Why collaborate? To get things done!
Transcription
Why collaborate? To get things done!
FEBRUARY 2016 volume 19 issue 2 Why collaborate? To get things done! By Ken Blanchard A MONTHLY NEWSLETTER FOR EXECUTIVES IN THE PROFESSIONAL BEAUTY BIZ highlights 2 PBA announces Distributor Exec Conf 4 Lafayette Jones’ Multicultural Report 5 Federici Brands puts Wow into color 6 Gibs offers healthy hair for manly men 8 Hang out at Barbershopconnect 10 Sally Beauty Holdings announces results 18 Delpani departs Revlon 20 Join ICMAD at Cosmoprof Bologna 20 Check out IBS/IECSC New York 20 Mane St. Pro beauty grew at 3.2% in 2015 VISIT US ONLINE bironline.com CHECK OUT BIR’s 2016 BIG! Show Calendar! This is your industry’s newsletter, and BIR welcomes your feedback! Mike Nave, editor 818-225-8353 | [email protected] facebook.com/BeautyIndustryReport facebook.com/MikeNaveBIR by Mike Nave EDITOR W hen Beauty Industry Report learned about the “Collaboration Begins with You,” the new book from management guru Ken Blanchard, we reached out immediately to ask him to...well...collaborate. We are delighted to have him pen our Guest Column this month. Collaboration is a timely topic for our business. Once fueled by collaboration at every level from manufacturers to reps to distributors to salons to stylists to schools, our industry is becoming increasingly siloed. We often work independently from home or in salon suites on the service provider level, communicate electronically and have fewer opportunities for true collaboration. Above all, the beauty business is a people business. We must collaborate more if we want to solve our individual and collective challenges, and foster innovation and creativity for years to come. Regards, I f you think collaboration is just a corporate buzzword, think again. In today’s diverse, globalized workforce, collaboration is part of the culture of every successful organization. It’s as simple as asking a friend at work to give you feedback on an idea; having a brainstorming session with a few of your direct reports; or bringing together folks from different departments whose diverse skills could be helpful in an upcoming project. It’s all collaboration—and it’s the best way to get things done. For collaboration to become part of the DNA of your organization, it needs to begin with every person committing to making a positive, productive change in the way business is done. Why? Because if only some people are on board, collaboration won’t work. It needs to happen at every level, in every area of your company. Collaboration is an inside-out proposition. It is a mindset that begins inside, with your heart—who you are as a collaborator—your character and intentions. When your heart is right, you know all the brains are not in your office. You see the importance of looking outside yourself and utilizing other perspectives when making decisions and solving problems. You understand how an atmosphere of safety and trust, where people feel safe to contribute without fear of judgment, can foster innovation and creativity. Now that you are thinking in a new way, collaboration can move to your head—what you know—your beliefs and attitudes about collaboration. There are two parts to collaborative leadership. The first part is vision and direction—and it’s the leader’s responsibility to ensure the vision and direction of the group, team, department or organization are Guest Column cont. on page 2 The Beauty Industry Report Visit bironline.com Guest column cont. from page 1 clear. It’s important, though, that others are involved in crafting a clear purpose, values and goals, because people are more likely to commit to something if they have a hand in creating it. A clear purpose unites everyone around a common objective; values guide behavior; and goals provoke action. All three are necessary to be able to solidify the group’s vision and direction. Once the vision and direction are clear, it’s time for implementation—the second part of collaborative leadership. This is where collaboration moves from the inside (your heart and head) to the outside—your hands— what you do as a collaborator—your actions and behaviors. Implementing collaboration requires the leader to step back and take a more responsive role by encouraging open communication between group members. Withholding information or resources that could benefit the whole group is the antithesis of collaborative behavior. Crossfunctional networking, sharing personal information and using technology to spread data faster are all ways that people can implement the collaborative vision. In doing so, they become responsible and empowered self leaders. At this stage, leaders are there to coach for competence, build trust and cheer on collaborative work rather than oversee it. The weight of leadership is now balanced so leaders can set their egos aside and let the team deliver. When a workplace has a culture of collaboration, productivity increases, morale improves, every individual benefits and the BIR invites you to become a Guest Columnist and give us your take on a relevant topic. For consideration, please send us your thoughts in about 475 words, plus a one-paragraph author bio and your headshot no smaller than 300 dpi at 5 x 7 inches to [email protected]. We will edit your column for style and space. 2 FEBRUARY 2016 organization enjoys breakthrough results. But what if collaboration doesn’t come naturally to you? To gauge your development level as a collaborator, take this assessment. Score your responses to each statement this way: Always = 5 points; Sometimes = 3 points; Never = 1 point. _____ I believe everyone has something to contribute. _____ I actively seek diverse points of view. _____ I believe respectful debate can spark innovation. _____ I share information freely with other groups or departments. _____ I view mistakes as learning opportunities. _____ My team is committed to a shared purpose. _____ I hold myself and others accountable for project outcomes. _____ I am considered a good listener. _____ I give constructive feedback and am open to receiving it. _____ I feel networking is an important part of collaboration. _____ I feel empowered to speak my mind in an idea session, even if I disagree. _____ I believe my work is important to the organization. _____ TOTAL The legend below will give you an idea of how strong you are as a collaborator. If you scored: 48-60 36-48 24-36 < 24 Outstanding—you’re a great collaborator! Very good—you’re on the right track! Average—keep working at it! Poor—learn more about collaboration. You can only improve! With minor wording changes, this assessment also can be used to measure levels of collaboration within work groups, departments, and organizations. Effective collaboration is an art, not a science. It is a mindset that can be learned, practiced, mastered and passed on to people at every level in your organization, ultimately becoming part of the DNA of your company culture. And a collaborative culture produces excellent results and great human satisfaction! ______________________________ Ken Blanchard is chief spiritual officer of The Ken Blanchard Companies, an international leadership training and consulting firm. He is the coauthor of more than 60 books, including The New One Minute Manager and his newest book, Collaboration Begins with You: Be a Silo Buster. His books have combined sales of more than 21 million copies in 42 languages and are considered must-reads for business executives at all levels. Overall revenues for all salon industry services (hair, skin, nails) plus salon retail grew 3.2%, according to the new 2015 Professional Salon Industry Haircare Study from Professional Consultants & Resources, the leading salon industry strategic consultants and data source. Total U.S. salon services and salon retail sales grew by 3% to $60.27 billion. There were nearly 294,000 U.S. salons and barbershops using and selling salon hair care products. Salon count declined by 2.5%, as large rental suites opened. The study features graphs/charts to make data user-friendly. “The state of the professional salon industry is strong, with an upward growth curve and changing dynamically,” says Cyrus Bulsara, president of Professional Consultants & Resources. “Major economic barriers affecting the salon industry are fading, as innovative new products, salon suites and new management at top manufacturers bring new vitality. Manufacturer sales of hair color, shampoos, conditioners, hair sprays, hair styling products and specialty products all increased. A major paradigm shift toward large family economy chains and rentals continued. Most rentals do not retail effectively. Therefore, product sales at megasalon stores like ULTA increased. Diversion continued to fulfill consumer demand for professional products.” Hair coloring remained the all-important anchor service at U.S. salons, attracting clients for other services. Hair coloring services were up nearly 4%, due to aging baby boomers plus robust new demands for fashion hair color, including blonding, highlights, baby-lights, balayage, ecaille, ombré/sombré, vibrants, vivids and pastels. Keratin straightening services grew at around 3.2%. Cutting and styling services grew at 2.6%, as frequency of client visits to salons increased slightly. Major highlights of the study include: • The men’s sector grew at nearly 1½ times the industry’s growth rate. The study analyzes men’s services and product lines. • A major paradigm shift continued from independent salons and mid-tier mall chains toward family-economy chains and suite rentals, plus high-end men’s barbershops. All salon industry sectors should note this dynamic and market, sell and educate these new prime targets. • Sales at two major U.S. distributors grew, with CosmoProf’s sales up 4.2% and sales at L’Oréal’s SalonCentric up 4%. • Sally Beauty store sales were up 1%, due to economic headwinds, but disposable incomes eased as lower gas prices prevailed. • C and D-class rental salons and thrifty salon consumers shop at Sally stores. Highend independent salons and A and B class rentals drove full-service sales at CosmoProf/Armstrong McCall, SalonCentric/State/RDA/ProMart stores and independent distributor stores. • Leading hair/suite rental organizations like Sola, Salon Plaza, Salon Lofts, Solera, Phenix, Salons by TJ and Salon Concepts grew rapidly. • Sales at Regis stabilized, as the company studied divesting high-end brands to concentrate on value brands and test rentals. • Great Clips and Sport Clips both registered 9.8% and 17% growth, respectively. • Styling product sales increased by midsingle digits, as consumers continued home hairstyling, facilitated by new genres of styling tools. • Sales of specialty products, including those for hair loss, shine, thermal protection, etc. grew rapidly thanks to new intros at 7%, led by sales of oils like argan, macadamia, marula, rose and diamond. • Sales of shampoos and conditioners primarily for use at backbar grew at low single digits, as women shampooed less often and turned to dry shampoos. • Salon retail product sales grew slightly, primarily due to dry shampoos, hair color protection products, new hair and scalp masks, cleansing and protein infusion products. • Sales at ULTA grew at about 20%, largely due to aggressive promotions on salon products and via special offers. • Direct sales at Wella, Aveda, Kerastase and Bumble + bumble grew. Wella had the strongest growth, due to new brands/education. • Redken and John Paul Mitchell Systems were the only two major companies with high single digit growth. It was fueled by new launches. • Market shares are detailed for every company, with L’Oréal Professional, P&G Professionals and John Paul Mitchell Systems, respectively, ranked as the top three manufacturers. Shiseido (Joico and Zotos), Estée Lauder (Aveda and Bumble + bumble), Revlon Professional (American Crew, Abba, Roux, multicultural division etc.), Unilever (TIGI) and KAO (Goldwell/KMS California) followed. Sexy Hair, Luxury Brand Partners, Pravana and Keune Haircosmetics USA achieved doubledigit growth. Sales at TIGI and Farouk Systems increased. Luxury Brand Partners and Kevin Murphy are high-growth players. New sections detail cut, color and style projections; data analysis of barbershops and men’s services/products; ingredient issues; leading manufacturers’ reps; plus sales for AG Hair, Aloxxi, Alterna, Bio Ionic, Brazilian Blowout, Cadiveau, Peter Coppolla Beauty, Davines, Framesi, GK Hair, Kenra Professional, Keratin Complex, Keune, Marcia Cyrus Bulsara