Courovale are still enjoying a record-breaking year. Although the top managers of the Brazilian tannery do not give out many details, they have made clear they expect overall revenues to increase by +30% in the next financial statements. Considering that demand for leather (in South America, and in other places as well) is currently facing some difficulties, such accomplishment sounds like a reward indeed, following the company’s market penetration into international fashion. They are about to make further investments right now. So far, Courovale has been directly dealing with the tanning process, from crust to finished leather. Yet, they recently got official permission to build a new pavilion to extend their manufacturing industry up to wet blue.
A rewarding strategy
“We may well rely on around 120 employees. On average, we manage to process about 45,000 square metres of leather a month, which even reach 65,000 at times. 60% of our production serves foreign customers, mostly in the USA. At present, our company extends across an area of 4,000 square metres”. Veronica Meurer (in the picture), Courovale Sales and Marketing manager, smartly outlines the corporate identity, while emphasizing that the company is specialized in the manufacturing of printed leather for footwear. Even more interestingly, she discloses the reasons why, in her personal opinion, the business is going so well. “We are very much looking at fashion: we are running a team, composed of 10 people, fully committed to research; furthermore, we rely on two consultants from Italy – she points out –. In addition, after assembling our catalogue, we strive hard to customise products for our clients”.
Milan, New York, Lineapelle
Here is the second work piece: “We usually attend several international fairs. Which are the best ones to us? Lineapelle Milano – she answers – because of its public reference, and Lineapelle New York, which is a small exhibition, therefore very effective for US buyers”. Right the USA are the market they have selected: it is no coincidence that one agent, at Courovale, deals with the United States (“he spends even three weeks a month over there”). Another representative oversees the business in Asia, while dealing with manufacturers.
For the time being, Courovale, founded in 2004, purchase Brazilian wet blue that contracting tanneries process to turn it into crust. The following step is to work the way up, in the tanning industry, to handle directly that stage as well. “In doing so, we aim at performing even faster, therefore enhancing our competitiveness – wraps up Meurer –. After all, working with third parties is not that easy. Some of our relocated employees control their work, but we are accountable for it in the end”. If they succeeded in setting themselves free from contractors, they would undoubtedly gain one more asset.
Brazil, the footwear segment benefits from the trade war between China and the USA (but it’s not enough)