cosmetic news - Precision Marketing Group

COSMETIC NEWS
WEEKLY
No 500/ January 23 2012
www.CosmeticNews.com
Ringing in the new
… as well as the old
INSIDE THIS ISSUE
BUSINESS
Douglas in buy-out talks
page 3
MARKET TRENDS
Anti-ageing driving men’s
grooming market in Japan
page 4
INTERVIEW
Toni Ko, chief creative
officer, Nyx Cosmetics
page 5
HAPPY ANNIVERSARY
Celebrating our 500th issue
pages 7-10
SUPPLIERS
Novaleads develops new
method of toxicity testing
page 11
RETAIL
Aesop steps into Soho
page 12
PRODUCTS
Somerville set on expansion
page 14
SPOTLIGHT
Kenya’s beauty calling
page 16
L
ast year a mobile phone designed for
older users - with a ringtone of 100
decibels, as loud as a pneumatic
drill or speeding train – went on sale.
Sales have been brisk apparently. A
spokesman for Geemarc, the company
which manufactures the phone, told The
Daily Telegraph: "There are a lot of
elderly people frustrated at iPhones, and
smart phones which can practically boil
a kettle but are very difficult to use if
you are hard of hearing or short sighted."
Given the worldwide ageing
population, the advent of such a phone
is not surprising. Indeed, in today’s tech
savvy world, where technology appears
almost instinctive – generation Y tend to
just 'know' that the power button which
turns a mobile off quite probably also
turns it on and how to navigate a
phone's menu. But for much of the older
generation, menus are still things you
find in restaurants...That’s why I’m sure
that when Organic Monitor says it
believes that advances in mobile
technology could eventually lead to the
demise of the eco-label, they are
thinking very far ahead indeed.
Mobile devices do enable consumers
to get a wealth of information on
products from their Quick Response
(QR) barcodes. Organic Monitor says
that a growing number of consumers are
now turning to mobile technology
applications to meet their informational
needs. However I’ve not seen hordes of
consumers in my local supermarket busy
scanning away. Consumers may well be
becoming more information savvy but
we’ve not reached the stage yet where
labels and logos are becoming
redundant.
Similarly a new report from Kline &
Company maintains that while beauty
brands are rapidly moving ahead in the
game with their social and mobile
strategies to allow viral campaigns and
create new consumer relations
opportunities, they are NOT dropping
traditional marketing efforts.
During the recent holiday season,
marketers ramped up their viral
campaigns to attract consumers who
turned to social media platforms for the
best deals on their personal care
products. However, social media is not
the only tool marketers are
experimenting with; couponing and price
promotions are experiencing a
comeback strengthened by consumer
desire for special offers.
Donna Barson, senior associate at
Kline's Consumer Products: "The growing
ubiquity of new, on-the-go technologies
such as smartphones and tablets are
also creating a better informed and
more accessible consumer. However,
there is no cookie-cutter approach to
all, and brands are experimenting with
what approaches work best."
I think the moral is that in this fastmoving technological world, beauty
marketing needs to remember to be
inclusive. It’s not just a bunch of whiz
kids out there…
Liz Jones
1 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Business
CosmeticNews Weekly
Communications International Group
London Office
162-168 Regent St, London W1B 5TB, UK
Tel: +44 20 7434 1530
Fax: +44 20 7437 0915
Email: [email protected]
Paris Office
12-14 rond-point des Champs Elysées, 75008 Paris
Tel: +33 1 53 53 16 67
Fax: +33 1 53 53 14 00
Email: [email protected]
Subscriptions
Tel: +44 15 3451 0824
Fax: +44 20 7437 0915
[email protected]
US$38 /e30 per issue
one year subscription: US$1,585/e1,250
Chief Executive Officer
Felim O’Brien
Executive Assistant
Elodie Teyletche
Publishing Director
Richard Roe
Editor in Chief
Liz Jones
([email protected])
Reporter
Beatrix Hon
([email protected])
Product Editor
Anna Reade
([email protected])
Correspondents:
Argentina Muireann Prendergast
Austria Hannelore Hecker
Australia & New Zealand Sarah de Castro
Brazil Sueli Ortega
China Keith Crane
France Patricia Mansfield-Devine
Germany Annie Kruse
India Chitra Gopalak
Italy Corinne Blanché
Japan David Kilburn
Russia Eugene Gerden
South Africa Bambina Wise
Spain Lola Gavarrón
Switzerland Beatriz de Candolle
UK Imogen Matthews
US - East Coast Laura Klepacki
US - West Coast Kavita Daswani
Travel Retail Kevin Rozario
USA Sales Manager
Suzi Richardson
Tel: +1 305 461 0861
([email protected])
Rest of world Sales Manager
Carrie Culbertson
([email protected])
Subscription sales
Fran Knight
([email protected])
www.cosmeticnews.com
CosmeticNews Weekly
est publié par
Communications International C.I.
Président et directeur de la publication:
Felim O’Brien
secrétaire de direction
Elodie Teyletche
Imprimeur: CIG Wested
Abonnement annuel (42no/an)
CosmeticNews Weekly no500
daté du 23 January 2012
Communications International (Channel Islands) is the trading name
of Contact 94 (Sales) Ltd Reg office: 12 Castle Street, St Helier,
Jersey JE4 5UW Company Reg no 49117
Articles published in this newsletter may only be reproduced with
permission. The publisher accepts no responsibility for any
statements made in signed contributions or in those reproduced
from any other source.
A division of
© CIG News Services Ltd
French luxury goods conglomerate
LVMH (Moët Hennessy Louis Vuitton)
has appointed Alexandra Kole as ceo
of Danish prestige skin care brand Ole
Henriksen. Kole will be responsible for
growing the brand’s market presence
globally, driving product innovation and
enhancing its sales and financial
performance.
“Ali’s passion, creativity, and
leadership have injected new energy into
the brand and will bring Ole Henriksen
to new heights of success in years to
come,” said Ole Henriksen, brand
founder/creative director.
Kole joined Sephora Americas in
2008 as senior vp of strategy & business
development. In this position, she led
the acquisition of Ole Henriksen by
LVMH in January 2011. In her new role,
she will report to David Suliteanu,
president and ceo of Sephora Americas.
on this new partnership with Charlotte,
who is such an inspiring and talented
creative force,” said Maureen Case,
brand president.
Following a restructuring of its executive
board, UK contract manufacturer
Swallowfield plc has appointed
Stephen Boyd as chairman of the
company. Boyd joined Swallowfield’s
board in July 2011 and was previously
the senior independent director.
In addition, Martin Hagen has been
appointed as deputy chairman and
senior independent director. Meanwhile,
Roger McDowell has resigned.
British singer Morrissey is the latest
celebrity to join BUAV’s No Cruel
Cosmetics campaign to end animal
testing for new cosmetics sold in the
European Union.
He joins a number of celebrities who
have already signed the petition,
including Paul McCartney, Sienna Miller,
Jodie Kidd and Kimberly Wyatt, who has
also leant her name to “The Ugly Side of
Beauty” campaign by animal rights
group People for the Ethical Treatment
of Animals (PETA). The ad campaign is
said to urge the European Commission
to uphold its 2013 deadline for ending
the sale of animal-tested cosmetics in
Europe.
In a bid to shake up its brand image,
British fragrance brand Jo Malone (The
Estée Lauder Companies) has employed
stylist and fashion expert, Charlotte
Stockdale as style editor. Working in
conjunction with the Jo Malone London
team and creative director James
Gager, Stockdale will be responsible for
cultivating the brand’s image,
contributing to campaigns and in-store
experiences, and coordinating
collaborations with British talent.
She was previously the fashion
director at i-D magazine and contributor
to Vogue, Harper’s Bazaar and Numero
magazines.
“This is an exciting time for Jo
Malone London, with new collections
that show our creative reinvigoration
while remaining true to the spirit of the
brand. We are thrilled to be embarking
ASSOCIATIONS
Patrick Donnelly has been appointed
ceo of global scientific society AOCS
(American Oil Chemists’ Society),
effective January 30. Donnelly was most
recently a senior policy advisor at a law
firm. Previous to this, he was executive
vice president and chief operating
officer of CropLife America, a trade
association that represents US
agrochemical manufacturers.
Donnelly will replace Wills Hinton,
who joined AOCS in 1988 and served as
the head of AOCS for 10 years.
CELEBRITY SIGNINGS
US skincare brand Neutrogena
(Johnson & Johnson) has welcomed
Mexican actress and pop singer Sandra
Echeverria as its latest band
ambassador. She joins the brand’s
growing roster of celebrity ambassadors,
which includes Miranda Cosgrove,
Jennifer Garner, Vanessa Hudgens and
Emma Roberts.
“It’s an honour to represent a brand
like Neutrogena with such a longstanding history of instilling health,
confidence and beauty in young women
- and that is something I strongly
support,” said Echeverria.
