Magnus Brannstrom, CEO and president of Swedish direct selling company Orifame, doesn’t believe in mincing words. Founded in 1967, Oriflame has a sizeable presence in 60 plus countries, with over 3 million beauty consultants, generating annual sales of around €1.2 billion.
In India, it’s been battling headwinds since its debut in 1996. “The first 20 years were very tough in terms of profitability,” confesses Brannstrom. He claims India is now profitable but declines to share numbers, citing global policies. Asserting that India is among the Top 5 markets for Oriflame, he contends that the Indian obsession with white skin is not unique. “The grass is always greener on the other side,” he grins, adding that while Indians want to look white, Westerners are keen to get tanned.
Over 20 years in India, how has the journey been so far?
India is among the top five countries. The first 20 years were very tough in terms of striking profitability. The sales prices are very low compared to other countries. So it’s hard to make money. It has been a long journey towards profitability. But Oriflame has been able to endure because of the long-term opportunities. Now we are happy with the business; the
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Oriflame CEO Magnus Brannstrom Named Chairman Of The World Federation Of Direct Selling Associations
by Ted Nuyten • • 0 Comments
The World Federation of Direct Selling Associations (WFDSA), a global trade organization representing more than 60 national direct selling associations, today announced Oriflame CEO and President Magnus Brännström will serve as the organization’s Chairman through October 2020.
Brännström assumes the role of Chairman from Doug DeVos, President of Amway.
“I am very honoured and privileged to serve the direct selling industry as Chairman of the World Federation of Direct Selling Associations during these exciting times. The world is going through digital transformation.
I believe the direct selling, with its communities of people united by a joint purpose, is more relevant than ever for empowering entrepreneurship through offering quality products and services.
I look forward to continue to build and develop on my predecessors’ long legacy of improving the standards of the global direct selling industry,”
said Magnus Brännström.
Previously Brännström was the Vice Chairman of WFDSA. He also held the position as Chairman of SELDIA, the European Direct Selling Association.
“It’s been a tremendous honour to serve as Chairman of WFDSA for the past three years. None of our goals could have been accomplished without strong partnerships and the support of the direct selling associations around the world”,
said outgoing Chairman Doug De Vos. “Direct selling
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Oriflame Appoints Naveen Anand As Senior Director Regional Marketing
by Nicole Dunkley • • 0 Comments
Leading Swedish direct selling beauty brand Oriflame on Thursday appointed Naveen Anand as the Senior Director Regional Marketing South Asia.
In his new role, Naveen will spearhead the operations in India, Sri Lanka and Pakistan and will be responsible for accelerating growth and enhancing the brand equity for the Oriflame business.
The marketing veteran with two decades of experience in the direct selling business was instrumental in building Amway India’s business. Naveen has helmed key positions in Amway, and brings with him a treasure trove of valuable insights and experiences.
In his previous role as the Global Marketing Director for Brand Nutrilite, he has worked very closely with various markets such as China, Korea, Japan, Brazil, Mexico, Thailand, Malaysia and markets in Europe.
Naveen has been highly successful in rolling out mass media campaigns for various brands at Amway. During his tenure, Naveen has significantly contributed towards strengthening of global marketing brands both in Amway India as well as across the globe.
“We are delighted to welcome Naveen on board and, will be looking forward to leveraging his extensive knowledge to drive more engagement and give vision and direction to Oriflame’s business for its next level of growth in the region.
We are certain that
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Oriflame Revenue Up 12% To Euro 348 Million or $410 Million
by Ted Nuyten • • 0 Comments
Swedish direct sales company Oriflame has reported a Q2 sales increase of 12 percent, a rise which was helped by strong sales in its skin care and wellness categories, its biggest and smallest categories respectively.
CEO Magnus Brännström comments
“We are pleased to report double-digit growth in both Euro and local currency with healthy profitability improvements and a strong financial position.
During the quarter, our strategic priorities continued to serve as important drivers of growth. CIS experienced local currency growth in the quarter, driven by ongoing productivity increases and positive timing.
Asia & Turkey and Latin America were affected by fewer trading days and negative timing of catalogues – the underlying performance remained strong. The positive sales momentum for the Group has continued into the third quarter, in which Oriflame celebrates its 50th anniversary Gold Conference.”
3 months ended 30 June 2017
Local currency sales increased by 11% and Euro sales increased by 12% to €347.6m (€309.6m).
Number of registered actives decreased by 2% to 2.8m.
EBITDA amounted to €47.9m (€40.6m).
Operating margin was 11.7% (9.9%), favourably impacted by 40 bps from currencies, and operating profit was €40.5m (€30.8m).