Teixeira, Phyto, Pravana and more. For purchasing information, reach Cyrus at [email protected] or visit proconsultants.us. News cont. on page 4 FEBRUARY 2016 3 The Beauty Industry Report Visit bironline.com News cont. from page 3 According to Kline’s new report, “Professional Skin Care: U.S. and Europe,” the U.S. professional skin care market continues to consolidate, with Unilever acquiring Dermalogica and Murad. A new online platform called RegimenMD helps plastic surgeons and dermatologists legitimately sell their products online and simultaneously eliminate online diversion. For the first time in the past 8 years, the medical care providers channel has overtaken spas/salons to become the largest U.S. skin care channel. This change is mainly due to the 2008 U.S. recession when the spa/salon channel saw declines until 2012. In Europe, beauty institutes and salons remain the largest distribution channel for professional skin care, while the medical care providers channel grew the fastest—by double digits—in 2015. Among the factors contributing to this channel’s prosperity is the rising interest of male consumers seeking professional help for their skin care needs, particularly in non-surgical treatments, such as Botulinum toxin injections, microdermabrasion and chemical peels. Tinted and SPF-based moisturizers that provide anti-aging benefits showed the highest number of launches in the United States in 2015. Key launches included SkinCeuticals Physical Matte UV Defense SPF 50 by L’Oréal, Murad Invisiblur Perfecting Shield Broad Spectrum SPF 30 by Unilever, and Pevonia Youth Renew Tinted Cream SPF 30 by Pevonia. Nonhydroquinone-based products remain consumers’ choice for hyperpigmentation concerns. Notable launches include PCA Skin’s Intensive Brightening Treatment and Jan Marini’s Luminate Face Cream. On the other hand, many European manufacturers introduced hydrating products based on essential oils and natural plant extracts. Académie Scientifique de Beauté launched Hydrating Treatment Oil with green myrtle and absolute rose de mai essential oils, plus raspberry and peach extracts, while Guinot launched a Moisturizing Shower Cream with argan, almond and coconut oils. In the United States, anti-aging products with skin-firming and wrinkle-reducing properties are expected to continue to boost sales and growth. Products that blur the distinction between skin care and makeup will also continue to be in demand. Lastly, innovation in both products and technology will enable marketers to differentiate and grow in this highly competitive market. Similar to the United States, anti-aging products, plus high-efficiency skin care products, specialty treatments and serums, are expected to drive the professional skin care market’s growth in Europe. To purchase the report, visit klinegroup.com. The Professional Beauty Association’s Distributor Executive Conference is scheduled for April 20-21, 2016, in Scottsdale. Open to all distributors and direct sellers. this two-day conference will include a combination of sales training, panel discussions and featured speakers in addition to networking opportunities. Tickets are $250.00 for PBA members and $500.00 for non-members. Visit probeauty.org/dec2016. Charlie Coleman and Tom Harrison of ColemanHarrison Beauty Brand Agents tell BIR that they have expanded into the Southwest Territory of Texas, Louisiana, Arkansas and Oklahoma, with Southwest partner Steve Simon joining forces with them. Steve will be managing accounts in Texas and Louisiana, where he has more than 25 years of experience servicing accounts. Reach Steve at [email protected]. Kent Nielson will cover Arkansas and Oklahoma and continue to cover the Midwest. Managing partner Tom Harrison will manage the Sally Beauty account. Cindy Whitehead joins ColemanHarrison as lead customer service agent for the Southwest. She has more than 25 years of experience providing sales support to the Southwest territory, as well as many years of assisting in the management of the Sally Beauty account. Congratulate her at [email protected]. The ColemanHarrison Midwest Beauty Brand Agents include Dick Zurchauer, Dave Chinburg, Matt Bucholc, Mike Conley and Kent Neilson. Northeast Beauty Brand Agents include Chris Gunderson, a Northeast Partner; Jay Davis; Margaret Dolor; Scott Himmelstein; Lynn Ackerman and Eric Goldstein. The Dallas, Texas office is staffed by Peggy Ritchie, Lorrie Rubin and Sherri Zeitman, with Stephanie McCullar working out of St. Louis. Visit the new website at www.colemanharrison.com. Keratin Complex recently announced changes to its team. Joyce Lowen, previously senior director of marketing, has been promoted to vice president of marketing. Wendy Clark, who oversaw the school and chain business, has been promoted to director of domestic sales. Lilia Mishal is now director of human resources. Marlon Santos is now customer service manager. Lindsay Solomon, formerly vice president of marketing, has been named vice president of business development and house accounts. She brings to this new role her marketing experience, coupled with strong sales skills to support the company’s focus on business development. News cont. on page 12 4 FEBRUARY 2016 The Multicultural Report M ore than 50 multicultural beauty industry executives are leading the initiative to organize the Global Beauty Alliance, a global beauty organization. The mission of the organization is to support entrepreneurs serving global populations with curly hair textures. Mario de la Guardia, president of Strength of Nature Global, and Lafayette Jones, CEO, SMSi-Urban Call Marketing and publisher, Urban Call, are spearheading the initiative. The group met during Cosmoprof North America this past July and two additional times. During the Mario de la most recent meeting, nearly Guardia, 20 beauty industry leaders president, pledged more than $100,000 Strength of Nature Global in start-up funds to support the Alliance’s development and infrastructure. Attending and supporting companies include Amka Companies, Ampro Industries, Inc., Andre Walker Hair, Avlon Industries, Beauty Enterprises, Beauty Times Magazine, Bronner Brothers, Lafayette Camille Rose Naturals, Carib Jones, CEO, SMSi-Urban Sales LLC, ConcreteMix22 Call Marketing Inc., Cosmetic Answers, Dubar Enterprises/Namaste Brands, Dudley Cosmetics & Products, EDEN BodyWorks, First Choice Sales, Foster & Company, House of Cheatham, Ispolus South Africa, J. Strickland, Jinny Beauty Distributing Keystone Laboratories, Korean Beauty Association, LisaRaye Beauty Company, Lolique Consulting, Luster Products, M&M Products Co, M3 Cosmetics Labs SA, Max Private Labels, McBride Research Labs, Mixed Chicks LLC, Murray's, MV Roberts & Co., Osei-Agyeman Products, Results Sales Marketing, LLC, SBX, SMSi-Urban Call Marketing, Sophisticates Black Haircare by Lafayette Jones Magazine, STIRR Agency, Strategic Solutions Internat’l, Strength of Nature Global, Summit Labs, Sundial/Shea Moisture, Ted Fishman & Associates, The Chapman Edge, TWT Distributing Corp, Ultra/Standard Distributor The Madam C.J. Walker Beauty Culture line bows at Sephora. and Universal Products. Sundial Brands has launched its first Bob Bell, founder, House of Cheatham, prestige hair care brand, the Madam C.J. kicked-off the meeting with an invocation. Walker Beauty Culture line. Building on the Next, Mario de la Guardia welcomed the life, legacy and impact of Madam C.J. Walker, guests and presented the Global Beauty a visionary entrepreneur, philanthropist and Alliance’s mission and objectives. Lafayette America's first female self-made millionaire, the Jones called the meeting to order, facilitated four-collection, 25-sku line recently launched the meeting and later presented The in Sephora stores and on Sephora.com. Multicultural Edge: The Rising Super The line includes the Jamaican Black Consumer, a report highlighting how Castor & Murumuru Oils Collection for curlmulticultural consumers are transforming the defining and moisture-sealing, the Brassica U.S. mainstream. Seed & Shea Oils Collection for smoothing Romina Brown, president of Strategic Solutions International (www.ssiconsults.com) and style-extending, the Coconut & Moringa Oils Collection for frizz-fighting and humidityprovided a category overview, which included blocking and the Dream Come True size, channel summary, manufacturer summary, Collection for scalp and strand nourishing. brand summary, segment summary and impact SRPs range from $24.00 to $32.00. of new naturals. Special remarks were shared Says Richelieu Dennis, CEO of Sundial by Richelieu Dennis, founder of Sundial and Shea Moisture, and LisaRaye McCoy, celebrity Brands, “Madam C.J. Walker was the first person to devise and scale a business model actress and founder of LisaRaye Beauty that addressed the hair care and beauty needs Products. At the end of the meeting, beauty of women of color, while also challenging the industry pioneer Joe Dudley, Sr., founder of myopic ideals of the beauty industry at that Dudley Products, received a standing ovation time. Madam C.J. Walker Beauty Culture is and delivered the benediction. poised to challenge those same ideals in the “Global Beauty Alliance will give us a prestige category with our new products and powerful collective voice and leadership role formulations that provide women with any hair in our various industry global publics— texture with a new standard of beauty—their domestic and international trade, consumer, own. We recognize the tremendous honor and salon, media, governmental, regulatory, and responsibility of carrying this work forward. community,” said Lafayette. We're bringing back more than a brand—we are Membership is open to all beauty industry introducing a new beauty culture." Visit members, including brand owners, http://mcjwbeautyculture.com/ entrepreneurs, manufacturers, retailers, Lafayette Jones is CEO of SMSi-Urban Call distributors, media, sales representative Marketing, a promotion & marketing company, companies and beauty industry-related and publisher of Urban Call custom suppliers. To learn more and get involved with publications. Reach him at president@smsithe Global Beauty Alliance, visit net.com. Visit smsiurbancallmarketing.com. globalbeautyalliance.com. FEBRUARY 2016 5 The Beauty Industry Report Visit bironline.com Federici Brands puts the ‘Wow!’ into colored hair C olor Wow, the newest offering from Federici Brands, is founded on a 25-year legacy of award-winning, problem-solving hair care innovation from CEO Gail Federici. From launching Bain de Terre, the first professional spa-inspired hair care line, to teaming with renowned British hair stylist John Frieda to create, grow and sell his eponymous John Frieda Frizz Ease and Shear Blonde retail hair care lines, Gail has achieved an unrivaled level of success by breaking rules and traditions, ignoring conventional wisdoms and creating new beauty categories. After revolutionizing the retail hair care channel, Gail and her team have returned to their roots to shake up and rev up the professional side of the beauty business. Their first launch? Color Wow, which has taken the beauty industry by storm and captured more than 30 prestigious beauty awards. Beauty Industry Report recently caught up with Gail, who’s a Gail Federici, power long-time friend, to find brand developer, out about her newest consumer behavior expert and CEO of offerings and how she Federici Brands continues to build on her company’s reputation as the “Apple of Hair Care.” BIR: Welcome back to the professional beauty industry, Gail. In the past 25 years, you’ve been forging a trail of beauty innovation. Please give BIR’s readers a brief overview. Gail Federici (GF): Thanks, Mike. It’s great to be back! Early in my career at Zotos, we sensed the coming spa trend, so we created Bain de Terre, the first spa-inspired line in the professional sector. Subsequently, in partnership with renowned British hair stylist and my close friend, John Frieda, my team of marketing and creative experts and I forever changed the way hair care products were marketed and merchandised by creating the first complete “prescriptive” ranges to address problems unique 6 FEBRUARY 2016 to frizzy and blonde hair types. The word “frizz” wasn’t on any packaging in hair care before Frizz Ease, and now, as you know, it is ubiquitous. BIR: What were the most important lessons you learned that you’re sharing with and applying to the pro beauty market today? GF: Our strategy is very much the same as it was in retail. We are a problem/solution company. Our mission is and always has