil
www.natura.net
Sales: $2.7 billion

Sales rose more than 5% in local terms last year. The biggest player in the Brazilian beauty and personal care market, Natura launched 239 products in 2014, many of them with an environmentally-friendly profile such as Ecocompacto aerosol deodorant, which is said to have 48% less environmental impact than similar products. A novel valve dispensing system and concentrated formula provides the same amount of product in a package that’s half the size of standard aerosols (75 vs. 150ml), according to Natura. Further, the valve works with less propellant gas, enabling Natura to use less packaging (15% less aluminum), compared to the aerosols in the market. The emphasis on underarm protection makes sense when you consider that Brazil represents just 3% of the global population, yet accounts for 12% of global deodorant sales.

Natura Ekos Frescores women’s fragrances come in five variants (passion fruit, açai, pitanga, chestnut and buriti), and are packaged in 100% recycled PET, a move that reduces the brand’s carbon emissions by 72% in production.

Natura Ekos soaps are animal fat-free, and have been made with sustainably-sourced palm oil since 2004. Now, new Natura Ekos 100% Amazon contains various combinations of Amazonian oils such as as cupuaçu, passion fruit, andiroba, chestnut, cacao and açaí.

Its new #urbano men’s fragrance is designed for young city dwellers. The fragrance contains akigalawood, which Natura describes as new definition of  patchouli. Veronica Kato, Natura perfumer and co-creator of the scent, explained that the 15% fragrance concentration is a striking combination of woody and pepper notes as well as other materials that add lightness, sophistication and complexity of the fragrance. Natura created the scent with Givaudan.

The company turned to IFF to create Luna, a fragrance that invites women to discover natural sensuality. The scent is described as a Brazilian chypre; its rich floral body combines with explosive and joyful top notes of citrus and fruity raw materials in a woody base of light, sweet nuances. Luna’s bottle was designed by French sculptor Yoann Saura.

Brazil
www.natura.net
Sales: $3.3 billion

Sales rose 13% last year, following full year results for Aesop, the premium Australian cosmetics brand with operations in Oceania, Asia, Europe and North America. An Aesop store is opening in Brazil this year.  Besides the inclusion of Aesop, Natura said its domestic market resumed growth in the second half of 2013 and international operations were strong throughout the year. In fact, international sales accounted for more than 14% of sales last year, as sales in Argentina, Chile and Peru rose 34% in local currencies and newer markets in Mexico and Colombia posted a 24% increase in sales.

Natura benefits from being the biggest domestic player in one of the world’s most dynamic beauty markets. According to figures from Abihpec, the Brazilian trade association, the Brazilian market rose 8% last year, although Natura’s share dipped 1.2 share points. The loss in market share was concentrated in cosmetics, with personal hygiene sales remaining flat due to the success of Sou. Still, the company dominates the Brazilian CFT industry, with a market share of nearly 31%, according to industry sources.

Last year, Natura opened an innovation center in New York—it’s first in the US. Back home, the company opened a new administrative and distribution center in São Paulo.

For the first quarter of 2014, Natura’s sales rose 8.6% in local currency, driven by a 48% gain in international sales. Leading the way was Aesop, which, at the close of Q1, had 82 stores in 10 countries. Natura noted that sales in Mexico also provided a lift.

During the period, the company opened Ecoparque, an industrial complex that links a variety of companies with complementary needs. The goal is to encourage the development of sustainable resources in the Amazon region. The site features filtering gardens to treat effluents, as well as natural ventilation. It also uses rainwater for building maintenance.

Brazil
www.natura.net

Sales: $3.0 billion

Sales rose 13.5% last year as Natura reaped the benefits of being the dominant player in the fast-growing Brazilian CFT market. The company noted that while the US has limped along for the past six years with CAGR of 1.6% (compared to a 1% decline in Japan), Brazil has posted a gain of 13.4% during that time. Moreover, the markets Natura operates in (including Mexico, Argentina, Colombia and Peru), had a growth rate more than two times that of the global market’s 4.9% increase. Within Brazil, Natura is the No. 1 player. Its market share is 13.4%, just ahead of Unilever’s 11.9% share, according to Euromonitor data.

