The German group specialising in low-priced make-up recorded a 32% overall growth compared to 2022 and a sales surge of over 30% for the second consecutive year. Looking forward, the German group aims to join the top 5 global industry leaders.
With 2023 net sales of EUR 817 million (USD 890 million) compared to 617 million euros last year, the Cosnova Group has far exceeded its own targets for the recently concluded financial year. Just one year after crossing the EUR 500 million turnover milestone, the family-owned group now believes the billion euro threshold is now well within reach, as well as entering the world’s top 5 in makeup.
Growth across all regions
As the company enters its third decade, this 32% increase in sales, compared to 2022, marks the second consecutive year with a sales surge of over 30%.
Cosnova said it has not only increased its market share across all global regions, spanning both brick-and-mortar stores and e-commerce platforms, but has also broadened its retail presence and strengthened distribution channels in nearly 90 operating countries. According to the group, the success of the preceding twelve months can be directly attributed to the escalating regionalization of essence and Catrice product offerings, in particular for the USA and the Middle East.
In Germany, Cosnova continues to attract consumers, with sales up 36%. The scenario of success is similar in the rest of Europe, with a growth rate of 38%.
In the U.S., Cosnova was able to expand its market position, with an organic growth of 29%. Both offline and online retail were key growth drivers. Essence expanded its partnership with Ulta Beauty and successfully entered more than 300 Target stores. Amazon remained the most important e-commerce channel with Cosnova’s business growing by 6% in 2023.
Results are also rising sharply in the rest of North America, with organic growth of 23%, and in the rest of the world, with sales growth of 24% compared to the previous year.
Strong pressure on the supply chain
This massive increase in sales is also a challenge for Cosnova, who had to cope with temporary supply chain bottlenecks in 2023. Throughout the year, the company effectively addressed these challenges through strategic initiatives including continuously investing in the capacities of its suppliers. In addition, Cosnova has outlined plans for a substantial expansion of its central warehouse in Germany in the forthcoming years.
“We have reorganized our supply chain and our logistics, and we are preparing to resize our infrastructure to adapt to this growth. But 90% of our products are made in Europe, that eases our operations,” emphasizes Soazig Le Prince, General Manager of Cosnova France.
An optimistic outlook for the third decade
Although the group does not publish quantified goals for 2024, it claims to be confident in its powerful business model, which made the demonstration of its strength. “We are the leader in makeup in Europe, and we are gaining market shares in all the countries where we are present,” adds Soazig Le Prince.
Christina Oster-Daum, founder and CEO of Cosnova, the results for the 2023 financial year show the strong affinity of the group’s brands with consumers as well as the relevance of its innovations.
“Even though the global economic conditions are currently challenging, we are convinced that we will continue to grow in the future. This applies to both the national and international markets. The substantial investments we have made over the past four years and our sustainable orientation have given us a solid foundation for this. After this sensational financial year, we are extremely optimistic about the third decade of our company’s history,” concludes Javier González, co-founder, and president of Cosnova.