2 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Business
Physician’s Formula forecasts
solid 2012 performance
US beauty brand Physicians Formula
Holdings is forecasting a promising year
ahead. As part of its outlook for the
year, the company expects its net sales
to grow between seven and 10 per cent
during 2012 compared with 2011. Sales
growth is expected to be driven by
increased retail productivity of the
company's colour cosmetics products,
as well as planned expansion of its new
skin care platform to new retailers.
Commenting on the year’s outlook,
Ingrid Jackel, chairwoman and ceo said:
“We are excited by our prospects for
2012. Our investment strategy in 2011
has clearly paid dividends, as we were
the fastest growing colour cosmetic
brand among the top eight brands at
point-of-sale over the last 52 weeks,
according to AC Nielsen. In 2012, we
intend to reap the benefits of those
investments, expanding the productivity
of our colour cosmetic business and the
distribution of our new skin care
platform. As a result, we expect to
generate strong growth in net sales in
2012, and to return the company to
profitability.”
No import surge following
Russia’s move into WTO
The Russian cosmetics market is on the
verge of big changes, due to a longawaited accession of Russia into the
WTO last month. Under the terms of the
agreement, reached between the WTO
and Russia, the latter will be gradually
reducing customs duties on the imports
of cosmetics over the next four years.
It is planned that by 2016, duties on
imports of perfumes and toilet water will
be reduced from the current 15 per cent
to 6.5 per cent. The duties will be
reduced gradually: in 2013 they will
decline to 12.9 per cent, in 2014 to 10.8
per cent, while in 2015 to 8.6 per cent.
At the same time duties on the
imports of make-up products will be also
reduced from 15 per cent to 6.5 per cent
by 2017.
However, local analysts believe that
Russia's accession to the WTO will not
result in a significant increase of imports
of cosmetics products to the country
Douglas in buy-out talks
I
n what stands to be one of the largest recent leveraged-buy out deals,
German perfumery chain Douglas Holding AG is said to be in talks with
investors over a potential private equity buy-out, the Wall Street Journal
reports.
The company’s founding Kreke family, said to control a 12 per cent stake in
Douglas, is believed to have approached three private equity companies
including Apax Partners and BC Partners about a possible deal.
An official statement from Douglas Holding AG confirmed that it is in talks
with financial investors with respect to a potential acquisition. It added: “So far,
the financial investors have neither submitted binding offers nor have
agreements on structure or financing of a potential transaction been reached. It
is therefore unclear if, and if so, when and in what form a transaction will take
place.”
At present, major stakeholders in Douglas include food and shipping
company Oetker, with a stake of almost 26 per cent, and drugstore chain owner
Erwin Mueller with 10 per cent.
P&G divests Ghost licence
P
&G (Procter & Gamble) Prestige has sold its Ghost fragrance business to
UK-based luxury fragrance distributor Designer Parfums, effective February
1 2012. The move will expand Designer Parfums’ fragrance portfolio, which
currently includes Agent Provocateur, Jean Louis Scherrer, Etienne Aigner and
Jean Patou, which it also acquired from P&G Prestige in July 2011.
P&G is expected to support the transition by continuing to manufacture and
supply product for a further 12 months, as well as continuing to market and sell
Ghost fragrances until July this year.
According to an official statement from P&G Prestige, the Ghost fragrance
brand represents a minor share of its global net sales. The divestiture of the
brand is said to be in line with its global strategy of “winning with the core first”
as it continues to focus on driving global billion dollar potential franchises.
“Ghost is a perfect fit for Designer Parfums,” commented Dilesh Mehta, md,
Designer Parfums. ”It is one of the leading premium fragrance brands in the UK
market with top 20 national ranking and retail sales of around £35m.”
and the expansion of new foreign
players in the market. It will also not be
associated with any negative,
catastrophic effect on the business of
local producers.
According to Elena Moskvicheva,
beauty analyst, the volume of domestic
production of cosmetics remains low.
“The reduction of duties will not result in
an influx of cosmetics imports to Russia.
The arrival of new players on the market
will be regulated by Russian laws. That’s
why foreign players will follow the same
rules as local producers,” she said.
Eugene Gerden, Moscow
Dufry boosts presence in Russia
Swiss travel retailer Dufry has expanded
its presence in Russia by acquiring 51
per cent of a local travel retail operator
at Sheremetyevo Airport in Moscow. The
acquired business is said to generate an
annual turnover of $50m.
As part of the transaction, Dufry
acquired 51 per cent of a joint venture
with Regstaer Group, the company
which holds Regstaer’s duty free
operations at Moscow’s Sheremetyevo
International Airport. This will result in
an additional nine duty free shops with a
total retail space of 1,200m2 in different
3 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Business
Anti-ageing drives men’s
grooming market in Japan
M
iddle aged men are becoming the mainstay of the Japanese market for
men’s skin care products and are also providing an unexpected boost to
sales of some brands nominally targeted at women, according to an
article in Sankei Shimbun newspaper.
These older consumers describe their goal as to look manlier by shedding the
signs of ageing and recapturing a “youthful virility”. This motivation has helped
Mandom’s Lucido, a line of women’s beauty care products, expand their sales over
the past year. Part of the attraction of women’s brands is that they often address
the problems of ageing in their formulation, promotion, and packaging much more
directly than is normal for men’s brands.
Older men are also becoming users of the hair styling gels too, designed to
manage the long haired styles popular among 20-something males. Other brands
that have benefited from the growing interest of older male consumers include
Mentholatum’s Oxy brand and a range of cleansers from Otsuka Pharmaceuticals
designed to moisturise the skin while removing oil and make-up.
According to a survey by the Ministry of Economy, sales of men's skin care
products in 2010 were approximately ¥19.4bn, about 1.5 times sales in 2004.
Japanese regulators reclassify
nutricosmetics as foodstuffs
A
t the end of 2011, the Japanese government decided that nutricosmetics
would fall under the scope of earlier legislation covering manufactured
foods for which specific health claims could be made, the “Foods for
Specified Health Use (FOSHU)” and “Foods with Nutrient Function Claims (FNFC)”
regulations. The approval process requires scientific evidence of efficacy, proof of
safety in consumption, and analytical details of active components.
Nutricosmetics - beauty products that you can eat and drink but which offer
similar benefits to the familiar products applied to the skin - are big business in Japan.
One example is a range of collagen drinks marketed under the Orbis name by Pola
Orbis. Their Citrus Collagen is described as a “skin beauty beverage” and comes in
50ml bottles which, in addition to collagen, include Vitamin C and herb extracts.
Changing consumer behaviour and product innovation are continuing
challenges for the regulators, especially in a country like Japan where markets and
products tend to be very tightly regulated.
David Kilburn, Tokyo
terminals of the airport. The agreement
also includes an exclusive commercial
and purchasing agreement for Regstaer
Group’s operation at Vnukovo Airport in
Moscow.
Commenting on the transaction,
Julian Diaz, ceo of Dufry said: “This is an
important transaction for Dufry as it
substantially strengthens our position in
the Russian airport travel retail market
and sets the basis for developing other
travel retail markets in the region.”
ambassador actress and model
Charlotte Gainsbourg as the latest face
of the brand.
“Kristen Stewart stood out as an
evident choice for this new fragrance.
She has a unique sense of style, quite
original and chic in the way she mixes
fashion elements. Her elegant modernity
and innate rebel style perfectly match
with the spirit of Balenciaga”, said
Catherine Walsh, svp American
Fragrances, Coty Prestige.
Rodial rapped again over ads
Upmarket skin care & supplement brand
Rodial has again been reprimanded by
the Advertising Standards Authority
(ASA) over a misleading ad for the
brand’s Body Sculpture product. This
follows just one month after Rodial was
ordered to remove misleading online
testimonials for its Glamtox Stick and
Glamoxy Snake Serum.
The ASA received a complaint that
an online ad and e-mail from Rodial
implied that Body Sculpture was as
effective as surgery, and that it would
also improve body shape.
According to the ASA, a testimonial
on the Rodial site stated that “... these
products really work and if you compare
with the price of plastic surgery you’ll
see that they are not expensive at all
...”. Furthermore, an e-mail from the
company titled “Forget The Facelift” also
stated, “Sculpt and firm your jawline,
without the need for surgery.”
Despite Rodial’s claims that it did
not exaggerate the effects of Body
Sculpture, the complaint was upheld.
The advertising standards watchdog
ruled that Rodial implied the products
were as effective as surgery, while Body
Sculpture was deemed misleading as
there was no concrete evidence to
suggest that it could impact the user's
body shape. The ASA has ordered that
the advertisement not appear again in
its current form.
Stewart to front Balenciaga scent
Coty Prestige has signed US actress
Kristen Stewart as the face of
Balenciaga’s next fragrance for women,
to be released in autumn.
