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The buzz 2 Finding retail growth News roundup n 2015, faced with growing competition from trendy, Netwatch 7 Iyouth-friendly and accessible stores like Ulta and Sephora, US-based department-store group Macy's acquired beauty Social media monitor retailer Bluemercury. The Bluemercury business with its mix of services, expert advice and up-and-coming brands Interview 8 was seen as a way for Macy's to win back some of its IFF group president fragrances beauty business, stay in tune with today's consumers and Nicolas Mirzayantz experiment with a new format. Macy's is pushing ahead with the chain's roll out. It Insight 11 launched a flagship store in New York City for Bluemercury Prestige fragrance in India last year, and just announced that it would open 55 new points of sale for the retailer. The move, coming in the midst of a major restructuring effort by Macy's involving the Show review 14 closure of more than 100 stores, clearly shows where the department-store operator MakeUp in Paris sees growth in retail coming from: high-end brands, good, knowledgeable staff and stores that purport to educate and entertain. Other retailers should perhaps take note. Store visit 18 BW Confidential's Beauty Insight is taking a short break for the summer and will be Phebo, Rio de Janeiro, Brazil back on August 23. In the meantime, stay up to date with all the latest industry news through our website www.bwconfidential.com and through our weekly news recap This Week in Beauty.
Oonagh Phillips Editor in Chief [email protected] Get the essential beauty news of NEWthe week in one quick-read email every Friday with BW Confidential's THIS WEEK IN BEAUTY
ALSO IN VIDEO A video highlight of the week's key news headlines in just under a minute News headlines daily on www.bwconfidential.com @BWCbeautynews News roundup At a glance...
n Macy’s to open 55 new stores for Bluemercury
n Sephora said to be gearing up for South Korea launch
The buzz n The Shilla Duty Free officially opens Beauty&You in Hong Kong
Stay informed with our daily news headlines on www.bwconfidential.com
Retail
US-based department store Macy’s is to open 55 new stores for its Bluemercury beauty chain between now and 2019, according to Bloomberg. The new doors are expected to be a mix of free-standing stores and shop-in-shops in Macy’s department stores. The additional stores will bring Bluemercury’s store count to 215. Macy’s acquired the Bluemercury beauty chain in 2015 for $210m in a bid to attract younger consumers, bring in new brands, differentiate its offer and better stand up to rivals Sephora and Ulta.
Beauty chain Sephora (LVMH) is said to be gearing up for a launch in South Korea next year, according to industry sources. It is thought the launch could take place in the third quarter of 2019. A spokesperson for Sephora declined to comment or confirm the news.
LVMH-owned Louis Vuitton has opened a men’s fragrance pop-up store at New York’s Rockefeller Center. The pop-up, open from June 14 to the end of August, coincides with the launch of Les Parfums Louis Vuitton’s first men’s fragrance collection. The pop-up was designed to resemble a flower and is made entirely of fragrance packaging. It features nearly 3,000 stacked, white paper tubes and an illuminated center display with nearly 100 perfume bottles designed by Australian designer Marc Newson. The five new fragrances BW Confidential 17 rue Louis Rouquier were created by Louis Vuitton master perfumer Jacques Cavallier Belletrud. 