been to find solutions to real hair problems. There are so many issues that are the unintended consequences of color processing. We started with the roots and continued to dig deeper into the gradual degradation of the color and texture. That led to surprising discoveries and, subsequently, to a totally different approach to shampoo formulations and styling formulas. BIR: Which brings us to your newest venture. GF: Federici Brands (Federici Brands LLC, US and Federici Brands LTD, UK) are privately-held companies known for disruptive innovation in the beauty industry. Customer-obsessed renegade thinkers, we are committed to creating the highest quality products to address real, unmet beauty needs to help consumers, upgrade professional salon services and provide unique, high performance retail offerings. Those philosophies led us to develop Color Wow, a brand that systematically and effectively addresses every problem associated with color-treated hair, including universally dreaded “roots.” Our mission is to support salon professionals with Wow tools, techniques, education and opportunities. The best colorists in the world can’t go home with their clients, but Color Wow can! BIR: Tell me about the products. GF: Our first transformative product, Color Wow Root Cover Up (SRP $34.50), is a professional mineral powder in a cosmetic-like compact. It brushes on easily to camouflage gray roots instantly and lasts until your next shampoo. It’s also the first and only root cover to cover dark regrowth without peroxide. It’s available in seven shades for a perfect color Color Wow Root Cover Up is the next handheld device to change your life—from the “Apple” of hair care. match. For the 75% of women who color their hair (single process, highlights or a combination of both), Color Wow is a life-changer. Other products in the line include Color Wow Color Security Shampoo (SRP $22.00), Color Wow Color Security Conditioner for either fine to normal or normal to thick colortreated hair (SRP $23.00), Color Wow Speed Dry Blow Dry Spray (SRP $24.00), Color Wow One Minute Transformation Styling Cream and Color Wow Pop & Lock Crystallite Shellac (SRP $18.00). BIR: Your first-class merchandising materials at shelf and online support and education, guarantee that your products sell themselves. Tell me about your approach. Does that come from the retail world? GF: I think our merchandising materials work well because we are very clear from the outset who our audience is. We are not ingredient-led, we are consumer-led. When you deliver something that answers an unmet need, it resonates. BIR: You’re known for breaking the mold in both pro beauty and the retail sector when it comes to product innovation. What’s been the key to your success? GF: We import and adapt best practices and philosophies to the beauty industry. Like Apple, we: • “Think different.” • Lead, don’t follow. • Focus on creating a unique, positive user experience. • Have earned the reputation for creating disruptive technologies that improve lives, have lasting impact and ultimately achieve iconic status. • Embrace pop culture in an effort to wrap our prescriptive regimes in an aspirational blanket that resonates with the consumer as much as the problem solving. Salons create beautiful hair color. Federici Brands keeps it Wow with a range of products. Then, now, and always, our mission is to are leave-on supplements we call “bionic BIR: Who else on your team would you like create products to solve the beauty problems tonics.” They come in three flavors—kale, our readers to know? that are plaguing women everywhere. Our coconut and a carb cocktail. Each one GF: Giles Robinson, our global director of motivation and innovation stem from real addresses one of the three unintended training and education, has been with John needs. At the core of our corporate mission is a consequences of color processing, helping to Frieda salons for 16 years. He is a brilliant simple truth: necessity is the mother of return the hair to its virgin state. We are in over educator and appears on TV shows in major invention. cities promoting Color Wow. Kevin Moss, Color 60 countries at the moment and will continue Existing competitive products don’t dictate to build our Wow Team of educators worldWow’s creative director, has been with John our benchmarks. We look for real, unaddressed wide. We will be launching our TV advertising Frieda for more than 25 years. Based in London, “holes” in the beauty industry. That leads to campaign to support salons and drive clients he is a guest artist at shows and travels the actual disruptive technologies that ultimately through their doors. world promoting Color Wow. Nicola Clarke, achieve iconic status (eg, the first serum to BIR: Tell me about HAIRraising, your our global creative color director, has worked in conquer frizz, the first styling product line for grassroots cause-marketing program. the John Frieda Salons frizzy hair, the first GF: The 7th Annual HAIRraising Cut-A-Thon as head colorist for 13 formulas to is scheduled for Sunday, April 10. Top salons, years. She is a favorite optimize blonde, including John Frieda, Sally Hershberger, of A-List celebs, the first fast, easy, Gretta Cole, Mario Russo and others will including Kate Winslet, natural-looking open their doors, with 100% of proceeds Kate Moss, Sienna mineral powder to benefiting the Heart Center at Boston Children’s Miller, Cate Blanchett. effectively cover Hospital, the No. 1 ranked pediatric hospital And of course, our vice roots). and research facility in the United States. To president of sales, BIR: What is your James (Mac) McMillan, register, visit hairraising.org. distribution BIR: How can the industry help? and our vice president model? GF: By spreading the word. We need as many of business GF: Color Wow salons as possible to sign up and raise money development and has partnered with for Boston Children’s Hospital. Its breakthroughs education, Larry Kane, independent The next big breakthrough in pediatric cardiology are changing the lives of children around the oversee our distributor distributors to can start in salons, thanks to HAIRraising. The 7th world, and we want to be part of that. sales and chain account reach fine salons Annual Cut-a-thon takes place Sunday, April 10, For more information, contact Gail Federici, sales, respectively. across the United benefiting Boston Children’s Hospital. CEO, Federici Brands, at 203-762-7667 or BIR: What does the States and Canada [email protected]. Visit and is also available in Ulta stores. Color Wow is rest of 2016 look like for Federici Brands? colorwowhair.com. GF: We are launching our Cocktails, which currently sold in 60-plus countries. FEBRUARY 2016 7 The Beauty Industry Report Visit bironline.com Gibs tells a story of healthy hair and manly men F ocusing on healthy hair and manly men, GIBS Grooming solves the unknown about facial hair, as the brand’s beard oils tame, smooth and hydrate. But no longer is GIBS simply a brand for those blessed with face follicles, as its line has grown to include everything from a beard balm-aid and shave gel, to a ’stache and mohawk glue that will leave hair styled at attention for hours. Beauty Industry Report met founder and CEO Brian “Gib” Long at one of his first trade shows, and we have been tracking the company’s progress since its launch just shy of 2 years ago. GIBS is cutting-edge and has exciting new launches in the works for 2016, bringing with it even more swagger and style to the GIBS guys (and gals) of today. Brian is moving so Brian Long, aka fast, that it’s a challenge “Gib,” joined with to keep up with him, business partner but BIR was up to the Mike Howland to launch GIBS—Guys task and recently had Into Beard Stuff. him slow down long enough to bring you this update. BIR: Welcome back, Brian. It’s always a delight to see new companies doing so well in the professional beauty industry. Obviously, your timing was right and your attitude was embraced. Please give our readers a quick overview. Brian Long aka “Gib” (BL): Thanks, Mike. I founded GIBS with my buddy Mike Howland. We're just meat-eating guys from Colorado. We’re dudes and dads with a mantra: Real men man their beards. We don’t care if you’re Mr. Disheveled Hipster, Grizzly Adams, Jerry Frickin’ Garcia or George Clooney’s clone. If you have an inherent thirst to beard, a compulsion to mark your territory as a man, we promise, you’re gonna love our stuff—behind the chair, behind the bar, on top of the world. Raise the beard bar. Grace your face like a GIBS Guy. BIR: Why are guys’ products so hot? 8 FEBRUARY 2016 BL: Men are finally exhibiting their diversity. BIR: After earning great success with your initial beard oils, how and why did you make the transition from “just a beard company” to a full brand of products for the beard, ’stache, tatts and hair? Did you ever imagine that you’d have the influence in guys’ grooming that you have today? BL: As the universe provides, it’s all organic. Of course we had big visions when we created the brand with beard oils featuring natural argan, olive and sunflower oil blends to smooth and soften men’s scruff like nobody’s business. But you can never really know what’s around the next corner until you get there. That being said, we are movin’ like a freight train comin’ down the line, and we don’t plan on slowing down any time soon. BIR: I love your brand’s irreverent attitude. Just who is the GIBS guy? BL: Mike, it comes from the average guy. The GIBS guy understands that the beard, the ’stache and the tattoos aren’t gimmicks or trends, but trademarks of manhood far beyond cultural and deep into consciousness. He’s a beard at ease in the boardroom, the bedroom, the bike lane and the car drop-off line at his little guy’s school. He’s tattered and tatted, but tamed. And he’s a gentleman. BIR: I know you have a bulging marketing plan this year. Please give us an overview. BL: Not only are we expanding GIBS’ global reach this year, but we are also expanding our influence within the professional beauty industry and with the products that we offer. That being said, GIBS is rolling out the red carpet and introducing four new styling products during the first half of 2016. Those include Hitman, a texture spray, plus three pomades—O.G. Baller Playable Pomade, Rico Bandito Polished Pomade and Original Outlaw Hair Spackle. These, partnered with Stiffy, our ’stache and mohawk glue that debuted in December 2015, have taken us from “just a beard company” to a well-rounded, men’s grooming and styling company. BIR: Congratulations on that major accomplishment! Please tell us more. BL: Our new products help make styling easy for every guy who has better things to do than spend hours in front of his mirror. Stiffy ’Stache & Mohawk Glue (1.5 oz./SRP $21.00) is for guys who can’t keep it up—their hair, that is. This extreme hold adhesive keeps styles rock hard all day long, while ginseng and dragon’s blood keep hair strong and stimulated and When you’re a man on the run, you don’t have time to style. With GIBS improve the Hitman Texture Spray, all it takes is a overall health spritz and a tousle with your fingers of hair for that textured, messy, ride-off-infollicles. The a-cloud-of-dust look. fragrance features a stiff concoction of white cedar, absinthe and spicy black pepper. Hitman Texture Spray (5.75 fl. oz./SRP $20.00) features keratin protein to help improve the hair’s strength and elasticity, Holy Basil to help boost immunity, moisturize and soothe dry scalp, and reduce breakouts along the hairline; and hops to soothe the scalp and increase overall hair and scalp health. O.G. Baller Playable Pomade (3 oz./SRP $21.00) lets you keep it fresh all day long. With a flexible hold and medium shine, you can go from street style, to business and back in no time. Holy Basil helps moisturize, soothe dry scalp and eliminate pimples and breakouts along the hairline. Hops offers antiinflammatory and astringent properties, helps reduce hair loss and helps soothe the scalp and increase the overall health of the hair and scalp. Panthenol moisturizes and conditions the hair, helping to improve its elasticity and flexibility. Its fragrance keeps it fresh with hints of crisp cognac and rich musk. Rico Bandito Polished Pomade (3 oz./SRP $21.00) keeps it slick. This high-shine, mediumhold pomade leaves your pomp so polished, people will think you stole it! Topped off with panthenol, Holy Basil and hops, this pomade also helps to moisturize and condition hair, while leaving the scalp soft and soothed. How’s that for a