Brazilian Cosmetic Market Booming

LITTLE FALLS, N.J.—The Brazilian economy has become one of the world’s most robust markets for cosmetic and toiletries, according to Kline & Company, a worldwide consulting and research firm. In 2007, Brazil experienced nearly a 14 percent growth in cosmetic and toiletries sales, making it the fourth largest global market. It is poised for further double-digit growth over the next five years. Make-up proved to be the fastest growing category for Brazil, with a 17.8 percent growth rate. In the Latin American market overall, the luxury class posted the highest growth in this category, up by 23.6 percent.

According to Kline’s Global Cosmetics and Toiletries 2007 market report, sales topped out at $11.7 million, due to a burgeoning middle class, increased consumption levels and gross domestic product (GDP) growth of 5.4 percent in 2007. “People in the middle- and low-income levels have seen a big improvement in their purchasing power, and they’re spending more on beauty products,” said Carrie Mellage, director of the Consumer Products practice for Kline’s research group. “But because value is still important, companies that offer quality products with midrange price points are among the fastest growing market.”