Brand Profile

Australia and New Zealand are "springboards for Asian markets", Azelis reveals

By Natasha Spencer

- Last updated on GMT

Australia and New Zealand are "springboards for Asian markets", Azelis reveals
Following its acquisition of Chemcolour in 2017 and its recent alliance with Momentive, the leading global speciality distributor talks about its entry into the APAC market and plans for growth.

How did Azelis enter the personal care market in APAC?

The strategic decision was to focus on personal care and home care markets. Therefore we are willing to invest in strengthening the team and building an application laboratory to support this in APAC.  

How old is Azelis?

Azelis has grown through acquisitions of companies with a long-standing history and reputation. One of the original Azelis founding companies, Arnaud, was formed in 1908.

In 2001, Azelis formed by the merger of Novorchem and Arnaud and established its presence in Asia Pacific in 2013. Continuing its global growth strategy, Azelis acquired Koda Distribution Group in 2015. Azelis strengthened its position in Australia and New Zealand (ANZ) by the acquisition of Chemcolour Industries in 2017.

How has its business strategy evolved since?

Azelis has evolved from a European company to its current international status with locations in 40 countries. The company has gone from a house of brands through acquisitions into the “one Azelis” it is today. 

Are Australia and New Zealand key markets for Azelis?

Australia and New Zealand are very interesting markets for Azelis in personal care as new products are often tried in these markets. Azelis has just made a major acquisition of Chemcolour and with this acquisition, we are now a top five company in the personal care market.

What attracted Azelis to the Australian and New Zealand markets?

Australia and New Zealand are wealthy countries with a growing population and are rich in natural resources. It is a great platform to extend mandates with our existing, global principals. Both Australia and New Zealand have developed economies with a solid growth of 3% in general and 6-8% in the personal care market.

There has been no recession in the last 25 years. Moreover, Australia and New Zealand are often used by FMCG multinationals as test markets for launching new products and the markets can be seen as springboards for the Asian markets.

What awards has Azelis won in personal care?

None in ANZ yet, but last year alone, Azelis won four innovation awards in 2017 (Gold Formulation Award at Cosmetagora, Product Innovation Award at Ringier Technology Innovation Awards, Laura Marshall Innovation Award at SCS Formulate) and the Personal Care Cosmetics Fountain Innovation Award 2017 at PCHi exhibition in Guangzhou, for the third year in a row.

What has spearheaded Azelis’ growth over the past three years?

The ANZ team has grown over the past few years, including the recent acquisition of Chemcolour in 2017, a leading provider of speciality chemicals and food ingredients in Australia and New Zealand (ANZ).

This acquisition helped to strengthen and position Azelis among the top distributors in ANZ. The Azelis team is energetic and built on technical expertise offering a strong portfolio of globally established suppliers. Thanks to Azelis’ solid values, technical expertise and innovative problem-solving approach it continues to grow in ANZ.

What drew you to form a partnership and strategic alliance with Momentive?

Silicone is a key product for the Personal Care market and the Momentive product portfolio is strongly positioned to help strengthen Azelis’ offering.

How is Azelis helping Momentive to grow its business?

Momentive’s range is a welcome addition to Azelis’ existing portfolio and the partnership will reinforce Azelis’s overall position in Asia Pacific as a leading distributor of speciality chemicals. Azelis has a strong, technically-driven sales model and with a proven track record and high focus on innovation, Azelis has confidence to grow the business further.

What are Azelis’ key priorities in 2018 and looking to the future?

Azelis will continue to grow as one of the leading global speciality distributors through targeted acquisitions that are selected due to a good strategic fit. In addition will look to grow organically and further invest in our people and their capabilities.

Investment in the application laboratories will assist the technical offering to our customers and suppliers, providing added value. Azelis will also further optimise processes and focus on the lateral value chain. In addition, Azelis is investing in a CSR programme that will roll out over the coming year.

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