The star of hit movie series Twilight
joins Balenciaga’s current brand
Boinay to lead L’Oréal’s
international retail drive
French cosmetics giant L’Oréal’s Luxe
Division has established an International
Retail Department. The newly formed
department will be headed up by Vincent
4 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Business
Boinay, who will be responsible for
promoting relations with international
distributors, developing the division’s
digital operations and driving the retail
and service strategy.
Boinay joined L'Oréal in 1991 and
spent eight years in travel retail as area
manager, division manager and then
managing director. For the past four
years he has been in charge of the
L’Oréal Luxe Division in Japan.
Boots’ results boosted by
beauty gift set sales
Boots has beaten its fellow high street
rivals in the festive trading race with the
help of strong sales of beauty gift sets,
according to thisismoney.co.uk.
Owner Alliance Boots said sales at
the group’s 2500 stores rose by 4.1 per
cent in the last 5 weeks of 2011
compared to the same period in 2010.
Group revenue also increased by 14.1
per cent compared to last year.
Bestsellers over Christmas included a
No.7 hat box gift set, Soap and Glory
gift set and the Champneys range.
Executive chairman, Stefano Pessina
has forecast double-digit trading profit
in 2012 but acknowledges it will be a
tough year for the high street. He said:
“Looking to 2012, we expect the
economic environment to remain tough
with continuing pressure on both
consumer and government expenditure.
This will generate challenges but also
new opportunities.”
Superdrug’s Seigal resigns in UK
Jeremy Seigal has resigned as chief
executive officer of AS Watson (UK).
As his successor, the Hong Kongbased retailer has appointed Joey Wat to
the position of managing director of A.S.
Watson Health & Beauty (UK). Wat will
take on management responsibility for
Superdrug and Savers stores, and will
report to company managing director,
Dominic Lai. The Perfume Shop will
continue to be headed up by current
managing director Jo Walker.
Wat joined the AS Watson Group in
2004, and was appointed managing
director of Savers in January 2008. She
became coo of the company in January
2011.
INTERVIEW
Toni Ko, chief creative officer and founder, Nyx Cosmetics
Taking creativity in colour
cosmetics to a new level
A
fter failing to find make-up that was both high quality and budget-friendly,
Toni Ko started Nyx, a comprehensive brand of colour cosmetics that
promises to deliver on price and performance. Twelve years on, Ko talks
to CosmeticNews about Nyx’s next phase of growth.
What is your background in the beauty industry?
I have over 25 years of experience in the beauty industry. It all started at a small
retail store owned by my parents when I was 13 years old and started my first job.
My mum was a great business entrepreneur. That small family business grew to
become one of the most successful distributor/wholesaler of perfumes and
cosmetics in Los Angeles.
What prompted your decision to move from ceo to chief creative
officer?
As an entrepreneur, there comes a moment when you can’t handle everything by
yourself. That time for me was when I was stretched so thin that I couldn’t be
excellent at what I loved best. If I do anything, I want it done perfectly. I realised
where I could add the most value for Nyx was the creative part of the business
rather than daily operations.
What is the main way in which your role will change?
I will no longer be involved in operational duties and will dedicate my time to
product development. However the core of the company’s value will never change
with me out of operational duties. The core value of Nyx is to deliver a smile.
How do you continue to generate excitement and attract new
customers 12 years on?
Be like a chameleon and constantly try to keep reinventing the brand according to
the ever-changing world. However, you must do this without sacrificing what the
brand stands for which, for Nyx, is to deliver fantastic products at fantastic
prices.
Tell me about your new ad campaign. What do you hope to
achieve with it?
Our new branding campaign resonates from the meaning of Nyx. She is the Greek
Goddess of the Night. We have three images to showcase the versatility and
complexity of women highlighting their beauty, strength and individuality. The
campaign sends a very strong message about inner and outer beauty. In 2012,
expect to see it in varying forms of media across the world.
Which is your largest market currently?
Nyx is distributed in over 50 countries and the US market is the largest for us, but
our international markets are growing at rapid speed. Germany, Russia and Brazil
join the US as our largest and fastest growing markets.
Beatrix Hon, London
5 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Suppliers
Shiseido recognised for
packaging design
In recognition of Shiseido’s outstanding
commitment to package design, the
Japanese beauty brand will be honoured
by Luxe Pack and the Pratt Institute at
the 2012 Art of Packaging Award Gala in
April. Accepting the accolade on behalf
of the company will be Heidi Manheimer,
ceo, Shiseido Cosmetics America, and
Katsuhiko Shibuya, creative director of
Shiseido, from the company’s
headquarters in Tokyo.
Borealis unveils next
generation PP packaging
Global plastics and chemical company
Borealis has created a new
polypropylene (PP) grade bottle with the
release of Borclear RC737MO.
The new PP grade is said to create
differentiation, cost-efficiency and
sustainability advantages for brand
owners in the FMCG market. According
to the company, Borclear RC737MO is
designed specifically for cosmetics and
baby bottles and can be made to two
litres in size.
The design is also said to offer better
surface scratch resistance to ensure
longer-term consumer attractiveness,
while also responding to consumer
safety concerns through the elimination
of Bisphenol A (BPA).
“Borclear RC737MO is the clear
advance in transparency that the safetyconscious, aesthetically-driven
cosmetics and baby sectors have been
looking for when selecting PP for their
product or packaging,” said Rainer
Höfling, vp business unit moulding.
HCT produces palette for L’Etoile
Packaging company HCT France has
partnered with Russian beauty retailer
L'Etoile for the creation of the brand’s
Nota Bene cosmetic palette. As part of
the retailer’s private label make-up line,
the limited edition palette features hot
pour lipsticks in three shades with an
additional three pressed eyeshadows
and make-up brush.
“The Nota Bene palette was a big
challenge as it was the first full service
project HCT France have provided for
l’Etoile,” said Sabrina Afriat, project
manager, HCT France.
STO cuts rough diamond
for Oriflame’s Marcel
Austria-based glass packaging company
STO Falconnage (Stölzle Glass Group)
has created a multi-faceted bottle for
Swedish direct seller Oriflame’s new
Marcel edp. The fragrance, which was
designed in collaboration with FrancoSwedish designer Marcel Marongiu, is
housed in a multi-faceted square bottle
made from glass moulding. Resembling a
“chaotically cut diamond”, the bottle is
said to represent a woman’s many
facets, while the base features the
designer’s emblem, a de-bossed ‘M’.
The bronze square cap in metallic
bronze was supplied by Rexam.
PCN 500
Please complete this form and return it to Cosmetic News Weekly
Subscription office: 207 Linen Hall 162-168 Regent St, London W1B 5TB, UK
London: +44 20 7434 1530 Fax: +44 20 7437 0915
St Helier: +44 1534 510824
❏ Please bill me
❏ Cheque enclosed
(payable to Cosmetic News Weekly)
❏ I want to wire my payment - Cosmetic News Weekly, Barclays
International Banking Sort code: 20-45-05 Account: 77667311
IBAN Code: GBO5 BARC 2045 0577 6673 11 SWIFT/BIC Code BARCGB22
Cosmetic News Weekly is published by Communications International (Channel Islands) St. Helier, Jersey + 44 1534 510824 © CIG News Services Ltd
6 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
500th anniversary edition
Celebrating an industry milestone
They say you should always
celebrate your anniversary
and CosmeticNews is no
exception!
An anniversary is a time
for commemorating the
milestones as well as
thinking about the future
and taking a look back at
the past. In this special
4-page section we do
exactly that.
Here on p7 Karen
Grant, vice president and
global beauty analyst at
The NPD Group, has
written a timely forecast on
the year ahead exclusively
for Cosmetic News Weekly.
On p8-9, our editorial
team has consulted with
the great and the good of
the industry on their hopes
and fears for 2012 and
report their feedback.
And on page 10 we take
a look back at some of the
stories that have stood out
over the years.
At CosmeticNews we
are constantly striving to
bring you the very best
business information - so
here’s to the next 500
issues!
Liz Jones
Editor in Chief
Beauty Forecast 2012:
a time for optimism
Karen Grant, vice president & global beauty analyst at The NPD
Group, writing exclusively for CosmeticNews, looks ahead to what we
can expect from the year to come
A
s we enter 2012, prestige beauty shows two faces: one exuberant and the
other hopeful, but constrained. In the US, UK and China, prestige
beauty is enjoying one of the most robust sales periods ever. In the
US, for example, beauty sales in both the mass and prestige channels were
positive month after month in 2011. And while both channels were positive,
prestige beauty reigned supreme. From the stellar increases in prestige skincare
to the continued gains in make-up, to the double-digit rebound of fragrance,
prestige beauty in the US is experiencing a time of unprecedented growth. The
still emerging prestige beauty market of China continues to excel in growth.