92300 Levallois-Perret [email protected] Tel: +33 (0)1 74 63 49 61 Dior (LVMH) has opened an apartment on Paris’ Place Vendôme to bring together what Fax: +33 (0)1 53 01 09 79 www.bwconfidential.com it calls a community of people who are passionate about perfume, including influencers, ISSN: 2104-3302 Publisher: Nicolas Grob the press and celebrity supporters of the brand. The brand will host dinners and other Editorial Director: Oonagh Phillips events at the apartment. An inaugural dinner party was held at the Place Vendôme [email protected] Journalist & Copy Editor: Katie Nichol apartment on June 26. The dinner was created by chef Jean Imbert, who drew his [email protected] Journalist: Monica Defrances inspiration from Maison Christian Dior fragrances. To coincide with the launch, actress [email protected] Contributors: Sophie Douez, Alex Wynne, and musician Lou Doillon, actress Charlotte Le Bon and Jean Imbert opened up their Renata Ashcar, Mayu Saini, Raphaëlle Choël, homes to Dior in a series of videos where they share their relationship with perfume. Corinne Blanché, Naomi Marcoulet, Kevin Rozario The videos launched online in July. Dior also revealed that it will open a new boutique Subscriptions 1 year: beauty insight (20 issues) + on Paris’ Champs Elysées in September that will stock the brand’s fragrance collection, magazine (4 issues) + This Week in Beauty candles, soaps and other perfumed home products. + daily news + collector’s guide: €549/US$769 [email protected] Advertising [email protected] Rihanna’s Fenty Beauty brand (LVMH) opened three pop-up shops in New York City to BW Confidential is published by Noon Media 513 746 297 RCS Nanterre preview its new Moroccan Spice Collection. Opened for one day each at three different Copyright © 2018. All rights reserved. locations in the city through June 27-29, the Fenty Beauty by Rihanna Moroccan Spice Reproduction in whole or in part without permission is strictly prohibited. Market pop-ups sold the new products ahead of their official global launch on n n n
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n n n July 6. The pop-ups also stocked the brand’s full range of make-up. Shoppers were able to get shade matched and learn complexion techniques from make-up artists or relax in the custom hookah lounge.
The buzz Strategy
London-based private-equity firm Blue Gem Capital Partners has acquired beauty brand Iconic London. Iconic London was founded in 2015 by Jade Elliott as a rebellious and affordable make-up brand for women aged 18-24. Its e-commerce platform has had over nine million global visits to date, according to the company, and the acquisition is set to support the brand’s US roll-out later this year. Elliott will remain in charge of the brand and continue as creative director in charge of new product development. Selma Terzic, who has previously held the roles of general manager at MAC and md at St Tropez, will step in as ceo. Blue Gem’s portfolio includes German skincare brand QMS Medicosmetics and retailer Liberty London.
Travel retail
South Korea-based The Shilla Duty Free officially opened its Beauty&You concept stores at Hong Kong International Airport at the end of June, marking a further step in the retailer’s road to expansion in East Asia. The unveiling follows a six-month soft launch. The six Beauty&You stores at the airport stock 200 brands, many of which are new to Hong Kong International Airport. The stores are devoted to beauty and accessories, although the cosmetics and STAY INFORMED WITH OUR fragrance offer dominates. The stores DAILY NEWS SERVICE put a strong focus on digital, offering virtual reality experiences and a virtual try-on magic mirror. There are also zones News headlines daily on www.bwconfidential.com reflecting specific themes, such as for men @BWCbeautynews or products for millennials.
Estée Lauder Companies (ELC) has begun construction on a new travel-retail distribution center in Galgenen, Switzerland. The facility will be ELC’s third wholly owned and operated distribution center in Switzerland, which is its global travel-retail distribution hub and serves duty-free stores in more than 120 countries. The three-story, 20,000m2 All major news on the industry published every day on our website • (215,278ft2) facility was designed in • News headlines complement analysis and interviews in our Beauty Insight partnership with New York architect and print magazine BW Confidential is the destination for keeping up-to-date with what’s Richard Dattner and is slated for • going on in the industry and staying ahead of the competition completion by the end of 2021. n n n BW Confidential, the inside view on the international beauty industry
