The Brazilian beauty industry is one of the fastest growing in the world.

Its value sales stood at US$29 billion, making it the third largest personal care market globally through its consumers with incomes of US$5,000-25,000 a year totaled 15 million. Fragrances registered an excellent performance in with current value growth of 15%, a trend which is set to continue and will make fragrances one of the fastest growing main categories in the Brazilian beauty and personal care market. In common with many other categories in Brazilian beauty and personal care, fragrance sales are typified by a very low presence of premium brands. In Brazil, the premium segment accounts for a mere 6% of the total fragrances market, and the best-selling brands are primarily those from mass-priced direct sellers such as Avon and Oriflame. This is in stark contrast to most other countries with a value market of equal size to Brazil: in the USA, for example, premium brands accounted for 79% . The difference stems again from the high taxes on luxury goods in Brazil, and also the comparatively far lower disposable incomes. Fragrances registered excellent performance in 2008, with current value growth of 15%: a trend set to continue to make fragrances one of the fastest growing of the main categories of beauty and personal care, with sales to rise by 50% in constant value terms from 2008-2013. Mass fragrances will continue to perform very well due to cultural bias and its tropical climate, meaning that many women (and increasingly men) tend to use colognes (aguade colonias) daily after bathing.

Natura is the Brazilian leading manufacturer and marketer of beauty products, household, and personal care, skin care, solar filters, cosmetics, perfume and hair care products the company that sells products through representatives in many countries across the world. The company was founded in 1969, by Luiz Seabra. Natura adopted direct sales as sales model. In 2012 it had more than 1.2 million "consultants" (resellers) spread throughoutArgentina, Brazil, Chile, Colombia, France, Mexico, Peru, USA, Australia, UK and among others, and since 2006 surpasses Avon's sales in Brazil. Natura focuses on its image as an eco-friendly, sustainable company (using natural products, working toward sustainable environment and social support etc.). The company also prides itself on strong research and development activity. It uses ordinary women rather than supermodels in its advertisements. The major competitors of Natura are O Boticrio, Jequit and the American company Avon. In the last 5 years, the brand Natura has been pointed out as one of the most valuable, admired and desired by Brazil's research institutes and media outlets. According to Isto Magazine its "The most valuable brand in Brazil 2008," and according to the company, its business is "ethics and aesthetics" Website www.natura.net Website www.natura.net

Website

www.natura.net

NATURA VISION AND MISSION

SWOT ANALYSIS

STRENGTHS: Brazil is the top country in the GRDI (Global Retail Development Index). Global Retail Development Index (GRDI), a ranking of the top 30 developing countries for global retail expansion. Brazil, is #1 driven by a growing middle class economy, high consumption rates, a large, urban population, and reduced political and financial risk. In addition, Brazil's relatively young population and high per capita spending in the apparel and luxury sectors make this country a top destination for specialty retailers.

Retail sales per capita in Brazil (#1 in the Index) have grown 12 percent per year for the past four years to reach $5,514, the third largest of the countries ranked in the GRDI. The retail market size increased 15 percent last year, and consumer spending has increased by nine percent per year since 2007. In 2011, retail sales accounted for 70 percent of Brazil's consumer spending.

The Brazilian economy is the world's fifth largest by nominal GDP and the sixth largest by purchasing power parity. Brazil is one of the world's fastest growing major economies

WEAKNESSES:

THREATS: OPPORTUNITIES: Environmental and competitor analysis Existing competitors O Boticrio is the second biggest Brazilian cosmetic company, behind Natura. It has 3.260 stores in Brazil, Portugal, Mexico, Bolivia,Peru, Paraguay, Japan, France and Venezuela. O Boticrio is the largest cosmetic franchise in the world O Boticrio was created in 1977 as a small prescription drugstore in the city of Curitiba, capital of the state of Paran, in southern Brazil. Today the company is the worlds largest perfumery and cosmetics franchising network. O Boticrios product lines consist of approximately 480 items, divided into the following categories: body care, facial care, sun care, makeup, deodorizing colognes, deodorants, soaps and shampoos. Amazonian plants such as aa, cupuau, carnaba, guaran, cashew, and passion flower; gums extracted from algae and vegetal extracts, such as arnica and urucum, are among the active ingredients present in the brands products.

Avon Products, Inc. (NYSE: AVP) is an international manufacturer and distributor of beauty, household, and personal care company that sells products through representatives in over 140 countries across the world. As of 2010, Avon had annual sales of $10.8 billion worldwide.[2] It is the fifthlargest beauty company and largest direct selling enterprise in the world, with 6.4 million representatives.[3]Avon Product is a multi-level marketing company.[4] The company's CEO is Sherilyn S. McCoy, who was appointed to that position in April 2012.[5] The former CEO, Andrea Jung, became the executive chairman of the board. Jung was the longest tenured female CEO among Fortune 500 companies Avon uses both door-to-door sales people ("Avon ladies," primarily and a growing number of men) and brochures to advertise its products.[citation needed] Avon training centers help women who want to become Avon representatives selling beauty products, jewelry, accessories and clothing. The Avon training centers can have a small retail section with skin care products, such as creams, serums, makeup, and washes. There are classroom areas where the representatives learn about the products and sales techniques. Each Avon representative is an independent sales representative running their own business. Some of the brands include Avon, Avon Naturals, Skin-So-Soft and Mark