Salon Bookings Boom After Countries Ease Restrictions

25 May 2020 Issue 19 cosmeticsbusiness.com NEWS

BUSINESS 2 EXPERT ADVICE 7 DIGITAL 8 PEOPLE 11 JCPenney files for bankruptcy How are beauty influencers Pinterest teams up with Shopify Lottie London taps Laila Loves as Covid-19 hits retailers hard responding to coronavirus? to boost visibility online for new summer range

IMERYS SELLS MINES TO SETTLE LAWSUIT Imerys, the talc mining giant and supplier of J&J, has put its North America subsidiaries on the market in order to escape further litigation from asbestos-related lawsuits. The Reorganization Plan will apply to Imerys Talc America, Imerys Talc Vermont and Imerys Talc Canada, which filed for bankruptcy last year and, since being named in new US lawsuits, Imerys Talc Italy. Upon US court approval, proceeds of the sale will be channeled into an independent trust to compensate claimants and in return, Imerys will be released from all existing and future talc-related liabilities from its subsidiaries’ operations. “This is a significant step in the North America Talc Subsidiaries’ path towards emergence from chapter 11,” said Giorgio La Motta, Imerys Talc America, Imerys Talc Vermont and Imerys Talc Canada President. SALON BOOKINGS BOOM AFTER “The plan represents a favourable outcome for the COUNTRIES EASE RESTRICTIONS North America talc Treatment booking platform Treatwell reveals latest figures from European markets subsidiaries’ stakeholders and will enable us to move While the UK beauty salon industry remains The majority of customers are now booking forward free of historic talc- related liabilities.” closed until at least 4 July, in Europe businesses further ahead than before, from two days up to The French-based J&J talc are beginning to reopen as lockdown rules relax. two weeks prior to the appointment date. supplier is expecting to Covid-19 restrictions have eased in Male consumers were particularly keen to land receive confirmation of the Switzerland, Germany, Netherlands, France, the first appointments. Just five minutes after plan and emerge from Spain and Lithuania, and beauty treatment Swiss beauty salons began trading again, the first bankruptcy protection by the platform Treatwell has reported a record number treatment booked was a men’s haircut at 8am. end of 2020. of bookings across Europe. Similarly, men’s appointments were snapped up The deal is an attempt to When Germany announced salons could within minutes in Germany and France. end six years of litigation that the company has been reopen on 24 May, Treatwell saw a 2000% Giorgia Rossi, Chief Operating Officer at embroiled in, as the sole talc increase in bookings. Similarly, Netherlands Treatwell, said: “These learnings are helping us supplier for personal care businesses reported an increase of 4500% and build ‘best practice’ advice which we plan to share giant J&J. France hit 3100%. with UK trading bodies and the government.”

BUSINESS

JCPENNEY STARTS BANKRUPTCY PROCESS CPenney, one of the US’ largest Soltau explained that prior to the pandemic, department store retailers, has filed for the company had made “significant progress” to NEWS J Chapter 11 bankruptcy. strengthen its position under the Plan for 25 May 2020 The company hopes to strengthen its position Renewal strategy. for the long term by entering a restructuring However, store closures as a result of the Issue 19 support agreement with lenders, who will hold pandemic have been detrimental and cosmeticsbusiness.com approximately 70% of its first lien debt. “necessitated a more fulsome review”. A restructuring plan is expected to reduce Since filing under Chapter 11, JCPenney has several billion dollars of indebtedness and help been given authorisation to continue paying non- Editor the retailer through the Covid-19 pandemic. It is furloughed staff wages. Lucy Tandon Copp also exploring a third-party sale. Features Editor Hundreds of JCPenney stores are present in Sarah Parsons the US and Puerto Rico; these will close in Reporter phases with the first to be confirmed in the Becky Bargh coming weeks. Sub Editor JCPenney has a long-standing partnership with Austyn King LVMH-owned Sephora, which operates stores within its locations (pictured). It also offers salon Head of Print & services through The Salon by InStyle. Digital Production Jill Soltau, CEO of JCPenney, said: “The Ross Murdoch coronavirus pandemic has created unprecedented Art Editor challenges for our families, our loved ones, our Sibylla Duffy communities and our country.” Digital Production She added: “As a result, the American retail Megan Daly industry has experienced a profoundly different Managing Director new reality, requiring JCPenney to make difficult Colin Bailey-Wood decisions in running our business to protect the safety of our associates and customers and the future of our company.”

