Natura aims to expand internationally
Natura is a fast-growing Brazilian cosmetics and toiletries company which started as a small
laboratory in a garage in Sao Paulo 42 years ago. Today, it is trying to go international.
Natura picked France as the first country outside Latin America to try out its ideas.
'We wanted to choose a sophisticated market where people want things to be very good,'
says Alessandro Carlucci, Natura's Chief Executive. 'We wanted a test that was tough.'
Mr Carlucci says the experiment was successful. Within five years, he says, Natura wants to
have 'at least' 10 per cent of its revenues coming from outside Brazil, compared with 3 per
cent now. Apart from Brazil and its small operation in France, Natura currently sells its
cosmetics in a few other South American countries.
It sells a range of 600 soaps, shampoos, skin-care lotions and similar products. All of them are
based on about 900 natural ingredients, sourced mostly from farmers in the Amazon
rainforest.
The company promotes itself as an 'ethical' company that works with growers who harvest
their products in an environmentally sensitive way. It also uses biodegradable packaging.
'What makes them different from other companies is their corporate values. They really want
to make the world a better place,' says Mauro Cunha, Chief Investment Officer at Franklin
Templeton Investimentos Brasil.
Results are good. In the first nine months, revenues were up 21 per cent to R$2.7bn
(US$1.3bn). Net income rose 33 per cent to R$344m.