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Frederik R. Hillebrants Interview

Sale of Perfumery and Cosmetics magazine

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Frederik R. Hillebrants comes from a Dutch family linked to perfumes, soaps, gels and hair products. In 1986 he came to Spain and started to develop the family business here. A year later, after studying the Spanish market, he was very aware of the differences between the two markets and decided to adapt Dutch ideas to the Spanish reality. In 1989 he officially founded Hillpart S.A.

During the interview both Nacho Herranz, general manager of sales for Spain and Portugal and Nathalie Alberola, director of marketing and design, were present.

What was your first task when you opened Hillpart?

Our first mission was to renew the presentation of cosmetics and makeup in Spain. We were the first company to present the references of colour cosmetics in displays, lined up by colour. We created colour cosmetic lines in which the colours never changed, to allow our clients to find the same references throughout the year. Our success was based on order and good structuring. Agustín Díaz, of Galerías Preciados, gave us the opportunity to try out our products at the Serrano centre in Madrid. We were the company with the greatest success in those centres where we had a presence and third in turnover. A year later our competitors also set up their displays, throughout this time we had the advantage and began to think about adding other products to our references, which is when we introduced cosmetic kits. Thus we began the creation, production and importation of products from the East.

You must have found some difficulty…

With the 1992 crisis in Spain, sales went down. That is when we acquired the Guylond brand, which existed since 1978. We created more references and started to broaden our services to maintain a greater commercial relation. When the crisis was over we decided to extend our presence in department stores, hypermarkets, supermarkets, direct sales, etc. We grew again. We were exporting to almost all the countries in Europe; in Morocco we were leaders in deodorant sales for many years. In 2003 we acquired our first license.

What are your expansion plans?

In 2010 we opened a sales branch in Paris, called Hillpart France. Currently, we have an important network of salesmen; 19 in the peninsula and Canary Islands and 5 in Portugal. Due to the current economic recession we are going through, we decided to open new markets, enhancing our role abroad, situating our presence in 10 European countries. Our increased sales bet has been a total success, placing us in large distribution chains. Likewise we export to agents situated in Germany, Switzerland, Croacia, Hungary and Rumania and to distributors in Ireland, Greece and Scandinavia. In Africa we have a well prepared sales network in Angola, Ruanda, Mozambique and Cape Verde, but volumes are not those of Europe. The evolution we see is very satisfactory. China and Taiwan have also shown interest in our products.

How do you hope to end 2011?

We are in full growth with Guylond; we are broadly progressing with a direct presence in France and Portugal and a greater evolution in the markets formerly mentioned, where we have a large number of new clients and salesmen. This spectrum of sales allows us to host a greater growth and positive results.

You have just announced the exclusive distribution of the makeup, bath and perfume line and gifts sets for Hello Kitty.

When we began to acquire licenses, Disney and Mattel had a larger number of references and sales. At present there are few brands which can compare their success to that of Hello Kitty. Its makeup line is included in individual cosmetics, in a segment different to those we are used to work with, a fact which does not concern us as we trust the brand completely. Likewise, we also have Betty Boop, Cars, Disney, Mattel, Sponge Bob…

In your business, which percentage belongs to Guylond and which to other brands?

This issue is difficult to answer as each year numerous changes appear in the sales activities of our most important clients at the European level. This clients change the number of references, the quantities, things in which we cannot influence at all. In summary, both Guylond and the other products run abreast. We foresee a notable increase in sales with these last products. On the other hand, with Guylond, we will grow at a slower pace but very solidly. At present Guylond has makeup sets, cases, bath sets, accessories and licenses. Hillpart also produces these very same products as brand names for certain customers, with the exception of licenses. Our force lies in the makeup sets, both in Guylond and own brands.

Makeup, accessories, bath sets, home fragrances… Have you thought about expanding towards the world of perfumes?

We actually made a design for a cologne and had everything ready to launch it. However, we finally took the decision to stop. The return on the investment which we had to carry out did not compensate. Everyone has their perfume, it is not like before. The market is saturated and there is no space for this. The quality guarantee in the sector is very high… The Hillpart philosophy is: quality (and its health control), innovation, service and price. We have the ISO 9001 and ISO 14001 and only work with GMPC (Good Manufacturing Practice Cosmetics) companies in China. We are now working on obtaining a new ISO. Laws are increasingly seeing us more as producers than importers and, to this end, we carry out health and quality controls before, during and after production. We can guarantee that everything we do complies with all current norms. We have a great team both internally and subcontracted in Paris and Barcelona. Regarding innovation, we always want to be at the top. We “inspire” ourselves with the latest trends worldwide, both in design as in fashion and technology. If we talk about price, we always make the effort to be very competitive. We always search the market for the newest products and adapt continuously both in Spain as well as the rest of Europe.

Which is your objective for 2012?

We will endeavor to strengthen our base by broadening distribution, introducing our brand in other professional sectors and seek greater sales in the export sector.