The website - daily news•Beauty Insight - every two weeks •This Week in Beauty• The print magazine - four times a year •The Collector’s Guide - once a y ear CONFIDENTIAL CONFIDENTIAL CONFIDENTIA
L The buzz News roundup merchandising concept for the brand) in travel retail. merchandising conceptforthebrand)intravelretail. Singapore. Vichyiscurrentlypresentinnearly50Dermacenters(thebrand’s billboards ordigitalscreensinairportsincludingBeijing,Shanghai,Seoul,HongKongand is focusedonVichy’sMineral89SkinFortifyingDailyBooster,whichwillappearlarge for itsVichybrand,toruntwomonthsinover35locationsacrossAsia.Thecampaign and with US fragrance and flavor company International Flavors & Fragrances (IFF). and withUSfragranceflavorcompanyInternationalFlavors&Fragrances(IFF). Syndicat FrançaisdelaParfumerie(SFP),whichbringstogetherselectiveperfumebrands, sensorial visitspanningfourfloors.ThemuseumhadapartnershipwiththeFrance-based history offragrance,aswellthecreativeprocessundertakenbyperfumers,viaamulti- Lacroix fashionhouse.Thegoalofthemuseumwastoallowvisitorsdiscover mansion onthecity’srueduFaubourgSaintHonoré,whichformerlyhousedChristian additions arealso launchinginAugust,each priced at€43. foundation collection,bringing thetotalnumberofshadesavailableto10.Thenew six newshadestoitsVitalumière AquaUltra-lightSkinPerfectingMakeupSPF15fluid Vitalumière Glowwillbeavailable insixshades,pricedat€57.Thebrandhasalsoadded to haveantioxidantbenefitsthanks toanutextract,andhasanSPF15.Chanel formula isclaimedtoprovideeighthoursofcontinuoushydration. Theproductisalsosaid extract tobrightenandsmooththecomplexion,whileahyaluronic acidderivativeinthe will launchinAugust.Thenewproducthascolor-correcting pigments aswelllicorice cushion foundationsaidtoenhancetheskin’sglowandprovide long-lastinghydration, Chanel hasunveiledthelatestproductinitsVitalumièrerange.The VitalumièreGlow,a require cosmeticsproductssoldinthecountrytobetestedon animals). range wouldbevegan,andasaresultwillnotsoldinChina (Chineseregulations in ParisorganizedbytheCEWFrance,whichtookplaceonJuly 4.Badersaidthatthe Ex brandpresidentofClarinsNatalieBaderrevealedthenewsatJournéedelaBeauté French brandClarinsistolaunchanewrangeformillennialscalledMyin2019. Launches 18 monthsafteropening.The1,400m Paris’ fragrancemuseumLeGrandMuséeduParfumcloseditsdoorsinJuly,just Fragrance products wereshippedacrossits70markets. and isnowstockedinmorethan10,000storesglobally.In2017,10million inventor ofitsrangedevices.SedicsucceedsPaulPeros.Foreowasfoundedin2013 immediately. SediciscurrentlychairmanoftheboardatForeoandwasprimary Swedish beautydevicemanufacturerForeohasnamedFilipSedicceo,effective People n is launching the first large-scale media campaign in airports L’Oréal TravelRetailislaunchingthefirstlarge-scalemediacampaigninairports 2 (15,069ft www.bwconfidential.com -July12 -August22,2018 #172-173 -Page 4 2 ) museum was located in a private ) museumwaslocatedinaprivate n News roundup
n n n French brand Lolita Lempicka has launched a new men’s fragrance, Lempicka Homme. The scent is described as a modern reinterpretation of the brand’s Au Masculin fragrance, which launched in 2000. Lempicka Homme was created by perfumer Annick Menardo of Firmenich, who revisited the scent’s licorice signature.
The buzz The juice has also been reworked to acquire the One Voice vegan label. The fragrance launched in June, available in a 50ml and 100ml EdT.
US-based Luxe Brands is to launch a new fragrance this fall for singer and actress Ariana Grande called Cloud. Luxe Brands has created the singer’s four previous fragrances and announced in 2017 that Grande’s perfume franchise had brought in $150m in sales. Cloud retails at $20 (10ml EdP purse spray) to $59 (100ml EdP spray). Ariana Grande Cloud will be available from the fall exclusively at Ulta Beauty in the US, Shoppers Drug Mart in Canada and on ArianaGrande.com, before rolling out to additional retailers.
