mind, beauty & soul - nacds total store expo 2020€¦ · choose your case choose your shade...
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This artwork was created using Nielsen data.Copyrigh t © 2019 The Nie lsen Com pany (US), LLC. Confidentia l and p roprie ta ry. Do not d istribu te . 190004
KAREN WOLFEVice President, Clien t Consulting
MIND, BEAUTY & SOUL
2This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
THE BEAUTY LANDSCAPE CONTINUES TO EVOLVE
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HOLISTIC WELLNESS
Source : NMI; Nie lsen Spectra , * gene ra l popula tion
23%
Life style of Health & Susta inab ility HH’s increase from
16% in 10 years
“The idea tha t you’re exe rcising and trying to ea t we ll and then sla the ring
yourse lf with chem ica ls, parabens, and silicones — it’s not grea t.”
MORE THAN HALF OF BEAUTY CONSUMERS:
● Buy na tura l p roducts; conce rned about hea lth
● Conce rned about the chem ica ls in m y pe rsonal care p roducts*
● Buy na tura l p roducts; conce rned about environm ent
● Willing to give up conven ience for environm enta lly sa fe p roducts
4This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
BEAUTY WITH A BRAIN
SUB-ZERO WASTE
CONNECTED CONSUMER
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BEAUTY WITH A BRAIN
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CLAIMS & INGREDIENTS MATTER
Source : Nie lsen Product Inside r powered by Labe l Insigh t Re ta il Measurem ent xAOC, da ta ended 02/24/2017
PERSONAL CARE PRODUCTS MARKETING
LAVENDER
+4%Dollar Growth
vs YAGO
BRAND
BASED ON INGREDIENTS
-4%Dollar Growth
vs YA
+13%Dollar Growth
vs YA
NATURAL LAVENDERFRAGRANCE
ARTIFICIAL LAVENDERFRAGRANCE
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BEING ‘NATURAL’ IS KEY BUT CONSUMERS WANT
Source ; Nie lsen Wellness Track - Tota l US xAOC - 52 wks 12/22/18Beauty & Cosm e tics: Cosm e tics & Nail Groom ing, Facia l Skin Care , Fragrances, Hair Care , Hand & Body LotionNatura l Pre sence is Natura l cla im on package , Natura l is characte ristic based de fin ition of Natura l
na tu ra l | clean | non toxic | sa fe | green | organ ic susta inab le | pure | botan ica l | e co | free from | hypoalle rgen ic
Tota l Beau ty Natura l Pre sence Natura l
1.3%
-0.3%
6.6%
3.9%
14.1%
7.0%
DOLLAR GROWTH
2017 2018
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BRANDS MUST BE MUCH MORE DYNAMIC
Source : Nie lsen Product Inside r powered by Labe l Insigh t Re ta il Measurem ent xAOC, 52 weeks ending 02/24/2018
DOLLAR GROWTH DRIVERS
DO
LLAR
GR
OW
TH
TOTALPERSONAL
CARE
FREE FROM ARTIFICIAL
FRAGRANCES
BOTANICAL EXTRACTS
HUMANE CERTIFIED
LAVENDER CUCUMBER AVOCADO OIL
COFFEE ESPRESSO
28.2%OF PERSONAL
CARE $s
19.3%OF PERSONAL
CARE $s
4.3%OF PERSONAL
CARE $s
1.7%OF PERSONAL
CARE $s
1.0%OF PERSONAL
CARE $s
0.4%OF PERSONAL
CARE $s
0.1%OF PERSONAL
CARE $s
PROVEN TRENDS EMERGING TRENDS
0.1% 2% 5% 19% 11% 11% 45% 71%
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LOOK BEYOND PROVEN INGREDIENTS
Source : Nie lsen Innovation Activity Dashboard , 2018, Based on # of Innovations across Pe rsonal Cleansing/Washing and Skin Care
ALMOND, COCONUT, ALOE VERA, ROSE, SHEA AND CUCUMBER & TEA CONSISTENT AROUND TH Top Scents/Ingredien ts with in Persona l Care Innova tion by Country, 2018
Berry
Rose
Almond
RoseAlmond
AlmondCoconut
Shea
Cucumber & Tea
Almond
Rose
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INCORPORATE INGREDIENTS THAT DRIVE EXCITEMENT & ARE CREDIBLETOP 5 FASTEST GROWING INGREDIENTS IN BEAUTY (YOY GROWTH)
Source - Socia l Standards, Nie lsen Innovation Quick Screen January 2019
WHICH CLAIMS HAVE THE MOST POTENTIAL?