In continental Europe, where the prestige beauty market is more mature,
growth is more tempered, and performance among the categories has not been
as dynamic as in the US or UK. But nevertheless prestige beauty managed to
flourish thanks to brand media investment, bigger in-store animation and price
promotions, even though unit performance was soft compared to growth in
dollar volume. Within the categories, prestige fragrance has been positive
across all countries, and make-up has seen growth as well in France and Italy.
Skin care has shown slower growth, and battles greater challenges from other
channels of distribution and new retail formats.
While the face of prestige beauty appears to differ globally, there are
strikingly similar features revealing consistencies and a dynamic base to build
upon as we gear up for 2012. From the US to France, Italy, Spain, and the UK,
fragrance was the one industry that experienced gains in all countries through
the year. Growth in fragrance came from both men’s and women’s, classics and
new. In the US, where fragrance has struggled for the better part of a decade,
classic fragrance brands enjoyed double-digit gains in women’s and men’s and
newness grew from a rebirth of celebrity scents. In make-up, while neutral tones
and face products led in the past, across countries in 2011 we saw strong gains
in colour categories of lip and nail colour and a new focus on eye definition,
with growth in eye pencil and/ or brow products. In skin care, anti-ageing
products offering regenerating and firming was positive in all countries. New
complexion oriented products also helped fuel growth and offer a new
dimension in the consumer engagement with skin care.
While challenges may persist, the successes of 2011 fill us with the
confidence that we are in an industry that has surmounted daunting hurdles
and will continue to do so as new ones may arise.
Looking to 2012, we are reassured that the consumer loves beauty, wants
beauty, and feels a need for beauty. At its core, that love is fundamental to our
industry. As we couple that love with dynamic products, engaging environments,
expanded reach, touch points, and
relevant conversation, while also
preserving added value for the prestige
shopping experience, we will ensure our
future remains vibrant.
7 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
500th anniversary edition
“2012 looks set to be an exciting and
challenging year for the beauty industry.
What opportunities do you see for your brand?”
“2011 was an exceptional year for us
with a 16 per cent increase in our global
turnover (reaching €148m). So we look
at 2012 with optimism and though
Roberto Cavalli is no longer part of our
portfolio, we are confident that the
development of our other licences will
allow us to maintain the excellent results
obtained in 2011.
Fortunately we are an exportoriented company and in 2011, 85 per
cent of our production (in quantity) has
been sold abroad.
The difficulties in certain European
markets have been compensated for by
excellent results in other markets such
as Germany, Eastern Europe and Russia,
the Middle East and the Far East.
In 2012 we will keep working well in
these markets and will also reinforce our
presence in the Indian market and in
some South American markets.
In 2012 we will launch the woman’s
version of DSquared2 Potion and a new
Trussardi for men.
We will also introduce a new
Blumarine fragrance for women. And in
2013 it will be the time of the first
Pomellato fragrance. So we have good
reasons to be optimistic.”
Roberto Martone, ITF/ICR
president, Italy
“Metropolitain Cosmetics store identity
have moved towards a more technical
(not clinical) and yet friendly
environment, additionally we have
created a dedicated space for Make Up
For Ever in each store, based on a
shop in shop option.
We have also set up a very
distinctive space for our #1 selling
fragrance line Serge Lutens using their
specified criteria.The first half of 2011
has been challenging for retail in SA,
but we have seen good growth from
with brands such as Strivectin, Jack
Black and Juliette Has A Gun. A
powerful launch was Hollywood brand
Glamglow, proving that simplicity (one
sku is very well perceived) as well as
the new Strivectin-TL.
Based on these changing shopping
patterns, and in keeping with what
made our reputation, we will effect
only two strategic launches in 2012, a
new skin care line (novexpert) and one
nutraceutical line from Canada. Ecommerce will be a priority, with faster
and cheaper internet connection in
South Africa, our web based sales
increased by 37 per cent in 2011."
Wilfrid Moulin, founder,
Metropolitain Cosmetics,
South Africa
"Our main aim in 2012 will be to remain true to our ideals - to keep our spirit
and risk-taking attitude. I don't believe in El Dorado and am content for the
company to grow at an organic pace."
Etienne de Swardt, founder of Etat Libre d'Orange, France
“We believe the beauty customer is becoming more discerning in their choice,
looking for proven results, quality and provenance of ingredients and a
personal touch to the service they receive. The brands that reflect this will be
the winners in a difficult year. When a customer walks through our doors we
work hard to ensure they feel they are coming home, with a warm welcome, a
calming drink and knowledgeable friendly teams. We believe 2012 will continue
to set us apart to our customer and we look forward to an exciting year ahead.”
Joseph Ulloa, UK general manager, L’Occitane, UK
“The financial situation means we need
to be more innovative, but more than
that, more responsible, and show more
solidarity and respect. To give more
thought to our creations is a challenge
but also an opportunity. “Let us be the
change we wish to see in the world,” is
more than just a quotation from Gandhi
– it is a state of mind and a way of
living.”
Valérie Roubaud, founder and ceo,
Terre d’Oc, France
“Now that the economy seems to be
improving, and that consumers have a
better visibility of their outcomes, I am
optimistic about 2012. As such, it will
definitely be a growth year for Crafting
Beauty, as smaller brands are willing to
invest in creating and developing their
own branded perfumes or candles,
thanks to a full service approach and a
reasonable investment.”
François Damide, president,
Crafting Beauty, New York
“In 2012 we are relaunching the brand in
some markets as well as expanding our
business and the GOSH brand into the
Middle East countries and launching the
brand in Saudi Arabia, UAE, Qatar and
Oman in the first half of 2012. We detect
a worldwide focus on the massstige cosmetics market, which we expect will offer
GOSH a lot of great opportunities in
2012.”
Bo Tjellesen, ceo & founder, GOSH
Cosmetics, Denmark
“2012 is a time for curiosity, wonder
and learning. A spontaneous time. A
tolerant time. Seize the transfer of
knowledge! Quench the thirst of your
beautiful mind. Look for beauty in the
present and continue to preserve our
precious past.”
Tammy Frazer, Frazer Parfum,
South Africa
8 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
500th anniversary edition
“With the economies the way they are,
we’re seeing lots more pressure on the
validity of product claims: does this
product do what it says it does? We’re
already seeing this in the uptick of
sample purchases in ecommerce (our
own store as well as sampling sites like
Birchbox.com); i.e. customers are less
willing to part with dollars without
trying/proof.
Another big one we’re seeing: the
consumer desire for “natural” being
fine tuned to “safer” as more people
are understanding claims better
overall. And for a brand like ours,
these trends are obviously boons!”
Laura Verallo de Bertotto, founder
VMV Hypoallergenics, Manila,
Philippines
“We are ready for great things in
2012. Our 2012 range has a tiered
structure, so there are products to
suit every buyer. This has opened up
huge possibilities for Travalo, from
luxury stores to supermarkets,
there’s a product that suits.
What’s more, we have
collaborated with designer fashion
and fragrance labels like Shanghai
Tang, Jean Paul Gaultier, G-Star Raw
and expect that trend to continue,
bringing even more awareness.”
Kelly Scott, marketing manager,
Travalo, Scotland
“There are definitely tough times
ahead of us. Consumers in these
times return to essential values they want to make sure the products
they buy deliver. What will resonate
with them are products that not only
talk the talk but walk the talk and
deliver results. Products that are not
overpriced or overpromising and
have honesty and efficiency. This is
where we believe Philosophy is spot
on. In terms of challenges, economic
consumption is still low. I think we
have to offset what’s happening in
Europe and the US by focusing on
emerging markets such as Asia.”
Marie-Laure Pons, senior vice
president skin care, Coty
“In fragrance creation we are increasingly seeing more creativity and more risk
taking from perfumers, either through using more daring ingredients or ideas.
From what I’ve seen during 2011, brands were already trying to create things
that smelt different by using different ingredients and allowing more freedom to
perfumers. I think that this year, there will be even more of this, and we will also
see more surprising fragrances. The fragrances that will have success this year
will be loud – whether it’s through smell, statement or colour. The challenge for
perfumers will be to meet the expectations of both brands and the public. It’s
about achieving the balance between daring and beautiful.”
Aurélien Guichard, senior perfumer Creation Fine Fragrance,
Givaudan, France
“Both Yardley London and Woods of
Windsor enjoyed strong double digit
growth in 2011. Since the creation of a
separate business unit in 2010, we
have relaunched both brands with new
formulations, improved packaging and
significant investment in POS, PR and
advertising. Our commitment to
manufacture and sell high quality
British products at affordable prices
has resulted in distribution gains
throughout the UK and in key
international markets, in particular
Latin America. We have also
capitalised on the brands’ British
heritage by launching a new fragrance,
Royal English Daisy and a new Bath &
Body Skincare Collection.
