Business Intelligence on Retailing, Franchising, and Consumerism in China

Oriflame To Complete Distribution In China Within Five Years

Sweden-based direct-sales cosmetics company Oriflame has decided to open retail stores and service networks in the main provinces and regions in China within five years.

Helen Chan, managing director of Oriflame Cosmetics China, says that the company is going to recruit direct sale staff in Wuxi, Suzhou and Nanjing. The establishment of sale points and service networks will be finished in five cities by the end of this year.

Oriflame produces and sells a complete range of cosmetic and toiletry products including skin-care, hair-care products and perfume. It deals in products developed and produced in-house and sells its own cosmetics by direct sales.

Chan says that Oriflame will open five retail stores in Nanjing, Wuxi, Suzhou, Shanghai and Chengdu, respectively, before December 25, all of which can undertake the sales, training, and relevant work for direct sale persons. She says that Oriflame also plans to enter Guangzhou, Shenzhen and Beijing in 2007, and then open more outlets in Sichuan, Jiangsu, Guangzhou and Beijing. Oriflame will in the meantime submit the applications to Chinese government agencies for a license to conduct direct sales.

Oriflame was founded in 1967 in Sweden and has become Sweden's larger cosmetics company with several brands sold through different distribution channels. Oriflame was established in China in August 2004.

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