Net profit was €19.9m (€18.1m) and diluted EPS €0.35 (€0.32), negatively impacted by a one-off translation reserve loss on exchange rate
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Oriflame Q3 Sales Up 6% To €278.9 Million
by Ted Nuyten • • 0 Comments
CEO Magnus Brännström comments:
“We are pleased to report yet another quarter of Euro and local currency growth with healthy improvements in profitability.
The strong performance in Asia & Turkey and Latin America continued, while in the CIS the focus remains on returning to sustainable growth and improving margins. The success from our online leaders and the sales of Skin Care and Wellness sets and routines reached new levels, serving as important drivers of the growth.
The local currency sales development in the fourth quarter-to-date reflects slightly tougher comparables in the beginning of the quarter as well as volatility in some markets. We have a solid strategy, a strong financial position with low debt levels and a business model proven to meet challenging market conditions and changing environments.”
3 months ended 30 September 2016
Local currency sales
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Oriflame Half Year Revenue Up 17% To €301 Million
by Ted Nuyten • • 0 Comments
Swedish direct sales company Oriflame has reported local currency sales rise of 17 percent for the three months ended June 30, 2016, fueled by a strong performance in Asia and Turkey.
CEO Magnus Brännström:
“We are pleased with the healthy sales development during the second quarter where we report Euro growth despite strong currency headwinds, partly fueled by positive timing and a strong start of the quarter.
The solid performance in Asia & Turkey and Latin America continued and further improvements could be seen in Europe, while the situation in Africa was continuously challenging. CIS experienced local currency growth in the quarter although margin improvement challenges remain.
The third quarter has started in a promising way, although many of our markets continue to be volatile and we face highly uncertain geopolitical and macroeconomic
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Oriflame Q1 Revenue Down 1% To $305 Million
by Ted Nuyten • • 0 Comments
CEO Magnus Brännström comments:
“We are pleased with the overall local sales development during the first quarter, where sequential improvements are seen in most geographies. Asia & Turkey and Latin America continued to record double digit growth and increased profitability.
While the reversal of the previous negative sales trend in the CIS is promising, the situation remains uncertain with sustained external and margin improvement challenges. The positive sales momentum for the group has continued into the second quarter, further enhanced by some strong catalogues in April.
The underlying business and financial performance is encouraging, although we continue to be heavily impacted by persistent currency headwinds and deteriorating macro across many of our regions. Efficiency initiatives are ongoing and are delivering desired results.”
3 months ended 31 March 2016
Local currency sales increased by 10% and Euro sales
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Oriflame CEO Honored With 2016 Bravo Leadership Award
by Nicole Dunkley • • 0 Comments
Magnus Brännström, CEO and President of Oriflame, was honored as the recipient of the 2016 DSN Bravo Leadership Award.
Each year, the award goes to one direct selling executive who embodies exceptional leadership qualities—providing inspirational vision for their company, motivating their teams toward a common goal, serving others by equipping them to do the best job possible, and especially by empowering them to reach new heights.
Lauren Lawley Head, Publisher and Editor in Chief of Direct Selling News, and John Fleming, the publication’s Ambassador, presented the award to Brännström at the 2016 DSN Global 100 Celebration, held Thursday evening in Dallas.
Brännström delivered the keynote address at the event, which marked the unveiling of the DSN Global 100, a list of the top revenue-generating direct selling companies in the world, as well as a
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Oriflame Restructures To Multi Channel Strategy
by Ramya Chandrasekaran • • 0 Comments
Swedish direct selling company Oriflame is forming a new organisation to capture efficiencies and drive sales in an omni-channel offering. The following changes are being implemented:
A global Commercial Division is formed, uniting central functions within sales, marketing and supply chain. Jesper Martinsson is appointed to lead the newly created division in a capacity of Senior Vice President and Head of Commercial Division and Deputy Chief Executive Officer.
A decentralised Regional Organisation is established, enabling a focused strategy execution, coordinated by the Company’s four Global Business Areas – Latin America; Europe & Africa; CIS and Asia & Turkey. This new split will enable more focus on strategic markets, such as China and India. As from the first quarter 2016, the new split will be reflected in the Group’s financial reporting.
Global Manufacturing is separated from
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Grandma Jackie Wins DSA UK Award
by Ramya Chandrasekaran • • 0 Comments
Jackie Venables, a grandmother from United Kingdom, has been named the 50+ direct seller of the year in the first ever UK Direct Selling Awards, organised by the Direct Selling Association, the trade body for direct selling in the UK.
Mrs Venables who is a distributor with cosmetics firm Oriflame, started direct selling because she wanted to pay for new curtains. Having enjoyed both selling and earning extra money, she decided to stay with the company and is now one of its top sellers.
Lynda Mills, director general of the DSA, said: “Direct selling appeals to so many different types of people and Jackie’s story shows just how easy it can be to start direct selling and make a success of it. These awards are a true reflection of the strength of direct selling