ABBVIE ACQUIRES BOTOX-MAKER Inter Parfums reveals Middle ALLERGAN IN LANDMARK DEAL East and Asia sales worst-hit Cosmetics Business AbbVie, the biopharmaceutical company, has HPCi Media Limited acquired Allergan in what its CEO described as Inter Parfums saw net sales decline 44% and 37% Natraj Building an “important milestone”. in the Middle East and Asia respectively in Q1 The Tanneries, The acquisition includes Allergan’s global 2020, due to the Covid-19 crisis. 55 Bermondsey St, aesthetics business which comprises injectables Compared to the last year’s first quarter, sales London SE1 3XG brands Botox and Juvederm as well as buckled in the regions as large parts of the Asia +44 20 7193 1279 CoolSculpting, which Allergan acquired in 2017. market and travel retail were closed amid [email protected] Calling the deal a ‘turning point’, Richard enforced coronavirus restrictions. Gonzalez, Chairman and CEO of AbbVie, said: However, towards the end of March and into Subscriptions “We are pleased to reach this important April, some of the Asia market reopened, driven +44 20 7193 1279 milestone for the company, its employees, by China, which kicked off restriction easing. [email protected] shareholders and the patients we serve.” Inter Parfums revealed its Anna Sui fragrance Editorial The acquisition will grow AbbVie’s revenues to sales – its best-selling brand in China – made a +44 20 7193 9502 approximately US$30bn in revenues for full-year “dramatic improvement” in March, with retail [email protected] 2020, with combined revenues of around $50bn. sales approximately double those made by the Allergan shareholders will receive 0.8660 company in February. AbbVie shares and $120.30 in cash. Drawing on the observations, Jean Madar, Chairman & CEO of Inter Parfums, said: “Anna Sui fragrance sales are in great part conducted ©HPCi Media Limited through e-commerce, therefore we believe that Articles published in this publication may only be reproduced with permission. The this favourable trend will continue. publisher accepts no responsibility for any “Several countries in Europe are moving statements made in signed contributions or in forward with store reopening plans and are those reproduced from any other source. ISSN 2057-1984 targeting later this month as a goal. We see the same thing happening in the Middle East.” Inter Parfums has postponed the launch of several major roll-outs including those for Kate Spade New York, Jimmy Choo, Anna Sui and Guess until 2021.

BUSINESS

RIHANNA PROPELS ONTO UK’S RICH LIST NEWS IN BRIEF ihanna’s beauty brand has propelled her onto the Sunday Times Rich List. R The Barbadian pop star made her debut on the exclusive round-up of Britain’s wealthiest residents earlier in May, with an estimated fortune of £368m. Rihanna’s wealth is considered to be a result of the success of her cosmetics brand Fenty Beauty, which launched in 2017, in partnership with GENOMATICA the San Diego-based chemicals cosmetics giant LVMH. company, has named Glenn Fenty is currently valued at US$3bn and the as the exclusive distributor singer has a reported 15% stake in the business – for its Brontide ingredient in making her shares worth $433m (£351.6m). the US. Genomatica’s Rihanna, who lives in London, is now the third Brontide is said to have richest musician in the country, behind Andrew taken four years to develop Lloyd Webber and Paul McCartney, who are and was introduced to the joint first with fortunes of £800m a piece. cosmetics market in 2018. The natural butylene glycol The beauty entrepreneur has overtaken British plant-based ingredient is an musicians Sir Elton John and Sir Mick Jagger. alternative to petroleum- She is also the only female singer in the top 10, as based products, a byproduct author Olivia Harrison – in sixth place – of the fossil fuel industry. inherited her fortune from late husband and Brontide can be applied to Beatles member George Harrison. moisturisers, shampoos, In April, Rihanna confirmed that her colour body washes and creams, cosmetics empire will expand into skin care. and is used for moisture retention, improved texture ‘Fenty Skin’ was first trademarked in March and as a solubiliser for 2019, but was not confirmed as a brand extension plant extracts, flavours until this year. Products slated for launch include and fragrances. soap, body care and personal care products.

