The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
SAO PAULO, Brazil — Brazilian cosmetics maker Natura & Co Holding is seeing growth in e-commerce as a way to smooth reductions in revenue caused by the world coronavirus crisis, Chief Executive Roberto Marques said in an interview on Wednesday.
Marques declined to disclose the net effect of the crisis on the company's revenue, but added part of the drop caused by the closure of stores is being offset by higher use of digital platforms.
E-commerce sales doubled in Brazil since the first quarantine measures, the CEO added, without giving specifics. Natura has adapted its production lines to increase output of personal hygiene products such as soap, hand sanitiser and moisturisers as demand for them grew, Marques told Reuters.
The company has promised to keep jobs of its 40,000 workers for at least two months and has eased terms for independent consultants responsible for the bulk of its sales, creating credit lines to help them.
ADVERTISEMENT
Marques said Natura's cash position of 4 billion reais ($770 million) is robust to face the crisis, considering the company has no relevant maturities of its debt through the end of the year.
By Tatiana Bautzer; editor: Marguerita Choy.
Shana Randhava, Priya Venkatesh, Heela Yang and Robin Tsai will join Imran Amed and Priya Rao to identify the entrepreneurs shaping the future of the beauty industry.
By selling existing formulas under their own name, retailers can tap into the lucrative beauty market without investing in custom formulations. But that doesn’t mean the private label model is an easy win.
The San Francisco-based company is hoping to tap growing consumer demand for financing for cosmetic treatments among other services.
Once thought of as long-term disruptors who would change the way we shop forever, multi-brand online retailers that sell cosmetics, skincare, fragrance and more are facing multiple headwinds.