Milan — “Continuity” is the term Anthony Molet most often uses when outlining the Davines Group’s strategy.
After 20 months in office, the CEO of the Italian beauty company behind professional hair care brand Davines and skincare brand Comfort Zone says he remains committed to “growing the company in line with our purpose. I promise. Creating a better life for all and doing the best for the world through beauty, ethics and sustainability. ”
Founded in 1983 by the Bollate family, the company continues to expand both its size and international footprint, so far it has proven that a noble mission has paid off as well. Proven.
In 2021, Group sales were €191.8 million, up 25.6% year-on-year and 17.7% higher than in 2019. Sales in 2023 he will reach 260 million euros.
He sees performance as being “continued consistency within our organization, consistency with our sustainability message, and consistency with our distribution channels.” We have remained very close to the hairdressers and estheticians, the professional part of the business, and it seems to be paying off. , added that it is confident the company will grow in double digits “until at least 2030 without acquiring other companies.”
The executive is further accelerating the path taken by his predecessor Paolo Braguzzi. Braguzzi was certified as a B Corp in 2016. For example, when Braguzzi joined Davines in 2004, total sales were €27 million, while revenue in 2019 reached €163 million, Davines has become one of Italy’s leading professional hair care players.
Leveraging Molet’s own experience — the executive previously led the North American subsidiary of the Davines Group for 13 years and helped transform that market into the company’s highest performing market — the group has also expanded its international reach. Expanding. Molet has revealed that effective January 1, a new German subsidiary will be added to the company’s network.
“This is a very strategic market for us. [counts more than] 80 million people…with one of the strongest GDPs in Europe, its economy is very strong and I think our message on sustainability resonates very well there,” said Davines. and Comfort Zone brands are growing steadily. there.
“We have had the same distributor for the past 20+ years and after many years we felt it was time to set up a subsidiary there. It has been a very smooth transition. [our partners]in fact… and we decided to allow them to hold [a little] It’s part of the distribution,” said Molet.
The Davines Group is headquartered in Parma, Italy and has offices in over 90 countries. In addition to Germany, it also has a branch in London. New York; Paris; Mexico City; Hong Kong, Deventer, Netherlands; There are no other openings in the pipeline at this time, Molet said.
The United States and Europe remain the group’s main markets in terms of sales, but the company is posting double-digit growth in all countries. The Davines Group was able to report increases of 20% and 30% respectively in these regions. “We are confident that the new regulations in China will open some doors for us,” Moret said, referring to animal testing procedures, and also revealed that India would be the company’s next target.
Breaking down the Group’s performance by category in 2022, hair care sales increased by 20% and skin care sales increased by 17%.
Provided by Davines Group
While these results exceeded Molet’s expectations, the executive noted a range of challenges over the past year, starting in the first quarter as the impact of COVID-19 and Russia’s invasion of Ukraine continues.
“Then, as a result, the entire supply chain became a real challenge, not only in terms of rising prices, but more importantly, raw material availability, sometimes forcing fine-tuning of formulas.” Moret said. “I feel like we are slowly starting to fall behind, but it was still the biggest challenge of the year.”
To combat this situation, the Group decided earlier this year to increase its inventory in terms of both finished goods and raw materials. This “allowed us to face this crisis,” Molet recalls. Still, raw material shortages and rising energy costs forced the company to adjust the prices of its products, and in some markets he had to double prices.
“For 2023, we are again considering a conservatively aggressive price increase,” an executive confirmed.
In terms of corporate structure, after implementing several major management changes last year, the Davines Group has made new hires in the Human Resources and Communications departments. When it comes to sustainability, it deserves to be communicated in the right way. ”
In short, the Davines Group’s long-standing expertise in developing high-performance, natural formulas, recyclable and reusable packaging, and implementing environmentally responsible initiatives is at a time when all companies are looking to fine-tune their structures. It is an asset that has brought both credibility and benefits to the company. We provide our products in a sustainable way. The growing appetite of international customers for natural beauty products has further boosted the company’s sales.
“Sustainability is becoming more and more present in people’s conversations. Today’s statistics show that many people are unwilling to spend more money on companies that are purposefully green. No, and we are definitely taking advantage of this trend.”
“It’s also true that we see a lot of greenwashing as a lot of companies are trying to jump on this trend, but I think what has helped Davines is that level of commitment,” he said. I have listed the various projects that I have undertaken.
Provided by Davines Group
For example, last year the Davines Group partnered with the Rodale Institute, a US-based nonprofit dedicated to regenerative organic farming. As a result, the company expanded its Davines Village headquarters to a regenerative organic farm aimed at exploring how these farming practices impact the supply chain for personal care products, while also helping to mitigate climate change. , research centers and educational hubs.
Earlier this year, the Italian company joined forces with over 30 certified B Corporations to create the B Corp Beauty Coalition. The coalition’s mission is to drive systemic change in the beauty industry by improving sustainability standards through collective action. These include identifying and sharing social and environmental best practices. Explore innovative solutions. Publish results and implement clear communication to raise consumer awareness of the relationship between beauty and responsibility.
