A Catalan fragrance company succeeds worldwide
Eurofragance is a Catalan company that belongs to a very specific economic sector: the fragrance market. Specialising in producing scents for food and bathroom products, this company with its headquarters in the Barcelona Metropolitan Area exports 90% of its products. Its creations can be found around the world but especially in the Middle East and emerging markets
Rubí (ACN).- ‘Eurofragance’ represents an example of an unusual business that has overcome the current economic crisis with incredible ease. The secret of this Catalan family run company lies in the particularity of the product –fragrances for food and toiletries- and its final customers –mainly located in emerging markets outside the Catalan and Spanish market, like Dubai or Turkey -. Through accurate market studies, Eurofragance identifies the consumption patterns from different countries and adapts its products to match the preferences of the particular country. The company is based in the town of Rubí, 30km from Barcelona.
“The fragrance that we associate with a clean space is not the same here as it is in France”, explains Núria Sabatés, Head of the company’s Communication Department, to justify Eurofragance’s activity abroad. Saudi Arabia is its major customer, but the firm also has subsidiary companies in places like Dubai, Mexico, Turkey or the Philippines where 150 workers deal with the orders. This year’s good results might be the perfect opportunity to expand the range of products the company offers, and possibly open up in new markets like Brazil and China.
Family origins
The company, created 20 years ago by the Sabatés family, initially developed its activity around cosmetic product scents. Recently, and due to market demand, it diversified towards food fragrances. Sabatés explains that this new branch of activity arises from the fact that society has gradually shown an interest in body care, which “opens up many new possibilities” for the company.
A crisis that never affected the scent market
Eurofragance has not shown any signs of slowing down since the recession took hold of global markets in 2008. On the contrary, the company forecasts an increase of 14% in its turnover in 2011 after having reached 32 million euros last year. Núria Sabatés explains this phenomenon: “the crisis hit the quality of food products but not the quantity”. This explains why the food scent division has not been negatively affected. The perfume division has followed a similar process because “consumers have continued to buy personal hygiene products”, states Sabatés.
Scent marketing strategies
Another explanation for the company’s good results can be found in the expansion of marketing policies that use scents. Some firms use fragrances to create a corporate scent that will match the consumer’s thoughts with the brand’s image. “This strategy is carried out by many clothing shops like Zara”, notes Sabatés. Scents are also used to attract clients, a common practice used in bakeries and cake shops