Company Profile

www.alfaparfgroup.com

Alfaparf Group

The profile

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Over thirty years’ of growth

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Business sectors and brands

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Business and organizational model

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Research and innovation

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Production

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Distribution

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Training of professionals

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Environmental sustainability, quality, safety

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Offices

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The profile ALFAPARF is an Italian multi-national cosmetic company working in hair care, facial care and body care; integrating research, production and distribution.

Its mission is to raise the quality of the service offered to professional clientele (hair-stylists, beauticians and estheticians) through products and services which express Italian taste and creativity and modern international trends. The Group is the owner of the following brands: ALFAPARF Milano, Yellow, DIBI Milano, TeN, Altamoda è…, Becos, Olos, Solarium, Decoderm Make Up I Care, Tisalya, Thermae SPA. Products and services are the result of research, collaboration with international level professionals, technological know-how, direct knowledge of professional workers and their requirements. The Group has five production plants (Italy, Brazil, Mexico, Venezuela and Argentina, the latter operative since 2013) and approximately 1,300 employees, of which about 400 are based in Italy. Products and services are distributed in over 80 countries through a network of branches of 20 Countries and 150 distributors. ALFAPARF Group is one of the leaders in Latin America in hair care and a benchmark in Italy for beauticians in facial and body care. The Group’s founder and Chairman is Roberto Franchina, the President is Attilio Brambilla, the Chief Executive Officer is Davide Cortinovis.

80

Products distributed in

countries

Alfaparf Group

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Over thirty years’ of growth

Alfaparf Group

1980.

The year the company was set up. Headquarters: Vaprio d’Adda, in the province of Milan. Employees: just over ten. Roberto Franchina, founder, begins to develop the business in north and central Italy.

1989.

Launch of the Semi di Lino line.

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2008.

Work starts on expanding the plants in Italy, Mexico and Brazil. The start of the Private Label project: aimed at developing production through sub-contractors.

2009.

ALFAPARF acquires GTS Group, established in the late 70s, which produces and distributes cosmetic products for professional and non-professional use, equipment for beauticians and services for

1990.

beauty institutes.

1995.

ALFAPARF integrates the operational business of GTS: production is moved to the ALFAPARF

Evolution of the Color is created, permanent dye.

The first exports to Spain. Followed by arrival in Latin America and the establishment of the first branches in Brazil, Mexico and Argentina.

1997-98.

The first production plants are built in Latin America (Brazil, Mexico, Venezuela and Argentina). Those in Venezuela and Argentina will later be closed down.

2000.

The Italian production moves to Osio Sotto (Bergamo).

2002.

A group of companies leads to the formation of ALFAPARF Group multi-national Italian cosmetics company with a business volume of approximately 60 million euros: more than 90% of which is generated abroad.

2003.

The start of business in China.

2010. plant.

2011.

With the new brand DIBI Milano the relaunching of the skin & body care gets underway. ALFAPARF makes its début in the consumer channel in Brazil with the brand Altamoda è… (hair care), distributed in shops specialized in hair care products, drug stores, perfume shops. The partnership the Terme di Chianciano marks the entry into products for spa treatments.

2012.

Relaunch of business in China with a new distribution network. Intensification of export to Russia. Start of business in India, Morocco, Baltic Countries, Arab Countries. The new plant in Venezuela becomes operative.

2013.

Plant in Argentina completed: production starts. The sale of the brand Alta Moda è… is extended to other Latin American markets. Russian branch opens. Significant investments in Italy on the brand DIBI Milano.

Alfaparf Group

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ALFAPARF Group has based its growth on hair care. Solid basic skills, research and collaboration with international level hair stylists have allowed numerous brands to be affirmed in Italy and abroad. The business in the professional beauty sector (skin & body care), which started in 2004 with the launch of the brand TeN, received a strong boost in 2009 with the acquisition of GTS Group, owner of brands with a consolidated market position. Today ALFAPARF is among the leading players in the Italian professional beauty sector.

The strategy of diversification has led to building a range of solutions which cover all professional requirements in hair care, facial care and body care.

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Business Sectors

The brands

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Alfaparf Group

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Eleven brands: some are by now long established benchmarks for hair care and professional beauty professionals; others are the answer to new visions of wellness and beauty. All of them express the pursuit of excellence and contribute to creating a unique portfolio of products.

Alfaparf Milano. It is the main brand, supported by a strong character of innovation. The product

Olos, La Bellezza è Natura. It’s the cutting edge brand in research and natural beauty treatments.

portfolio, which covers all professional requirements (colour, shape, care, styling), is composed of 20 lines for a total of over 300 references. Semi di Lino and Evolution of the Color are the flagship products of the brand.

DIBI Milano. With a 30 year history in professional beauty and distributed in over 30 Countries, the brand is by now synonymous with beauty institutes. Attention to technology applied to beauty is Yellow. Born in Brazil to meet the requirements of the national population (hair straightening products). Today it is commercialized all over the world and is aimed at a young target with seven lines, 150 SKUs and a competitive value for money ratio.

