The $5 products behind an Aussie family’s fortune


A small product sold for $5 a pop is making one Aussie family a serious fortune thanks to one savvy marketing move.


When Zvonko Jordanov started his own tiny cosmetics company with just $10,000, he never imagined it would become a global smash hit.

当Zvonko Jordanov仅用1万澳元创办了自己小型化妆品公司时,他从未想过它会成为轰动全球、备受欢迎的化妆品公司。

The Sydney man, who arrived in Australia back in 1991 from Macedonia, launched G & M Cosmetics just five years later after first working in a small cosmetics factory for several years.


Named after his children, George and Maria, G & M Cosmetics started with just one production line and five products.

以他的两个孩子乔治(George)和玛丽亚(Maria)命名的G & M化妆品公司,最初只有一条生产线和五款产品。

But today that has expanded to 60 skincare products, with the company’s factory in Taren Point in Sydney now able to produce more than 150,000 units per day.

但如今,公司已经扩张到60款护肤品,公司位于悉尼Taren Point的工厂能够达到日产超15万件单品的规模。

Last financial year, the company turned over around $20 million after selling more than 10 million products worldwide.


And according to Mr Jordanov, much of that incredible success comes down to one savvy marketing move.


Years ago, he realised many other skincare products on the market tended to focus on brand names with only one or two ingredients labelled clearly.


Zvonko Jordanov founded G & M Cosmetics with just $10,000. Picture: SuppliedSource:Supplied  Zvonko Jordanov仅用1万澳元创立了G&M化妆品公司

So Mr Jordanov, who always used a slew of natural, Australian ingredients such as eucalyptus, lanolin, Emu oil, macadamia and Tea Tree oils and Kakadu plum, decided to make those ingredients front and centre on his packaging.


Eventually, he noticed something interesting — they were a hit with the many Chinese students who were studying in Australia during the noughties who began stocking up on the Australian-themed gifts to give to their families back home.


Those young people became “unofficial G & M ambassadors” as they flocked to the “practical and inexpensive” products, with most selling for $5 or under.


Soon, they were being snapped up by Chinese people in Australia and re-sold in China — and as Mr Jordanov told news.com.au, those people became some of the country’s “first daigous”.


“We’ve been exporting directly to China for the last six or seven years and we have had a much bigger turnover,” he said.


But he said there had been more than a few headaches along the way.


But last financial year, it turned over $20 million. Picture: SuppliedSource:Supplied 去年,G&M化妆品公司营业额2千万澳元

“When we started to grow, of course there were problems with companies copying our products — in China there were big problems with companies making exact replicas of our products with the same name and everything,” he said.


“Thousands and thousands of products were exported from China with our name and there was a similar problem here with some of the big names copying us.


“I never expected selling at that low price that someone would do that.”


But G & M Cosmetics persevered, and last year it was named as the most trusted Australian brand in China by a Monash University survey — beating other big names like Jurlique and Coles.


Mr Jordanov said in addition to the certified organic company’s trademark natural ingredients, the other main point of difference that made it a standout success was “value for money”, with consumers more likely to use products that are less than $5 much more “generously” than pricier options.


But in the end, Mr Jordanov said his success came down to his decision to settle in the “best country” — Australia.


Zvonko Jordanov named G & M Cosmetics after his two children, George and Maria. Picture: SuppliedSource:Supplied

Zvonko Jordanov以他的两个孩子George和Maria命名G&M化妆品公司

He said living in a “free” and “nice” country had allowed him to succeed.

G & M Cosmetics products are available from stores across Australia including Coles, Target, Big W and IGA as well as some pharmacies and health stores.

他说居住在一个“自由”、“友好”的国家让他获得了成功。G&M化妆品在澳大利亚各地的商店均有销售,包括Coles、Target、Big W和IGA以及一些药房和保健品商店。

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