Gigi Cosmetic Laboratories, founded by Eliezer Landau in 1957, is an Israeli professional cosmetic brand. Starting with just two products, the company now offers more than 300 professional and home care products for salons and has grown to account for 60% of the professional market in Israel, as well as being exported to over 50 countries worldwide and attracting many fans.
We spoke to Dalya Goldberg, VP of Global Business Development and Sales at GIGI Laboratories, which exhibited at the recent Beauty World Japan in Nagoya and Osaka.
ーーーCould you please let us know your career?
I am Dalya Goldberg, VP of Global Business Development and Sales at GIGI Cosmetics. I have been involved in international business development for almost 30 years, 25 of which have been in cosmetics-related businesses. Prior to GIGI, I worked as head of International business development at AHAVA for nine years. Before that, I lived in Kenya, Africa, with my husband and had my own distribution business selling Dead Sea products to East Africa.
As a professional cosmetics brand, GIGI has different distribution channels which are different than those of Retail Cosmetic brands and I had to learn about the new world of professional treatment products as well as active ingredients and acids, their processing and protocols. It was quite a challenge for me, but I managed to overcome it.
More than seven years have passed since I joined the company, during which time we have opened up many new markets and introduced many new tools, marketing and sales tools. Thanks to these activities, our company has recorded continuous growth since the new coronavirus outbreak and has achieved double-digit annual growth since 2020.
ーーーCould you please tell us what's GIGI, and the story behind the GIGI brand establishment?
First, let me tell you about the origin of the brand name GIGI.
Our founder, Eliezer Landau, was a fan of the film actor Ms. Leslie Caron. Just before the company was founded, the actor played the main character in a film called GIGI. So when Mr. Landau was looking for a name for his new company, he liked the name GIGI and decided to use it as the name of his own brand.
Mr. Landau was a Hungarian immigrant and a chemist with a passion for beauty. When he came to Israel, he thought about where he could use his experience and how he could bring added value. He decided to create Israel's first brand entirely dedicated to professional cosmetics. The first two products produced were hair removal wax and acne care products.
ーーーWhat are your brand's unique characteristics that aren't found elsewhere?
First of all, we have 66 years of history, reputation, and expertise to back it up. Our slogan is ‘Feel Beautiful' and for 66 years we have understood the beauty, needs, and skin requirements of women and men, which is a key asset that makes us uniquely individual.
We have developed more than 5,000 products to date. We do all our product development in our own laboratory, and doctors participate in product development. Everything is also done in-country, from logistics, marketing, education and training, and we have a new factory in the south of the country, which was set up two years ago. Everything is made in-house, which gives us flexibility and allows us to adapt quickly to market needs.
For example, in the future, a Japanese distributor or market may require a change in the packaging of one of our products. In such a case, we have the capacity and flexibility to produce and develop to meet the needs of any market. This would be difficult for other brands to do. And this flexibility allows us to respond to all skin concerns, all skin tones and market trends in all markets.
The company is also known for its continuous innovation, having been offering innovations to the market for 66 years. For example, we were the first in Israel to sell hair removal equipment, the first in the world to use aloe vera as an active ingredient in cosmetics and the first in Israel to use SPF sunscreen in cosmetics.
We were also the first cosmetics company in the world to wrap its products with cellophane, which was previously only used in perfumes, although nowadays there is a trend to eliminate it per se due to environmental concerns. Also, the first company in the world to incorporate dental alginate into face masks as an ingredient to make the mask harden and stick to the face.
Recently, in the new anti-aging line New Age G4, it succeeded in including 21 active ingredients in a single product, setting a new Israeli record for the number of active ingredients. We also hold a number of patents with exclusive rights. Another unique aspect of our company is that we continuously innovate our products and launch new products and lines every year.
ーーー5,000 items over 66 years, which means an average of 70-80 items a year on the market.
You are right. in September, we launched a new product line called Texture. A patented line with an innovative complex containing 4 active ingredients that brightens, heals and smoothes the skin at micro and macro levels. The line includes revolutionary products powered by cutting-edge Israeli technology to provide results immediately after use.
And while other brands of cosmetics have to align their products by line, all of the more than 300 products we currently carry work together in synergy and there is no need to worry about matching each line between treatment, professional, and home care product categories. Our ‘mix & match’ system enables us to offer personalized cosmetics to each and every customer.
A customer can use a product that eliminates dullness one day for a customer who is concerned about dullness, and the next week change to a product that helps with dryness if the same customer is concerned about dryness this time. This means that only products relevant to the customer can be purchased, which is economically beneficial for the salon as there is no need to have a full line. The synergistic effect of facial treatments with beauty equipment is also excellent.
ーーーDoes this mean that there is no difference between men's and women's versions?
