WWD_12.16-issue_Aveda-Invati

STARTInG GUn
DIAne
vOn
FURSTenBeRG
PRe-FALL,
PAGe 12
GOLDen GLOBe nOmInATIOnS
WeRe ReveALeD THURSDAY —
AnD THe HOLLYWOOD
ReD cARPeT FASHIOn RAce BeGAn.
PAGe 11
WWD
FRIDAY, DECEMBER 16, 2011 ■ $3.00 ■ WoMEn’s WEAR DAIlY
Nature’s
Remedy
This winter, Aveda and Ojon are
aiming to provide natural solutions
for hair issues that have traditionally
required heavy chemicals: Aveda, with
its Invati line for thinning hair, and
Ojon, with Super Sleek, a collection
designed to deliver smooth hair
without chemicals like formaldehyde.
Both collections bow next month.
For more, see page 6.
PHOTO BY THOmAS IAnnAccOne
in WWD ToDaY
Ralph Lauren names Lalonde PAGE 2
s
NEWS: Ralph Lauren Corp. named former LVMH
executive Daniel Lalonde head of its international
operations.
Beauty Sales Strong for Holiday PAGE 6
BEAUTY: While stores’ performance has been
patchy, retailers expect to see growth in their
beauty sales at holiday, driven by celebrity
fragrances.
Proenza Schouler Said Opening Store PAGE 12
FASHION SCOOP: The designers are said to be
eyeing a spot on Madison Avenue for their first
freestanding store.
Kors Goes Ka-ChinG
Designer’s Shares Leap
On Wall Street Debut
By lIsA loCkWooD
“I’M FEElIng gREAt,” said an exuberant,
and newly flush Michael kors, after ringing the opening bell of the new York stock
Exchange thursday morning.
Flanked by partners silas Chou and
lawrence stroll, chief executive officer John
Idol and chief financial officer and chief operating officer Joseph Parsons, kors stood
beaming on the podium, looking at the crowd
below. the Michael kors Holdings ltd. partners hugged, high-fived each other, and then
called up other members of the staff, as well
as kors’ mother, Joan, to the podium to wave
to the crowd. After a few minutes, the stock,
listed under koRs, shot up to $25, and the
day’s trading began. the stock, which traded
between $23.51 and $25.23 throughout the
day, closed thursday at $24.20, up from its
IPo price of $20. some 42.3 million shares
were traded. given the more than 190 million
shares outstanding, the closing price left kors
with a market capitalization of $3.82 billion.
After the stock was priced, a press-wary
Idol whisked kors and the team away, saying
securities and Exchange Commission rules
prevented them from talking.
It’s been quite a journey for kors, who
started his business 30 years ago. After sinking into bankruptcy in the early nineties,
kors emerged and sold the business to Chou
and stroll in 2003 for a reported $100 million.
the Hong kong-based company grew rapidly,
setting the stage for the IPo by raising money
from private investors this summer. the number of shares sold in this week’s offering was
47.2 million, meaning the IPo will raise $944
million. the offering, which was oversubscribed 10 times, was underwritten by Morgan
stanley, J.P. Morgan Chase & Co., goldman,
sachs & Co. and others.
sEE PAgE 4
6 WWD FRIDAY, DECEMBER 16, 2011
beauty
L’Oréal Closes Pacific Bioscience Sale
Aveda’s Natural Answer to Hair Loss
shoRtlY aFteR l’oréal closed
the deal to buy pacific Bioscience
laboratories inc. — the maker of
the hot-selling Clarisonic beauty devices— Carol hamilton, president
of the luxe division of l’oréal usa,
was hinting thursday at some admittedly ambitious expansion plans
for the newly acquired business.
Noting that she views Clarisonic
as a skin care brand since it “transforms the skin,” hamilton said it
has a lot of potential in the u.s. her
ultimate goal is to put one of the devices in “every woman’s hand and
every man’s hand.”