Although we recognise that 2012 is
going to be another difficult year for
both our loyal and new customers, we
are very excited by the launch of this
year’s new Royal Diamond fragrance;
our first national advertising campaign
in over six years and an extensive
gifting program. Given London’s
hosting of the Olympics (27th July – 9th
September) and the Queen’s Diamond
Jubilee (2nd – 5th June), we are
confident that both brands are well
placed to celebrate these two
occasions with new products, a gift
collection and a heritage strongly
connected to the capital city, as well as
obvious connections to the Queen
through her Royal Warrant.
We are looking forward to
celebrating all that is great about
Britain, British team spirit, British
manufacturing and British beauty.”
Quentin Higham, managing
director, Yardley of London Ltd, UK
“At Diptyque we saw very strong sales
over the Christmas period for both
home fragrances and body perfumes.
We will therefore continue to build on
these two axes with new scents and
further developments of our classic
fragrances. Our range of body products
is continuing to bring in new clients.
Geographically, we are developing our
brand in Asia, where the first Diptyque
boutique was opened in Hong Kong in
November, and also in the US, where
we hope to strengthen our network of
boutiques and shop-in-shops.”
Fabienne Mauny, executive director,
Diptyque, France
“I think 2012 will be exciting as
distribution channels are changing
rapidly and we are experiencing
somewhat of a renascence here in
beauty as such. Sephora, Ulta and
Duane Reade’s Look Boutiques are
proving that they are incubators for
numerous small brands. Consumers
want to try new products and are
eager to search them out. The US
has not recovered from the overkill
of celebrity fragrances though the
classics continue to do well.
I believe professional makeup
artist brands will add share,
particularly as Mac, Nars and Make
Up For Ever battle it out. I think
there will also be continued shakeout
of brands that have been
underperforming. Skincare remains
strong in department stores.”
Allan Mottus, industry
consultant, New York
9 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
500th anniversary edition
Some of the key stories we broke, demonstrating the breadth
and depth of CosmeticNews.com’s coverage…
2000
LVMH adds Fresh to its
shopping cart
French luxury goods giant LVMH is
actively pursuing its conquest of the US
market with last week’s acquisition of
Fresh, its sixth brand since the
beginning of this year and its fifth US
brand. Less than a year after the group
purchased US companies Bliss, Hard
Candy, Urban Decay, Benefit and French
cosmetics brand Make Up for Ever,
Patrick Choël, president of LVMH’s
perfume and cosmetics division, hinted
that there may be more acquisitions in
store this year.
2001
Bristol-Myers Squibb taking
bids for Clairol
Bristol-Myers Squibb Co., a US
diversified health and personal care
group, set May 4 as the deadline for bids
for the purchase of the Clairol haircare
business. Although the group would not
comment on potential bidders, Procter
& Gamble (P&G) and Kao Corporation of
Japan are expected to be the leading
contenders. Bids are expected to be in
the range of $4-5bn. Reportedly,
Unilever, Wella AG, Henkel AG and
Beiersdorf AG dropped out of the
bidding process.
Connection United Kingdom for US
department stores. Complaints from
customers and conservative religious
groups caused department store chain
Federated and other stores to remove
the fragrances from shelves in October.
2004
A Delicious new launch from
Donna Karan
US beauty giant The Estée Lauder
Companies (ELC) will launch a new
fragrance from US fashion designer
Donna Karan in October, called DKNY Be
Delicious. Inspiration for both the scent
and packaging for the product came
from New York City’s nickname “The Big
Apple”. This is the brand’s fourth
women’s fragrance after DKNY Women,
Cashmere Mist and Black Cashmere.
2005
Inter Parfums would work, Christian
Lacroix ceo Nicolas Topiol commented:
“The partnership was done in agreement
with Inter Parfums but we took care of
the development directly with Avon. The
fragrances (Inter Parfums) develop are
mainly distributed in markets and to
consumers that are different than the
ones touched by Avon.”
2008
Arden snaps up Claiborne
fragrance licences
US beauty company Elizabeth Arden Inc
has acquired Liz Claiborne’s fragrance
licences, a move that is expected to
bolster the group’s position in the North
American perfume market. “We are
number-one or two in terms of gross
revenues in North America in fragrance,”
Elizabeth Arden chairman, president and
ceo E Scott Beattie tells CosmeticNews.
Coty closes its deal on UCI
US beauty company Coty Inc has
announced the closure of the
company’s $800m acquisition of AngloDutch consumer-goods giant Unilever’s
prestige fragrance arm Unilever
Cosmetics International (UCI). The deal
includes the acquisition of UCI’s
fragrance licences as well as its
manufacturing facilities at Mt Olive, New
Jersey (US) and Lille, France.
2009
Clarins to open departmentstore spas Stateside
The US arm of French beauty brand
Clarins will inaugurate a new skin spa
concept inside 15 key department stores
including Bloomingdales and Nordstrom
locations, Clarins Group USA ceo
Jonathan Zrihen tells CosmeticNews.
“The idea is to showcase our skin care
expertise,” he says.
2002
2006
Revlon appoints Jack Stahl
Prada man pays homage to amber
2010
Ailing US beauty company Revlon Inc
has confirmed market speculation by
appointing Jack Stahl president and ceo,
effective immediately. Stahl, formerly
president and chief operating officer of
Coca-Cola, replaces Jeffrey Nugent,
whose resignation Revlon announced on
February 15, 2002. Stahl is Revlon’s third
ceo in five years. Nugent and his
predecessor, George Fellows, each held
the position for only two years.
Spanish firm Puig Beauty & Fashion is
opening a second chapter of the Prada
fragrance story with a second homage to
the amber ingredient. Daniela Andrier of
Swiss flavours and fragrance firm
Givaudan worked closely with Miuccia
Prada to compose the men’s Prada
scent, whose launch coincided with the
presentation of the brand's springsummer 2007 men’s collections in Milan,
Italy.
Unilever to buy Alberto Culver
2003
2007
fcuk rebranded for US
department stores
Avon teams up with Lacroix
US beauty manufacturer Zirh
International (Shiseido), which markets
the fcuk him and fcuk her fragrances,
has relabelled the line French
US direct-sales beauty group Avon has
announced a partnership with French
fashion designer Christian Lacroix and
his fragrance licensee, Inter Parfums.
Quizzed about how the relationship with
The acquisition makes Unilever the
world’s leading company in hair
conditioning, the second largest in
shampoo and the third largest in styling,
and significantly enhances its hair care
presence in the US, Canada, the UK,
Mexico and Australasia.
2011
Andrea Jung steps aside at Avon
Direct beauty sales giant Avon will look
to separate the roles of chairman and
chief executive officer from next year.
Andrea Jung, the company’s chairman
and ceo will be appointed executive
chairman, while its board of directors is
expected to work with Jung to find a new
ceo.
10 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Suppliers
AkzoNobel develops Biostyle
Dutch speciality chemical company
AkzoNobel has created Biostyle CGP,
described as a new innovation that
combines the best of synthetic
performance and sustainable technology
into one polymer.
Said to allow the creation of clear
styling gels in a more natural way, it uses
a maltodextrin-vinyl pyrrolidone hybrid
polymer that promises to hold and
provide humidity resistance in hair gels
and styling products. Biostyle CGP is
expected to appeal to brands looking to
create clear hair gels more sustainably,
according to AkzoNobel.
IFF creates R&D advisory board
International Flavours & Fragrances Inc
(IFF) has created a Scientific Advisory
Board (SAB), in order to bring key
experts together in areas identified in
the company's strategic review.
“The addition of this high-quality
SAB to our R&D group will help us
develop innovative solutions in our
flavours and fragrances business and
better serve our customers’ needs. We
anticipate that it will give us strong
competitive advantage not only by
tapping into the minds of the board
members, but by leveraging their access
to a global network of academics, highlevel industry members, and their
associates,” said Doug Tough, IFF
chairman and ceo.
Led by Ahmet Baydar, senior vp,
Research and Development, the SAB’s
members will include Steven V. Ley,
professor of chemistry, Cambridge
University, Cheryl Perkins, president and
founder of Innovationedge, Thomas D.
Sharkey, Michigan State University, Leslie
Vosshall, The Rockefeller University and
Brian Willis, former senior vp of R&D and
board member of Quest.
Oat gets COSMOS green light
UK-based personal care ingredients
manufacturer Oat Cosmetics has been
granted COSMOS certification for its
Colloidal Oatmeal, Superfine Oat Flour P
and Superfine Oat Flour L ingredients.
Colloidal Oatmeal is described as a skinsoothing ingredient with antiinflammatory properties, while both the
Novaleads develops new
method for toxicity testing
F
rench biotechnology company Novaleads has developed an in-vitro
method of testing products for toxicity without using animals. Called
EvaTox, it obviates the use of acute toxicity test OECD 423 and is based on
the company’s patented DAP (dequenching after photobleaching) technology,
using nucleic acid dyes. Although it is also designed for industry, the developers
foresee cosmetics applications in the light of the 2013 EU ban on animal testing.