NEED / DESIREC
RED
IBIL
ITY
Quadrant 4 - Low Need / High Credibility
Lower PH Form ula tion Dye Free
Innovation Potential
Quadrant 3 - High Need / High Credibility
Prob iotics, Pe p tide s, Algae , Avocado, Elastin
The New Normal
Quadrant 1 - Low Need / Low Credibility
Creatine , Koji Acid
Trending
Quadrant 2 - High Need / Low Credibility
Plan t Ste m Ce lls , Saffron , Argin ine
Information Potential
11This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
WHAT’S IN PRODUCTSMATTERS
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SUB-ZERO WASTE
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Nielsen Product Insider, powered by Label Insight, Retail Measurement xAOC, 52 weeks ending 12/22/18
BRANDS MUST COMBINE ‘GOOD FOR ME’ WITH ‘GOOD FOR WE’
+0.4%CONVENTIONAL
LEVELS OF CLEAN LABEL AND TOTAL STORE SALES GROWTH VS YA
+2.6%NO ARTIFICIALSFree From Artificia l Colors/ Flavors/ Preserva tives/ Swee teners, Horm ones & Antib iotics
+4.2%CLEAN Meets No Artificia l Requirem ents + Conta ins none of the “No No” List of Ingred ien ts Defined
by Nie lsen
+5.8%SUSTAINABLEMeets Clean & <10 Requirem ents + Has A Susta inab ility Cla im
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BEAUTY CATEGORIES HAVE AN OPPORTUNITY
Source : Nie lsen Category Shopping Fundam enta ls 2017, Q: When shopping for Cosm e tics, Face and Hair (S&C), what a ttribu te s a re im portan t to your purchase decision?
ENVIRONMENTALLY FRIENDLY
COSMETICS FACE HAIR
13% 14% 10%
RECYCLABLE PACKAGING
COSMETICS FACE HAIR
6% 8% 8%
NO ARTIFICIAL INGREDIENTS
COSMETICS FACE HAIR
13% 20% 10%
CONVENIENCE
COSMETICS FACE HAIR
26% 25% 19%
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SUSTAINABILITY TAKES MANY FORMS
Source : Nie lsen Quick Screen Study on Susta inab ility Cla im s, January 2019
CLUSTERS ON NEED/DESIRE & CREDIBILITY IND
PRODUCT
PACKAGING
PROCESS
All Natura lHypoalle rgen ic
Toxic Free
Refillab leBiodegradab le
Made From Recycled
Eth ica lly MadeResponsib ly Sourced
Eco-friend lyCrue lty Free
ATTRIBUTECLUSTER
NEED / DESIREC
RED
IBIL
ITY
0
Aver
age
need
/des
ire
50 100 150 200 250 300 350 4000
50
100
150
200
250
300
Average cred ib ility
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SUSTAINABILITY MUST BE EMBEDDED IN KEY PRODUCT ATTRIBUTES
Source : Cincinnati Business Courie r, P&G launching liqu id-free clean ing products for hom e and body, 12/31/18
80% LESS WEIGHT70% LESS SPACE 75% FEWER EMISSIONS
Loopbringsbacktheold‘milkmanmodel’,whereproductsaredeliveredtoyourdoorat thesametimeemptiesarepickedup,washed,refilledandreadiedfordeliverytoanothercustomer.
“ “
17This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
KEEP SUSTAINABILITY AT THE CORE
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CONNECTED CONSUMER
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TECH BREAKS DOWN BOUNDARIES
AT HOME DERM PERSONALIZATION PERSONAL BEAUTY CONSULTANT
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ONLINE REPRESENTS BIG OPPORTUNITY
Sources: 1 Nie lsen Tota l E-Com m erce Measurem ent powered by Rakuten , 12 Months Ending 11/30/2018 2 Nie lsen Digita l Shopping Segm enta tion 2018
CONSIDERING TO BUY BEAUTY PRODUCTS
ONLINE IN THE FUTURE 2
32%
BROWSED AND ORDERED BEAUTY
PRODUCTS ONLINE 2
34%
BEAUTY ONLINE DOLLAR GROWTH 1
19%
ONLINE BEAUTY ORDERS MADE ON SUBSCRIPTION 2
4%
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“One thing I like about BirchBox is that I get to try
a lot of brands that I’ve never heard of, and I get to pick one item that will be
in my box for sure”
@prettybunny
CURATED BOXES START THE CONVERSATION & SUBSCRIPTIONS CAN LEAD TO ENGAGEMENT% OF ONLINE DOLLARS ON SUBSCRIPTION
Total Cpg
Total Beauty
Hair Removal
Bath & Body
Hair Care
Skin Care
Cosmetics Fragrance
8%4%
52%
7%
2% 1% 0% 0%
Nie lsen Tota l E-Com m erce Measurem ent powered by Rakuten , 12 Months Ending 11/30/2018
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CHOOSE YOUR CASE
CHOOSE YOUR SHADE
CHOOSE YOUR APPLICATOR
REUSABLE ENABLE PERSONALIZATION, ARE SUSTAINABLE & BUILD LOYALTY
Source : Nie lsen Tota l E-Com m erce Measurem ent Powered by Rakuten In te lligence , 12 Months Ending 11/30/2018
78% GROWTH
Dewy Fin ishSPF 40
Matte Fin ishSPF 50
23This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
REDUCE FRICTION& REACH CONSUMERS EVERYWHERE
24This artwork was created using Nielsen data.Copyright © 2019 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.
WHAT’S IN PRODUCTS MATTERS
WEAVE SUSTAINABILITY INTO
PRODUCT FABRIC
REDUCE FRICTION TO ENGAGE CONSUMERS
BEAUTY LANDSCAPE CONTINUES EVOLUTION
This artwork was created using Nielsen data.Copyrigh t © 2019 The Nie lsen Com pany (US), LLC. Confidentia l and p roprie ta ry. Do not d istribu te . 190004
THE SCIENCE BEHIND WHAT’S NEXTTM