reason to say ¡Salud!? Its smooth fragrance features hints of bergamot, sage and sandalwood. Original Outlaw Polished Pomade (3 oz./ SRP $21.00) keeps it rugged. It doesn’t matter if you’re robbing banks or on the run, this highhold, matte grit will leave your hair textured O.G. Baller Playable Pomade, Original Outlaw Hair Spackle and Rico Bandito Polished Pomade are and in place all day. Topped off with shea topped off with panthenol, Holy Basil and hops to moisturize and condition the hair, while leaving the scalp soft, soothed and healthy. butter, panthenol, Holy Basil and hops, this pomade also helps to moisturize and condition began penetrating the European market. With emerged from the forest of men. hair, while leaving the scalp soft and soothed. all of these new outlets, I expect this to be a BIR: Last year, your campaign revolved So go on, take the pomade and run. Comb it huge year for us. around the mantra of “No Apologies, No smooth or leave it messy. The choice is yours. BIR: Those are big moves, indeed, Brian. How Its moody and complex fragrance is tinged with Regrets.” Tell me how you’re going to outdo are you going to top that in the second half it in 2016 with “Live Free. Look Good.” hints of dark plum, clove and black currant. of the year? BL: When we first came into this industry, BIR: Tell me about some of your best-sellers. BL: More new products are on the way, as we offered no apologies and had no regrets BL: Our 3-in-1 Beard, Hair & Tattoo Oils— well as some terrific swag, which we all know about our irreverent outlook on our products. Bush Master, Manscaper and Voodoo Prince GIBS is famous for. This year, we are encouraging our GIBS Guys to (SRP $19.95 each)—add polish, shine and style BIR: Any final thoughts to share? just Live Free and with natural argan, BL: GIBS Grooming is not as far removed Look Good. Life is olive and sunflower from my days as a teen following the Grateful complicated and oils. They also superDead and selling veggie burritos and tie-dye work is hard; we condition the skin to t-shirts as it would seem. “I like the [beauty want to make guys bring ink to life. Man trade] shows. I like being on the road. It feel good about Wash BHB (Beard, reminds me of being on the Dead tour. You see themselves and look Hair & Body) lets the same people from show to show, and good while doing it. guys splash and dash there’s camaraderie. Tom Vaught was my BIR: What is your to slice precious time partner in crime when we were on the Dead distribution model? out of their cleansing tour. He said, “I thought the Dead tour was BL: Domestically, routines with this allbizarre, but this is really far out.” There is one we partner with over lather that big difference: Today, our beards are much CosmoProf on a cleanses from head to better maintained! national basis, and toe. Sulfate- and Men’s styling should be without restraint. I’m delighted to paraben-free, and GIBS Grooming is a whole new way of looking share that we’re fortified with copaiba at the men’s market. So if you haven’t given us a expanding with balsam and tea tree try, pick some up. Live Free and Look Good! national chains such oil, it cleanses and For more information on GIBS Grooming as Sport Clips and conditions hair and Fantastic Sam’s. Plus and guys’ grooming stuff in general, contact skin without stripping Brian “Gib” Long, founder/CEO, at 970-691-2191 there are more on away precious or [email protected]. Visit the horizon. moisture, while Stiff ’Stache and Mohawk Glue, as well as many gibsgrooming.com and connect with the In addition, we are lingering scents of of GIBS products, come packed with shelf merchandisers that show how the products stand currently expanding company for tips and fun via @gibsgrooming citrus and oak send up to their claims. on Facebook, Instagram, Pinterest, Twitter and our full line to guys out the door YouTube. Canada and recently smelling like they just FEBRUARY 2016 9 The Beauty Industry Report Visit bironline.com Hang out with barbers at Barbershopconnect A ttend any professional beauty show and you will immediately understand the power behind the resurgence in barbering. From hundreds of new lines, products and tools from razors to clippers for men’s barbering and styling to packed barber competitions, guys have taken center stage and are demanding products and services created just for them. With so much new competition, brands are challenged to create a real point-of-difference and a strong connection with the barbering community. Enter Lee Lee Resnick, founder Resnick and his of Barbershopconnect, Barbershopconnect, is your ambassador which are known for to the barbering their creative ideas that world. push the boundaries of contemporary marketing, With that intriguing introduction, we recently sat down with Lee to learn more. BIR: Welcome, Lee. Please introduce our readers to Barbershopconnect. Lee Resnick (LR): Thanks, Mike. Simply put, we create and communicate the cool factor for brands through unique marketing and social media campaigns. Barbershopconnect’s expertise is introducing products to the barbering community and consumers worldwide. We create marketing concepts around specific trends, which drives sales and brand awareness for our business partners. For example, I have created and executed marketing campaigns for grooming brands from Gillette, Oster Professional Products, P&G, Pacinos, Layrite, Mr. Beauty, Gibs Grooming, Johnny B. Haircare and The Dollar Shave Club, plus for corporate clients like Microsoft, Tequila Avion, Lexani Wheel Corporation and The National Basketball Association. BIR: Tell us about your journey. LR: Prior to founding Barbershopconnect.com, I created the Urban Barbershop DVD, a music, video and product DVD, with coverage in more than 400 10 FEBRUARY 2016 maintain the social media for many key barbershops in 36 states. The DVD has been barbering brands, which keeps our ears on the hosted by celebrities such as Wiz Khalifa, Ice pulse of what’s happening in the marketplace. Cube, NY Knicks Carmelo Anthony, Trey Then, we can advise our clients accordingly. Songz, UFC Fighter Quentin "Rampage" BIR: Do you go beyond social media? Jackson and more. These public figures LR: We certainly do, Mike! We are immersed understand the value of building impressions on every level of the marketplace. For example, within the heart of the urban community. I am the executive producer of “Cedric’s In 2013, I launched the Barbershop brand Barber Battle,” which is a reality barbering with one singular concept—to focus on captive competition television show with Cedric the audiences in barbershops around the world. It Entertainer as host and executive producer. The is within these shops where music, games and 10-episode show debuted summer 2015 on The other products are introduced, evaluated and CW Network. I created the show to introduce talked about from a grassroots perspective. I the craft of barbering to mainstream America in enhanced the brand with an active online hopes that corporate brands will understand experience called Barbershopconnect.com, the value barbers hold and the roles that they which is a platform for barbers and hair stylists play in their communities. to promote their art form and the evolving BIR: Tell us about Barbercon. It sounds like aspects of barbering and beautification culture. The website is the first social networking site THE place to be for anyone who matters in the barbering marketplace. Please share the for the barbering and beauty community. details. Barbershopconnect.com consists of all the LR: Mike, we’re really excited about this most unique haircuts from around the world. year’s event, which will be bigger and better The site also has a barbershop and salon than ever. Barbercon is an evening barbering directory, educational platform, online store event on Sunday, March 6, at Webster Hall in front, celebrity and barber interviews, events New York City. It will showcase more than 50 and contests, which are all accessible from a barbers from around the world, who will be computer or mobile device. demonstrating various haircutting techniques. With up to 120,000 visitors per month, The event is sponsored by brands such as Gibs Barbershopconnect.com has quickly become Grooming, Hattori Hanzo, Babylisspro, the world’s No. 1 ranked social networking site Johnny B for the barbering Haircare, community. Bevel and Barbershopconnect Booksy. and its sister page In Stylistshopconnect addition, has used its huge Barbercon is engaged social the ultimate media following networking with well over event. I am 700,000 Instagram taking what followers and 2.5 you see on million tags to the main introduce new stage of a big barbering and beauty products Barbercon is expected to attract 1,500 barbers to network hair show floor and worldwide. With an and see the newest products and tools. presenting it audience of this in front of more than 1,500 barbers. At magnitude, we can introduce products to the Barbercon, we not only have education, but we masses and create online sales. We also have a Barber Awards Ceremony and a raffle, which will raise money to help barbers in need. Last year, we raised more than $2,000.00 to help a barber who could no longer use his hands. Barbercon is all about uniting barbers and stylists, so we can learn from each other. BIR: Can someone still buy tickets? LR: A limited number of tickets will be sold at the door, so get in line early. Doors open at 6:30 p.m. BIR: Can brands and/or barbers still get involved? LR: We sold out of sponsorships and vendors in one week. The brands that we work with understand that we are about execution. We walked away from so many brand Barbershopconnect.com is a social media networking platform where barbers and hair stylists share their sponsorships to keep the integrity work and promote their art with the industry, each other and potential clients. of the show. I didn’t want it to now when you see the work of barbers like true emotions. I want my partners to become a swap meet. understand that I really care about each brand BIR: Please give some examples of successful Schorem Barbier on the cover of Modern we work with. I’ve been in their shoes and I programs you’ve created and executed for Salon, you recognize the growth of the craft. understand their challenges, so talking though your clients. We started Stylistshopconnect because we the process and expectations is always the best LR: All brands measure success differently. understand that barbers can learn from stylists way to begin a partnership. We help our clients both earn additional brand and stylists can learn from barbers. This BIR: What’s next for Barbershopconnect and revenues and save money via smart marketing. platform helps that happen. Stylistshopconnect? I remember a few years ago sitting with our BIR: What types of companies will benefit LR: When Jay Z built Roc Nation Sports and client Oster Professional Products at from partnering with Barbershopconnect or partnered with CAA, he brought a “cool’ factor Cosmoprof North America in Las Vegas and Stylistshopconnect? to the sports agency and sports marketing explaining to them how we could help them LR: Companies that take a proactive field. We are looking to partner with a sell clippers through Instagram posting. We approach benefit the most. By that I mean distributor on a similar business model. understood that barbers fresh out of barber companies who come to us with a budget to BIR: Any final thoughts to share? school were waking up in the morning, use for maximizing their exposure. LR: When many people meet me, they are checking Instagram to see new haircuts and The biggest mistake many brands make is shocked to hear that I am not a barber. wondering what clippers their peers were using that they chase distributors to carry their Balancing my life between the barbering to execute those cuts. We built the Oster products, but the products have no awareness, culture and my activity in the music world Instagram platform, which now has more than so they go nowhere. I see that scenario all the takes 24-hour dedication. I still find it odd that 50,000 engaged followers. It has helped create time. The distributor then gets stuck with barbers ask to take pictures with me like I am a brand awareness and sales revenue. inventory and wonders why it isn’t selling. celebrity. I am happy and grateful that through BIR: Tell me about Barbershopconnect’s BIR: What is the onboarding process like for my hard work and dedication, I have been able sister site, Stylistshopconnect. new clients? to