Markwins AM Cosmetics Buy Adds Value Assortment To Portfolio
This article was originally published in The Rose Sheet
Executive Summary
Markwins International plans to dedicate resources to three key AM Cosmetics brands following its acquisition of the company March 1, the beauty manufacturer said
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Markwins International plans to dedicate resources to three key AM Cosmetics brands following its acquisition of the company March 1, the beauty manufacturer said. Wet 'n' Wild , Black Radiance and Tropez will be the three core brands that Markwins will focus on, the firm said. The acquisition also included AM Cosmetics' Artmatic and Jonel brands. Wet 'n' Wild - which makes up 90% of AM Cosmetics sales - will be the primary focus of new advertising and marketing support, an initiative Markwins plans to launch in the near future, the firm said. However, Black Radiance and Tropez ethnic cosmetics brands also have "huge potential," the company added. Markwins hopes to avoid spreading its resources too thin among AM's wide range of brands, which ultimately proved to be an obstacle for AM Cosmetics, according to the firm. The company does not plan to the change the value positioning of any of the brands. AM Cosmetics brands are positioned at the lower end of the pricing spectrum at mass. Wet 'n' Wild products typically retail for $.99-$2.99, which is a "solid" price structure, according to Markwins. The transition to new ownership will be "seamless" from the consumer's perspective, the company added. Established in 1984, Markwins manufactures, markets and distributes cosmetic sets and accessories sold in department stores, specialty stores and mass market doors. The company's beauty brands include The Color Institute , Color Workshop , ACT and POP . Markwins distributes products throughout North America, Europe, Asia and the Middle East and views international expansion as an opportunity for growth for certain AM Cosmetics brands. Markwins will take over development, manufacturing, marketing and distribution of the AM brands, which will now be organized under the Markwins Beauty Products division. The AM Cosmetics marketing team will remain at the company's North Arlington, N.J. headquarters, Markwins said. However, distribution will be moved to Markwins' facility in Los Angeles, the firm said. |