The in-vitro test can measure skin irritation and acute toxicity, including cell
death, apoptosis, necrosis and genotoxicity. The testing method, says Novaleads,
is suitable for all models of cells in culture – adherent or suspension cell lines,
eucaryotic and prokaryotic cells, primary cells and reconstituted tissue.
“Our aim is to identify new information available in the living cell and its value
on health, cosmetics and the environment with solutions that are more ethical,
informative and reliable, and less expensive,” said Novaleads founder Christophe
Furger. “Alternative methods dedicated to toxicity detection remain rare,
particularly in the case of acute toxicity following a single dose of a substance.”
Patricia Mansfield-Devine, Rennes
Scentys pockets scent diffusion
F
rench interior fragrance solutions firm Scentys has developed a smaller
version of its scent diffusion technology - Scentys Pockets, and has linked
up with Antoine Lie, senior perfumer at Tagasako, on a range of limitededition fragrances.
Scentys, founded in 2004 by engineers Clément Jeanjean and David Suissa,
specialises in professional fragrance diffusion solutions for businesses such as
hotels, shops and perfumeries, and for events such as theatrical performances
where the organisers wish to add an olfactive element.
Its product uses a patented technique where fragrances are captured in
capsules -- a technology which, says the company, is dry, clean, environmentally
friendly and retains the true scent of the perfume. Its clients include Guerlain,
L’Oréal and many other leading perfume brands, and it also creates bespoke
scents for clients.
Scentys Pocket is small enough to fit in the hand, but perfumes an area up to
20m 2 , and works on standard batteries. By clicking the box, the perfumecontaining capsules are broken, releasing their fragrance, and the scent can easily
be changed by swapping the capsule. Larger versions of the technology hold up
to four fragrances that can be used consecutively.
In tandem with the launch of Scentys Pocket, the company has teamed up
with Tagasako head perfumer Antonie Lie to produce six new fragrances – Les
Exclusifs. Each will remain in the Scentys collection – some 30-strong -- only until
it is picked up by a client, so that the fragrance remains unique to the individual
customer. Lie promises the use of traditional materials such as rose, iris and
vetiver in the range, but in a very modern interpretation.
Superfine Flours are said to be ideal
gelling ingredients. All three ingredients
have been approved as meeting the
requirements for ‘Natural’ under
COSMOS certification, which assessed
them based on origin and processing,
composition of total product, storage,
manufacturing and packaging.
11 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Retail
Rossmann posts healthy results
Walgreens returns to roots
with Chicago flagship
U
S drugstore giant Walgreens has opened a luxury two-storey flagship store
in Chicago. Located on the city’s historic State Street, the store is said to
herald a return to an historic location for Walgreens, as the company
operated a store there from 1926 to 2005.
“This store brings together our most innovative, forward-thinking initiatives
under one stunning roof, and we couldn’t be more proud to make its debut in our
hometown,” said Greg Wasson, Walgreens' president and ceo.
Along with a new upscale café and juice bar, the store will also feature an
expanded beauty department, called the LOOK Boutique. The dedicated area
houses both prestige and niche cosmetic, skin care and hair care brands, said to
be atypical for a drugstore environment.
There will also be a nail bar, offering manicures with products from essie and
OPI, an eyebrow bar, as well as beauty assistants to help with any customer
enquiries. Also new to the area is a Virtual Makeover kiosk, where customers can
trial cosmetic colours and styles.
Aesop steps into Soho
A
ustralian beauty brand Aesop has opened its fifth store in London in the
city’s central Soho area. Designed by French architecture and design
company Ciguë, which also created the company’s stores in Le Marais and
Merci in Paris, the space features stone walls and white enamelled steel shelves.
Indi Davis, the brand’s marketing coordinator for Europe told CosmeticNews that
the store interior was designed to resemble a bathroom or laboratory, and
represents a departure from the green-toned aesthetic of the other Aesop retail
stores.
The brand, which now has over 40 stores globally, is celebrating its 25th
anniversary this year. To mark the occasion, it will be introducing several new
products throughout the year, including Petitgrain Hydrating Body Gel and
Control, both available in March. The Body Gel contains Witch Hazel, grapefruit
and lemon peel oils, and is the brand’s first moisturising body gel. It is said to
cool the skin following sun exposure, waxing or shaving. Meanwhile, Control is an
anti-blemish gel made from Tea Tree Leaf Oil, Niacinamide and Salicylic Acid,
aimed at reducing the appearance and severity of blemishes. Its supporting ad
campaign, which launches in March, targets the teen market.
Online sales spell success
for The Perfume Shop
The Perfume Shop (AS Watson) has
posted strong sales over the seasonal
trading period.
For the four weeks ending 24
December 2011, the UK high street
fragrance retailer recorded a sales
increase of 4.5 per cent.
E-commerce performed particularly
well, climbing a significant 42 per cent in
the UK and Ireland.
Total sales over the Christmas period
grew 16 per cent, with over 2.4m bottles
of perfume sold in the run up to the
holiday season.
“These are really exciting times for
the business and we are delighted to be
going from strength to strength,” said Jo
Walker, managing director, The Perfume
Shop.
“Our people will always be at the
heart of what we do and we know that
their passion and commitment will
enable us to deliver our goals for the
year ahead,” Walker added.
German drug store chain Rossmann has
announced turnover of €5.12bn in 2011,
an increase of 10.5 per cent compared
to the previous year. Turnover in its
1,612 German stores grew 10 per cent to
€3.81bn while international business
rose 12 per cent to €1.32bn. The group
currently operates a total of 2,531
outlets across Europe including Poland
(618 stores), Hungary (179), the Czech
Republic (108), Albania (6) and, most
recently, Turkey (8 outlets).
The year 2012 also marks
Rossmann’s 40th anniversary and the
company has big plans for the future. In
the current year alone Rossmann will
invest €94m in its German store network
and open at least 110 new outlets.
Rossmann, which is partially owned
by Asian beauty retailer AS Watson, is
the third-biggest drug store operator in
Germany, following the Schlecker group
and DM. For full year 2012 the company
expects a total turnover of €5.6bn.
Harvey Nichols to launch
Liverpool concept store
Luxury department store chain Harvey
Nichols is launching a new concept
store at the Liverpool One shopping
centre in central Liverpool, UK.
Occupying 22,000ft2, the store is
scheduled to open in autumn this year.
This marks the retailer’s second store
opening in Liverpool One, after it
opened the Foodmarket pop-up shop in
September 2011.
Tesco sees flat seasonal sales
British supermarket chain Tesco saw
group sales in the six weeks to 7 January
2012 increase by 5.2 per cent (4.2 per
cent at actual exchange rates). In the
UK, total sales grew by 3.8 per cent,
while online sales were much stronger,
showing sales growth of more than 14
per cent. The company, which
announced a move into premium beauty
in October last year, recently made its
extensive range of prestige beauty
brands available online.
Internationally, sales grew at 8.2 per
cent (5 per cent at actual exchange
rates), with strong results seen
particularly in the US.
12 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Products
Pure Lochside enters luxury care
Pure Lochside is a new premium
Scottish spa bath and body brand
designed by aromatherapy expert Fiona
Tutte. The range is said to include a
blend of highly potent essential oils and
therapeutic natural ingredients to treat a
range of skin types and conditions.
The two-piece collection features
Invigorating Bath & Body Oil and
Calming Bath & Body Oil. The
Invigorating range uses organic juniper
berry to detoxify, Omega 3, 6 and 7 oils
and Scottish Highland pine to stimulate
the lymphatic system, while the Calming
variant is said to ease muscle and joint
pain through the inclusion of black
pepper, marjoram essential oils and
organic macadamia.
Both are priced at £26.50, available
from The Pharmacy in London’s upscale
department store Harrods and online at
purelochside.com.
Lauder worships new Goddess
Estée Lauder has reintroduced cult
favourite fragrance Bronze Goddess for
summer. Slated for re-release in
February, the amber-floral scent is said
to embody the warmth of summer,
capturing the heat of the sun and
radiance of bronzed skin.
Meanwhile, the brand is also
releasing Bronze Goddess Capri,
described as a solar-oriental fragrance
which captures the essence of the Isle of
Capri. It opens on notes of cassis,
mandarin and lemon leaves. The heart
features jasmine sambac and muguet,
while the dry down reveals vanilla,
amberwood, patchouli and musk. Both
Bronze Goddess Capri eau fraiche and
Bronze Goddess eau fraiche will launch
in February.
Azzaro turns up heat on Chrome
French fragrance brand Parfums Azzaro
(Clarins) is growing its Chrome men's
fragrance franchise with a new limited
edition, Chrome Summer.