France-based, Korea-inspired skincare brand Erborian is to launch color correcting product, CC Red Correct, in September. The brand says CC Red Correct is the first CC cream to offer ‘automatic correction’ of skin imperfections. It has green pigments and is enriched with medicinal herb centella asiatica, which the brand says helps reduce redness, boost the skin's glow and prevent signs of aging. CC Red Correct is priced at €16.95 (15ml) and €37.50 (45ml).
Events
Beauty association CEW France held its second annual Journée de la Beauté (Beauty Day) in Paris on July 4. The event featured talks and panels with and for beauty industry professionals, on challenges and trends in the industry. This year’s theme was New Requirements, with topics including targeting consumers from generations Z and Q, how to use Instagram and data-driven beauty. Key takeaways from the event included: Remember ROI: Web-based marketing may be a great way to test new methods with minimum investment and lowered risk, but companies should be careful with time and money spent on e-commerce platforms or social-media campaigns, warned Ganaël Bascoul, founder of razor subscription company Monsieur Barbier. Bascoul said brands should remember that hits and likes don’t necessarily translate to sales, and that any investment made should match the expected return. Platform before product: On visual-driven social media, winning disruptor brands are those whose products are Insta-friendly, said Nilufar Khalessi, co-founder of brand consultancy Future Studio. Examples included GlamGlow’s colorful face masks and Too Faced’s eye-catching packaging, with companies now creating products specifically for social-media appeal. Retail experience: For brick-and-mortar stores, key drivers for footfall include experiences, discovery and providing a sense of belonging. Martine Ghnassia, co-founder of consultancy InCapsule, a division of market-research firm IFOP, highlighted cosmetics brand Follain’s new US stores, which will feature restaurants and fitness studios, and Shiseido, whose new Tokyo space, Shiseido The Store, features beauty care lessons and a café with seating around a communal table. n
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The views expressed in this section are those of bloggers and do not represent the opinions of BW Confidential Netwatch offer a handy solution for travel. offer ahandysolutionfortravel. (pictured) andMilkMakeup'sMatchaCleanserstickaresaidto media. ProductslikeJosieMaran'sminiBearNakedWipes sticks inconvenientportableformats,areabigtrendonsocial Pocket-sized refreshers,includingfaceandbodywipes choose betweentwoversionsoffiveco-ordinatedmini-lipstickcolors. effective waytore-energizethebrandwithanentry-levelproposal.Customerscan MAC's newLookinaBox'mini-sizing'offerhasbeendescribedasaninventiveand Sephora seal,whichcommentatorssaymakesshoppingforcleanbrandsaloteasier. transparency and'clean'trendsinbeauty.TheretailerhasalsointroducedaCleanat harmful ingredientshasbeenpraisedbybloggers,whohighlighttheimportanceof The be drawntoIGTV,whichcoulddilutetheinfluenceofYoutube. a bigimpactonthebeautycommunityYoutube.Beautyvloggersareexpectedto Instagram's newvideoappIGTV,offeringone-houruploads,isexpectedtohave Social mediamonitor BW Confidential BW section for beauty products free from potentially Sephora CleanBeautysectionforbeautyproductsfreefrompotentially reportsonwhat’sbeingsaidaboutbeautysocialnetworks THIS WEEKINBEAUTY Get theessentialbeautynewsofweek in onequick-reademaileveryFriday news oftheweekininternationalbeautymarket This WeekinBeautyspotlightsthemostimportant The week’skeynewsheadlines inunderaminute in aneasy-to-read,digestformat ALSO IN VIDEO ALSO IFF group president fragrances Nicolas Mirzayantz Securing supply Fragrance houses have been impacted by a series of problems at ingredients suppliers, resulting in a crisis in the supply Interview of raw materials. US-based IFF group president fragrances Nicolas Mirzayantz tells BW Confidential how he sees the situation, its effect on the industry and how it will evolve
The past nine months have seen a series of factory fires and closures at manufacturers of key raw materials used in fragrance. What is the impact? This is a critical topic that we take very seriously. We are at an inflection point and the security of supply is going to be strategic and critical for all players. We have a very strong advantage because of our vertical integration, our manufacturing network, our sourcing and the fact that we are creating for ourselves—and for the industry—a significant number of molecules or ingredients. As part of our risk management, we identified security of supply as one of the most important topics a long time ago. It’s a very volatile, uncertain and challenging Credit: Eric van den Brulle environment, and we need to be extremely mindful about all the challenges, but also all