Domestic Manufacturing Key for Competitiveness in Brazilian Professional Hair Care Market

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2. Choosing the Right Consulting Partner is Choosing the Growth Path OUR EXPERTISE - END TO END CONSULTING Energy and Power Lifesciences and Healthcare IT & Consulting Consumer – Retail Electronics Chemicals and Materials Brazil Professional Hair Care Market Study Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

3. Brazil Professional Hair Care Market Revenue (2014-2020) Brazil Salon Landscape Brazil Professional Hair Care Market by Distribution Channel Brazil Professional Hair Care Market Overview Brazil Professional Hair Care Market Share Analysis Brazil Cosmetics & Personal Care Market Overview Top 5 Company Profiles (Trends, Developments, Market Share by Product Category) Brazil Country Overview. Brazil Professional Hair Care Products Market Scope Appendix TABLE OF CONTENTS Web - www.industryarc.com | Mail – sales@industryarc.com 8/7/2015 8/7/2015 Web - www.industryarc.com | Mail – sales@industryarc.com 3 3 Web - www.industryarc.com | Mail – info@industryarc.com Web - www.industryarc.com | Mail – info@industryarc.com Web - www.industryarc.com | Mail – info@industryarc.com

4. SCOPE OF THE STUDY “Brazil Professional Hair Care Products & Services Market” includes the study of Back Bar and Over-the- Counter products sold in the year 2014  Back-bar products are used by professionals/stylist for the services in the salon  Over-the-Counter or take-home /salon retail products are the professional hair care products that are sold over the salon counter by hairdressers or hair specialists and sales through other retail formats such as speciality stores, supermarkets, online etc  The report focused more on the products sold and used for services in salon  Geographically, the report focuses on Brazil with special emphasis on the federal capital, Brasilia, Rio de Janeiro and Salvador, the former capitals of Brazil, Sao Paulo, Belo Horizonte and Porto Alegre  This report deals with 4 major hair-care categories namely, hair coloring, straightening, re-bonding and perming, Shampoos and conditioners and hair styling Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

5. SURVEY QUESTIONNAIRE : KEY DATA POINTS  Survey Questionnaire was designed focusing on the aspects below :  Average number of customers for each salon by Service Type  Performance of each brand and average share of sales for each of the product categories under the scope  Product costs based on the Brands and Product Categories  Customer preferences with respect to Brands and Type of Products  Profit margins for various products and reasons for using a specific product by a salon  Market Size for each product category from the Manufacturers’ Perspective  Distributors’ Perspective in terms of Demand and Salon Preference Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

6. CATEGORY DEFINITIONS  Shampoo is used to clean hair and scalp by removing dirt and oil caused by environment and external products applied on hair. Various types of shampoos are available in the market such as shampoos for colored hair, dry hair, normal hair, oily hair, treatment shampoos, anti-dandruff shampoos.  CONDITIONERS Conditioners are used in treatment and to soften the hair. It is used after shampoo to improve the texture and appearance of hair. Various types of conditioners are available in the market such as deep conditioners, leave in conditioners, anti-dandruff conditioners  HAIR STRAIGHTENING & PERMING PRODUCTS It is a thermal treatment designed to permanently flatten or permanently wave the hair. Different types of straightening are Japanese Straightening, Brazilian Straightening, keratin hair treatment etc.  HAIR COLORING PRODUCTS These products are designed to color or tone the natural hair. It is used to cover gray hair or color the hair as desired. The degree of permanence and intensity differs. This category includes permanent, semi-permanent, demi-permanent, temporary colors and bleaches  HAIR STYLING PRODUCTS Designed to control and enhance hair appearance. It Includes gels, mousse, volumizers, styling lotions, hair spray, thickeners, shine enhancers, pomades, waxes, tonics and styling lotions  HAIR TREATMENT PRODUCTS These products are designed to treat scalp skin disorder or damaged hair due to prolonged or repeated heat exposure, chemical exposure and by straightening and perming. It includes oils, serum, mask, Scalp cleansing solution, spray, lotion. SHAMPOOS Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

7. BRAZIL SALON LANDSCAPE, 2014  As of 2014, the total number of salons offering professional hair services were estimated to be around 135000 out of which 84.4% are unorganized  In 2014, hair coloring, straightening and treatments are the most dominant hair salon services in Brazil  The price of the service varies depending on the hair type, length of the hair, products preferred for usage and the salon type  In recent years many family hair salons have opened up, this is new service concept in Brazil Salon Split , By Category, 2014 Average Prices For Hair Care Services In Brazil, 2014 Service Price Range (BRL) Hair Color 110-250 Unorganized Straightening or Perming 250-400 Organized Hair Wash( Shampoo, Conditioning) 90-170 Cut-Blow-Dry (Styling) 75-150 Source: IndustryARC Analysis Source: Expert Insights, IndustryARC Analysis Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