Altamoda è... For the first time, Alfaparf group creates, designs and presents a brand for the retail channel. After the successful launch in Brazil, Altamoda è …in 2013 has been launched in Argentina too.

the distinctive quality of this offer, made possible through collaboration with prestigious universities. The DIBI Milano beauty centres provide a diagnostic system, the latest equipment and top quality lines of cosmetics with guaranteed and certified results.

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Alfaparf Group

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Becos. Identifies a complete range of products, equipment and services for beauty professionals. The Becos Club are oriented to a young target audience.

Solarium. It’s synonymous with tanning: a line of sun care products for face, body and hair produced with advanced photo protective technology.

TeN. The acronym stands for Technology and (e) Nature, but also for “10” meaning the quality of the performance. It identifies a wide range of products for advanced professional cosmetics. Thermae SPA. Born from the collaboration with Terme di Chianciano, it identifies a new line of spa treatments for hair and body. Natural products completely paraben and paraffin free. Decoderm Make Up I Care. From research in the Group’s laboratories and beauticians’ experience, the first line in Make Up Care is born. Paraben free and perfume free. It knows your skin, takes care of it, and brings out the beauty of every woman. Tisalya. It’s the first line of medicinal herb-based liquid food supplements, cold extracted with ultrasound technology. Mixed with the precious spa water of the Fonte Acqua Santa delle Terme di Chianciano, the herbs create a product suitable for the protocols of body beauty.

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Business and organizational model ALFAPARF Group works according to a model which integrates research, production and distribution, guaranteeing direct control of the whole value chain. The operating activities are organized by business and geographical areas according to a matrix defined model typical of multinational groups, which implies close functional collaboration among the operating areas (hair care, skin & body care, sub-contractor production) and the foreign branches of ALFAPARF Group (Europe, Americas and Asia). The model enables, amongst other things, to effectively satisfy the evolution of requirements in the various markets in which the Group operates. The principles:

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Assisting professionals according to their respective characteristics.

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Continuous research for products and services able to improve the services provided by professionals.

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Ensuring the ability to satisfy the evolution of market needs at all times.

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Trend towards continual improvement.

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Circulating ideas and knowledge acquired from operating all over the world.

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Basing products and services on direct knowledge of professionals and on the verification of their requirements.

Research and Innovation Promoting research and innovation has always been one of ALFAPARF’s core strategies, translated into numerous products which have made a name for themselves in Italy and abroad. A strong impulse towards innovation derives from the collaboration with the best beauty professionals and from the international distribution network which picks up on market trends and requirements and gears research towards satisfying them.

In recent years the commitment to research has been intensified: the activity has been expanded into new sectors and developed abroad, as well; the research team has reached a total of 50 employees; it has been enhanced by staff training.

Production

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The production structure meets the needs of global distribution with five plants in Italy, Brazil, Mexico, Venezuela and Argentina. The production surface area has almost doubled in the last five years, reaching 100,000 square meters: 35,000 in Brazil, 35,000 in Mexico, 15,000 in Italy, 5,000 in Venezuela and 10,000 in Argentina. The expansion of the plants has taken place, since the early years of 2000, alongside the adoption of a management system which has enabled the company to reach high standards of quality. The Italian plant received ISO 9001 certification and will soon be operating according to the Good Manufacturing Practice (GMP) which sets out methods, equipment, means and regulations for production management to ensure appropriate quality standards.

In the hair care sector the biggest efforts have been made in recent years, specifically in hair color and technical products like decolorants and straighteners; the latter to reduce the volume of frizzy and wavy

The plants in Mexico, Brazil and Venezuela already operate according to GMP. The

hair.

compliance with quality standards for Italy and abroad is the responsibility of a function of the group (Total Quality Management). Every plant has a quality control laboratory for

In the skin & body care sector the research work has been focused on moisturizing products,

individual components, semi-worked, raw materials, packaging and finished products.

anti-age and anti-cellulite products, in addition to matching particular products to equipment for beauty treatments given that their effectiveness is closely connected to the method of application.

Know-how, presence in strategic geographical areas and operating flexibility have made ALFAPARF an interesting industrial partner for multinational cosmetics companies and those operating in

The Group’s research activity is mainly carried out in the central laboratory in Osio Sotto (Bergamo)

great distribution. Therefore, production as a sub-contractor has been added to production of

integrated with a Technical Centre and a Pilot Centre where products for hair care and beauty are

the Group’s own brands. The first agreement, signed with one of the main global distributors of

tested on volunteers.

cosmetics for professional use, was followed by important agreements with other multinationals.

In Osio Sotto, raw materials are evaluated and selected (used also in foreign production and rigorously tested), product formulas are studied, some effectiveness tests are carried out. Safety and clinical effectiveness of the products are certified by independent bodies. Other research laboratories are situated in Brazil and Mexico.

100.000

m2

of production surface area

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Distribution The solid international distribution network is one of the Group’s strengths, supplying 300,000 customers in over 80 Countries. The sales activity has been developed according to two operating models: distributors (with an exclusive agreement with ALFAPARF) and branches (present in 20 countries other than Italy). The preference for one model or the other varies based on the market (characteristics of requirements, positioning of ALFAPARF, objectives for growth). The activity of distributors (150 around the world) is supported by marketing services, training (over 50 centres) and sales assistance.

