Update: Natura &Co. ranks at #17 on our latest report Top 20 Global Beauty Companies 2020.

Natura &Co is #16 on this year's list of Top Global Beauty Companies.

Below is a look at the company's 2019 highlights, recent acquisitions, best-selling brands and latest innovations.

Beauty Sales (Natura, The Body Shop and Aesop)

$3.5 billion

Key Personnel

• Roberto Marques, executive chairman, Natura & Co
• Agenor Leão, vice president, Latin America
• Erasmo Toledo, vice president, direct selling
• Andréa Figueiredo Teixeira Álvares, executive officer of marketing, innovation and sustainability
• David Boynton, chief executive officer, The Body Shop
• Michael O’Keeffe, chief executive officer, Aesop

Major Products/Brands

• Natura
• Aesop
• The Body Shop and Avon (acquisition)

New Products

• Essencial Oud and Kaiak Aero (male and female fragrances)
• Luna Intenso (female fragrance) Natura Homem Cor.Agio (male fragrance)
• Chronos sistema de clareamento (Chronos Clearing System)
• Una Nude Me Base Sérum FPS 18 (Una Nude Me Serum Foundation SPF 18)
• Tododia Lima e Flor de Laranjeira (Tododia Lime and Orange Flower, it comprises body care products)
• Yogurt Leite de Amêndoas (Almond Milk Body Yogurt)
• Men’s Grooming collection
• Japanese Cherry Blossom Strawberry Kiss line (Eau de Toilette, Body Mist, Shower Gel, Moisturizing Cream and Lotion)
• Drops Of Youth Eye Treatment Mask 2 in 1
• Parsley Seed Extended Anti-Oxidant Skin Care Kit
• Resurrection Rinse-Free Hand Wash

Comments

Ecological-minded Natura &Co may be rounding out our Top 20 but it has by far made the biggest news splash in the last year after acquiring Avon Products Inc. in a huge May stock swap that instantly catapulted the Brazilian company into position as the world’s fourth largest multi-channel, direct-selling global beauty giant. Avon and Natura have over 6.3 million combined consultants and representatives, a global footprint through 3,200 stores, and will together work with an expanded digital presence. Natura &Co projected the team’s more than 40,000 associates present in 100 countries will contribute to annual gross revenues topping $10 billion.

As part of the transaction, a new Brazilian holding company, Natura Holding S.A., has been created. Based upon the fixed exchange ratio of 0.300 Natura Holding shares for each share of Avon common stock, Natura &Co’s shareholders will own approximately 76% of the combined company, while Avon common shareholders will own approximately 24%. Upon closing, the board of the combined company will consist of 13 members, three of which will be designated by Avon. The transaction is expected to close in early 2020.

Prior to its big Avon transaction, Natura &Co’s 2018 consolidated net revenue increased 36% to $3.5 billion, which includes contributions from Natura, The Body Shop and Aesop, the group’s three companies.

In 2018, the group set out to revitalize its direct selling model, which it renamed “Relationship Selling.” Of its total 1.7 million Natura Beauty consultants in Brazil and in the Latin American operations Natura &Co ended the year with about 1.06 million consultants in Brazil, a 6.3% reduction compared with 2017, however the company explained the slight decrease in the size of the channel was expected and was offset by an ongoing increase in productivity. The company pointed to its 2018 Christmas campaign as its “best ever” demonstrating a ninth consecutive double-digit increase in consultant productivity. Natura maintained leadership in its three key categories (perfumery, body and gifts), and gained ground in others. In Latin America, the brand marked growth in all countries, especially in Argentina, despite macroeconomic challenges, as well as in Colombia and Mexico.

No doubt boosted by the launch of 233 new products to the Brazilian market in 2018, the company’s online sales platform in Brazil boasted more than 5 million registered consumers and internet sales were broadened to reach Argentina, Chile, France and the United States.

On the packaging front, Natura &Co debuted “collaborative robot” systems in its Natura Plant production line and in its Shared Services Centre to automate repetitive packaging line movement tasks like fitting lids and valves, which the company says represents a risk of “occupational disease” for employees. The company also initiated an IoT system (Internet of Things) and additional software to optimize its packaging lines to improve production performance.

News of Note 2019

In May 2019, Natura &Co announced it would invest up to $5 million in new brands in the beauty and wellness segments in Europe and the U.S. through venture capital funds.

The Body Shop is transitioning to using Fairly Traded recycled plastic in its 250ml haircare bottles. The bottles (not caps) will contain 100% recycled plastic comprised of 15% Fairly Traded recycled plastic. By the end of 2019, 250 tons of Fair Trade recycled plastic will be used in about three million 250ml haircare bottles, eventually widening the use of these plastics across all PET plastic used by The Body Shop and within three years scaling up to the purchase of over 900 tons of Community Trade Recycled Plastic.

In August, Natura &Co announced a strong Q2 performance. Consolidated net revenue grew nearly 10% to $82 million on a reported basis and 7.7% on an adjusted basis. The group also made a sustainability commitment ahead of this September’s UN Climate Action Summit, joining 27 other companies in a pledge to hold the increase in the global average temperature to 1.5°C above pre-industrial levels and reach net-zero emissions by 2050, underscores the company’s commitment to contributing to a positive economic, social and environmental impact.

Just last month Natura announced it was creating a subsidiary to manage its Singapore operations, as the conglomerate aims to significantly boost its sales in Asia.

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