CENTRIC BRANDS FILES FOR As the world grapples with the coronavirus pandemic, L’ORÉAL has scrapped its BANKRUPTCY AMID COVID-19 planned dividend increase. Centric Brands, the fashion, beauty and lifestyle The beauty giant has instead opted to product maker, has filed for bankruptcy keep the same payout as 2019 at J3.85 per protection under Chapter 11 and revealed its share. L’Oréal suffered a disappointing start intention to go private. to the financial year with a 4.3% decrease in The holder of beauty and bathroom product JCPENNEY and SEPHORA J group sales, down to 7.22bn, compared to licences for Disney, Nickelodeon, Hershey and have re-established their the same period in 2019. Warner Brothers, among others, has entered into 14-year partnership after a All regions, apart from Latin America, a Restructuring Support Agreement with the legal dispute that threatened experienced a downturn in sales. L’Oréal’s the closure of more than 600 company’s secured lenders. Board has also decided to abandon any in-store beauty counters. The share buyback for 2020, which in 2019 The agreement aims to reduce the company’s spat began last month after the amounted to J750m. second lien indebtedness by approximately LVMH-owned beauty retailer L’Oréal’s Board previously agreed to US$700m and strengthen its position for future reportedly threatened to walk postpone its Annual General Meeting from 21 growth and success. out on their retail agreement, April to 30 June. In a statement, the company Jason Rabin, CEO of Centric Brands, said: triggering JCPenney to file a acknowledged that Covid-19 will have a “Today’s agreement marks the beginning of our lawsuit blocking the exit. higher impact than initially forecast on the next chapter as an even stronger company and Sephora argued that the consumption of cosmetics and beauty agreement had been breached builds upon our progress to date executing on our products and, therefore, the L’Oréal business. when JCPenney furloughed its “Our priority in this difficult period is to long-term strategy.” boutique workers due to the ensure the welfare of our employees and our Talking about the impact of the Covid-19 outbreak of the coronavirus partners,” it stated at the time. crisis, he added: “The pandemic disrupted many pandemic, according to of our wholesale accounts’ ordering and Bloomberg. In a statement, constrained our cash flow. JCPenney said: “Both “However, we are confident that with added companies worked flexibility in our capital structure, we will be well- constructively to resolve outstanding legal matters and positioned for long-term success during this have agreed to mutually period and beyond.” beneficial revisions to their The Chapter 11 process will not impact the joint enterprise operating company’s decision to reopen relevant locations, agreement.” but primarily allow it to optimise operations.

BUSINESS

NEWS IN BRIEF WHICH AGE GROUPS ARE SPENDING THE MOST ON BEAUTY DURING LOCKDOWN? t is evident that the pandemic has had a major “It’s amazing to see how e-commerce impact on the beauty industry, nail care and purchasing have evolved significantly during the Ihair dye sales are soaring while make-up has period of just a few short weeks,” said Luke taken a hit. Griffiths, Klarna General Manager. “For retailers And with bricks-and-mortar closures, and brands, the data may indicate an early consumers have shifted online to buy beauty. emphasis on leisure, sport and hobbies, and During the two weeks between 16-29 March, health and beauty as consumers chose to buy as Britain went into lockdown, online shoppers comfort items to work from home in, as well as L’ORÉAL has launched heavily invested in beauty products – creating a workout wear to keep them fit and exercising in a solidarity programme to sales boost of 14%. their living rooms. Consumers are also taking financially support vulnerable women and the The figures by buy now pay later firm Klarna advantage of flexible online payment options.” environment. The L’Oréal For reveal that the beauty sales plateaued throughout the Future initiative includes April, with another uptick of 17% in the week the creation of a J50m beginning 27 April. charitable fund that will aid The Swedish payment provider analysed the organisations that support shopping behaviour of more than seven million highly vulnerable women. UK-based consumers across its 5,000 retail Women are said to be partners. Klarna's beauty clients include ghd, Bali disproportionately affected Body, ASOS, Charlotte Tilbury and Cult Beauty. by the Covid-19 crisis, particularly in terms of job Across all age groups, cosmetic spending has and income loss creating been on the rise during the pandemic. greater reliance on food Gen Z have been the biggest beauty spenders banks. Meanwhile, domestic during the coronavirus pandemic, with sales and sexual violence crimes among 18-23-year-olds up by 81%. are increasing worldwide as Millennials saw a 56% increase in cosmetic many countries remain on spending, followed by Gen X (31%) and Baby lockdown. The programme Boomers (34%). will also include a J100m fund for the regeneration of damaged natural ecosystems. A-BEAUTY GOALS: AMOREPACIFIC ENTERS

ALBÉA, the packaging CUSTOM SKIN CARE WITH RATIONALE DEAL company, has teamed up with French beauty group morepacific, the Korean beauty “Amorepacific will continue to look into M&A L’Occitane on a new effort to conglomerate, has acquired a minority and partnerships with promising companies and support health workers grappling with the coronavirus Astake in luxury Australian skin care secure opportunities for future growth,” he pandemic. The duo will co- brand Rationale. added. manufacture one million liquid Founded in 1992, Rationale specialises in In 2019, Amorepacific bought a minority stake soap and hydroalcoholic gels professional treatments and sun protection with in Milk Makeup, as the cult beauty brand to be distributed to health care its ‘Essential Six’ product collections. prepared to expand into South Korea. A social staff in China, Brazil, Japan, The deal will enable the Melbourne-based media hit due to its striking visuals, Milk Makeup Russia, Europe and the US. In brand to expand internationally, with goals to is known for its innovative formulas and ‘clean’ a statement Albéa said: “We enter South Korea, the UK, the US, Hong Kong ingredients. are proud and honoured for this relationship based on and Singapore by 2025. respect and mutual trust. We Amorepacific is planning to also want to thank each increase its market share, retail member at Albéa and network and operations in L’Occitane, from the industrial Oceania. site in Argonne to the The group first entered the purchasing, marketing, product region in 2018 with the its development teams and more.” Laneige and Innisfree brands. Meanwhile, in March, it launched Sulwhasoo into Sephora stores across Australia and New Zealand. Saehong Ahn Amorepacific’s President added that the deal with Rationale will also expand the company’s personalised skin care product business.

COMMENT

SHOPPERS ADMIT TO FEARS WHAT IS THE FUTURE OF PRODUCT TESTERS?

OVER COSMETICS TESTERS “DIGITAL SAMPLING” ~ Lucy Tandon Copp, Editor Over three quarters of shoppers in the US have said they would not feel safe testing beauty products in reopened stores. “It seems we’re treading in new With Covid-19 fears prevalent, 78% of women polled in a study by First Insight territory at every step of the retail admitted to feeling unsafe using cosmetics testers in-store. Meanwhile, 64% of men journey at the moment, and now the writing is on the wall for product testers. were also found to share the same concerns. For colour matching, I think digital sampling provides The age group with the greatest fears about using publicly-accessible beauty a strong solution, but texture, feel and smell can be testers were Baby Boomers, with 86% saying they would feel unsafe. This was just as important to consumers. Brands will need to up followed by Gen X at 70%, Gen Z at 68% and Millennials at 58%. their communication to bring these elements to life.” The study also provided insight into consumer attitudes towards sales associates, who are often employed by beauty brands and retailers on counter or in-store. Most women and men said they would not feel safe working with a sales associate “ONLINE DEMOS” at 66% and 54% respectively. ~ Becky Bargh, Reporter Talking about the findings, Greg Petro, CEO of First Insight, said: “The coronavirus has moved the industry away from high-touch to low-touch. “Brands are already having to be “The ‘new normal’ for retailers will be to work with shoppers in a hands-free way to inventive with their new product help them to find what they need while also giving them the space to feel launches as lockdown prevents comfortable, particularly with high-risk groups like Baby Boomers.” consumers from trying on products in- When asked what measures would make consumers feel safer in-store, most store. As a result, many have turned to social media to respondents agreed that hand sanitiser and limiting the number of shoppers in one offer product tutorials and how-tos. This concept location would alleviate some fears, at 80% respectively. could be adopted for product testers with influencers, Meanwhile, 79% said wearing face masks would make them feel safer, and 69% consumers or employees giving online demos of selected temperature checks and self-checkouts. colours and textures to suit certain skin tones.”

RETAIL

NEWS IN BRIEF

SUPER FACIALIST has won a retail deal with supermarket chain Waitrose. The John Lewis-owned grocery store will stock two of the brand’s best-selling ranges: Vitamin C+ and Retinol+. Skus in the Vitamin C+ range include a cleansing oil, polish wash, skin serum and moisturiser, while the Retinol+ range comprises a cleanser, serum, day and night cream. The line joins beauty brands Nip + Fab, Previse, Neal’s Yard Remedies and Simple on- shelf. Super Facialist’s full product range is organised into six regimes to address specific skin care concerns, Family-owned beauty brand BABOR has given its Hamburg store in Germany a makeover. such as the Rose line, for The larger 150sqm space has tripled in size and has been decked out with velvet and marble hydration; Salicylic Acid, to finishes alongside gold and brass features to create a luxury effect. tackle blemishes; and Black and white designs with pink and gold accents are said to evoke a new beauty experience Hyaluronic Acid, to firm skin. from the brand. In a statement describing the space, Babor said: “The store welcomes you with an Super Facialist products are energetic setting that invites you to shop.” also available at boots.com, Four treatment rooms are also available for store visitors to make use of, alongside an feelunique.com and ‘experience table’ displaying the brand’s traditional product ampoules. “This area offers sufficient amazon.co.uk. distance to the turbulent store to discuss desired beauty treatments in peace,” added the brand. “The actual, personal Babor experience begins with a skin analysis. It tells the skin expert what the SHISEIDO, the Japanese skin really requires so that they can tailor the treatment to the customer’s individual needs.” beauty giant, has begun selling Babor was founded in 1956 by Michael Babor and is now led by the family’s third generation. its Shiseido brand products in Sri Lanka. The decision was made under the company’s Prestige First Strategy, set out by SUPERDRUG REVEALS MOST Lush launches local delivery Shiseido’s Vision 2020, to drive POPULAR LOCKDOWN BUYS global growth. In a statement, Superdrug has revealed its best-selling beauty service for Londoners the cosmetics company categories during lockdown. British beauty brand Lush has launched a local described the market as one According to the British retailer, online sales delivery service from its Oxford Street store, UK, with “high potential”. It said: “In South Asia, where economic have surged by 55% in the week commencing 27 while doors remain closed due to Covid-19. growth is considerable, the April, compared to 2019, with figures attributed London-based customers will be able to have company already distributes to consumers experimenting with at-home products delivered to their home, with orders cosmetics products in India, and cosmetic and beauty treatments. placed before 2pm promised to reach their positions Sri Lanka as a market With growth of 76%, Superdrug’s hair care destination the next working day. with high potential given its category saw the biggest sales uplift across its “During these unusual times self-care is more population of more than 20 entire beauty business. important than ever and our team here at Lush million people and large prestige At-home hair dye kits were particularly popular Oxford Street want to make sure that you can cosmetics markets.” for UK-based consumers prior to lockdown, as look after yourself,” said the cosmetic brand’s access to salons looked uncertain. The A.S. Oxford Street store Senior Manager Sergio Watson-owned company saw a 27% increase in Mastrodonato. sales the week before the British government Lush hinted at the London delivery service enforced tighter restrictions on 23 March. earlier this month after it said it would begin to Shoppers are also keen to tidy up unruly hair reopen some of its 935 worldwide shops. during lockdown. Superdrug’s Hair Thinning Lush’s German and Austrian outlets are now Scissors saw a sales increase of 683%, while the trading, while stores in the UAE, Russia, South chain’s professional products, including the Africa, Netherlands and other countries in Tinting Brush and mixing bowl sales increased. Europe are expected to resume business in May.

