Her Obsession with Beauty Products Yesterday, Today and Tomorrow

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Her Obsession with Beauty Products Yesterday, Today and Tomorrow Her Obsession with Beauty Products Yesterday, Today and Tomorrow A comparative look at yesterday’s and today’s beauty trends, influencers and behaviors, and predictions of trends for the next decade. © 2016 The Benchmarking Company PAST PINKREPORTS S REPORT METHODOLOGY URVEY Screeners Purpose of the Report Demographics D Trends by 10 The 2016 PinkReport provides a detailed look at the US ESIGN female beauty consumer benchmarked against data Shopping Behaviors collected in TBC’s original PinkReport issued in 2006. AND Spending Behaviors The online survey was completed by 2,747 female Categories She Buys beauty consumers who have used beauty products S within the past 12 months. COPE Brands Preferences Retail Channel The comprehensive survey instrument, included 56 in- Preferences depth questions, and was developed based on exploratory psychometric and demographic questions. Impact of Technology Influencers & Research Execution Motivators o US Women, Vetted Attitude Drivers Beauty Buyers Trends for next decade o Ages: 18-70 o Online Fielding o May – August 2016 WHAT WE WILL COVER TODAY… MEET THE BEAUTY CONSUMER THE PARADIGM SHIFT BENCHMARKING STATS TRENDS BY 10 TRENDS FOR THE NEXT 10 Section VII: A Changing Retail Landscape Online Outlets Post the Highest Gains Department Store Decline Brick and Mortar on Solid Foundation Her Brick and Mortar Favorites Mass Market Dominance: Superstores, Drug Stores and Grocery The Lure of TV Home Shopping Section VIII: How Much She Spends, Where and Why Is it Habit, Loyalty, or Lust that Causes Her to Buy More and More Beauty? Break her Budget Section IX: What She Buys Her Must-have Products, Then and Now Where She Spends STUDY CONTENTS Blurred Lines Between Mass, Masstige and Prestige SECTION 4 Section X: Brand Awareness: Which Brands Have Moved Her Influencers and Behaviors SECTION 1 the Needle? The New Reality of Technology and Beauty Top Brand Awareness Overall Report Purpose and Overview How She Uses the Internet from Price Hunting to Reviews Lowest Brand Awareness Overall Top 10 Makeup Brands Report Methodology E-Commerce Expansion Survey Design and Scope Top 10 Skincare Brands Meeting Her High Expectations Top 10 Haircare Brands Research Execution Online Drives Impulse Top 10 Natural/Organic Brands Executive Report Riding the Social Media Wave Executive Report Section XI: Trends by 10—A look at beauty trends for the next 10 years (and beyond)! SECTION 2 Scope of the Study SECTION 5 Intimate Beauty Shopping Channels Covered in this Study Prove it! Reviews & Claims Mean Everything Double-duty Devices Beauty Product Categories Covered in this Study When Another Woman Speaks, She Listens The Necessary Luxury Beauty Brands Covered in this Study Beauty Gets Personal, and Multicultural The Almighty Review Tell Me More, Tell Me More Inside Job SECTION 3 SECTION 6 Life-proof Beauty Meet the Beauty Consumer of 2016 Farm-to-face The Changing Sphere of Digital divas Sarah, the Beauty Loving Consumer of all Ages Media Influence Multi-benefit Mindset Maddie the Millennial Bonus Trend: The Mighty, Mighty Sunscreen Beauty & Fashion Magazines, Digitalized Jessie the GenXer Culturally Diverse Beauty – From Region Specific to Multi Salesperson and Celebrity Fatigue Barbie the Boomer Bloggers, Vloggers and Buyers SECTION 10 STUDY CONTENTS Brand Awareness: Which Brands Have Moved the Needle? SECTION 7 Top Brand Awareness Overall A Changing Retail Landscape Lowest Brand Awareness Overall Online Outlets Post Highest Gains Top 10 Makeup Brands Department Store Decline Top 10 Skincare Brands Section VII: A Changing Retail Landscape Brick & Mortar on Solid Foundation Top 10 Haircare Brands Online Outlets Post the Highest Gains Department Store Decline Her Brick & Mortar Favorites Top 10 Natural/Organic Brands Brick and Mortar on Solid Foundation Mass Market Dominance SECTION 11 Her Brick and Mortar Favorites The Lure of Home Shopping Mass Market Dominance: Superstores, Drug Stores and Grocery Trends by 10 – A Look at Beauty Trends The Lure of TV Home Shopping SECTION 8 for the Next Decade Section VIII: How Much She Spends, Where and Why How Much She Spends, Intimate Beauty Is it Habit, Loyalty, or Lust that Causes Her to Buy More and Where & Why Double-duty Devices More Beauty? Is it Habit, Loyalty or Lust The Necessary Luxury Break her Budget Beauty Gets Personal, and Multicultural Break Her Budget Section IX: What She Buys Tell Me More, Tell Me More Her Must-have Products, Then and Now SECTION 9 Inside Job Where She Spends Life-proof Beauty Blurred Lines Between Mass, Masstige and Prestige What She Buys Farm-to-face Her Must Have Products, Then and Now Digital divas Where She Buys Multi-benefit Mindset Blurred Lines between Mass, Masstige, Prestige Bonus Trend: The Mighty, Mighty Sunscreen Culturally Diverse Beauty MEET THE BEAUTY ENTHUSIASTS Maddie (18-24) and Megan (25-34) Millennial Born with cell phones in their hands 1 in 3 women are spending more than 3 hours per day on social media She is swayed by what is trending in social media 88% of Millennials are highly influenced to purchase a beauty product as a result of reading positive reviews 52% earn more than $50k annually Jessie Gen-Xer (35-49) Generation that shops the most frequently 1/3 spend more than 50% of their online time on social media 65% are earning more than $50,000 annually. 