Last year, Natura had 1.5 million consultants an increase of nearly 11%. In Brazil, the network grew 8% to top 1.2 million. The next largest market was Argentina, with 74,900 consultants, followed by Mexico (74,300), Peru (63,600), Chile (52,100), Colombia (37,000) and France (2,600). Service to all these consultants is on the rise, as last year Natura delivered 25% of orders within 48 hours, up from just 5% in 2011, and the number of items out of stock dropped dramatically.

Natura is connecting with consumers in new ways too. Last year, it opened Espaço Conceito (Concept Space) in São Paulo to strengthen consumers’ relationship with Natura. Here, consumers can visit with hair, skin and makeup consultants, try fragrances and purchase products. Last year, 72,000 consumers visited Espaço Conceito, and 10% were international visitors. In another move to connect directly with consumers, last year Natura launched Aqui tem Natura (Natura Is Here), a television program devoted to well-being, health, beauty, sustainability and social entrepreneurship—pretty much all the things that make Natura, well, Natura.

Most recently, new SOU hair and body care formulas contain fewer ingredients, and are said to be free of preservatives and artificial color. The packaging, inspired by a raindrop, uses 70% less plastic, emits 60% less CO2 and results in three times less waste than conventional packaging, according to Natura.

Still, there is room for improvement on the environmental front, the company noted that sales of refills did not meet expectations and the company’s life cycle assessment impact actually rose from 123 to 125mPt/kg, due to an increase in print promotions.

By 2020, Natura expects consumption of raw materials derived from its business in the Amazon to rise from 11% to 30%. Last year, business volume rose 88% and the number of families involved in the Amazonia project increased to 3,500.

In March, Natura increased domestic prices 3.5%.

Brazil
www.natura.net

Sales: $3.3 billion

Sales rose 8.9% last year and net income was up 11.7%. The company notes that during the past five years, Natura has nearly doubled sales and its consultant base. The company’s 1.4 million consultants serve nearly 100 million consumers. Last year, the company made its biggest investment ever, when it spent more than $210 million to expand production, develop logistics and improve technology.

Natura estimates that the size of the cosmetics, fragrances and toiletries market it operates in was worth $65 billion last year (compared to $63 billion for the US) and had a CAGR of 11.4% from 2006 to 2011. Or, to put it another way, the markets in which Natura operates represent 15% of the global CF&T market and have a growth rate more than two times that of the overall market.

How is Natura growing so quickly? One reason is consumer loyalty. Natura is the preferred brand by 47% of Brazilians. What’s more, Natura is among the three most preferred brands in Argentina and Peru.

For the first quarter of 2012, sales rose more than 6% to nearly $740 million. Brazil accounted for nearly 90% of sales.

Brazil

www.natura.net

Sales: $2.9 billion

Founded in 1969, Natura is a direct sales firm sporting more than 1.2 million sales consultants and more than 7,000 employees. The firm has been publicly traded since 2004.

Natura’s net revenues in 2010 totaled $2.9 billion, rising 21.1%; EBITDA was $684 million (up 24.6%); and net income was about $425 million, 8.8% above the previous year.

According to Natura, it distributed more wealth to its stakeholders in 2010. Specifically, the wealth generated to employees increased 20%, for consultants, 19% and for shareholders, 17%.

In 2010, international manufacturing began through partnerships in Argentina, and Natura plans to commence operations in Mexico and Colombia this year.

In terms of sustainability, Natura rolled out its first refill packaging made of polyethylene from sugar cane, which Natura calls a renewable source of energy. In addition to being 100% recyclable, it reduces greenhouse gas emissions that cause global warming by 58% compared with common plastic. On a less positive note, the firm was charged by the Brazilian Institute of the Environment and Renewable Natural Resources (Ibama) for failing to secure prior authorization to conduct research using inputs from Brazilian biodiversity. Natura does not agree with the procedure and has formally contested these charges.

In the first quarter of 2011, Natura’s consolidated net revenue was $730 million, growing 13.0% over the same period of the previous year. EBITDA was up 8.4% and net income was $96 million.