EXPERT ADVICE

Alex Rawitz is Content Lead for Reporting for influencer marketing platform Tribe Dynamics

cross the various international “A markets and beauty verticals included in Tribe Dynamics’ Covid-19 Influencer Marketing Impact Study, we saw a notable increase in branded YouTube videos in the month of March. Furthermore, within the US, we noted an approximate 25% spike in Instagram video views, and an approximate 10% jump in comments on influencers’ Instagram and YouTube posts. This surge in audience engagement points directly to the increasingly necessary communal power of social media in today’s market.

Influencers put followers’ HOW COVID-19 HAS needs front and centre Throughout this period of self- isolation, social media content IMPACTED INFLUENCERS trends have highlighted the importance of the relationship The global pandemic has disrupted cosmetics innovation, NPD and sales, in turn between influencers and their affecting social media influencers. So how are they adapting to their ‘new normal’? followers. Many influencers have responded to the crisis by titled What I Need To Say, brands outside the Top 10, saw genres of make-up content on tailoring their content to the vlogger Amelia Liana spoke month-over-month earned YouTube and Instagram, such present moment, sharing at- for many content creators by media value (EMV) increases. as TikTok-style tutorials, and home looks and social stating that she is “not a With more time on their ‘Testing Popular TikTok isolation-lifestyle posts, all Covid-19 influencer,” hands, influencers turned to Products’ reviews. while providing a much-needed emphasising that she would be creative, in-depth make-up While the crisis posed by sense of community. sharing her regular lifestyle tutorials, which led to this Covid-19 is far from over, the YouTubers, who have stepped and beauty content in order to across-the-board EMV growth. response from beauty up their content creation across “protect people’s emotional Additionally, in a month influencers is clear: the the board, have taken a multi- and mental health, and not add defined by tutorial creation, an communal connection enabled pronged approach to the crisis: to their anxiety”. individual influencer’s organic by social media is incredibly some beauty vloggers offer brand affinity made a larger powerful and influencers and soothing tutorials designed to Cosmetics brands see EMV difference than ever, with consumers are leaning on this relieve stress, while others are boom during pandemic product loyalty fueling growth bond to distract, escape and recommending their favorite More influencer content, and for many standout brands like cope with the current situation. TV shows and additional ways more audience engagement on Huda Beauty and Fenty Beauty. In these troubled times, the to pass the time. that content, led to a rare Finally, many content strength and resilience of the Still others have faced the occurrence in our March creators turned to quarantine- beauty community serves as a crisis by keeping calm and Cosmetics Tribe Top 10. All favourite app TikTok for reminder that, though we may carrying on: in a March video Top 10 brands, and many inspiration, leading to new feel isolated, we are not alone.”

