MEXICO CITY — Brazil’s beauty industry, the world’s third-largest, is expected to grow by 11.8 percent to 42.6 billion reals, or $19.2 billion at current exchange, this year, despite slowing consumption on the back of Brazil’s economic downturn.
Latin America’s largest economy is set to grow a mere 1 percent in 2014, down from a 2.3 percent hike last year and much higher growth rates in the past few years.
The slowdown, however, is not worrying the beauty industry, which continues to grow at double-digit rates, driven by buoyant consumption of low-price items in the flagship hair-care, fragrance and deodorant markets, which make up 50 percent of turnover.
“The industry remains unfazed by the fluctuations of the Brazilian economy since cosmetics, toiletries and fragrances are low-average-ticket products that don’t impact consumers’ budgets,” João Carlos Basilio, president of main industry lobby Abihpec, told WWD. He added the sector remains a top employer with 5.6 million workers and is “highly competitive.”
This year, the industry will step up investment by 5.2 percent to $14 billion reals, or $6.3 billion, with the majority going toward brand development, expansion and research and development activities. Beauty leads other industries in brand investment, with new product launches a key revenue booster, Basilio said.
“It is essential to invest in brand positioning,” he noted. “The market renews itself very quickly.”
According to Basilio, the beauty circuit has been growing at 3 to 4 percent above the economy in recent years. In 2016, Abihpec forecasts it will account for 2 percent of gross domestic product, up from 1.8 percent now.
“The industry remains optimistic, investing to increase production capacity, research and innovation,” Basilio asserted. Brazil’s beauty industry is now the world’s third-largest after the U.S. and China — but first in some segments including deodorant, sunscreen and fragrance, Basilio said.
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast