GCC is one of best selling market for Beauty Products. The sales are driven by high per capital income. GCC has very high disposable income. This is prime reason for growth of beauty and cosmetics products in GCC.
2. High End Beauty Care Product Business in Kuwait
Market Opportunity and Business Strategy
3. THE MARKET OPPORTUNITY
A study released in March 2016 by
Kuwait’s Al-Qabas daily newspaper,
found 205,000 to 230,000 Kuwaiti
women spend KD350-400 ($1,146 –
$1,310) per month on beauty,
cosmetics and fitness, bringing their
total spending to KD980 million
($3.21bn) per year.
The study found that between 50% and
60% of Kuwaiti women aged between 15
and 55 spend considerable amounts of
money on beauty, and, given their
affluence, seek out the latest products in
cosmetics products and services,
including skincare, fragrances, nails, spa
treatments and plastic surgery.
4. E MARKET IS THE FUTURE
Kuwait has a high online
penetration and around 75%
of the population has access
to the internet. The total e-
commerce market in Kuwait
is expected to double from
an estimated to be $1.07bn
by 2020.
Kuwaiti sisters Nora, Sarah
and Dana Al Ramadhan
launched Apotheca Beauty –
a company that supplies
Middle East retailers with
premium, hard-to-find
beauty brands.
Beauty is a booming industry
globally, and the GCC region is no
exception. In fact, the argument
could be made that the demand
for quality skincare and top-line
cosmetics products is more
relevant here, with stark eye
make-up and flawless
appearances ingrained in the
culture of Middle Eastern women.
5. BOTOX, FILLERS IN HIGH DEMAND FROM
KUWAITI MEN
Men make up 25% of Arab patients undergoing plastic
surgery, says clinic
A renowned Kuwaiti clinic, Skin Clinic, has reported high
demand for Botox and injectable fillers from Kuwaiti men,
Arab Times reported.
The clinic’s Consultant in Skin Diseases and Laser
Cosmetics, Dr Ghanima Al-Omar, has revealed that 35
percent of her clients are males who undergo injectable
fillers, Botox, and skin whitening.
6. PREMIUM IS SELLING
❖$1,500 gold face cream unveiled in
Dubai, Australian brand Lariese
revealed the cream at the MidEast
Natural and Organic Products Expo
(MENOPE) in Dubai
❖Bulgarian company Victoria Beauty
told Khaleej Times newspaper that
genuine Bulgarian oil costs $8,000-
$10,000 per kilo.
❖Launch of $650 24-carat gold face
cream, Orlane has revealed a 24-
carat gold anti-aging cream, Crème
Royale, costing an eye-watering AED
2,387 ($650).
7. THEY SPENT A LOT
Consumers in the United Arab Emirates
(UAE) meanwhile, have the highest per
capita outlay on cosmetic and beauty
products in the region – spending
US$156 each on fragrance alone while
total sales are expected to top US$30bn
by 2018 – up from US$24bn.
8. COSMETIC TRADING
♔This all about Branding , Reach and Presence
♔Premium Multiple Brands
♔Presence Across the Segments
♔Presence Across the Platform
9. THE BRANDS
♚https://www.biotique.com/
♚BIOTIQUE is synonymous with serious skin and hair
care developed from Ayurveda. Biotique treatments do
not cover up problems - they eliminate them. With
100% botanicals. No animal testing. Even the
packaging is eco-friendly and recyclable
♚https://www.biphaayurveda.com/
♚In 1929, a gifted Ayurvedic Physician, Pappy Vaidyar,
realised the need of an institution to meet the rising
demand for genuine Ayurvedic formulations/
treatment. Bipha Drug Laborataries was established as
a result of his efforts in Ochira, a small village in South
Kerala.
♚https://www.kamaayurveda.com/international/
11. THE MASS SELLING PRODUCTS
Natural Cosmetics which has mass appeal
across the segments
Aloe Vera
Face Mask
Skin Care
Natural White Soil
Henna
12. RETAIL SHOP
✓Rent – 1500KD to 2000 KD
✓Decoration 20,000 KD
✓Inventory 50,000 KD
✓Salaries – 2500 KD/month
✓Advertisement 2000 KD/month to 3000 KD/month
✓Shop Opening – 15000 KD
✓Celebrities – 18000 KD per year – 1500 per month
✓Recommendation – Second Stage of Growth – After 18 to 24
months of starting business
13. E SHOP
✓E portal and Application 6,000 KD +18,000 KD
spread over the next 15 months.
✓Social Media – 500 KD Per Month
✓Advertising and Promotion 3000 KD per month
✓Celebrities 1500 KD per month
✓E Portal Management – 1500 per month
14. E SHOP PROJECTIONS
Day 0 Day 90 Day 180 Day 270 Day 360 Total
PRODUCT SOURCING 15,000 15,000 15,000 15,000 15,000 75,000
E SHOP 5,000 5,000 5,000 5,000 20,000
EXPENSES 12,900 15,000 17,400 18,900 64,200
MANAGEMENT FEES 4,000 4,000
INVESTMENT 24,000 32,900 35,000 37,400 33,900 163,200
SALES 11,970 25,870 51,042 99,691 188,572
NET PROFIT (8,112) (2,552) 6,117 20,976 16,429
15. RETAIL STORE
Stage - after 18 months
Retail Store 60,000
Inventory 30,000
Management Fees
Total Upfront 90,000
Monthly Expenses for Retail Shop
Promotion and Advertising 3000
Social Media 500
Celebreties 1500
Salaries 2500
Total 7500