DIGITAL

NEWS IN BRIEF PINTEREST TEAMS UP WITH SHOPIFY TO BOOST COMPANY VISIBILITY ONLINE

ocial media site Pinterest has teamed up Shopify, in just a few clicks retailers can take the with e-commerce giant Shopify on a new products on their virtual store shelves to the S digital venture to boost the visibility of recommendations Pinners see as they shop.” companies online. The app will also instantly create a connection The new app will allow Shopify merchants to between the individual store and Pinterest so the upload their product catalogues to Pinterest’s merchant will not need an edit code or to add MALIN + GOETZ has put its faith in the European platform and transform their products into development resources. beauty market with a new shoppable pins. Merchants in the US and Canada currently e-commerce website. The site Shopify beauty merchants include Kylie have access to the app, while the service is will enable consumers in more Jenner’s Kylie Cosmetics, ColourPop, Jeffree expected to roll-out in Australia, France, than 20 EU countries, Star Cosmetics and Morphe. Germany, Italy, Spain and the UK in the next including France, Italy, Spain Once installed, the app will allow the few weeks. and Belgium, to purchase its company to use a tag on its products. Speaking to website, upload the product Cosmetics Business, Malin + Goetz said the decision was catalogue and publish in-stock taken in order to serve more product pins. consumers in lockdown due “As we make Pinterest more to coronavirus. “It [the launch] shoppable, Shopify is the perfect comes at a time where online partner for bringing access to shopping is more important catalogues, product pins and than ever and we want to shopping ads to merchants so they make sure our customers can get in front of the millions of from across Europe are able to purchase their two-step pinners looking for unique essentials, favourites and products that match their taste,” simple luxuries throughout said Pinterest’s SVP of this increasingly difficult Technology Jeremy King. period and beyond,” said “With the new Pinterest app on Malin + Goetz’s CEO Brad Horowitz.

Cosmetic doctor DR Beauty tech provider YOUCAM MAKEUP Cross-border e-commerce TIJION ESHO has has launched three augmented reality (AR) sees 10% sales increase spoken out about his and artificial intelligence (AI) applications for experience of returning to Chinese social media platform WeChat. Cross-border e-commerce sales have increased the NHS after the outbreak WeChat merchants will now be able to by more than 10% from January to April, new of the Covid-19 crisis. offer users YouCam Makeup’s Virtual Makeup data has revealed. Hosting a podcast episode Try-On, AI Skin Diagnostics and AI Smart E-commerce solution provider Global-e called From Fillers to Shade Finder. tracked the growth of cross-border orders based The programmes allow consumers to Frontline, as part of on 350 merchants selling to international Allergan Aesthetics’ virtually try-on make-up products, assess Beauty Decoded series, skin care concerns and find their ideal markets during the pandemic. Esho is joined by foundation shade. Countries in The Gulf took harsh measures aesthetic surgeons Dr “As consumer behaviour shifts towards with strict Covid-19 lockdowns and large scale Sophie Shotter, of The e-commerce, beauty brands need to disinfection operations to contain the spread of Cosmetic Skin Clinic, and embrace the power of innovative AI and AR the coronavirus. Mr Apul Parik, from the beauty technology to deliver on the Out of the four regions measured – Saudi PHI Clinic, who also both interactive and personalised beauty journey Arabia, UAE, Qatar and Kuwait – Qatar that modern consumers want,” said Alice made the decision to give experienced the largest hike in cross-border their services to the NHS. Chang the CEO of Perfect Corp, the owner of imports, with an increase of 844% from March The three doctors share YouCam Makeup. their reasons for helping to April 2020. during the pandemic. According to the firm’s co-founders, these results could point companies in the direction of booming markets in order to help their recovery post-pandemic. “It is already clear that Covid-19 is having a huge impact on how consumers shop worldwide and many retailers have become completely dependent on their online stores,” said Amir Schlachet, Global-e’s CEO and co-founder. “Cross-border e-commerce will play an important part in retailers’ recovery,” he added.

SCIENCE & SUPPLY

BACK TO BASICS: CORNELIUS ENCOURAGES ‘CLEAN AND SIMPLE’ FORMULATIONS TO SUPPORT BEAUTY SECTOR The firm is calling for personal care businesses to champion simple formulations in order to keep down costs

K chemicals manufacturer Cornelius has called for more “Many of our formulations are simple and contain natural plant- businesses to provide support for the personal care sector in based ingredients, which are easy to obtain, making them perfect Uthe aftermath of the coronavirus pandemic. go-to-market solutions to help smaller and large businesses get Cornelius is encouraging suppliers, manufacturers, distributors back on track.” and retailers to champion simple formulations for skin care and cosmetics, and to focus on cheaper consumer care regimes, as well as touchless beauty experiences in-store. “Consumer spending will be much more restricted in the months to come,” warned the firm’s Business Manager Jason Fitzgerald. “The impact caused by an economic shutdown of this scale will continue to ripple throughout the industry in the months to come, especially when the sector thrives off product innovations, interactive ‘touch and feel’ experiences and sale of in-store purchases,” he continued. “To get the personal care sector back on its feet, we must change tactics to evolve and flourish in the ‘new normal’.” Cornelius will work with principal partners Silab, Bloomage, Jeen, Rita, Ronald Britton and Strahl & Pitsch to deliver simple formulations in order for customers to stick to their easy-to- manage skin care beauty regimes. “With innovation at the heart of our industry, product development must start meeting those challenges head on. Between electronic devices that deliver instant radiance to spray and stick applications, touchless beauty experiences are going to be part of the new norm for consumers,” added Fitzgerald.