In Mexico, Natura is transitioning to a new commercial model, which it calls the Sustainable Relations Network. This model is in line with the characteristics of the local market, as it offers a more attractive development and growth plan for consultants, integrating economic, social and environmental issues, accelerating growth and reinforcing Natura’s value proposition in Mexico, the company said.

At the end of 2010, Natura launched the Acolher Program, designed to identify and recognize social initiatives developed by its consultants. In its first edition, the firm selected 17 initiatives, which will receive financial support, in addition to technical training for project execution. This program is part of the firm’s efforts to raise awareness, and sensitize and mobilize the sales team to expand opportunities for all society, according to the company.

Log on to Happi.com this month to find out why Mintel thinks Natura’s Ekos Pitanga Preta Oleo Trifásico(triphasic oil) fits right in with today’s down-to-earth trend.

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Brazil
www.natura.net
Sales: $2.1 billion

Natura is the largest Brazilian manufacturer of cosmetics, toiletries and beauty. It holds 22.1% of the Brazilian market, up from 21.4% in 2008. The company also operates in Argentina, Chile, Colombia, Peru and México. Elsewhere, in Bolivia, Guatemala, Honduras and El Salvador, the company works with local distributors. Natura has 6,200 direct employees and more than one million sales representatives. According to the company, Natura products are now in 23.5 million homes around the world—up from 20 million the previous year.

In April, Natura celebrated five years of operations in France. First, Natura opened a space at Carrefour in Paris. A year later, Natura introduced its direct sales force. It currently has more than 1,700 consultants in France, and approximately 70% are French. The rapid expansion even surprised Natura, as the direct sales model is not popular in Europe.

Brazil
www.natura.net
Sales: $2.7 billion

Celebrating its 40th anniversary next month, Natura is a Brazilian brand recognized for the direct sales business model that seeks to create sustainable value by establishing quality relationships with society. Besides Brazil, the company also operates in France as well as in seven countries in Latin America—Argentina, Chile, Colombia, Peru, Venezuela, Mexico and Bolivia. Natura has 5,598 direct employees and approximately 850,000 sales representatives. In 2008, its sales revenues rose 14.2%.

A Natura scent collection

Key points to support Natura’s expansion plan include product innovation; commercial model innovation; strengthening relationships with sales consultants and increasing their productivity; investing in communication improvement and marketing efficiency; implementing a business process management culture; and serving business and regional units in order to increase the company’s efficiency.

In July, Reuters reported that shareholders Antonio Luiz da Cunha Seabra, Guilherme Peirao Leal, Pedro Luiz Barreiros Passos, Anizio Pinotti and Ronuel Macedo de Mattos planned to sell 49.38 million shares, which could raise much as $811 million.

Brazil
www.natura.net
Sales: $2.2 billion

Sales:

$2.2 billion.

Natura’s two passions—for cosmetics as a vehicle of self-knowledge and the exaltation of well being and human connections as a way to express life—granted it a privileged spot in Brazil’s corporate landscape. It is one of the most admired companies in Brazil, boasting a portfolio of approximately 900 makeup, fragrance, sun care, skin care and hair care products.

In 2007, gross revenues rose 10.6%. During that time, Natura produced more than 225 million items sold to 50 million consumers in more than 5,000 Brazilian cities through direct sales. It also has operations in Argentina, Chile, Peru, Mexico, France and recently added Venezuela and Colombia to that list.

Natura houses a large and integrated research, manufacturing and logistics center at its headquarters in Cajamar, São Paulo. There are also commercial and distribution units in Itapecerica da Serra, in the state of São Paulo, and in Uberlândia and Matias Barbosa, in the state of Minas Gerais. In September 2006, the first “Casa Natura” in Brazil was opened, in the city of Campinas.

Natura has developed a socially and environmentally responsible management practice built on two pillars:  ethics and sustainability.  In order to reduce its ecological footprint, Natura launched an ambitious program in 2007 aimed at mitigating and compensating for greenhouse gas emissions throughout its entire production chain, including suppliers. Over the next five years, the company will reduce emissions throughout the production chain by 33%.

In 2007, Natura began replacing common alcohol used in its products with organic alcohol. By the end of 2007, all of its body oils had been vegetalized, and 78% of the raw materials used in its products came from renewable vegetable sources.