unite and to touch so many people in a LR: I attribute the growth of LR: To be honest, I am a bit old school. I positive way. Barbershopconnect to catering to all prefer getting on the phone and talking to For more information, reach Lee Resnick at demographics. We cover all forms of products brand teams. I’ll also hop on a plane that day 917-519-0809 or [email protected]. and hair styles. to meet face-to-face. When you’re beginning a See barbering wasn’t “cool” 2 years ago, but Visit barbershopconnect.com. relationship, texting and emails can hide my FEBRUARY 2016 11 ISBN’s 2016 Conference, May 22-24, to explore Humanology A workshops designed to build usable, re you tuned into your natural real-world results. tendencies as a leader? Have Attendees will discuss the you mastered the ability to newest government relations topics, engage your employees with an emphasis on how beauty emotionally? ISBN’s 2016 schools’ newest challenges will Conference on May 22-24 will impact salons. They’ll also learn feature three experts speaking on about vendors’ newest products technology vs humanity. Keynote From left: Gerd Leonhard, Jenn Lim and Ben Parr will keynote the 2016 and programs. And most speakers Gerd Leonhard (The ISBN Conference, leading discussions in how human behavior impacts importantly, ISBN’s signature Future of Business: Embrace every aspect of business today. networking opportunities, including Technology but Celebrate roundtables, special breakfast and lunch events, how human behavior impacts every aspect of Humanity!), Jenn Lim (Delivering Happiness) President’s Reception, Golf Tournament, their businesses. Then using that information, and Ben Parr (Captivology: The Science of Farewell Party and much more, will ensure that these industry leaders will discover the perfect Capturing Consumers’ Hearts) will share multi-unit salon and spa executives, sponsors interplay between human behavior and thought-provoking insights to help salon and industry leaders will have ample time to technology that will motivate their teams to executives, their vendor partners and their discuss and discover solutions to the industry’s succeed and influence their guests to engage special guests navigate the newest approaches biggest challenges, as well as their own. more closely with the salon. to managing high-touch environments and For more information and to register to The conference agenda will feature thoughtrelationships in a high-tech world. attend or sponsor the 2016 conference, visit provoking keynotes, industry-leading panels, Join the senior executives of the top multisalonspanetwork.org. breakouts focused on key issues and unit salon and spa companies, as they examine The T he sharing th that at happens att ISBN ISBN’s conferences a ’s c onferences in a nonnon-competitive competitive atmosphere tmosphere has had a dramatic a d ramatic impact on g rowing m yc ompany ffrom rom 15 growing my company salons when w we e joined in 2000 to to mo more re than 1102 02 loc ations and ttwo wo b rands and ttoday. od day. locations brands Jason Volk Volk CE CEO, O, Ch Chatters atters Canada Limi Limited ted L Learn earn mo more re about the benefits OF MEMBERSHIP Join The Network Where Business Gets Done The ISBN brings together the top multi-unit salon and spa organizations in the industry. FEBRUARY 2016 SPECIAL INSERT salonspanet work.org salonspanetwork.org 866-444-4 272 866-444-4272 in [email protected] [email protected] What’s the buzz about the ISBN? It’s where business gets done! C hances are that you’re hearing a buzz about the International SalonSpa Business Network. And there’s good reason. ISBN’s multi-unit salon and spa business leaders are on the move, with a passion to bring innovation, execution and memorable service experiences to an evolving pro beauty industry. These leaders from Great Clips, Sport Clips, Regis, Ulta, jcp Salons, Chatters Canada, Fantastic Sams, Charles Penzone Salons, Head Shoppe, Gene Juarez, Philip Pelusi, Gould’s Salon Spas, Hello Gorgeous, Beauty First, Hairzoo, Design 1 Salon Spa, Stephen Szabo, Vent Blotique and many other top salon and spa companies are determined to create a better industry and unlimited opportunities both for the dedicated teams who work for their companies and the tens of millions of loyal clients who visit their salons every year, as well as the industry. In fact, since 1973, our members, whose companies own, operate and/or franchise 2 to more than 10,000 salons and spas, have shared best practices, debated new business ideas and encouraged each other’s successes. Join the conversation, and you’ll find new opportunities, lifelong friendships and plenty of inspiring concepts. With ISBN, you’re in good company! In addition to networking with like-minded business executives and the industry’s top vendor partners, ISBN’s members enjoy preferred rates at Conference, access to exclusive programs, discounts on business services, insights into government initiatives and much more. To get involved, visit salonspanetwork.org. HOW HAS TECH Empathy Changed Our Engagement HUMANITY? Leadership Community Culture Connection Technology Join the ISBN May 22-24th, 2016, when we examine the intersection of humanity and technology and how it’s driving change throughout our business. In an industry that thrives on human connection, this conference will give vital perspectives you won’t want to miss. Innovation Register today at: salonspanetwork.org 866-444-4272 [email protected] The Beauty Industry Report Visit www.bironline.com News cont. from page 4 In addition, Kerry Kline has joined Keratin Complex as regional sales manager for the Southeast, while Daniel Carter boards as education manager for the West. “This new structure was designed to support the company’s long-term goals, strategies and evolution of our business,” says Mario Argenti, president. “We are committed to providing the highest levels of professional products, services, education and customer support to our salons and distributors.” Visit keratincomplex.com. Amanda Hamilton joins eSalon as vice president of retail. During her 17 years in retail strategy, operations and real estate management, Amanda has inspired teams to create a seamless consumer experience with radical operational efficiency. She will drive the development of the Amanda Hamilton company’s first physical salon, signaling a shift from exclusive e-retailer to multi-channel brand. Amanda hails from Drybar, where she launched 40 stores in less than 4 years. She holds a Bachelor of Arts in psychology from Rutgers University. eSalon delivers custom salon color to a client’s door. Each bottle of eSalon pigment is individually blended for clients, based on their personal hair profiles. Clients are asked about gray percentage, eye color, color history and more to create the most flattering shade. eSalon’s color experts analyze clients’ details and create custom formulations from an unlimited number of options. The salon-quality hair color and proprietary mixing technology ensure a perfect match. Since its launch 5 years ago, eSalon has shipped more than 2 million hair color applications. The brand has also expanded its portfolio to include salon-grade, color-safe hair care and styling products. Earlier this year, eSalon introduced The Match-Up, a subscription service offering any mix of three products, including sulfate-free shampoo, deep 12 FEBRUARY 2016 conditioning treatments and brow products, for the bundled price of $30.00. “We are an experiential brand and what we offer is more than a product—it's a service, whether online or offline, so building a physical presence is a natural progression for eSalon,” says Francisco Gimenez, eSalon CEO and co-founder. “It will provide us with another platform with which we can educate our clients about hair color and the application process.” Visit esalon.com. FHI Brands welcomes Christa Goldstein as director of education. She is charged with developing the education team, content and systems from the ground level. Her goal is to reach and connect with hairdressers by supporting their growth and technical development on a wider scale. Christa started her career in a Beverly Hills salon specializing in color. Her enthusiasm propelled her to develop an apprenticeship training program, while coordinating education events as well as ushering in new partnerships with various brands and distributors. Her relationship with P&G’s professional division (Wella, Sebastian and Nioxin) Christa spawned a new career path, Goldstein facilitating classes, training programs, hair shows and special events for the West Coast. She followed that with education positions at Matrix, Kerastase and Shu Uemura. Her dedication was responsible for driving the growth of their companies by generating new business opportunities and identifying new clients. Reach her at [email protected]. Elena Booth joins FHI Brands as director of international sales and new business development. She has more than 20 years of sales management experience in the consumer and professional beauty industries. After launching her beauty career with Prescriptives Cosmetics at Saks Fifth Avenue, then with Estee Lauder at Nordstrom, Elena transitioned into the professional beauty industry, supporting Sebastian of Southern California and Matrix of Greater Los Angeles as a top sales performer and Excellence Club Winner. From there, she was promoted into leadership roles with Sabre Fudge USA, Zotos International and most recently, L’Oréal Elena Booth USA as a prestige account manager for L’Oréal Professionnel and divisional brand manager for Matrix USA. Elena holds a Bachelor of Arts degree in sociology. Reach her at [email protected]. Danielle Milo joins Crack Hair Care as education specialist. An experienced hair stylist, she will travel across the country to Crack’s distributors, conducting sales meetings and detailing with distributor salon consultants. She will Danielle Milo be armed wit samples, support materials and aggressive spiffs. Visit crackhairfix.com. Mark David Ott, national sales manager of Spornette for 15 years, has died from heart failure. Mark was known as a mentor to many, taking new hires under his wing and showing them the ropes at the Roberts Research Group, Inverness, Morris Flamingo, Star Nail/Cuccio Mark Ott and Spornette. Mark is survived by Joyce, his beloved wife of 30 years; daughters Allyson Kastinakis (Michael) and DeLaura DeMarco-Logue (Ben) and two beloved grandchildren, Lucy Lynn and Indio Varga. Over the years, many hair care brands have launched in the professional beauty channel, then moved to retail. Living Proof is a brand that has developed a cult-like following among stylists and consumers, by starting in retail before moving into pro beauty. Beauty Industry Report has been watching this brand grow using smart, non-traditional tactics, including featuring mega-star Jennifer Aniston as its spokesperson since 2012 ,to drive awareness across all channels. Intrigued, we invited CEO Grace Ray to share Grace Ray, CEO, the inside story. Living Proof Living Proof is a brand with strong scientific roots. Co-founder Dr. Bob Langer is an MIT professor and the company spent a decade doing research and development to solve hair problems. “Our products perform because the technology is proprietary,” explains Grace. “They give truly transformational results. They are why we have a cult-like following.” Living Proof take its science very seriously. Its scientists “blue sky” ideas and then go after them in the lab with the goal of changing the game in hair care. The company pairs those scientists with stylists like Ward Stegerhoek, Chris McMillan and Mitch DeRosa—hairdressers who are working with hair every day in the salon, on set and on the red carpet. Living Proof has kept to an exclusive distribution channel: high-end salons and retail. “We are one of the fastest growing prestige retail brands,” says Grace proudly. “We are the No. 1 prestige retail brand at Ulta. In the professional channel, we are in more than 1,000 doors in North America and have expanded to more than 30 countries.” She adds, “We focused on the product first, and on truly solving the root cause of a problem. We didn’t fixate on what the channel strategy needed to be or what the marketing was—it was purely around product performance and solving problems. That product performance is key to our success. In fact, we won an Allure Breakthrough Award before we even had products on the shelves. We now have 86 awards. “By going into retail first, we were able to drive awareness and