“It’s about building on this 30-year success story. It is the culmination of a process maintaining solid values and at the same time initiating a new strategic cycle ”, explains Olegario Monegal, a professional with more than 20 years of experience in perfumery, who has been appointed as director of the Global Care Business Unit. Personal and Home.
Once well established in fine perfumery, the company has decided to accelerate its growth in functional -that is, everything that is not high perfumery, where it is very well established-, which ranges from fragrances to creams, deodorants, shampoos, gels and soaps to fabric softeners, surface care or air fresheners. In fact, after 2019 -the latest figures available- of 90 million euros in sales, they expect to reach 125 million in three and a half years. Of those additional 35 million, 25 should come from the personal care and home business and the other 10 million, from fine perfumery, he explains. Scents and fragrances for personal and home care today account for a third of sales and the company’s goal in this three-and-a-half-year plan is to double their weight.
The manager admits that the pandemic has influenced the business, since, with less social contact, the use of perfume is reduced, but he is convinced that, “when we come out of the pandemic, people will go back to perfume, as has been happening. since centuries”. Some perfume manufacturers, who are its customers, have been forced to accelerate a diversification that, in any case, had to be carried out. They have had to accelerate a process that, without the pandemic, might have been slower. And it is that, in addition to perfumes, cleaning and body hygiene products will continue to be used, he says.
For all these reasons, after consolidating itself in high-end perfumery, a highly competitive sector, the company understands that the time has come to rebalance sales quotas “so that high-end perfumery, home care and staff are even more distributed uniform”. In Monegal’s view, “it is a natural tendency of the company.” It is not a strategy only to face difficult times as it has been, the pandemic, for example, but a springboard to enter new segments, new markets and new brands.
To carry this out, the company realized that a change of face was not enough but that it was necessary to review the brand and communication tools from top to bottom, a work developed by the branding agency Summa.
After making the new strategy and visual identity known to its nearly 400 employees, the group has turned to it. As Stéphanie Marze, the head of global corporate marketing, said, it was necessary to “grow vertically into new categories and horizontally to increase the influence of the company.” According to CEO Laurent Mercier, it is not just about achieving further geographic expansion but about designing fragrances “for new customers with brands with even more business potential.”
Today Eurofragance is present almost everywhere in the world. It has factories in Spain, Singapore and Mexico and production partners in the United States, China and India. Busy creating fragrances and aromas to work the nose and nose.
Eddie is an Australian news reporter with over 9 years in the industry and has published on Forbes and tech crunch.