BASF BEGINS PRODUCTION OF COSMETIC PEARLIZERS AND OPACIFIERS AT PLANT IN NORTH AMERICA erman chemicals company BASF has begun production of cosmetics pearlizers, opacifiers and speciality blends at its GMauldin, South Carolina plant in the US. Pearlizers and opacifiers are used to create a shimmering effect or opacity in personal care products, such as hand soap, shampoo and body washes, in order to make them visually appealing. The production site has been certified by the Roundtable on Sustainable Palm Oil as a Mass Balance supply chain model. “The increased capacity and improved capabilities underline our commitment to supporting the growth of our customers,” said Daniele Piergentili, BASF’s Vice President of Home & Personal Care, North America. “By producing locally at our Mauldin site, we are increasing our reliability of supply, reducing our carbon footprint and providing mass balance ingredients to assist our customers with their sustainability goals,” he added. This investment in regional production will expand BASF’s global capacity and allow it to meet increasing demand for these speciality ingredients. BASF’s product portfolio also includes surfactants, emulsifiers, polymers, emollients, chelating agents, cosmetic active ingredients, UV filters and enzymes for the cosmetics and cleaning industries. The American arm of the business operates more than 40 US chemical sites across 23 states including Alabama, California, Georgia, New York and Tennessee. In 2019, BASF North America made sales of US$18.4bn and currently employs approximately 19,000 staff.

BRANDS

NEW PRODUCTS

1 NEOM ORGANICS has 3 STILA has released its 2020 with fatty acids and plant-based Aquasphere Serum (£49) is created its answer to help summer line specifically vitamins. The line (from £12) aimed at consumers with customers get their daily dose of designed for travelling. The includes a facial oil and two dehydrated, dry and dull skin. magnesium. The brand’s new 5-sku colour cosmetics range natural lip scrubs in coconut and The light and penetrating mixture Magnesium Body Butters (£36) features products for face, eyes orange. Packaging uses is said to relieve dryness and are packed with oils to nourish and lips, and bright shades materials such as aluminium and leave skin feeling visibly and soften skin. Neom’s Great inspired by summer. The new glass that are easily recyclable, smoother and brighter. The Day Magnesium Body Butter is 8-pan Road Less Traveled Eye while postage materials are said product is fragranced with a blended with shea and mango Shadow Palette (£32) features to be recyclable. subtle rose scent and uses seed butter, coconut oil and is earthy tones with hues of gold Launch: out now tamarind seed polysaccharides scented with essential oils from and green in matte and metallic and algae extracts to enhance mint and mandarin. Complete finishes. Stila’s Suede Shade 5 JUNI is the brainchild of model moisture and regeneration of the Bliss Magnesium Body Butter and Glitter & Glow double-ended and make-up artist Madeleine skin. Meanwhile, the E-Serum also uses the same blend of liquid eyeshadow (£24) is said to White. With a focus on (£52) aims to be a repair serum shea and mango seed butter, be blended into a velvety-matte sustainability, the debut line of that tackles the effects of artificial and coconut oil, as well as formula and is available in 12 five Luxury Hydrating Lipsticks blue light, UV rays and infrared Moroccan blush rose, lime and shades that can be mixed and (£48 each) are housed in plastic- radiation. black pepper to help promote a matched. For eyes, the brand free aluminium bullet cases, Launch: out now state of relaxation. has also released its new Huge which are infinitely recyclable. Launch: out now Extreme Lash Mascara (£19) in In a statement, White said she 7 SO…? FRAGRANCE has a waterproof formula, which is refused to tolerate even the joined the battle against Covid- 2 MOLTON BROWN has designed to keep lashes feeling smallest amount of plastic in her 19 by repurposing its production extended its line of luxury soft and flexible without products. The colours are said to lines to make a hand fragrances with one of its classic clumping, claimed the brand. champion neutral undertones, sanitiser. The new Pure & Clean scents (£110 each). Vetiver & Launch: out now and are designed to suit every Hand Sanitiser Gel (from £7.45) Grapefruit is currently available age and skin tone. Meanwhile, has a 60% alcohol blend and is as an edt, bath and shower gel, 4 THE GLOWCERY has the formula is designed to be said to leave hands smelling body lotion and deodorant. In its launched using natural and fresh gentle and suitable for the most fragrant. Customers can shop new edp form the notes are said superfoods. The vegan brand, sensitive skin. the line in a 50ml travel size pack to have been extenuated, and founded by beauty blogger and Launch: out now or 100ml, and will soon be able were formulated by CPL Aromas natural skin care formulator to buy the product in a supersize perfumer Julie Pluchet. The Roshanne Dorsett, is said to use 6 OIO LAB has introduced two 300ml bottle. Since the UK scent’s top notes feature ingredients that are nutrient- new gel-serums designed to lockdown was introduced, So…? mandarin, lavender and dense, mineral-rich and high in hydrate and nourish skin. The has donated more than 13,000 geranium, with amber, moss and vitamins in order to feed skin, brand is said to use advanced products to charities including Haitian vetiver at the base. “The and help it to look and feel scientific methods of extractions The Hygiene Bank, which contemporary yet elegant healthy. The skin care line is in order to formulate its collects and distributes products character of this scent comes formulated with hand-blended products, and uses organic plant donated to consumers in from its olfactive contradictions,” cold-pressed vegetables, and extracts with active ingredients difficulty, from health care said Pluchet. fruit and nut oils that are mixed to drive results. Oio Lab’s new workers to the homeless. Launch: out now Launch: out now