demand. Consumers were walking into their salons and asking their stylists for Living Proof. When salons signed up with us, they knew that we were available at retail. They knew what they were signing up for—it was a really healthy partnership with a lot of openness about our distribution goals up front.” Living Proof carries the same product assortment across all channels. According to Grace, that works because the product performance is so strong. “They perform well enough for a professional; they are layerable and easy to cocktail. They are also incredibly easy to use, so they are straightforward enough for consumers, too,” she explains. “Typically, women don’t know how to use product the same way their stylists do and have a hard time replicating what their stylist does for them. We’ve solved that problem because our products are lightweight and layerable and they perform. We are very direct on our packaging, making them easy for anyone to use. “Stylists also love that the products are an easy sell to clients. These are all critical elements to our success both at retail and in the professional salon world. There are certain professional needs that we understand, and as a result, we offer unique sizes for back bar.” Living Proof looks at its distributors as true partners. “We don’t look at the salon channel just as a distribution channel. We see it as a way to really connect with stylists and teach them how to transform hair to be healthier and solve problems for their clients,” explains Grace. She adds, “Our distributors are independently owned and have the ability to bring new innovation to the market, as well as support salons through education and great service. They are passionate people who want to help salons evolve their businesses.” Living Proof has 15 partners throughout the United States and Canada, and the DSC count at each ranges from 6 to 30. The company’s first distributor was Princess Beauty in Texas and Oklahoma, and it has recently added Depasquale Salon Systems in the northeast, Exclusive Beauty Supplies out of Florida, and National Salon Resources in the Midwest. “We recognize that to keep growing at our rapid pace, we need to build on our strong consumer demand with an education program that wins the hearts of stylists,” says Grace. “We cannot share much yet, but the education program we will unveil in 2016 will be uniquely Living Proof. Our goal is to provide both information and inspiration, and to teach stylists how to transform hair to be healthier and solve tough problems for their clients. Because we have both styling experts and science experts, it enables us to create a broad base of knowledge. For us, it’s about using that knowledge to change the way stylists look at hair.” Concludes Grace, “In 2016, our plan is to continue the strong momentum and growth we’ve seen with the brand. We will continue to shine a spotlight on our existing portfolio while launching a few key game-changing products throughout the year.” To learn more, visit livingproof.com. News cont. on page 14 FEBRUARY 2016 13 The Beauty Industry Report Visit www.bironline.com News cont. from page 13 On February 5, Farouk Systems celebrated National Wear Red Day to support the American Heart Association’s Go Red for a Day movement. To mark this important day, all Farouk employees wore red, and encouraged salons and fellow artists within the beauty industry to do the same. According to Basim Shami, CEO of Farouk Systems, “We are concerned for the safety and welfare of beauty professionals and their clients. An estimated 43 million women in the United States are affected, with 1 in 3 dying from heart disease and stroke. As these numbers continue to rise, this has become an important issue and a concern to everyone in the company.” On February 6, Farouk Systems sponsored the Pink Women’s Health Symposium, which was hosted by the Houston Metropolitan Area Chapters of Alpha Kappa Alpha Sorority, Inc., by donating products and door prizes for their Women Heart’s Red Bag of Courage. The symposium helps women make heart-healthy decisions about diet, exercise, medical treatment and mental health. Visit farouk.com. Roux introduces Rejuvenating Keratin 233 Repair & Shine (250 ml/$SRP $8.99), a leavein treatment for rejuvenating damaged hair. Strengthening keratin amino acids, wheat proteins and silk proteins rebuild, restore and rejuvenate all hair types for stronger, longer hair. Illuminating argan oil adds a healthy, lustrous shine. Biotin strengthens and improves the quality of hair growth. Repair & Shine also detangles, conditions, infuses moisture into the hair, tames frizz and provides heat protection during thermal styling. Visit rouxbeauty.com. 14 FEBRUARY 2016 With distribution channels continuing to blur in order to meet consumer demand, Curly Hair Solutions has ventured into a new world of mass retail with its new line of curly hair styling products under the Curl Keeper brand. The Curl Keeper Styling Collection has every type of curl covered, with eight problem-solving formulas that address the main issues with textured hair such as frizz control and shine. The concept behind the brand is to “Freestyle Your Lifestyle” and it is all about helping curlies create a style that is their own. The top five selling products include award-winning Curl Keeper Original (3.4 oz./SRP $9.99, 8 oz./SRP $17.50, 12 oz./ SRP $19.99—exclusive at Target and 1 liter/ SRP $46.00), Gel ( 3.4 oz/SRP $9.99, 8 oz./SRP $17.50/$14.99 at Target and 1 liter/SRP $46.00; Styling Cream (3.4 oz./SRP $10.99, 8 oz/SRP $18.00/$14.99 at Target, Leave-In Conditioner (3.4 oz./SRP $10.99, 8 oz./SRP $18.00/$14.99 at Target; and Slip 3.4 oz/SRP $10.99, 8 oz./SRP $18.00/$14.99 at Target). “We’ve taken our original formula and expanded the brand to house many different solutions for curl control,” says Jonathan Torch, founder of Curly Hair Solutions. Adds Steven Torch, CEO, “We came into the market 15 years ago as a small Canadian brand selling through online websites and small hair salons. With a ton of hard work and building our brand through word of mouth, grass roots marketing and long lasting relationships is what allowed us this incredible opportunity to launch our products in Target.” Visit frizzoff.com. Terax Hair Care, a nearly 50-year-old brand known for the cult favorite Terax Original Crema Daily Moisturizing Conditioner, launches Terax Crema Shampoo (8.5 oz./SRP $24.00, 34 oz./SRP $72.00). Like its conditioner counterpart, this new shampoo is ultra-moisturizing and helps to repair damaged hair, leaving it healthy and hydrated. Its sulfatefree formula provides a rich, dense and creamy lather without sacrificing cleansing performance. The formula features hydrolyzed quinoa to help retain moisture and repair damaged hair while adding a healthy shine; panthenol conditions, moisturizes and helps to nourish hair, while trehalose, a plant-based sugar, acts as a moisturizer for immediate and long-term hydration and protects hair from dryness. Visit teraxhaircare.com. AG Hair launches Texture, a collection of four products that work with hair to enhance its texture instead of fighting against it. Cleansing Cream (SRP $24.00) is a gentle, foam-free hair wash that takes the place of traditional shampoo and conditioners. Ideal for super dry or brittle hair, Cleansing Cream is formulated with Sea Complex, which combines anti-aging seaberry oil with natural seaweed extracts in a nourishing and conditioning base to gently remove dirt and pollutants from the hair. These oceanic super foods strengthen hair, restore moisture and enhance natural texture. Sea Spray (SRP $24.00) is a beachy wave finish that gives hair gritty, wavy texture with added oomph. It’s also enhanced with Sea Complex, plus anti-aging seaberry oil to create a casual, effortless look. Texture Gloss (SRP $24.00) provides undone definition. It enhance waves, curls and texture, while controlling frizz and bringing moisture and gloss to dry, brittle ends. Texture Gloss provides touchable hold. AG’s Sea Complex and seaberry oil help create a slightly unkempt and sexy look. Finally, Dry Wax Matte Finishing Mist (SRP $26.00) offers the secret to no-fuss hair. It instantly tames frizz and locks-in style, while adding volume and a matte, textured finish. AG's Sea Complex plus anti-aging seaberry oil help create moveable definition. Reach Troy Salt, vice president of sales, at [email protected]. Visit aghair.com. Fantasia Hair Care launches Hair Polisher Heat Protector Shampoo (12 oz./SRP $6.99) and Hair Polisher Heat Protector Conditioner (12 oz./SRP $6.00), two new products that infuse moisture with avocado oil and aloe vera. They cleanse and prime hair for heat styling while infusing moisture and a supple texture. Both are sulfate- and paraben-free. Reach Dave Stern, sales manager, at [email protected]. Visit fantasiahaircare.com. New Crack Mist (2 oz./SRP $10.00, 6 oz./SRP $20.00), a lightweight, leave-in spray version of the company’s popular Crack Styling Crème, contains wheat protein and acai extract to provide a barrier from humidity and heat without weighing the hair down. This 100% vegan formula controls frizz, strengthens, protects from dryness and provides thermal protection against heat. Contact Donna Louis, vice president of sales, at [email protected]. Visit crackhairfix.com. Hair care brand Kevin.Murphy recently moved into expansive new corporate offices in Irvine, CA. The team, including marketing, purchasing, accounting and finance and senior management, will now be in one location, facilitating strong teamwork to help the brand continue to grow in North America and around the world. The new office allows for further expansion, with additional marketing, purchasing and accounting team members already hired. “While our brand will always retain its Australian roots, the timing was right to move our headquarters to California,” said Kevin.Murphy stylist and founder Kevin Murphy. “Our company is quickly expanding. The Irvine office provides a place where the team can work together collaboratively.” Reach Dawn Blackstone, chief marketing officer, at [email protected]. Visit kevinmurphy.com.au. V76 has relaunched its packaging to present a more streamlined and simplistic message for today’s man. The original collection, which launched with it legacy packaging in 2014, featured grooming products curated by highly sought-after men’s groomer Vaughn Acord in collaboration with Luxury Brand Partners. “We’re breaking the relaunch into four categories—Boldly Barbered (shaving and barbering), Well Groomed (shampoos and sprays), Face Forward (lotions and aftershaves) and Well Gifted (accessories and travel kits),” says Vaughn. “It’s reminiscent of what I do on set, backstage and in the chair. I look at a guy completely. I don’t just address his hair only or beard only.” Visit v76.com. Pravana introduces Nevo Super Shape Extreme, the vegan hair spray for anyone looking for fierce staying power. In addition to providing a buildable, flexible hold, Super Shape Extreme protects hair and adds a glossy shine. Its fastdrying, weightless formula prevents excess moisture from entering the hair’s cortex for a long-lasting, frizzfree style. All Nevo products are free of gluten, sulfates, parabens, sodium chloride, phthalates, propylene glycol, vocamide DEA and cocamide MEA and packaged in 100% biodegradable materials. Visit pravana.com. Redken’s new Genius Wash cleansing conditioners cleanse and condition in one step for ideal moisture replenishment, manageability and color radiance. Hair is always clean, but never over-washed. Genius Wash formulas melt into hair and gently rinse out dirt and debris without disturbing the surface of strands, so the integrity of the cuticle is preserved and hair stays healthier. Available in three formulas for medium, coarse and unruly hair, Genius Wash foams less than a traditional shampoo. It’s recommended for use every 2 to 3 washes, depending on hair type and need. Each of the formulas features customized moisture and proteins for medium, coarse or unruly hair, as well as apricot oil for moisture, shine and softness and soy proteins to strengthen and repair. Formulas are free of harsh salts, chemicals and parabens. Visit redken.com. SureTint Technologies’ newest salon software system and stylist App is called Mia, “My Intelligent Assistant.” After all, every professional needs a great assistant! Mia is available in two versions: an intuitive, portable software system for salons (with docking station and scale for a salon dispensary or color bar) and an App for independent