It’s a fresh look for Total Face Group, with new CEO and acquisition
Special report: Medical, beauty and wellness company Total Face Group Limited is feeling rejuvenated, following a recent acquisition and the appointment of a new CEO.
Newly appointed CEO and MD Christine Parkes released a statement to investors yesterday, outlining her vision for the business.
The company (ASX: TFG) recently acquired The Giving Brands Company (GBCo), where Ms Parkes had served as CEO.
Total Face Group originally listed on the ASX in January 2016 with ten clinics delivering cosmetic treatments across three core treatment types – cosmetic injectables, skin rejuvenation and body fat reduction.
With new leadership in place, the company says it will fulfil its vision of offering clinics that provide clients with a full suite of services including tanning, body shaping, remedial therapies and injectable treatments.
Ms Parkes says she recognises the significant potential for a reimagined TFG.
“The demand for the health, wellness and spa industry services is increasing as spa services become popular with a wider client base, including men, corporate users, couples and families. The industry is worth nearly $400 million in Australia and expected to grow by 3.5 per cent by 2023.
“TFG is well placed to benefit from this growth in conjunction with the revenue potential from its retail beauty products.”
What’s next for Total Face Group?
As founder and former CEO of GBCo, Ms Parkes knows the company’s beauty brands inside-out and says incorporating the offering will transform the original services provided by the clinics and add new revenue opportunities.
Most famously, GBCo owns Jbronze, the celebrity-founded self-tanning product range, which will be fully integrated across the group.
The clinics will soon offer spray tans using the professional tanning range.
Her goal is to continue to incorporate further proprietary brands, which will be rolled out into clinics to capture new clientele and support the clinical service offering.
“As the product offering develops, using the clinic network to soft launch new brands will enhance consumer and retailer uptake, resulting in significant increases in margins on retail products,” added Ms Parkes.
The company expects its revenue will benefit from the retail sale of GBCo’s beauty brands, which sits in the highly lucrative cosmetics and toiletry wholesaling industry, currently at a revenue of $7.4billion in Australia, with projected annual growth of 2.2 per cent through 2023.
It plans to leverage a well-established network to reach potential consumers via its relationships with Chemist Warehouse, Priceline, Terrywhite-Chemmart and Independent Pharmacy groups to increase brand exposure and sales opportunities.
Ms Parkes credits much of success GBCo has achieved to its partnerships with well-known brand names, from which it can then develop licensed proprietary branded products.
The company recently signed agreements with publisher Lagardere Paris for the branding rights of ELLE fashion magazine, one of the top selling fashion magazines in the world.
Additionally, in September, the company signed a further two licensing agreements with Bauer Media, which owns Country Style Magazine and Australian Women’s Weekly.
Together, they will create natural, premium and competitively priced lifestyle, bath and body ranges.
“We are working with ELLE to launch the ELLE Colour Cosmetic range in 2019, with an additional ELLE Kids range well into design and development.”
The company is also in development phase with a Country Style lifestyle brand and Australian Women’s Weekly’ ERA Home Spa/ Laundry range.
Total Face Group is a Stockhead advertiser.