One of the biggest cosmetics distributors in Romania is counting on attracting the youth segment into its ranks when predicting growth of 15-20%.
Angela Cretu, 31, runs the Romanian operations of the US cosmetics giant Avon.
"We will develop a recruitment campaign especially addressing young people over the next two months. We expect this move to sustain business growth over the next two years," states Angela Cretu.
Avon Romania this year will centre its strategy on attracting young people, both as the company''s representatives and its customers.
"One must have the best people, it is extremely important that one should not hang on to the traditional ''this is how things have worked so far'' attitude," she added. According to her, each market has its own distinct features and the company''s strategy is conceived separately for each country, rather than at global level.
"We will make sure the youth segment is at the centre of our attention, not only through fashionable products, which they should love and which must match their preferences, but through the pricing policy, as well," stated Angela Cretu, general manager of the company.
"Customers are now more sophisticated, buying several types of products," the Avon representative says.
In 2005 the company had 117,000 representatives nationwide.
Not all of them are authorised natural persons (having the right to resell these products), since many are mere consumers, who, once registered in the Avon network, can buy products at lower prices.
Avon Romania registered turnover worth 120 million dollars (106 million euros) in 2005 and expects to grow in line with the market this year.
The cosmetics market sees annual growth of 10-15% in Romania, and is forecast to rise by 20% this year.
By comparison, on Western markets, similar companies log growth of 2-3%.
"It is only normal that in an economy annually growing by 2-3%, companies should not witness higher increases," Cretu suggested.
According to her, last year''s growth engine was perfumes, which posted a growth rate of 60%, an aspect the company will also focus on during this year.
The Romanian cosmetics market is estimated at 200-250 million euros and has registered annual growth of 10-15% over recent years, especially amid the entrance of several international players.
The company''s representative says Avon has not included the opening of a factory in Romania in its short-time strategy, because the domestic market will join the European one in 2007 and a facility, among the largest in the region, has already been built in Poland recently, to serve this market.
In May, the company will open a distribution centre near Carrefour Militari.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