The branches, run by the ALFAPARF management can count on over 500 agents who liaise with more than 50,000 professionals, increasing the wealth of knowledge and experience which is vital for picking up on new needs and promoting innovation.

150

distributors around the world

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As well as its capillary geographical nature ALFAPARF has geared the sales network towards the quality of the relationship with professionals. The target: to integrate the sale of products with services which enable hair stylists and beauty professionals to manage their business activities in the best possible way and provide prompt responses to new trends and requirements coming from the market The ability to pass from product supply to a wide range of services has, furthermore, taken on strategic importance in professional cosmetics: speed of response and quality of solutions are decisive arms for competing.

Starting from this vision, the Group has built a wide ranging offer of training on technical professional aspects and on management. Hair stylists, beauticians and estheticians, based on their own level of experience and skill, can today find the most suitable solution for their own needs regarding professional and entrepreneurial growth in the courses organized by the Group.

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Training for professionals

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Environmental sustainability, quality, safety The business views environmental sustainability as not only an ethical commitment, but also a strategic factor for competitiveness.

Particular attention has been paid to quality, meaning not only the product’s performance or the compatibility of the industrial processes, but also regarding a policy of development and protection of human resources. Over the years the Group has built an effective system of organizational procedures, analyses and data collection in order to comply with current norms as far as health and safety in the workplace is concerned. Spreading and consolidating the culture of workplace safety is an objective which is translated in action beyond mere compliance with norms. Much attention is given to informing and training staff and managers, to providing workers with devices for individual protection, training them to use these correctly, and monitoring compliance with safety norms.

Offices

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EUROPE

NORTH, CENTRAL AND SOUTH AMERICA

Chile

ASIA

Italy

United States

China

BEAUTY & BUSINESS S.P.A. Via Cesare Cantù 1 20123 Milan

B.I.P. INC. 8995 Northwest 12th Street FL 33172 Miami

COSMETICA CHI.COSM LTD AV Presidente Eduardo Frei Montala Bodega BB Quilicura Santiago Norte

ALFA PARF GROUP S.P.A. Via A. Aldini 206 40136 Bologna Spain ALFA PARF GROUP ESPANA SL Calle Bergueda 1, Local 3C Planta Baja El Prat de LLobregat Barcelona Portugal MARESANA LDA Rua do espido 164-c Sala 105 Edificio Vianorte 4470-177 Maia Poland POL.COSM SP. Z.O.O. UL. NOWA 23 05-500 Piaseczno Stara Iwiczna Warsaw

Brazil DELLY DISTRIBUIDORA DE COSMETICOS E PRESTAÇÃO DE SERVIÇOS LTDA Rodovia Presidente Dutra 4300 - parte 18 Bairro Jardim Jose Bonifacio Cidade de São João de Meriti, Rio de Janeiro CEP: 25.565-350 DELLY KOSMETIC COMERCIO E INDUSTRIA LTDA Estrada do Pedregoso, 3229 Distrito Industrial de Campo Grande Campo Grande, Rio de Janeiro CEP: 23.078-450 Venezuela DISMAR COSMETIC C.A. Carretera Nacional Guarenas, Guatire, Sector El Refugio, C. C. El Refugio Plata baja, Local PL-1 Ciudad de Guatire, Estado Miranda INDUSTRIAS VEPROCOSM C.A. Zona Industrial Guayabal, Calle La Guairita, Galpon N. 44, Guarenas, Estrado Miranda

Russia

Colombia

Alfa Parf Russia s.r.l. Prospect Andropova 18 Bld. 6, offices 4-11, 4-18 115432 Moscow

SABAMA LTDA Carrera 13/91/68 Santa Fè de Bogota Ecuador E.COS. S.A. Av. De Las Americas Edificio Sono Pal Bodeba 16 Guayaquinl Perù PERCOSM PERU SAC Jr. Bolognesi 125, of n. 1004 Miraflores Lima

Argentina

ALFA PARF (SHANGHAI) TRADING CO.,LTD 102 Room 2 Building 50 Yu Yao Road Jin’an District Shanghai

PRODICOS S.A. Mozart s/n - Parcela 1388 Centro Industrial Garín - CP 1619 Escobar, Buenos Aires

OCEANIA

Mexico

Australia

DOBOS S.A. DE C.V. Eye Norte n. 205 – maz 405 JA 200 Toluca

ALFHAIR LTD Unit 2, 389 Flemington Road North Melbourne VIC 3051

Guatemala GUATEMALA COSMETICOS S.A 20 Calle 26-30 Conjunto Empresarial DEC.V. Bodega 10, Zona 10 Guatemala El Salvador CLIO COSMETICS, S.A. de C.V. 71 Avenida Norte 315 Colonia Escalon San Salvador Costa Rica COSTA RICA COSMÉTICOS COSDIST SRL Barrio Lo Yoses Avenida 10 San José Dominican Republic PORTA NUOVA S.A. Calle José Contreras 34, Zona Universitaria Santo Domingo D.N

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