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LOTTIE LONDON has announced a new collaboration with influencer LAILA LOVES. Laila Swann, the Forbes Top 10 Beauty Influencer, has 1.6 million followers on her Instagram channel and more than 90,000 fans on Twitter. For the new collaboration, Lottie London and Laila Loves have launched two nine pan, neon pigment eyeshadow palettes (£5.95 each), containing shimmer and glitter shades, as well as matte colours. “Lottie are about fast-thinking innovation in beauty, they are always ahead of the curve and instead of just following the trends, they set them,” said Swann. “I’ve always known that when I worked on my first make-up collection, I wanted it to be with a brand that really understood my vision.”

ON THE MOVE AT... DOUGLAS

Beauty retailer DOUGLAS Müller a swift recovery,” said Henning has grown by more than 50% into a leading has promoted VANESSA Kreke, Chairman of the Douglas European beauty destination. STÜTLZE to become the Supervisory Board. According to a statement by the firm, it is third member of the “In these difficult times, we are grateful not yet clear when Müller will be able to company’s Managing that Tina Müller has built a strong resume her role as Doulgas’ CEO. Board after the group’s CEO management team, so that we can now The news comes after the retailer Tina Müller underwent emergency surgery. expand the management board with a announced last month that it had expanded The former Executive VP of proven top executive from our own ranks. its #strongertogether initiative to help small E-Commerce & CRM has also been given “The corona crisis emphasises the businesses and self-employed consumers the role of Chief Digital Officer. strategic importance of the e-commerce boost their visibility during lockdown. Currently serving on the Board is Müller business for Douglas.” alongside the group’s CFO Matthias Born. The retailer said that under Stütlze’s Read more at “The entire Supervisory Board wishes Tina leadership Douglas’ e-commerce business cosmeticsbusiness.com

WHAT’S TRENDING?

COVID-19 EXPEDITES BEAUTY’S SHIFT TO DIGITAL Beauty brands have had to adapt to business in the virtual sphere sooner than some may have bargained for

cross the entire beauty industry, brands are finding ways to long established idea that to survive in retail the combination of survive. From Instagram Live make-up masterclasses to people and tech are key. “We’ve always had a thriving relationship A TikTok challenges, brands are investing online to stay with consumers across our social media channels and we pride current and in consumers’ minds. ourselves on the authenticity of those relationships and our high But the industry relies heavily on face-to-face contact to turn engagement, so opening up a one-on-one dialogue was the next engagement into sales. Pre-lockdown 80% of prestige products logical step for us to connect,” explains Polly Roderick, Inika were purchased in-store (The NPD Group) and it’s a void that Organic Global Brand Manager. many companies are attempting to fill. As a result, beauty brands are bringing their bricks-and-mortar A personal approach teams’ expertise into the homes of consumers by launching one-on- As customers already research purchases online, Wizz Selvey, one virtual consultation services. In the last month, skin care founder of retail consultancy firm Wizz & Co, says brands brands Deciem, Clinique, Caudalie, By Terry and Foreo have interested in launching such services should focus on “nurturing unveiled complimentary services where consumers can address and educating customers”. “Providing virtual assistants with as their complexion needs with specialists from their sofa. much information as possible to help the customer will be integral Meanwhile, make-up users can turn to Inika and bareMinerals to to the success,” she says. And as social distancing rules start to relax discuss application techniques and colour options, and Philip in the UK and non-essential stores expect to begin to reopen from Kingsley is helping consumers with hair concerns. Retailers Boots June, maintaining virtual consultation services will be good practice. and Space NK have also moved into the virtual consultation space.” “Virtual consultations provide access to customers who may not "We have been planning to introduce virtual consultations for live near a store that stocks the brand or product they are interested some time, in order to connect with customers who may not be in purchasing,” adds Selvey. “Brands can often think too London- able to visit our stores,” says Nicola Kilner, CEO of Deciem, who centric, there is a huge amount of potential to reach a national level.” unveiled Deciem At Home in April. “The current situation with For many brands, like Inika, this has been a moment to reflect on Covid-19 accelerated the initiative.” communication. “I suppose that’s the silver lining of Covid-19,” While virtual consultation service plans may have been pushed says Roderick. “It’s really pushed us to stay human and be there for forward, or developed out of necessity, the innovation cements the each of our individual consumers in new ways.”

12 cosmetics business 25 May 2020