16% are earning between $100,000 and $150,000 per year (the highest of all demographics) Open to trying new products Barbie Boomer (50+) Disposable income and still buying big 85% want to know that is product is made specifically for someone my age Product loyalist – 60% will continue to use her tried and true products for at least the next 10 years 99% say they’re open to trying new beauty products THE PARADIGM SHIFT OF BEAUTY CONSUMERISM o Life cycle of technology adoption o iPhone o Instant 411 o E-commerce/online shopping o Social share o A shift from I need it to I want… and I want it now o I love a pretty box, but what I want more is proof BEAUTY BY THE NUMBERS 2006/2016 BENCHMARKING STATS THAT WAS THEN: 2006. THIS IS NOW: 2016 Category That was Then: 2006 This is Now: 2016 Average age: 25-39 52% 43% Household Income above $50K/yr. 43% 57% Marital Status: Married 53% 58% Shops for Beauty: Monthly 18% 41% How She Discovers Beauty See it in a store Friends/family Top Motivator to Purchase Product was on sale Free sample Favorite Magazine Cosmopolitan Allure Internet Use (per day) Doesn’t use internet (43%) 3-8 hours (65%) Fav Store For Beauty Products Walmart Target/Walmart Favorite website Yahoo.com Amazon.com Favorite Color Cosmetics Mass CoverGirl CoverGirl Brand Favorite Color Cosmetics Masstige Avon Physician’s Formula Brand Favorite Color Cosmetics Prestige Clinique Urban Decay Brand Favorite Social Site MySpace Facebook THAT WAS THEN: 2006. THIS IS NOW: 2016 MAKEUP BRANDS SHE BUYS Biggest Winners o +26% Urban Decay o +26% Bare Escentuals/Bare Minerals o +15% Benefit Cosmetics o +13% Rimmel, Smashbox and MAC Market Share Decline o -19% Avon o -14% Maybelline o -13% Mary Kay o -11% CoverGirl o -9% Revlon Transcends the Test of Time o Clinique o Estee Lauder o Almay Makeup Brands She Buys, Then and Now Cover Girl 43% 54% L'Oreal 34% 39% Maybelline 36% 50% Bare Escentuals 10% 36% Revlon 29% 38% Urban Delay 2% 28% Wet n Wild 20% 26% Rimmel 10% 23% MAC 10% 23% 2016 2006 Clinique 21%22% Almay 19%21% Benefit Cosmetics 2% 17% Smashbox 3% 16% Neutrogena 12% 15% Lancome 11% 15% Estee Lauder 13%15% Avon 13% 32% Stila 2% 10% NARS 1% 10% Bobbi Brown 3% 9% Mary Kay 8% 21% 0% 10% 20% 30% 40% 50% 60% THAT WAS THEN: 2006. THIS IS NOW: 2016 SKINCARE BRANDS SHE BUYS Biggest Winners o +8% Cetaphil o +7% Bare Escentuals/Bare Minerals o +4% Burt’s Bees Market Share Decline o -21% Avon o -16% Mary Kay o -13% Olay Transcends the Test of Time o Clinique o Bioré o Lancôme THAT WAS THEN: 2006. THIS IS NOW: 2016 BATH & BODY BRANDS SHE BUYS Biggest Winners o +8% Nivea o +7% Aveeno Market Share Decline o -16% Dove o -15% Avon Transcends the Test of Time o Bath & Body Works o Neutrogena o Olay THAT WAS THEN: 2006 THIS IS NOW: 2016 HAIRCARE BRANDS SHE BUYS Biggest Winners o +17% Garnier Fructis o +11% Aussie Market Share Decline o -12% Suave o -10% Pantene Transcends the Test of Time o Paul Mitchell o Herbal Essences o Head & Shoulders THAT WAS THEN: 2006. THIS IS NOW: 2016 BRAND RECOGNITION AND BRAND FAVORITES Top Brands that have Moved the Awareness Needle the Farthest in the Past 10 years o Philosophy +43% o Stilla +37% o Murad +36% o Laura Mercier +35% o Origins +35% o Physicians Formula +34% o Cetaphil +34% o Sephora Collection +33% o Chanel +33% o Perricone, MD; Dior & Burt’s Bees +31% TRENDS BY 10 The big changes of the past decade. TREND 1: SHE’S BUYING MORE & MORE OFTEN % who spend up to $75 per month o 95% on bath & body products o 92% haircare products o 88% on facial skincare o 85% color cosmetics GENERATIONAL FLASH: 39% of Millennials shop for beauty every month, and 27% are shopping weekly and 16% are shopping more than twice a week! TREND 2: IT’S NOT ABOUT NEEDS, IT’S ALL ABOUT DESIRE In 2016, beauty is an “I want it” purchase. Need is no longer the primary driving factor in her purchase decision. 10 Year Stat What Drives Her Desire? In 2006, 61% only o “I like the way it looks on someone else” purchased a new product o There is room in my makeup bag when they ran out as o I like variety compared to 19% of o I want to try new things shoppers in 2016.
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