SHANGHAI—Due to growth in the Chinese personal care market and a local increase in demand for natural cosmetics, Italy-based Indena S.p.A., a worldwide supplier of botanical extracts for personal care ingredients, is participating at Personal Care and Homecare Ingredients (PCHi) 2012—the leading exhibition in China for ingredients suppliers to engage with manufacturers of personal care and homecare products—in order to further expand its presence in China.
Although the cosmetics industry contributes a relatively small amount to Indena’s annual revenue, the company made a further commitment in 2010 to create a cosmetics business unit to better support customers in the industry.
“Our cosmetics business makes up about 10 percent of our total sales at the moment; but it is an area where we see a huge potential for growth. That’s why we established the dedicated cosmetics division in order to develop more novel ingredients for customers in the industry," said Martino Meneghin, development manager, personal care, Indena. “Another area of strong development is our business in China. In 2006, when we first entered the market, our focus was on the health-food and pharmaceutical industries; but we decided to invest in developing more innovative ingredients for the cosmetics industry in 2010, because we saw the potential for tremendous growth in this sector, especially in China. Chinese consumers are becoming more conscious of the impact of their purchases on the environment, and see the advantages our natural products have to offer. Without a doubt, China is fast becoming one of the more important countries for us to grow our business."
Searching for the Right Marketing Platform
In more recent years, the need to showcase its products locally, i.e., in China, has become more pertinent due to increasing product requests.
“Sales in China have been increasing year on year because more Chinese consumers want natural products," Meneghin said. “This makes it even more important for us to be present at a relevant domestic trade show so that manufacturers have access to our range of offerings."
In order to capitalize on this recent increase in demand, the company will be exhibiting for the first time at PCHi 2012. “With the booming China cosmetics market, we wanted to find a targeted marketing platform to inform manufacturers about our products," Meneghin added. “Our first trade exhibition was not the best choice, so I am glad we found PCHi. The event has a positive track record, and is the only international trade show for the domestic cosmetics and toiletries market; so we believe we will achieve excellent results there. At present, PCHi is the only exhibition in China that we are investing in for the cosmetics industry."
Plans for PCHi 2012
At PCHi 2012, Indena will exhibit under the French pavilion led by Cosmetic Valley, a leading resource center in perfumes and cosmetics with a network of more than 550 companies, including major cosmetics brands such as Dior, L’Oréal, Shiseido, Yves Saint Laurent and Chanel, as well as small and medium enterprises such as Indena. This cluster of French businesses works together toward elevating the “Made in France" concept throughout the world.
As part of Cosmetic Valley’s French pavilion, Indena plans to prominently feature one of its top products, Xilogel®, a natural and highly purified polysaccharide obtained from the seed of the Tamarind plant. Launched in 2011 as a moisturizing and anti-aging ingredient, Xilogel is positioned as a green alternative to hyaluronic acid (HA). Besides having the product on display at its booth, Indena hopes to promote Xilogel through the PCHi conference program as well.
“PCHi will be a good opportunity for us to update potential partners about our latest products," Meneghin said. “With the myriad of visitors that attend the show, I’m sure Xilogel will get good exposure. Also, we are considering providing a speaker for next year’s conference program. This will give us the opportunity to educate delegates about the benefits of our products."
Besides increasing awareness about its products, Indena also looks forward to interacting with potential partners and fellow industry players. These meetings will allow the company to meet two of its objective: establish partnerships, and better understand the China market.
“Face-to-face meetings are crucial in building any relationship," Meneghin commented. “That is why we choose to be present at trade shows. PCHi is a good opportunity to set up strategic meetings with potential customers and distributors. The meetings will also give us a better idea of the needs and demands of local consumers, a very important first step in expanding our business in the country. With this insight, we will then be able to introduce appropriate ingredients to suit their preferences."
PCHi 2012 will be held in Shanghai at the World Expo Theme Pavilion, Hall 3, from Feb. 27 to 29, 2012, and is expected to attract more than 5,000 industry professionals.
