Amway India to focus on cosmetics segment

After successfully introducing products in the nutrition and wellness segments, Amway India has now decided to focus on the cosmetics segment.

Beginning February next, Amway will launch over a dozen products in the cosmetics segment. Most of these will be anti-aging products in the high-end market.

Amway India is a wholly owned subsidiary of the US-based Alticor Inc, one of the largest direct selling companies of the world.

Last year Amway has launched 10 products in India and will launch another 18 products this year. "Most of the products that we launched in the last fiscal (September 2003 to August 2004) were in the nutrition and wellness segment. This fiscal though, most of our products will be in the artistry segment, which is the cosmetics range," said Stephen Beddoe, director - distributor relations and marketing, Amway India.

Beddoe was in Ahmedabad for the launch of Nutrilite Natural B, a combination of seven essential B-vitamins. With this, the total number of products in the nutrition and wellness category has gone up to 12. Nutrilite Natural B, available in a bottle of 100 tablets, is priced at Rs 649.

For Amway, the nutrition and wellness category has emerged as the largest category in India, contributing to about 50 per cent of the total sales. The other segments in which Amway has launched products include home care, personal care, artistry, agriculture and soft toys. In all, 55 products are being sold by the company in the country.

"Since we launched our products in India in 1998, the nutrition and wellness segment has contributed the largest share of our business here. But with a sharp focus on the artistry (cosmetics) segment henceforth, we expect both the artistry and nutrition and wellness segments to contribute almost equally in our India sales," said Beddoe.

He said that almost all these products will be launched beginning February.

"Skincare will be the focus of our efforts at tapping a higher share of the cosmetics market. Almost all the products which will be launched by Amway in the artistry segment will be in the super premium category and these will basically be anti aging products," Beddoe said. The super premium cosmetics segment in India is worth around Rs 65 crore.

Amway India's US parent Alticor Inc has invested over Rs 150 crore in India. Amway India has 48 offices and 39 city warehouses across the country and 1,600 service locations.

Amway India recorded a turnover of Rs 636 crore for the year ended August 2004, a 10 per cent rise over sales of Rs 579 for the previous fiscal.