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Amway shifts its strategy to the luxury segment

Publicat la 18.08.2008, 21:00:00

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Amway shifts its strategy to the luxury segment

The company, working on the multi-level marketing (MLM) system, is promoting new products every year, as the market is “extremely sensitive to quality products,” according to the company’s Branch Manager, George Popescu, for Business Standard.

“We recently launched the Luxury cream. Within the first month, it became the best sold Amway product, of a total 700 products we have,” Popescu added.

He indicated that the company entered the luxury segment due to the demand on local and international markets. “We considered that the market is demanding such a product at this time, and that people are willing to spend more on such a product,” Popescu said. Other luxury products are to be launched this fall, he added.

Popescu said that Amway Romania estimates a 20 percent increase in business for full-year 2008. Besides cosmetics, the company sells food supplements, household and cooking products, and perfumes. All products are imported from the United States. The largest ratio in the company’s sales is made up by cosmetics, up to 50-60 percent.

Amway Romania’s main competitors on the direct cosmetics sales market are Oriflame, Avon and Zepter.

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