The scent is described as a fresh,
amber, woody fragrance, created by
Michel Almairac for Robertet. The scent
opens on grapefruit and cardamom,
before moving into a green aquatic
accord. The base reveals rosewood and
Sensai spreads Japanese
beauty rituals to Europe
J
apanese prestige beauty brand Sensai (Kanebo International) has grown its skin
care and make-up collections with the launch of Sensai Prime Solution and
Designing Duo Bronzing Powder. Set for release in February, Prime Solution is
described as a “first step moisturiser” which is aimed at introducing the Japanese
concept of double moisturising to European customers, according to Sensai.
Nadine Styger, international training manager for Kanebo Cosmetics Europe
told CosmeticNews that Sensai is sold only through high-end perfumeries and
department stores in Europe, the US, the Middle East, and South Africa. It offers
around eight high-end skin care ranges, while Kanebo offers around sixteen ranges
in Asia, ranging from mass market to prestige.
Prime Solution is said to contain Sensai’s signature ingredient, Koishimaru Silk
EX, a complex that comes from Japanese Koishimaru silk. It is combined with
hawthorn extract to help skin cells reproduce and metabolise collagen and
hyaluronic acid more effectively. Regular use is said to make the skin firmer and
more moisturised, while making wrinkles appear less visible.
Inspired by the brand's use of silk, the bottle design was created by French
designer Gwenaël Nicolas, who set out to replicate the shape of a silk cocoon
using multiple layers of glass.
Prime Solution will be priced at £125, launching at high-end department stores
including Selfridges in London.
Meanwhile, the brand has also released Designing Duo Bronzing Powder as
part of its complexion collection. The two-colour bronzing powder features
particles of 24 karat gold and pearl for a luxurious finish, and is priced at £35.
Beatrix Hon, London
Lisa Hoffman to launch
scented jewellery on HSN
P
ioneering a new way to wear perfume, US fragrance designer Lisa Hoffman is
set to launch her latest Fragrance Jewellery Collection via multi-channel
retailer HSN in February. In line with the brand’s “wear fragrance your way”
mantra, the collection of necklaces and beaded bracelets is said to offer a unique
way to personalise scent.
The pieces of jewellery feature metal charms containing conifer wood beads
that slowly release perfume as they are exposed to air. Available in all five of
Hoffman's signature fragrances: Japanese Agarwood, Tuscan Fig, French Clary
Sage, Madagascar Orchid and Tunisian Neroli, each item is sold in a jar of enough
beads to refill the charm six times – the equivalent of a full bottle of fragrance.
The first to launch will be the Fragrance Bracelets, priced at $65 each, followed
by Fragrance Necklaces in March.
“Fragrance is the most personal thing you can wear, and our goal is to let
women choose how and when they want to wear it. HSN has become an
innovative force within the fragrance industry and is the perfect platform to launch
my latest collection - we are delighted to be partnering with this unparalleled
retailer,” said Hoffman.
The Fragrance Jewellery Collection joins Hoffman’s existing range of fragrance
products, including pulse point oils, body washes, lotions and candles.
13 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Products
Topshop make-up casts a spell
A
rcadia-owned UK fashion retailer Topshop has taken inspiration from Pagan
symbolism and mystics for its latest spring/summer collection. Described as
“a rebellion to polished glamour” the new collection, entitled Sisters of the
New Moon, features shades of matte metallic, neon and contrasting ink tones.
Lizzie Dawson, senior designer, Topshop Make-Up, said the collection was
designed to complement the retailer’s current fashion offering: “This trend was
heavily inspired by one of Topshop’s key core fashion trends ‘Earth’s Child’ which
sees a return to softer dressing, focusing on gothic palettes of oil slick metallics,
raven black ink tones and bleached sorbet brights."
Sister of the New Moon includes Magic Liner, a felt tip eye liner in black,
mascara, lip shades in sheer pink and apricot, along with nail polishes and nail
tattoos. The range launches at Topshop stores and online from February 16, and
is priced between £6.50 to £10.
Somerville set on expansion
L
os Angeles-based aesthetician Kate Somerville, who tends to the complexions
of Hollywood’s biggest stars, is soon to launch four new products. The
launches will coincide with Somerville’s expansion into international
markets.
The Somerville360Face Self Tanning Pads came about as a result of demand
among customers, who liked a similar body product, which has sold in excess of
two million units. The pads contain light-reflecting mica and peptides and
moisturise as they tan. A pack of 12 retails for $45.
Under Somerville’s Kateceuticals line, created exclusively for Neiman-Marcus,
is a new Moisture Milk Cleanser, a smooth make-up remover that wipes off easily
and also contains peptides. The Daily Deflector Moisturiser with SPF 20 is
antioxidant rich and will retail for $48 when it bows in March. A for-body version
is in the works.
And Somerville’s banner product of the year is the DermalQuench Liquid Lift.
Based on a popular treatment at her Los Angeles clinic, the DermalQuench
Oxygen Treatment, the new product is a fine foam that is designed to reduce the
appearance of wrinkles and provide a dramatic improvement in the skin after the
first use, replicating the effects of Botox. Ingredients include Majus Flower extract
and Hyaluronic Acid. It will first be launched on home shopping channel QVC on
27 January before moving to Sephora thereafter. A 90-day supply will retail for
$95.
In addition to a presence in the UK, Kate Somerville will also shortly be
available at Sephora stores in Canada and Mecca Cosmetica in Australia.
Somerville said that in the medium to long-term, she expects her brand to be
retailed through more Sephora stores internationally.
Kavita Daswani, Los Angeles
ambergris, to round out the fragrance on
a warm accord.
Chrome Summer is housed in a
metallic blue bottle, said to symbolise
the reflection of the sun on the sea.
It will launch in April, priced at
€52.65.
Natur Vital gets Colour Safe
Spain-based Natur Vital Colour Safe has
brought its range of PPD-free home hair
dyes to the UK. Said to have been in
development for five years, Colour Safe
provides long-life permanent hair colour
while eliminating the risks of PPD (Para-
phenylen-diamine) allergic reactions.
According to Natur Vital, PPD is
believed to be in 98 per cent of
permanent hair dyes, and is responsible
for 80 per cent of allergic reactions –
particularly prevalent in darker shades of
colourant. Available in 10 shades ranging
from blonde through to black, the
Colour Safe range is available at all
major chemists in the UK for £9.99.
Oriflame lights men's fragrance
Swedish direct seller Oriflame has grown
its male fragrance portfolio with the
launch of Fuse. The eau de toilette
contains rock crystal extract, said to be
a powerful natural substance renowned
for intensifying men’s virility and
strength, according to Oriflame.
Fuse blends notes of grapefruit and
cypress along with cedarwood,
sandalwood and cashmere wood. In line
with the fragrance’s key ingredient, the
bottle is said to resemble a raw,
unfinished shard of rock crystal.
Good Things adds cleanser
British skin care brand Good Things has
released a new addition to its Anti
Blemish range. Deep Pore Anti Blemish
Cleanser is a two-in-one cleanser,
specifically targeted at young skin prone
to breakouts and oiliness. It contains
the brand’s signature “superfruit beauty
boosters,” a range of natural ingredients
believed to boost the skin. This includes
fig and wild strawberry to smooth and
soften the skin, along with licorice and
Willow Bark extracts to reduce unwanted
bacteria and clear excess sebum away
from pores. It is priced at £4.99.
Stila gets in mood for spring
Niche make-up brand Stila has
introduced a range of pigmented pearls
and shimmering shades to its Spring
2012 Collection. The range includes two
palettes: In the Garden and In the
Moment, both priced at £25. In the
Garden features 10 shades including
matte white, bronze gold, olive green
and violet blue, while In the Moment is a
collection of 10 of Stila’s most popular
colours. Both palettes come with a look
book that features application tips and
tricks.
14 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
New media & marketing
TOP TWEETS
ON THE STREET
We track the latest beauty
news in 140 characters
Fashion_Monitor
Guerlain unveils first refillable
mascara: bit.ly/ykcdha
olympictour
Gillette picks its 24 athletes for
Olympics: Leading male grooming
company and a Procter & Gamble
brand... bit.ly/wNfbbb #olympic
Perfumeshrine
Lanvin Avant Garde pour Homme:
new fragrance goo.gl/fb/OE266
scentsalamander
Sean 'Diddy' Combs sued over
"Empress" perfume name
lifewise.canoe.ca/Beauty/2012/01…
CEW_NY
Neutrogena looks for approachable
celebrities for their brand
ambassadors to match their own
approachable sensibility.