the opportunities. There are many ingredients that have been under stress recently that we were manufacturing in the past. We have the feedstock and our partners have seen the strengths and the reliability of IFF in the face of the challenges that we have experienced for the past nine months. What I think that the industry took for granted—the security of supply—was something that was far more strategic and important than people realized. We’re working very closely with We are at an our partners to help them resolve this issue. Our number-one priority is to protect the olfactive profile and the brand integrity of the brands that we partner with. “inflection point and the security of How will the issue of raw materials supply evolve? Will some products need to be reformulated because of a lack of supply in the future? supply is going to be We are entering a new cycle of increased volume demand. Some actors in the strategic and critical market have not invested in critical components, which has put more fragility into the supply chain. It’s all about the ecosystem. Where do you want to be vertically for all players integrated? Where do you want to have a very strong position regarding the feedstock? Do you have the engineering capabilities to manufacture the ingredients that are being challenged? It is something that will evolve, but it is only the IFF group president fragrances beginning. [The question of security of supply] is not something that is going to end Nicolas Mirzayantz with some of the recent issues that took place in different parts of the world. ” Has industry pressure to produce cheap products resulted in under- investment in safety, maintenance and processes at factories manufacturing key ingredients? In the current lower-growth environment, overall, people are focusing a lot on cost which has created—over time because this is not something that is the result n n n
www.bwconfidential.com - July 12 - August 22, 2018 #172-173 - Page 8 CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL IFF group president fragrances Nicolas Mirzayantz n n n of a one-year cycle—challenges for some players that did not have the financial stability, the resources or capabilities to maintain their operating and manufacturing network, and to make the right investments. Additional investments were required in terms of regulatory compliance, in terms of sustainability and you cannot take a short-term view on this. We always take the
Interview long-term view and that’s why we’ve been able to provide stability in our supply chain. But some actors have not necessarily made the right level of investment and did not understand the strategic link between different feedstocks and different families of ingredients. It’s very challenging, it’s unfortunate, it’s much more volatile than before, it’s much more complex and therefore it requires a lot of discipline, focus and strategic vision to develop sustainable solutions for partners and for ourselves. What does this crisis mean for prices for your clients and the [The question of end consumer? We have entered an inflationary trend regarding input costs. Some of the “security of supply] is ingredients affected are also very valuable for other industries, some farmers have not something that other options in terms of crops and what they want to invest in and sometimes there are shortages due to the environment. Because of all these components, is going to end with prices already began to rise in 2017, and it will continue for sure in 2018 and for some of the recent the next two or three years. What was already taking place is now compounded by all these challenges in terms of supply chain and security of supply, which are issues that took place creating additional inflationary pressure. in different parts of The situation is not going to return to normal. That’s why it’s important to understand what is happening and how to deal with it. It’s about having clear the world; it’s only visibility across the supply chain. This will be reinforced by transparency and will the beginning lead to partnerships that are more strategic than transactional because is about the sustainability of our business, the sustainability of brand equity and the sustainability of a successful product in the marketplace. More than ever you must carefully select your partners. It’s not just about developing a product, it’s about IFF group president fragrances vision, innovation and vertical integration; it’s about manufacturing or process Nicolas Mirzayantz engineering capabilities. We were able to respond so fast and effectively to the ” challenges because we have manufactured these ingredients in the past and so we can tap into the deep knowledge of IFF. You have to make some choices about which products you want to manufacture, but to a certain degree it’s important that what was taken for granted was actually critical.
