BERLIN — VKE, Germany’s association of cosmetics producers, predicts small but positive growth of 1 percent in 2010 in the selective market, compared with 2009’s drop of 1.5 percent.
At the company’s yearly press conference in Düsseldorf,VKE director Martin Ruppmann said members were looking to women’s fragrances and skin care for a boost in sales of their products.
Women’s fragrance were the only positive point in 2009 — with a sales uptick of 0.3 percent.In contrast, men’s cosmetics slid down 4.2 percent, skin care and sun care slipped 1.1 percent, and makeup dropped 0.4 percent.Body care sales suffered the worst, falling 5.9 percent.
Despite the flagging categories, the resulting drop in total turnover for VKE members was a moderate 1.5 percent. “Luckily, despite all predictions, consumers were much more upbeat than we could have expected,” stated Stephan Seidel, president and general manager of Clarins Germany, explaining that the last six months of 2009 stabilized the rough ride the industry endured for the first part of the year.
“Our goal for 2010 is to encourage customers with innovative concepts, by generating worlds of experience for them, through offering them advice and individual responses to their requests,” Seidel said. “Along with that, we must curb the flood of price-slashing. The depreciation of brands hurts consumers, the industry, and retailers in equal measure.” The organization also warned against piracy and the gray market.
VKE members include 50 German representatives of global cosmetics firms and more than 200 German cosmetics firms responsible for nearly 35 percent of the German cosmetics market, constituting a yearly turnover of 1.7 billion euros, or $2.3 billion.
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