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Schwan-STABILO Cosmetics: “Success begins with the consumer’s demand”

Sales growth much higher than anticipated and continuation of the international development: 2010 is a year to be remembered for the cosmetics division of the Schwan-STABILO group.

With an increase of 7.1% between June 2009 and June 2010, the management of Schwan-STABILO [1] has every reason to be satisfied with the evolution of the turnover of the group’s Cosmetics division during this “turbulent” period. The cosmetics division is growing at a higher rate than the rest of the group [2], and the current fiscal year could be exceptional!

Good surprise

195 million Euros in turnover for the Cosmetics division alone instead of the 180 million foreseen between June 2009 and June 2010 ..., It is true that this really was a surprise,” we were told at the group’s headquarters. It was such a surprise that the program set up to reduce staff and working hours which had been implemented to last at least until the end of 2010 had to be postponed as of the month of March and the group even had to rely on more temporary workers than it had anticipated.

2010 will remain as an extraordinary year for our business,” states the Schwan-STABILO group in a recent release. “The main segments responsible for this increase obviously still are cosmetic pencils for eyes and lips but also and mainly the outcome of the research and development work carried out by our engineers to improve the application of these products and their resistance, not to mention all the eco friendly developments of products still featuring identical qualities.

International development

Another source of satisfaction,the integration of the U.S. firm Cosmolab (300 staff, USD 40 million in sales expected this year) in the scope of the group following its final acquisition last spring. "Now we are able to be present on some midrange niche markets that were not accessible to us due to the remoteness of our European plants, but also mainly because of the higher-end positioning of our products.

Finally, the group’s strategy to improve its industrial footprint and to establish business partnerships in every corner of the world is also bearing fruit. China, in particular, can only act as a strong growth driver.

Over 400 million units per year!

Schwan-STABILO Cosmetics is first of all an impressive research and production tool the headquarters and soul of which being located a few miles away from Nuremberg, in Heroldsberg. Cosmetic sharpenable pencils (227 million units produced during FY 2009/2010), mechanical plastic pencils, (122 million units), applicators with all types of liquid substances and mascara (42 million units), and other miscellaneous products (16 million), hefty production figures, the least one can say.

International market shares that continue to grow (currently 48% of all products) with the United States being the leading market, totalising more than 140 million product units sold, followed by Europe (125 million units) and South America (70 million), Asia (43 million) and the rest of the world (29 million).

Market Success does not start with the product itself, underline people in Heroldsberg, but with the demand from the product’s user himself. It Is essential for us to focus on the consumer with a differentiated understanding of target groups, a product development that responds to the requirements of individual market segments, an openness toward new market potential and the ability to develop it exactly at the right moment. Dynamic markets call for fast action. Speed is crucial.”

Product innovation

Apparently, the 2011 collection is no exception to the group’s reputation in terms of innovations.

Without going into too many details, we can name the METAL MANIC line which features in particular the FUNK2, a water-based liquid ink with a fine brush applicator that allows creating both fine or thicker lines, and the TOUCH 4, a creamy eye-shadow with silicon gel-based formula, and a non oily texture that is absolutely smudge and crease proof and stays on and on.

The Metal Manic line by Schwan-STABILO Cosmetics

The Metal Manic line by Schwan-STABILO Cosmetics

Jean-Yves Bourgeois


[1] To note, nevertheless, that the Group sells no less than two of them per second in the world and that if we were to put, end to end, all the Stabilo Boss sold it would represent a distance of 750 billion kilometres, five times the distance from earth to the sun!

[2] The Schwan-STABILO group have achieved a turnover of 396 million euros during this period employing no less than 3880 people among which just under a half in Germany.

© 2010 - Premium Beauty News -
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