stylists. Mia is a multi-platform, intelligent software designed to support artistry while providing essential and necessary tools for salons and stylists to better manage their hair color and chemical service business and maintain detailed, secure client profiles and history, including before and after client shots. Mia provides accurate, repeatable color results, which results in loyal, happy clients. News cont. on page 16 FEBRUARY 2016 15 The Beauty Industry Report Visit www.bironline.com News cont. from page 15 Stylists do the magic. Mia does the math. Mia captures and records detailed client hair profiles and exact formulas. It computes the math automatically, then sizes the exact amount of hair color, developers or other product to dispense for every service type. The exact amount of color (or other service products) means less waste, more profits and a healthier working environment. It produces accurate, repeatable color results each and every time, which boosts client retention and satisfaction. In addition, the reporting portal provides dynamic dashboards that show a real-time, on-demand view of a salon’s or stylist’s color and chemical service business. Mia works on tablets, iPads, iPhones and portable devices. Visit Mia4 Salons.com (for salons) and ItsMyMia.com (for independent stylists and booth/suite renters) or call 888-539-3787 to schedule a demo today. The new CND Spa Collection unlocks the beauty of botanicals that prep, purify, perfect and restore while providing sensorial experience infused with the nurturing essences of fruits and flowers. “Spa manicures and pedicures are an opportunity for ritual, comfort and superior results,” says Jan Arnold, CND co-founder and style director. “Developed with both the consumer and professional in mind, this line allows for a customized and memorable experience.” The collection features three groupings. Gardenia Woods leaves skin luxuriously soft. With white floral fragrance notes, gardenia and jasmine, this system hydrates, moisturizes and softens skin with a replenishing and 16 FEBRUARY 2016 purifying botanical blend of chamomile and sandalwood. Products include Soak Softening Sea Salt Bath (4.4 oz./salon $10.95, 118.8 oz./salon $59.95), Scrub Creamy Skin Polisher with moisture beads (8.4 fl. oz./salon $12.95, 60.8 oz./salon $59.95), Masque (8.4 fl. oz. /salon $12.95, 65.2 oz./ salon $59.95.) and Lotion (8.4 fl. oz./salon $9.95, 128 fl. oz./salon $59.95). Bright Citron brightens up every mood. With notes of pink grapefruit and warm amber, this system will restore radiance and brighten skin’s appearance with its botanical blend of hydrating honey and purifying kaffir lime. Products include Soak Refreshing Sea Salt Bath (14.4 oz./salon $10.95, 118.8 oz./salon $59.95), Scrub (8.4 fl. oz./salon $12.95, 60.8 oz./salon $59.95), Masque (8.4 fl. oz./salon $12.95, 65.2 oz./ salon $59.95) and Lotion (8.4 fl. oz./salon $9.95, 128 fl. oz./salon $59.95). Cucumber Heel Therapy offers targeted treatments for tough and resistant calluses on the heels to provide a more intensive remedy. Products smooth away rough edges with exfoliating alphahydroxy acids. The intense moisturizing treatments refresh, relieve and hydrate heels with natural cucumber for the perfect finish to a pampering spa pedicure. Products include Callus Smoother (8 fl. oz./ salon $22.95) and Intensive Treatment (15 oz./salon $24.95, 54 oz./salon $59.95). Visit cnd.com. New TruGel Optimize It! Base Coats from EzFlow help achieve truer color from sheer and neon gel polishes. These two new gel base coats provide superior adhesion and a smooth, even surface for flawless gel polish application. Optimize It! Concealing Base Coat is pigmented with a soft neutral hue to hide nail imperfections and add depth to sheer gel colors. The Optimize It! Brightening Base Coat’s white pigment intensifies neon and bright gel polishes for a striking, vivid finish. They’re available in a 6-piece display and open stock. Visit ezflow.com. PS Lifestyle, LLC, which provides amenity services and lifestyle experiences to seniors, their families and caregivers, launches the Truist skin care brand. The brand’s mission focuses on providing truthful, resultsoriented products that support the health and well-being of skin throughout its life cycle through performance-driven natural ingredients. Truist focuses on the needs and wants of women, especially those over 50, who do not want false promises but rather effective, exceptional products that contain carefully selected, safe active ingredients that deliver the results they promise. The Truist range is succinct and intuitive. Products increase hydration, strength, firmness and resilience of skin—the telltale signs of skin’s true well-being. Key ingredients include Omegablue bilberries, which are rich in essential fatty acids to soothe and hydrate; Hylasome EG-10, with 5 times the water binding capacity of hylauronic acid, chronocyclin to nourish and defend skin against environmental stresses, Ecoffea from green coffee beans to energize dull, drab skin and Xilogel, an extract of tamarind tree seeds, which works as an intense moisturizer that helps firm and strengthen skin. Truist Skin Care has three categories: cleanse, nourish and care and protect. Cleanse includes Skin Calming Cleaner (4.0/12.0 oz) and Gentle Exfoliating Cleanser (1.5/4.0 oz.). Nourish features Moisturizing and Strengthening Serum (1.5/ 4.0 oz.), Intensive Overnight Moisturizing Lotion (1.5/4.0 oz), Skin Nourishing Body Milk Lotion (4.0/12 oz.), Intensive One-Step Moisturizing and Conditioning Socks (1 pair) and Intensive One-Step Moisturizing and Conditioning Gloves (1 pair). Finally, Care & Protect offers Sunscreen Moisturizer Broad Spectrum SPF 30 (1.5/ 4.0 oz.), Skin Calming Comfort Serum (1.5/4.0 oz) and Skin Tonal Balancing Serum (1.5/4.0 oz). Prices range from $4.99 to $43.99. PS Lifestyle’s mission is to enhance the senior experience one person at a time at senior living communities nationwide by transforming existing salons and spas into a more viable resource by offering renovation upgrades and products and services specific to the needs of residents and their families. PS Lifestyle will offer Truist through its salons and spas, direct sales channels and affiliates, as well as other retail and online outlets. Contact Jack Elliot at 920-585-0622 or [email protected]. Visit https://truist.pslifestyle.com. PurErb herbology-based skin care and aromatherapy introduces energizing Vitality Deep Cleansing Oil, which hydrates and nourishes while cleansing away makeup, excess sebum, and other surface impurities, leaving skin radiant and soft, but never greasy. Ingredients include exotic oils that form a citrus-like aroma: Madagascar Baobab, which contains vitamins A, D, E, F to protect against signs of environmental damage and nourish dull, dry and aging skin; kukui, which helps relieve skin irritation and inflammation; argan, which contains vitamin E and fatty acids to hydrate and soften; and Himalayan moringa, which contains 72% oleic acid, ensuring deep absorption to deliver vital nutrients and moisture. Frankincense enhances focus and elevates the mind; geranium energizes and uplifts; sandalwood enhances concentration and alleviates anxiety; and Mandarin orange enhances alertness and balances mood. A Natural Liposome Encapsulation captures and intensifies the power of plant stem cells, phyto-derived peptides and botanical extracts, providing long-lasting moisture, smoothing lines and boosting radiance. Contact [email protected], call 888-327-8188 or visit purerbskincare.com. Babo Botanicals launches three sunscreens based on non-nano zinc oxide, the safest form of sunscreen. Particles are too large to penetrate skin and ensure high levels of safety and sun-blocking effectiveness. Sheer Zinc SPF 30 Continuous Spray Sunscreen for extra sensitive skin. (6 fl. oz/ SRP: $22.00) with non-nano zinc oxide as its only active ingredient, is a hypo allergenic, fragrance-free lightweight spray. It’s 80 minutes water/sweat resistance. Super Shield SPF 50 Sport Stick (6 fl. oz/ SRP $15.95), a fragrance free, non-nano zinc, non-greasy, 100% natural sunscreen, is fortified with organic shea butter, avocado and jojoba oils. It provides 80 minutes water/sweat resistance. Nutri-Soothe SPF 15 Lip Treatment (.15 oz/SRP: $9.95) is an ultranourishing and moisturizing daily lip treatment that softens, protects, heals and smoothes lips. Each features 70+% certified organic ingredients, including shea butter, cocoa seed butter, avocado and jojoba oils, and a natural, coconut apple scent. Reach Kate Solomon, founder, at [email protected]. Visit babobotanicals.com. Grande Naturals GrandeLIPS with Color ($26.95) is a lip-enhancing treatment that increases the volume of lips while reducing fine lines. Volulip hydrating lip plumper leaves lips instantly fuller and plumper. It also contains marine peptides, hyaluronic acid and Instaplump to target dry areas on the lips. These spheres burst and create an instant ballooning and hydrating effect, improving the appearance of lips in just 3 to 5 minutes. This lip treatment is infused with a vanilla fragrance, delivering sweetness to the lips. Each application yields a super-high and long-lasting gloss appearance. GrandeLIPS gives natural lips the appearance of more voluminous, youthful lips in just 30 days. Reach Alicia Grande, president/owner, at 877-835-3010, ext. 100, or visit grandelashmd.com. Au Naturale Cosmetics launches Marrakesh (SRP $22.00), a soft, matte pink shade that’s perfect for Spring. Like all of Au Naturale Cosmetics products, Marrakesh is organic, non-toxic, gluten-free, paraben-free, vegan, non-nano and made in the United States. Au Naturale's lipsticks are rich in pigment and boast a nourishing formula infused with organic oil. They nourish with organic avocado oil, moisturize with organic cocoa butter and repair skin health with organic macadamia nut oil. For more information and availability, visit aunaturalecosmetics.com. News cont. on page 18 FEBRUARY 2016 17 The Beauty Industry Report Visit www.bironline.com News cont. from page 17 Royal & Langnickel’s new MŌDA line features professional-quality makeup brushes (SRPs $4.99 to $9.99 each) in beautifully bold colors. All MŌDA brushes are 100% vegan with high quality synthetic filaments featuring color coordinated tips for a modern look. Aluminum ferrules offer maximum durability. Each waterresistant brush handle includes a Silk-Touch coating for extra comfort and optimal accuracy during makeup application. Brushes are available individually, in EZGlam Duo Kits (SRPs $5.99 to $9.99) and Flip Kits (SRP $19.99). Reach Susan Kelly, director of sales and marketing, at [email protected]. Visit royalbrush.com. Cosmoprof North America will launch Discover Green, a new area for companies dedicated to green, eco-friendly, clean, organic, and/or natural products in beauty, at its upcoming annual event on July 24-26, 2016 at the Mandalay Bay Convention Center in Las Vegas. The decision to include this new section comes on the heels of increased consumer awareness of the environmental impact and ingredient safety from the products purchased. This new section will feature companies that showcase novel ideas in the environmentally conscious market from both the retail and spa distribution markets. It will include small indie brands, as well as evergrowing power brands. 