Photo: Associated Press
Tupperware, the company famous for plastic containers and home parties, has quietly built a beauty empire in Latin America.The Wall Street Journal’s Dana Mattioli reports that Tupperware realised a few years ago that women in that region weren’t as interested in their products, and would much rather spend money on their appearance.
Using a “vanity index,” which surveyed consumers around the world, Tupperware determined that women in Venezuela are the most obsessed with appearance.
So it decided to capitalise on this by creating a new beauty division to its business, selling perfumes and skin care, while using a direct-sales model inspired by its Tupperware line — and what Avon has been doing in the country for years. Representatives bring beauty products to the customer, setting up makeshift spas in their home. Since 2005, the beauty business has grown to make up 26 per cent of revenue.
CEO Rick Goings explained Tupperware’s strategy to the Journal:
“There used to be a bank robber called Willie Sutton, who when asked why he robbed banks would answer, ‘That’s where the money is,'” says Rick Goings, Tupperware ‘s chief executive and chairman. “That’s why we did beauty down there.”
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