8. BRAZIL PROFESSIONAL HAIR CARE PRODUCT MARKET REVENUE  Professional Hair Care Product market of Brazil was valued at BRL X,XXX.XM (USD XXX.XXM) in 2014 and is poised to exhibit a growth rate of X.X% CAGR to reach BRL X,XXX.XXM (USD XXX.XXM) by 2020  Shampoos and conditioners occupied the largest share of XX.X% in professional hair care product market, with a revenue of BRL XXX.XXM (USD XXX.XXM) in 2014  Professional hair styling products is the fastest growing segment which is estimated to grow at a CAGR of X.X% during the forecast period 2015-2020 Professional Hair Care Products Market Revenue, by Category, 2014-2020 (Million) Professional Hair Care Products Market Share, by Category (2014) Service 2014(BRL) 2014($) 2020(BRL) 2020($) CAGR Coloring XXX.XX XXX.XX XXX.XX XXX.XX X.X% Perming and Straightening XXX.XX XXX.XX XXX.XX XXX.XX X.X% Shampoo & Conditioning XXX.XX XXX.XX XXX.XX XXX.XX X.X% Styling XXX.XX XXX.XX XXX.XX XXX.XX X.X% Total XXXX.XX XXXX.XX XXXX.XX XXXX.XX X.X% Source: Expert Insights, IndustryARC Analysis Source: Expert Insights, IndustryARC Analysis Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

9. PROFESSIONAL HAIR CARE MARKET TRENDS, BY PRODUCT CATEGORY, 2014 Category Trend • ------------------------------------------------------------------------------------------------------------- • ------------------------------------------------------------------------------------------------------------------- Hair color ----------------------------------------------------------------------------- • ------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------------------------- Perming & straightening -------------------------------------------------------------------- • ------------------------------------------------------------------------------------------------------------------- ------------------------------- • ------------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------- Shampoos & conditioners • ------------------------------------------------------------------------------------------------------------------- ------------------------------- • ------------------------------------------------------------------------------------------------------------------- Styling products ------------------------------- Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

10. PROFESSIONAL HAIR COLORING PRODUCT MARKET, 2014  Professional Hair coloring market in Brazil was valued at BRLXXX.XXM (USD XXX.XXM) in 2014. It is estimated to grow at a CAGR of X.X% through 2020 to reach BRL XXX.XXM (USD XXX.XXM)  Permanent hair colors are the most preferred products in hair coloring, which held a share of around XX.X% in 2014. Semi and demi permanent hair coloring products , bleaching products and toners accounted for XX.X% of the market  In Brazil, P&G is the dominant player in the professional hair coloring market with a share of XX.X% in 2014 Professional Hair Color Products Market Revenue, by Company(2014) (Million BRL) Professional Hair Color Market Revenue by Product Type, 2014 Rank Brand Percent share Value (Million BRL) 1 Procter & Gamble Co XX.X% XXX.XX 2 L'Oreal Group XX.X% XXX.XX Alfaparf Group XX.X% XXX.XX 3 4 XX.X% XXX.XX Henkel AG & Co. KGaA Itallian Hairtech XX.X% XXX.XX 5 Total XXX.XX Source: Expert Insights, IndustryARC Analysis Source: Expert Insights, IndustryARC Analysis Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

11. 11 COMPANY PROFILE - L’OREAL GROUP L’OREAL GROUP : PROFESSIONAL HAIR CARE PRODUCTS – BRAZIL  Professional hair care brands of L'Oréal group available in Brazil includes L’Oreal Professionnel, Redken, Matrix ,Pureology ,Mizani and Kerastase  Around XX.X% of L'Oreal Group's professional hair care products revenue in Brazil was generated from the sale of professional shampoos and conditioners including treatment products in 2014, whereas hair coloring products contributed to XX.X% of the revenue L'Oreal Group: Brazil Professional Hair Care Products Market Share, By Category(2014) Source: Expert Insights and IndustryARC Analysis Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

12. RESPONDENTS SNAPSHOT  Total number of primary respondents were - XXX  This included the salon owners, hair stylists, distributors, sales managers and manufacturers  Main areas covered where Sao Paulo, Rio de Janerio, Brasilia ,Curitiba, Porto Alegre, Belo Horizonte and Salvador 120 Number Of Respondents 100 80 60 40 20 0 Beleza Natural Soho Walter's Jacques Janine Antony Su Beauty Helio Princess hair W Studio Hugo Beauty Lady&lord Beauty Expert Other Source: Expert Insights and IndustryARC Analysis Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

13. RESEARCH METHODOLOGY MARKET ESTIMATION METHODOLOGY (BOTTOM-UP APPROACH) FOCUSED GROUPS & RESEARCHERS PRIMARY SOURCES 3 membered three focused groups were assigned work to visit the salons or contact the salons and complete the survey Salon Owners, Salon Managers, Manufactures of Professional Hair Care Products. Distributors and Suppliers Demand Side Two Researchers were asked to collect the data on a weekly basis and generate qualitative and quantitative analysis Focused Groups & Researchers Primary Sources Secondary Sources SECONDARY SOURCES One Project Manager and a consultants with experience in consumer sector manages the entire team and validates the collected data Salon Web Portals, Journals and Beauty Country Statistics Association, Premium Databases for Prices DATA CONSOLIDATION Database Magazines, INFORMATION SOURCED Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

14. FOCUSED GROUPS RESEARCH FLOW Survey Group 2 Survey Group 2 Survey Group 2 Distributors Survey Group 1 Survey Group 3 Survey Group 1 Salon Owners Survey Group 3 Manufacturers Statistical Tool Survey Group 1 Survey Group 3 Final Processed Data Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com

15. Thank You! IndustryARC +1 614-588-8537/38 sales@industryarc.com sanjay.matthews@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com Web - www.industryarc.com | Mail – sales@industryarc.com