What is the strategy behind the deal to acquire Frutarom? Frutarom is a leader in natural products and active in many high-growth categories which we are not, so the acquisition strengthens our portfolio and builds a new expertise around nutrition for IFF. It also creates a larger expertise in the natural offering for a much wider spectrum of the portfolio and [in addition allows us to] enter a segment of the market with mid-size and small-size customers which we know are growing faster at the moment. Frutarom is in many attractive categories that will provide additional growth for the company, but especially the health, natural component: it is playing in the fastest-growing segment of the market. It is a very attractive opportunity. n
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credit: istock Prestige fragrance in India On the up India's prestige fragrance market is growing due to rising purchasing power and developments in retail
remium fragrance sales in India have seen high double-digit growth over the Ppast two years. Prestige fragrance sales reached Rs19.67bn ($285.78m) in 2017, up 16% from the previous year, according to industry sources. Growth The Sephora has been driven by heightened consumer awareness and interest in personal business continues grooming, a strong overall economy, rising disposable income and increasing “ product penetration, as well as the large gifting and wedding market in India. to perform. India Even demonetization in November 2017, which saw the cash economy is the third-fastest diminish (more than 80% of the cash in the country was withdrawn), put only a small dent in the premium segment, including premium fragrance, which growing market has long been a top beauty spend for Indian customers. “In India, with beauty in the world for being mainly handled by distributors, there are challenges posed by registration delays, demonetization, the goods and services tax (introduced in July 2017) beauty. [...] We and changes in government regulations,” says local department store Shoppers have a younger Stop managing director Govind Shrikhande. “But still, the overall beauty category has been growing well, driven by the growth in skincare and make-up customer with a at a faster rate. [As a result] fragrances have lost some market share, but have propensity to buy not lost growth.” prestige brands Revamping retail One of the problems premium fragrance brands have faced has been the lack of retail in India, and the question of adjacencies, which has been key for Sephora India chief operating standalone premium brand stores. Over the past 10 years, premium n n n officer Vivek Bali” www.bwconfidential.com - July 12 - August 22, 2018 #172-173 - Page 11 CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL Prestige fragrance in India
n n n beauty retail has been mainly through department-store chains such as Shoppers Stop, Lifestyle and Central, as well as through perfumery chain Parcos, which is owned by local distribution company Baccarose. Insight Shoppers Stop, owned by the K Raheja Corp Group, has traditionally been the biggest destination for premium fragrance. There are now 83 stores across 38 cities in India. Other department-store chains such as Central continue to grow, with 30 outlets at press time, and with plans to keep adding stores in the coming years. Parcos, meanwhile, has been adding to its stores in malls and airports, and also launched Parcos stores on e-commerce sites like Amazon and Nykaa, with the The overall beauty tagline: ‘Sheer luxury, premium international brands, authenticity guaranteed’. category has been However, one of the biggest changes in this segment has been the growing “ number of stores of LVMH-owned perfumery chain Sephora in India. After two growing well, driven mismatched and unfortunate partnerships in India, Sephora is making progress by the growth with its third business partner in the country, Arvind Brands Ltd. Sephora now has more than 16 stores in India, with another eight planned in this financial in skincare and year (ending March 31, 2019). The target is to have 50 stores in another two make-up at a faster years time. “We’ve had an exceptional year. The Sephora business continues to perform. India is the third-fastest growing