All cosmetic products are the same, with a choice of different combinations of products for men and women. Today, men are also actively adopting facial care and I have a 23-year-old son and a 19-year-old daughter, both of whom use different combinations of our products.
The skin types of Asians, blacks, and whites also differ greatly, but this problem can also be addressed with different product combinations. In Israel, there are fair-skinned people from Western European countries, dark-skinned Jews from African countries, as well as the Asian community. In short, Israel is like a test case for all skin types, and as an Israeli company, we have experience and solutions for all skin tones.
This means that GIGI products are targeted at women and men of all skin types and ages under the concept of ‘Feel Beautiful'.
ーーーGIGI has a range of home care products available online, can they be used in conjunction with salon products?
Our distribution channels can be broadly divided into a B2B channel with professionals selling home care products to end-users through clinics and an online B2C channel with only home care products, but of course, home care products can also be used in combination with professional cosmetics for salons. Due to the coronavirus pandemic, specialized channels such as clinics and salons were temporarily closed completely. Therefore, as a way for our distributors to survive, we opened an online retail product sales channel to serve GIGI customers during the lockdowns.
There are scattered individuals selling our products online, but they are not sold by us or our authorised distributors and may be fake.
ーーーWe sometimes see individuals selling products on marketplaces, claiming to be from well-known brands.
This is unfortunately a problem faced by all brands worldwide. For this reason, we encourage our partners to exclude individuals from doing business with us. By doing so, our partners receive all support and education on how to use our products, and consumers can feel confident that they are buying our products through authorized channels and receive the necessary training and education which is key for success and to get the best results with GIGI professional products.
Influencer's post: visiting GIGI's booth at Beauty World Japan Osaka
ーーーWe heard that you recently exhibited at Beauty World Japan in Osaka. How did the Japanese audience react? Which points of your brand did the audience identify with?
In fact, our products were very favorably received by Japanese customers and beauty influencers visited our stand and received a 30-minute treatment. They were very pleased with the obvious results after the treatment. In the Japanese market, immediate and visible results seem to be particularly important.
Our stand had a varied treatment menu, but the two most popular treatments were ‘Age Delay treatment’ from the New Age G4 line and, ’Power C treatment’ from a line called Ester C, which contains vitamin C to rejuvenate and brighten the skin. Furthermore, customers in the Japanese market were found to be highly interested in peeling products.
Influencer's post: Trying Age Delay Treatment
Our peeling product range is extensive and includes peels for home use as well as a wide selection of peelings to be used in the clinic. We offer a wide choice of very light peeling products, such as enzymatic peeling gel and lactic acid peel, as well as brightening peels, chemical peels and mandelic peels, which can be used in treatment and can be combined.
There are also more powerful peels available for doctors and aestheticians with higher concentrations of acids and active ingredients. We don't know if that is a trend in the Japanese market, but we have received many questions from Japanese customers about peels, chemical peels and home peels. And our products have clear solutions for these customer concerns.
Influencers interviewed GIGI Israel members
ーーーWhat user groups in other countries love the GIGI brand? Could you please show us some actual cases?
As I mentioned earlier, our products offer solutions for all groups, all ages, all skin concerns and all skin tones and needs. Therefore, our customer user groups vary, but let me give you a clear example. Over the years, we have partnered with distributors to keep introducing new products, new lines and new tools in terms of marketing and training.
For example, in Hungary, the home country of our founder, we have had many enthusiastic users of our products for more than 30 years, and we have been partnering with our distributors in Russia for more than 20 years, even in the midst of war and other turmoil. And our distributors have very often worked with us for 10, 15 years.
Influencers surprised by the immediate results of GIGI
Many countries that have been partners for many years can be mentioned, but there is a reason why Russia and Hungary are mentioned in particular. This is because the demands people in these two countries place on cosmetics are diametrically opposed. People in Russia and Russian-speaking countries prefer very strong products, such as peels and chemical peels – aggressive products that peel off the skin. Hungarian users, on the other hand, prefer milder chemicals.
What I would like to convey from this example is that the GIGI brand is equally well supported in two countries with such different needs. Isn't this proof that we offer a truly inclusive product?
ーーーWhat are your plans for the branded products in the future?
In 2024 we plan to extend our iconic 3D line, based on 4 sizes of Hyaluronic acid. The new products will be 3D Hyalu FIll Eye Cream & 3D Hyalu Fill Lip Treatment Balm.
In addition, we are in the midst of developing with an Israeli university an exclusive GIGI complex of unique raw materials to be included in our next product developments.
From its very beginning, GIGI’s mission has been to spearhead innovation in the field of global cosmetics. This vision is part of GIGI Laboratories DNA and the reason GIGI is renowned around the world by customers and industry leaders as the most advanced and professional company in its field.
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