18 FEBRUARY 2016 “Each year we see an increase in the number of exhibitors displaying natural products and an increase in our buyers’ interests in natural products to meet the growing consumer demand,” says Daniela Ciocan, CPNA marketing director. “Exhibitors now have a focused platform to promote their eco-friendly brands and buyers have a curated, central location to discover them.” Discover Green rounds out the portfolio of CPNA’s special areas, including Discover Beauty, Tones of Beauty, Discover Scent and IBF&E. Visit cosmoprofnorthamerica.com. Sport Clips Haircuts is supporting the St. Baldrick’s Foundation, the largest private funder of childhood cancer research grants, by committing to donate $1 million over the next 3 years to support the most promising childhood cancer research. During the 3-year partnership Sport Clips will provide volunteer stylists for local St. Baldrick’s headshaving events, promote the mission of St. Baldrick’s at its store locations and organize its own St. Baldrick’s head-shaving events, among other activities. Visit stbaldricks.org. Sally Beauty Holdings, Inc. (NYSE: SBH) (the “Company”) recently announced financial results for the fiscal 2016 first quarter. “We are off to a solid start for fiscal year 2016,” stated Chris Brickman, president and CEO. “We drove same-store sales improvement in our Sally business, and our BSG business continued to grow sales and gain channel share. In addition, implementation of our pricing and margin improvement initiatives resulted in gross profit margin expansion consistent with our previously stated guidance. “Looking forward, we are confident that we can deliver on our full-year guidance. However, we anticipate the business might confront modest headwinds in Q2, as we launch our hair care solutions center in almost 3,000 Sally U.S. stores, invest in a significant TV campaign to re-engage retail consumers at Sally and ramp up new business development programs globally. Despite these short-term challenges, we are excited about the upcoming initiatives and believe that they will help us accelerate growth in our Sally business and deliver on our full-year earnings objectives.” FISCAL 2016 1st QUARTER HIGHLIGHTS Net Sales: For the fiscal 2016 first quarter, consolidated net sales were $998.0 million, an increase of 3.5% from the fiscal 2015 first quarter. The sales increase in fiscal 2016 first quarter is attributable to same-store sales growth and incremental sales from new stores. The unfavorable impact from changes in foreign currency exchange rates in the fiscal 2016 first quarter was $22.1 million, or 2.3% of sales. Consolidated same-store sales growth in fiscal 2016 first quarter was 3.9%. Gross Profit: Consolidated gross profit for the fiscal 2016 first quarter was $494.0 million, an increase of 4.3% over gross profit of $473.8 million for the fiscal 2015 first quarter. Gross profit as a percentage of sales was 49.5%, a 40 basis point improvement from the fiscal 2015 first quarter. GAAP and Adjusted Selling, General and Administrative Expenses: For fiscal 2016 first quarter, consolidated GAAP selling, general and administrative (SG&A) expenses, including unallocated corporate expenses and share-based compensation, were $339.7 million, or 34.0% of sales, a 90 basis point improvement from the fiscal 2015 first quarter metric of 34.9% of sales and total SG&A expenses of $337.0 million. Excluding expenses associated with the previously disclosed data security incidents of $0.5 million and management transition expenses of $0.9 million, pre-tax, adjusted SG&A expenses in the fiscal 2016 first quarter were $338.4 million, or 33.9% of sales. GAAP Interest Expense: GAAP interest expense for fiscal 2016 first quarter was $63.9 million, up $34.7 million from the fiscal 2015 first quarter. This increase is due to the loss on the extinguishment of debt of $33.3 million, pre-tax, in connection with the Company’s December 2015 redemption in full of its $750 million of 6.875% senior notes due 2019 and overlapping interest expense on such senior notes of $2.1 million, pre-tax. On December 3, 2015, the Company completed the issuance and sale of $750 million of 5.625% senior notes due 2025. Provision for GAAP Income Taxes: GAAP income taxes were $24.7 million for the fiscal 2016 first quarter versus $32.1 million in the fiscal 2015 first quarter. The effective tax rate in the fiscal 2016 first quarter was 36.9%. In fiscal year 2016, the Company’s effective tax rate is expected to be in the previously stated range of 37.5% to 38.5%. GAAP and Adjusted Net Earnings and Diluted Net Earnings Per Share (EPS) (1): GAAP net earnings were $42.2 million in fiscal 2016 first quarter, compared to fiscal 2015 first quarter GAAP net earnings of $54.9 million, down 23.1%. Excluding expenses from the loss on extinguishment of debt and overlapping interest expense of $22.0 million, net of tax, and expenses from the data security incident and management transition expenses of $0.8 million, net of tax, adjusted net earnings for the fiscal 2016 first quarter were $65.1 million, up 18.2% from adjusted net earnings of $55.1 million in fiscal 2015 first quarter. GAAP and adjusted diluted earnings per share for the fiscal 2016 first quarter were $0.28 and $0.43, respectively, compared to GAAP and adjusted fiscal 2015 first quarter diluted earnings per share of $0.35. Adjusted EBITDA(1) for fiscal 2016 first quarter was $159.9 million, an increase of 10.4% from $144.8 million for fiscal 2015 first quarter. Cash and cash equivalents as of December 31, 2015, were $67.4 million. The Company’s asset-based loan (ABL) revolving credit facility ended the fiscal 2016 first quarter with no outstanding borrowings. The Company’s debt, excluding capital leases, totaled $1.8 billion as of December 31, 2015. For the fiscal 2016 first quarter, the Company’s capital expenditures totaled $32.4 million. Capital expenditures for the fiscal year 2016 are projected to be in the previously stated range of $125 million to $135 million, excluding acquisitions. Working capital (current assets less current liabilities) decreased $20.5 million to $674.9 million at December 31, 2015 compared to $695.4 million at September 30, 2015. Borrowing capacity on the ABL facility was approximately $478.5 million at the end of fiscal 2016 fist quarter. The ratio of current assets to current liabilities was 2.48 to 1.00 at December 31, 2015 compared to 2.41 to 1.00 at September 30, 2015. Inventory as of December 31, 2015 was $912.4 million, an increase of $74.6 million or growth of 8.9% from December 31, 2014 inventory. This increase is primarily due to sales growth from existing stores, additional inventory from new store openings and the introduction of new brands in the BSG and Sally businesses. From October 1, 2015 through December 31, 2015, the Company repurchased (and subsequently retired) 2.4 million shares of its common stock at an aggregate cost of $62.4 million and had approximately $710 million of additional share repurchase authorization remaining under its $1 billion share repurchase authorization. Sally Beauty Supply: Fiscal 2016 1st Q • Sales of $596.0 million, up 1.6% from $586.5 million in the fiscal 2015 first quarter. Sales growth was driven by same-store sales growth and net new store openings. The unfavorable impact of foreign currency exchange on sales was $16.9 million, or 2.9%. • Same-store sales growth of 2.4% versus growth of 1.6% in the fiscal 2015 first quarter. Same-store sales growth rate was positively impacted by selective price increases in certain geographical areas of the U.S. • Gross margin of 55.0%, a 60 basis point increase from 54.4% in fiscal 2015 first quarter. • Segment operating earnings of $106.1 million, up 4.8% from $101.2 million in the fiscal 2015 first quarter. Segment operating margins increased 50 basis points to 17.8% of sales from 17.3% in the fiscal 2015 first quarter. • Net store count increased by 106 over the fiscal 2015 first quarter for total store count of 3,711. Sales growth in the fiscal 2016 first quarter was driven by same-store sales growth and new store openings. That growth was partially offset by the unfavorable impact of foreign currency exchange. Gross profit margin improvement of 60 basis points was primarily the result of selective price increases in certain geographical areas of the U.S.and fewer promotions in the quarter versus the prior year quarter. Segment operating earnings and margin were positively impacted by gross margin improvement and SG&A leverage. Beauty Systems Group: Fiscal 2016 1st Q • Sales of $402.1 million, up 6.4% from $377.9 million in the fiscal 2015 first quarter. The unfavorable impact of foreign currency exchange on sales was $5.2 million, or 1.4%. • Same-store sales growth of 7.2% versus 3.9% in the fiscal 2015 first quarter. • Gross margin of 41.3%, up 40 basis points when compared to the fiscal 2015 first quarter of 40.9%. • Segment earnings of $65.9 million, up 16.4% from $56.6 million in fiscal 2015 first quarter. Segment operating margins increased by 140 basis points to 16.4% of sales from 15.0% in the fiscal 2015 first quarter. • Net store count was 1,303, an increase of 28 stores over the fiscal 2015 first quarter. • Total BSG distributor sales consultants at the end of fiscal 2016 first quarter: 951 vs 967 at the end of the fiscal 2015 first quarter. Sales growth for Beauty Systems Group was primarily driven by growth in same-store sales, sales growth in the full-service business and net new store openings; this growth was partially offset by the unfavorable impact of foreign currency exchange. Growth in segment operating earnings was primarily due to gross margin expansion and SG&A leverage improvement. Visit sallybeautyholdings.com. FEBRUARY 2016 19 Presorted Standard U.S. Postage PAID San Dimas, CA Permit No. 410 PMB #403 22287 MULHOLLAND HIGHWAY CALABASAS, CA 91302-5157 ADDRESS SERVICE REQUESTED The Beauty Industry Report A MONTHLY NEWSLETTER FOR EXECUTIVES IN THE PROFESSIONAL BEAUTY BIZ Sally Beauty Holdings, Inc. has appointed Pizza Hut CEO David W. Gibbs to its board of directors. He has more than 20 years of experience in finance, corporate strategy, real estate development and e-commerce. Visit sallybeautyholdings.com. Revlon Inc.’s CEO Lorenzo Delpani stepped down for personal reasons on March 1. He will remain on the company’s board and also serve as an adviser. The company appointed Executive Vice President Gianni Pieraccioni as its new chief operating officer. Revlon's sales rose 4.2% to $521.9 million in the fourth quarter ending December 31. The company's shares were up 7.2% at $33.41. The stock had risen by one third since Nov. 1, 2013, when Lorenzo took over as CEO. The 49th edition of Cosmoprof Worldwide Bologna will take place in Bologna, Italy, from March 18 to 21, 2016, with Cosmopack on March 17 to 20. You’re invited to ICMAD’s opening night cocktail party on Friday, March 18, from 7 to 9 p.m. at the Ristorante NeoClassico, Pluton Room, in the Royal Hotel. It’s complimentary to all cosmetic and beauty industry pros. RSVP by March 17 at icmad.org or by calling 800-334-2623. Cosmoprof will feature new initiatives, including a gallery showing luxury beauty businesses and producers of high-quality brands, the barber show, the spa symposium conference space, halal beauty care and spa projects, and green cosmetic and organics initiatives. Visit cosmoprof.com. The International Beauty Show New York, presented by American Salon Magazine, takes place March 6‐8, 2016, in New York City. More than 500 exhibitors, including Alfa Parf, Amika, Andis, Conair Professional, Dreamcatchers, Hot Heads, La Brasiliana, Ted Gibson, Turbo Power and others, will provide education and show thousands of products. Janet Zeitoun, Janet Jackson’s hair stylist and SOTAH (State of the Art Hair) founder, will demonstrate cuts at 1:30 p.m. on both Sunday and Monday. On Monday, supermodel Kim Alexis will promote the Fortune Wigs line of wigs and extensions. Main Stage artists include Ted Gibson, Cherry Petenbrink, Martin Parsons, Charlie Price and others. Plus, the Hairbrained team will host a cut and color demo on the Main Stage. Major League Barbers will host barber competitions. The Hairbrained Video Awards will draw more than 600 on Sunday night. Visit ibsnewyork.com. The International Esthetics, Cosmetics and Spa Conference (IECSC), co-located with IBS, will show the newest in spa, skin care and wellness. Visit iecsc.com. Caitlyn Jenner has joined MAC to launch a rose-colored lipstick called Finally Free. All proceeds will benefit the MAC AIDS Fund Transgender Initiative. Spotted on set styling hair for the shoot? None other than Oribe! Speaking of new hues for lips, Marc Jacobs Beauty has created a lipstick shade in honor of Britain’s Princess Charlotte. “Charlotte” is a dark rosey pink (SRP $34.00). It represented Harrod’s biggest color cosmetics launch in history. We’ve always said that technology will never replace the personal touch of the beauty pro. Now, meet Mona. Developed by ex-Amazon techies, Mona is an artificial intelligence-based mobile shopping assistant. Similar to a personal shopper, Mona asks for and analyzes your feedback about fashion to simplify mobile search, discovery and purchases. “We think technology and software should be smart and personalized enough to think on behalf of us,” say the founders. “A smart assistant can make shopping easy by adding a beautiful, smart and personalized layer over disparate shopping services and experiences.” Today dresses, tomorrow hair care? Visit monahq.com and download Mona at the App Store. Cofounder Orkun Atik will present at SXSW 2016 on March 11. To start a new subscription or renew yours at a special price, visit subscribe.bironline.com.