Follow us twitter facebook
Edition: Brazil
Click here to subscribe toour free weekly newsletter click here
Markets & trends

Sales of beauty products and toiletries increase by 20% in pharmacies

Chains see 20% higher turnover from the sale of cosmetics in the 1st quarter of the year – compared with 15.15% from medicines – and invest in own-brand products.

Buying medicines is no longer the main reason that leads consumers to the pharmacy. In Brazil, pharmacy and drugstore chains are seeing increasing turnover with the sale of cosmetics and toiletries.

From January to March 2014, the Brazilian pharmaceutical industry recorded R$ 7.4 billion in sales, with a 16.74% increase in relation to the same period last year, according to data from Abrafarma (Brazilian Association of Pharmacies and Drug Stores).

Drogasil Essence

Drogasil Essence

But the main items responsible for this increase were not medicines. While the category grew by 15.15%, ending the quarter with sales of R$ 4.9 billion, the highest rise was in toiletries and beauty products, with 20% more in the year-on-year comparison, totalling R$ 2.5 billion.

The result followed the trend of 2013. The non-medicines category, which includes cosmetics, toiletries and dietary supplements, recorded the highest increase. Last year, it grew by 19.17%, compared to 11.44% for medicines, with a 32.51% share of the total volume.

With an eye on this market niche, the leading Brazilian pharmacy and drug store chains are investing heavily in the production of own-brand beauty and toiletry products.

One of the pioneers was Ultrafarma, which launched its cosmetics brand Rahda in 2006. The brand today accounts for 5% of the company’s total sales. Six years operating with own-brand products (17% of the share of non-medicines), Pague Menos plans to launch new products such as deodorants, shaving foam, and dry shampoo by the end of the year. Operating in the South of Brazil, Panvel forecasts growth of more than 19% for its own-brand cosmetics in 2014.

Portfolio

© 2014 - Brazil Beauty News - www.brazilbeautynews.com

latest news
Focus
FCE Cosmetique 2017 marked by record public attendance

FCE Cosmetique 2017 marked by record public attendance

FCE Cosmetique and FCE Pharma, which took place on 23-25 May 2017 at São Paulo Expo recorded an unprecedented level of attendance, receiving 15,400 visitors, a growth of 9% compared to previous year. At the opening ceremony, Geraldo Alckmin, Governor of the São Paulo State, highlighted the efforts of the Government for the (...)

read more
Experts’ views
US retail: Apocalypse or evolution?

Laurence Bacilieri
US retail: Apocalypse or evolution?

American retail is in freefall, and its sales revenues have been deeply affected by 3,500 stores going out of business, not to mention the difficulties Macy’s, Sears and K-Mart are facing. Unlike the banking sector, the main actors of retail are rapidly restructuring their networks of sales points because of the rising price of (...)

read more

Features