São Paulo, November 2023 – The consumption of private brands from retail chains has been growing intensely among Brazilians. The search for quality items, at a more accessible price and with great diversity on the shelf stimulates this movement, which, in turn, has been attracting greater investments from companies.
Data from Abmapro (Brazilian Association of Private Labels and Outsourcing), for example, indicate that the country's five main pharmaceutical chains saw their revenue from so-called private labels grow by 59% in the 12 months ending in July this year. The index is above the sector average of 36%. Another survey, by Nielsen, shows that private label products are already present in 34% of Brazilian homes.
“A paradigm has been broken in the Brazilian market – which no longer existed in European countries and the USA – that these products are of low quality. Consumers today have a different perception and large chains have invested in expanding their portfolios”, says Luís Fernando Gomes, commercial director at Harus. “All of this means there is great potential for expansion in this segment.”
Also according to Abmapro, with its own brand, the customer can buy up to 120% more, paying 30% less, while brands cut costs without losing quality.
Keeping an eye on this movement, the company, which is today the leader in the national amenities market, has been expanding the space in its manufacturing park for the production of its own brands for Brazilian retail. Today, the Harus factory produces, for example, the labels of a renowned wholesale chain and another of drugstores, in addition to being responsible for outsourcing the production of L'Occitane and Boticário products for the hotel sector.
“In recent years, we have invested in the modernization of our manufacturing park, which currently covers almost 20 thousand square meters and allows us to offer the largest production capacity in the segment. Currently, we have the main technologies on the market, in addition to almost 30 years of expertise in the production of cosmetics”, says Luiz Roberto Magrin Filho, general director of Harus.
The factory, located in Franca, in the interior of São Paulo, today produces thousands of items such as soaps, shampoos, moisturizers, body oils, among others. And it is equipped to respond to specific requests, such as biodegradable and vegan 100% products.
Furthermore, the plant meets the main biosafety requirements and has a modern water treatment system, unique in the segment, responsible for purifying more than four thousand cubic meters of water per year.
To further expand its offer to retail partners, Harus also invested in the manufacture of perfumes, complementing its portfolio. “We have the structure, technology and know-how to meet the growing demand for private label products”, says Gomes.
According to him, the estimate is that, in five years, 50% of the company's revenue will come from the production of beauty items for supermarkets and pharmacies.
Harus, a leading brand in the Brazilian amenities market, is present in all hospitality segments with its diverse line of personalized products and private brands, including Alma Brasil. The modern factory, located in the city of Franca (SP), has the capacity to produce soaps, shampoos, moisturizers, body oils and a multitude of other items. From packaging design to the final product, the company develops exclusive formulations for national and international icon brands, including O Boticário, Vinotage (Grupo Família Valduga), L'Occitane, Jacques Janine, Costa Brasil and Davene.
In more than 27 years of history, the company has expanded its business. Launched the Harus HQS (Hygiene, Quality and Safety) process, which offers sustainable sanitizing products and a complete protocol in the area. In addition, it supplies items to the food and hotel sectors, through partner brands. Harus Food Service presents a diverse range of products, including the lines from Júnior Alimentos, Homemade, Ísis, Vigor, Bauducco, Le Petit, Lowçucar, Caravelas, Cepêra, Flormel, Président and Billa.