Eugen Bartha, the general manager of Ina International cosmetics company, which controls the Ina Center and Privilege store network, says selective products will account for around 8% of the total value of the cosmetics market, put at 790m euros this year.
"I expect the segment of selective cosmetics and perfumery to reach around 70m euros in 2008 and post a slight advance of 10% against 2007," stated Bartha.
Besides Ina International, Sephora store chain and Madison perfume shop, which opened late last year, also operate on the market of premium cosmetics. In terms of the three divisions of the selective product segment Ina International is present with domestically, the biggest sales are registered for perfumes, followed by make-up and personal care products. "The range of perfumes contributes around 60-65% to sales, make-up products around 20-25%, and care products and lotions, up to 15%," Bartha explains.
In the perfumes category, 30 and 50-ml products are the best-selling ones. "Brands such as Gucci, Kenzo, Jean Paul Gaultier, Paco Rabanne, Yves Saint Laurent or Issey Miyake generate as much as 50% to our turnover," says Bartha. Prices for such perfumes range between 50 and 100 euros, in Ina Center and Sephora stores, but may top 2,000 euros in Madison perfume shop.
According to Bartha, the skin care segment has also registered a slight increase starting this year, mainly on Romanians' rising purchasing power and climate changes that impose additional protection. The evolution of products included in Ina International's portfolio is also sustained by advertising campaigns the displayed in specialised magazines.
This year, Ina-Privilege group will open another 10 stores, after it launched 8 such stores last year. At present, the cosmetics importer owns 47 shops domestically, of which 15 perfume/cosmetics shops are located in Bucharest. "Investments in such a store may reach around 500,000 euros, depending on the area and location. All new stores will be launched in new shopping centres that will open in and outside Bucharest, because these locations are significantly more attractive compared with street locations," believes Bartha.
Ina-Privilege group, owned by Germany's Marinnaud-Ina Gmbh, has budgeted cumulated turnover worth some 30m euros for 2008.