Clarisonic, which generated $105
million in net sales last year, is now
distributed through doctor’s offices,
spas, prestige retail stores, tv shopping channels and over the internet
in the u.s., u.K., australia, Mexico,
Canada and the Far east. l’oréal
will be picking distributors to ex-
each product in the regime also contains
targeted ingredients designed to support
the densiplex Complex benefits. exfoliating
aveda is hopiNg to give the burgeoning shampoo, $24 for 200 ml., is intended to
thinning hair market a natural boost with its cleanse, exfoliate and renew the scalp with
wintergreen-derived salicylic acid; doing so
newest hair care line, invati.
removes sebum and prodsaid to be 97 percent
uct residue that can clog
natural, the four-stockpores, noted Marianne
keeping-unit lineup is
Knutson,
vice president of
said to reduce hair loss by
global marketing for aveda.
up to 33 percent.
thickening Conditioner,
as more than 80 percent
$24 for 200 ml., contains
of the brand’s customers
arginine, an amino acid decome to aveda via hair care
rived from sugar beets and
and the category accounts
soy protein and which is said
for more than 60 percent of
to penetrate the hair shaft
the brand’s overall business,
to thicken it, as well as orthe brand has been focusing
ganic kukui nut oil for shine.
its research and developscalp Revitalizer, $60 for 150
ment efforts on innovative
ml., is an infusion of turmeric
hair care, said dominique
and ginseng designed to be
Conseil, global brand presimassaged into the scalp twice
dent of aveda. “We’ve been
daily. healthy hair daily is
evolving from smell-good,
a herbal supplement said to
feel-good to problem-solvsupport healthy hair, and is a
ing products addressing key
blend of ayurvedic herbs and
concerns.” those categobotanical extracts, including
ries include Color Conserve,
turmeric
and gotu kola, plus
which addresses colored hair;
An Invati item.
antioxidants amla and green
damage Remedy, intended to
tea extract. intended to be
do repair damaged hair, and
taken twice daily after meals,
Be Curly, designed to make
the supplement retails for $55
curls manageable.
for 60 tablets.
addressing hair loss was a
While executives declined
logical addition, said Conseil.
to discuss sales projections, in“thinning hair is a big global
dustry sources estimated that
concern, and consumers are exinvati could do $50 million at
pressing a strong preference for
retail globally in its first year on
natural products,” he noted.
counter. about 70 percent of that
the invati line — named for
is expected to be done in the
the sanskrit word for invigorate
u.s., where aveda is currently in
— is powered by the proprieabout 5,000 salons and has 109 of
tary densiplex Complex, which
its own retail doors.
combines ayurvedic herbs with
National advertising is slatturmeric and ginseng, said to ened to break in February fashergize and rehabilitate the scalp
ion, beauty and lifestyle magaaround the hair follicles when
zines, said Knutson. While she and
massaged in. aveda is sourcing the ingredient with Nisarga (sanskrit for nature), Conseil declined comment, industry sources
an indian company which organically grows estimated that aveda would spend between
ayurvedic herbs while supporting local com- $5 million and $7 million on advertising and
promotion in the line’s first year.
munities.
By Julie NaughtoN
— AndreA nAgel
Beraud PHOTO By TOm HOgan; aveda and OjOn By THOmas IannaccOne
Jill Beraud
group and polaris venture partners at the
end of November. the funding caps off a year
where $29 million was raised in total — $16
million in the first half, from piper Jaffray
and polaris venture partners. Funds are earmarked for research and development and
marketing to further build the global brand.
living proof was founded in 2005 but
brought its first products — No Frizz — to
sephora and QvC in early 2009. the brand is
carried in sephora, Macy’s impulse Beauty,
Nordstrom and on nordstrom.com and QvC
and is best known for its polyfluoroester
technology.
— P.B.
Getting Straight With Ojon
Living Proof Names Beraud CEO
NeW YoRK — Beauty company living proof
has named Jill Beraud chief executive officer,
effective Jan. 9. Most recently, Beraud was
president of starbucks/lipton Joint ventures
and global chief marketing officer of pepsiCo.
Beraud has also served as chief marketing officer of victoria’s secret and executive vice
president of marketing for limited Brands
inc.’s broader portfolio of specialty brands,
including Bath & Body Works, C.o. Bigelow,
express, henri Bendel and limited stores.