NavajoSkinCare
Industry News: BASF discovers
common yarrow plant’s potential as
an anti-ageing cosmetic active
ow.ly/1gDKik
BBCFergusWalsh
Watch first interview with boss of
cosmetic firm which did most PIP
implants in UK: bbc.in/wMTE8p
janine_rodgers
Launch Of YSL Anti-Ageing Cream
Sparks Female Frenzy: A newgeneration skincare cream, being
hailed the ‘holy gr... bit.ly/yGvp0n
Estée Lauder
“The most beautiful face in the
world? It’s yours. The reason why
your face is so beautiful is that it’s
unique.” - Estée Lauder
Old Spice takes new route
S
ocial media is set to play a prominent role in the latest advertising campaign
for US-based men’s grooming brand Old Spice (Procter & Gamble).
Promoting the brand’s current range of Red Zone body sprays, the “Smell is
Power” campaign will introduce a new scent entitled Danger Zone, and will be
fronted by former Old Spice spokesperson Terry Crews.
The campaign was developed by US advertising agency Wieden+Kennedy, and
is set to feature five commercials, including a 15-second ad that will run
exclusively on Old Spice's social media channels via Facebook and YouTube.
Crews, who last appeared in the brand's Odour Blocker campaign, will demonstrate
how the scents can transform a regular man into a man “who smells like power.”
“The power of scent and smelling good helps inspire confidence, and body
spray is a valuable tool young guys can rely on to fuel this power,” said Josh Talge,
brand manager, Old Spice. “This campaign is targeting younger guys who might
need a little more advice when it comes to blocking odour.”
Brands garner fans via digital
T
he latest research has found that last year, beauty brands experienced
exponential growth via social media platforms. The study on 55 beauty brands,
released by US digital marketing think tank L2 as part of its Beauty study,
found that the average growth in “Likes” across all US and global Facebook pages
in 2011 was 280 per cent. On Twitter, average growth was 293 per cent for the year.
On both platforms, the biggest driver of follower growth in 2011 was found to
be free sampling campaigns along with Facebook advertising. Estée Lauder brands
fared particularly well through these strategies, with Clinique, Origins, and Bobbi
Brown earning top-10 spots in terms of year-on-year fan/follower growth.
Smaller brands however, also saw high levels of growth in their online fan base.
Dior grew from 500,000 “Likes” in January 2011 to over 5.6m presently. Similarly,
Avon’s @AvonInsider, started 2010 with 1,890 Twitter followers and ended 2011 with
over 28,000. The direct-sales giant has also seen recent success with Facebook
through strategies such as sweepstakes and celebrity endorsements.
Traditional marketing still key
A
lthough the popularity of social and mobile marketing strategies continues to
rise, new market research has found that brands are still adopting
traditional marketing efforts. As reported in Kline’s Beauty Marketing 2011:
US Promotional Activities and Strategies Assessment report, brands continue to
use traditional strategies such as couponing and price promotions.
The study concluded that the most cutting-edge beauty marketers were
experimenting with a combination of both traditional and new forms of marketing.
Through social media channels Facebook, YouTube or Foursquare, brands have
been able to tap into the potential of “f-commerce” and “m-commerce”, which
blurs the line between social media as a communication tool and sales channel.
“The growing ubiquity of new, on-the-go technologies such as smartphones
and tablets are also creating a better informed and more accessible consumer.
The landscape for marketing beauty products has changed dramatically over the
last several years with brands moving from traditional advertising as promotional
vehicles, to also include social marketing, mobile marketing, enhanced loyalty
programs, new sampling methods, and more,” said Donna Barson, senior
associate at Kline's Consumer Products practice.
15 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com
Looking ahead
27-29 FEBRUARY
PCHi
Venue: Shanghai, China
www.pchi-china.com
9-11 MARCH
BEAUTY INTERNATIONAL
DUSSELDORF
Venue: Exhibition Centre
Tel: +49 211 4560 7602
www.beauty-international.com
9-12 MARCH
COSMOPROF BOLOGNA
Venue: Fiera, Bologna, Italy
Tel: +39 02 796420
Email: francesca.maturi@
cosmoprof.com
www.cosmoprof.com
22-25 MARCH
COSMOPROF MIDDLE
EAST
Venue: Lutfi Kirdar-Rumeli,
Istanbul, Turkey
www.cosmoprof.com
28-29 MARCH
LUXEPACK SHANGHAI
Venue: Shanghai International
Convention Centre, China
Email: [email protected]
www.luxepack.com
28-29 MARCH
MAKING COSMETICS
Venue: NMM Exhibition
Centre, Birmingham, UK
www.making-cosmetics.com
17-19 APRIL
IN-COSMETICS 2012
Venue: Hall 2, Fira Barcelona
www.in-cosmetics.com
19-21 APRIL
INTERCHARM professional
Venue: Moscow , Russia
E-mail: intercharm@
reedexpo.ru
www.intercharm.ru
19-21 APRIL
COSMOBEAUTE VIETNAM
Venue: Ho Chi Minh City
www.cosmobeauteasia.com
14-15 MAY
BEAUTYWORLD JAPAN
Venue: Tokyo International
Exhibition Centre
www.beautyworldjapan.com
16-17 MAY
LUXEPACK NEW YORK
Venue: New York Altman
Building, NYC
Email: [email protected]
www.luxepack.com
29-31 MAY
BEAUTYWORLD MIDDLE
EAST
Venue: Dubai
www.beautyworldME.com
14-16 JUNE
BEAUTY EURASIA
Venue: Tuyap Exhibition
Centre, Istanbul, Turkey
www.beautyeurasia.com
19-21 JUNE
HBA GLOBAL
Venue: Jacob K Javits
Convention Centre, NYC
www.hbaexpo.com
23-26 JUNE
NACDS MARKETPLACE
Venue: Colorado Convention
Centre, Denver
www.nacdsmarketplace.org
27-29 JUNE
COSME INNOVATION
Venue: Tokyo Big Sight
Tel: +81 3 334 9 8509
Email: cosmetics@
reedexpo.co.jp
www.cosmetics-japan.jp/en/
10-12 SEPTEMBER
BEYOND BEAUTY PARIS
Venue: Porte de Versailles, Paris
Email: [email protected]
www.beyondbeautyparis.com
19-20 NOVEMBER
EMBALLAGE
Venue: Paris Nord Villepinte,
Paris
en.emballage.com
SPOTLIGHT
Kenya’s beauty calling
A
fter L’Oréal opened a new subsidiary in Kenya recently, it
put the nation on the radar of beauty brands hoping to
gain a slice of this emerging East African market. The
French cosmetics giant’s latest expansion drive, which saw it
open a subsidiary in Nigeria in September, is expected to see
the Kenya subsidiary act as a hub for expanding business
activities in East Africa, including Uganda and Ethiopia.
Serving as a trading hub for East Africa, Kenya itself is a
nation of contrasts and diversity. With historical influences
from both Europe and Arab nations, along with over 60 spoken
languages, it’s little wonder L’Oréal is looking to build its onthe-ground knowledge of this dynamic market.
The two new African subsidiaries support the company’s
confidence in the East Africa’s growth potential. L’Oréal has
been operating in South Africa since 1963, and its presence in
the Africa, Middle East zone now includes nine subsidiaries,
along with a hair and skin care products plant in Midrand, and
a Research and Innovation testing centre in Johannesburg.
The Kenyan beauty market is also dominated by global players,
so L’Oréal is well-placed to grow its brand presence. Despite this,
the company’s market share rank fell from fourth to sixth place
between 2009 to 2010. According to Euromonitor International,
Unilever remains in first place, followed by Beiersdorf, Revlon, PZ
Cussons and Interconsumer Products Kenya.
Between 2010 to 2011, Kenya’s beauty and personal care
market grew 4.4 per cent. Euromonitor predicts that the
upward trajectory will continue, with Kenya expected to see a
further 25.6 per cent growth between 2011 to 2015.
But despite steady growth, Kenya’s market performance in
recent times has been marred by social and political
uncertainty. In 2010, the prosecution of key suspects during
post-election violence in 2007 at the International Criminal
Court (ICC) in The Hague led to reduced consumer confidence.
Another key factor was the severe drought, which was
particularly damaging in Northern Kenya and brought on a
significant slowdown in the demand for non-essential
consumer goods. Consumers instead, chose essential personal
care goods and favoured multi–functional, affordable products.
Attesting to this, Euromonitor's market research found that bath
and shower products had the strongest growth at 6.4 per cent
between 2010 to 2011, followed by deodorants (5.6 per cent),
depilatories (5.2 per cent) and colour cosmetics (5 per cent).
Looking ahead, several factors stand to boost
discretionary spending in Kenya. The growing presence of
supermarkets in urban centres, and their inclusion of beauty
products will boost both the visibility and availability of these
products. Lastly, a steady decrease in unemployment levels
and income disparity is expected to lift consumer spending.
Beatrix Hon, London
16 • CosmeticNews Weekly No500/January 23 2012 • www.CosmeticNews.com