Euromonitor International estimated the Polish cosmetics market at EUR 4.3 billion (a 3% increase year-on-year is forecasted until 2019). However, the export is growing faster. In 2017, it increased by 7%, up to USD 3.4 billion (CSO data). Although the majority of sales is generated by foreign concerns which produce in Poland, the foreign expansion of Polish producers is a fact.
According to Henryk Orfinger, CEO of Dr Irena Eris company, the abundance of brands on the Polish market creates chaos. In addition, the ongoing consolidation of retail trade makes it difficult to achieve such spectacular sales growth. Therefore, they must be looked for outside of Poland. In the case of his company, exports already generate almost 21% of share in sales.
Ongoing opportunities outside Poland
Most cosmetic companies confirm this, and they strongly focus on the development of this part of the business. Inglot, which is the flagship showcase of the export success of Made in Poland cosmetics, already has 900 points of sales in 90 countries. According to Milena Inglot, the company is now investing heavily in Asian markets. This year, the first Inglot store in Thailand will be opened, and the company has recently made its debut in Taiwan.
Ziaja also continues to increase revenues from exports. The company increased its foreign sales by 30% last year, and its share in the company’s turnover is already 20%. According to Anna Mroczkowska from the Ziaja marketing department, the company currently exports products to 53 countries.
Eveline Cosmetics has a very strong position in exports in our industry. Its products can be found in 70 countries. Karina Kozerska, the director of marketing, emphasizes that some cosmetics are prepared specifically for the particular needs of individual markets. For Eveline, the United Arab Emirates is one of the fastest growing sales markets in the export structure, and recently the company has set up their presence in the exotic Cuba.
Middle East markets are familiar to the Oceanic company because the brand products from the company’s portfolio are very popular among local consumers in the Arab countries. As Leszek Kłosiński has said to “Rzeczpospolita” daily, sales are also developing very well in Asia. However, the majority of export sales in the case of Oceanic still comes from EU markets.
The largest foreign recipient of Bandi Cosmetics is the United Arab Emirates, and according to CEO Joanna Draniak-Kicińska, this year can mean a 30% increase in total exports for the company.
The export also attracts young companies
Among them, Phenicoptere (the Glov brand) stands out. It generates (attention!) – 80% of revenues from export. The makeup removal gloves and other accessories of this brand reach almost 60 countries, and at the moment the company is preparing to debut in the markets of Mexico and Saudi Arabia.
Paweł Kosowicz, CEO of Yope, also has reasons to be satisfied. He estimates that in the case of his company, exports generate 30-40% of income, and the number of 20 markets on which the brand is present is gradually increasing.
According to the Polish Agency for Enterprise Development, as part of the recruitment for the Go to Brand programme in 2016-2018, the participants of the “Cosmetics” industry program submitted as many as 185 applications for the amount of USD 28 million (70 contracts were signed).