Beraud began her career at procter & gamble.
the ceo position was vacated in late 2010
when Rob Robillard left the company to pursue other interests. a yearlong search for a
new ceo had been under way with Jon Flint,
the chairman and co-founder of living proof
— and founding partner of polaris venture
partners — as the interim ceo for the past year.
in addition to Beraud, living proof has
named grace Ray chief marketing officer.
Ray was most recently vice president of
global Marketing for smashbox Cosmetics.
several additions have been made to living
proof ’s board, too, including edgar o. huber,
ceo and president of land’s end, and Betsy
olum, hsN’s general manager of Beauty and
Merchandising strategy.
living proof, which makes and markets
hair care products and uses formulas based
on technology used in biotech and drug delivery companies from leading universities,
such as Mit, recently closed a new round of
funding, raising $13 million from the pohlad
pand into prestige venues, either
department stores or perfumeries.
pacific Bioscience will be part
of the luxe division with its headquarters remaining in Redmond,
Wash, and david giuliani, chief
executive officer and co-founder of
the newly acquired company will
report to hamilton. she noted that
l’oréal will build a “world center of
excellence” in Redmond. “We want
a partnership rather than a merger,” she said.
When asked what possibilities
the acquisition will open, giuliani
said, “l’oréal is in 135 countries,
which is 130 more than we are.” he
also noted that Clarisonic is strong
on sonic technology while l’oréal is
expert at skin care bio-science and
chemistry. the union will create a
synergy of disciplines that neither
side was capable of before.
With its NeW super sleek line,
ojon is aiming to bring a natural
version of a hair straightening system to the market in mid-January.
“one of our recent focuses has
been on how we can, as a brand, be
high-tech and also natural,” said
Jane lauder, global president and
general manager of origins and
ojon. “the straightening category
has experienced a huge amount of
growth, and there has been widespread concern about chemicals in
straightening treatments — which
made this a natural focus for us.”
the collection includes the sulfatefree, ion-rich smoothing shampoo,
$24 for 8.5 oz.; smoothing Conditioner,
$25 for 8.5 oz., and two versions of
hair straightening treatment, each
$39 for 2 oz.: one for loose to wavy
hair and a second for medium to tighter-textured hair.
the line is powered by
the proprietary super sleek
straightening Complex, and each
product is formulated to match
the 5.5 ph balance of hair and
skin, noted geoffrey hawkins,
vice president of research and
development for ojon. “the complex is designed to deliver three
straightening actions simultaneously,” said hawkins. “a gentle
reshaping agent relaxes and
smooths out the curved structure
of hair’s keratin bonds, making
them supple and flexible. then
our proprietary blend — including plant keratin derived from
wheat, soy and corn proteins
and azurite — acts like a liquid
flat iron to realign natural keratin bonds and seal in straightness. it also fills in rough spots
on the cuticle that can make
hair appear frizzy, coarse and
unmanageable. Finally, this
treatment acts as a conduit for
heat transfer from blow dryers and
flat irons to instantly loosen curls.”
each treatment is designed to keep
hair straight and manageable for 30
shampoos, and consumers can wash
and condition hair when a 24-hour
time period has elapsed. it is also
safe to use on relaxed hair.
the brand has applied for
five patents related to the line,
hawkins added.
the at-home regimen takes about
an hour and a half from start to finish and doesn’t require gloves or a
mask, noted hawkins. it’s also free
of formaldehyde, lye and cysteine.
like all ojon products, it contains
the brand’s ojon oil, which is said
to penetrate deep within the hair
shaft to repair and seal the cuticle,
as well as resist future damage.
While executives declined comment on projected sales, industry
sources estimated the line could do
about $6 million at retail in its first
year on counter.
Part of
Ojon’s
Super
Sleek line.
the line will bow first in 450 ulta
doors in January before rolling out
to the brand’s remaining distribution in the fall. ojon is carried in
about 1,200 doors in North america,
including ulta and sephora, as well
as on QvC, qvc.com and ojon.com.
the regimen will be promoted
via ojon.com, Facebook, direct mail
and collateral and during on-air
presentations at QvC.
— J.n.