market in the world for beauty,” says rate. [As a result] Sephora India chief operating officer Vivek Bali. “Most importantly, the economy fragrances have continues to be on a growth path, even though there may have been a slight dip last year. We have a younger customer with a propensity to buy prestige lost some market brands,” he says. share, but have not Around 20% of India prestige fragrance at a glance Sephora's business in lost growth India is in fragrance, with • Sales of prestige fragrance 2017: more than 60 brands on Rs19.67bn ($285.78m), +16% vs 2016 sale, and several exclusive • Prestige fragrance sales are set to grow by 22% brands, including Tom for the next three years, and the prestige market is Shoppers Stop managing director Govind Shrikhande Ford, Zegna and set to more than double in size by 2022. Michael Kors. Source: Industry sources ”
Embracing e-commerce Top 10 fragrance brands in India Also driving change in the Rank Brand distribution of fragrances 1 Dior in the market is the 2 Givenchy much-delayed embrace of online commerce by both 3 Burberry sellers and consumers. 4 Gucci This has especially given 5 Bulgari consumers access to 6 Versace fragrance outside the 7 Davidoff major urban hubs, where key retailers are found. 8 Calvin Klein “So far, there has been no 9 Hugo Boss major reduction in the key 10 Giorgio Armani channels/shopping n n n Source: Industry sources
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L Insight Prestige fragranceinIndia is expectedto doubleinsizeoverthenext fiveyears. developments inretail,industry analystssaythattheprestigefragrancemarket future looksbrightforfragrance inIndia.Giventheeconomicprospectsand with luxuryandweareopening thisstoretokeepaheadofchange.” happening slowly,butconsumersinIndiaarebeginning toexperimentmore to thenextlevel,includingthosebuyingmasstigeormid-grade products.Itis by customers,"explainsChin.Hecontinues:“Somany peopleareupgrading lot. Whenweselectedthebrandslookedatthose thatwerealreadyknown are awareoftheseproductsbecausetheinternetand becausetheytravela Memo, Amouage,Nassomato,TheDifferentCompany andAmouroud.“People Called MaisondesParfums,thestoresincludehigh-end nichenamessuchas and Mumbai,bringinganewassortmentoffragrances totheIndianmarket. Concepts' Chin. to havemorechoicesratherthansimplystickingonebrand,”saysBeauty commoditized andthereislowerbrandloyalty.Manyconsumersnowprefer market ischangingrapidly,followingglobaltrends.Premiumbrandsare consumers isfor100mlformatsandEdTs. of ScentialsBeautycareandWellnessPvtLtd.ThepreferenceamongIndian of thenumberIndianstraveling,”saysBijuAntony,chiefoperatingofficer bigger brandshaveastoryandaremoreaspirational,alsobecause Armani andChristianDior,“Thetastesofcustomershaven’tchanged,because international players,suchasCalvinKlein,Davidoff,Burberry,HugoBoss, been abigshiftintastes.Themainbrandsfavoredbyconsumersarethe Availability ofpremiumfragrancemaybeslightlybetter,buttherehasnot Big namesstillstrong are authentic,”saysSephora’sBali. the moment.“Customersneedassurancesintermsofknowingthatproducts however, physicalretailersdon'tseee-commercepureplayersasathreatfor and placeswheremallownershavestillbeenhesitant—orunable—tobuild; especially intermsofprovidingavailabilitysmallercitiesacrossthecountry Marc Jacobs. such asCarolinaHererra,PacoRabanne,Davidoff,CalvinKlein,Bulgariand Nykaa nowhasninestoreswhichfocusonthepremiumsegment,withbrands moving intobrick-and-mortarretailtocomplementitse-commercebusiness. the growthoflocalbeautye-tailerNykaa,whichchangeditsbusinessmodelby offering andtheirreachacrossIndia.Oneoftheunexpectedchangeshasbeen including EstéeLauderfragrances,HermèsandBulgari. Beauty ConceptsPrivateLimited,whichdistributespremiumbrandsinIndia compensated bythegrowinge-commercespace,”saysTonyChin,ceoof physical optionsfortheselective/premiumsegment,butthishasbeen This changeislikelytobepositive forthemarket.Indeed,overall Beauty Conceptsrecentlyopenedanichefragrancestore conceptinNewDelhi But atthesametime,customersareexperimentingmore.“Thefragrance E-commerce playersmaybechallengingthetraditionalretailermodel, E-commerce playersAmazo,andFlipkartcontinuetostrengthentheirbeauty n malls forbeauty.Expansionmaybelimitedduetothelackofnew www.bwconfidential.com -July12 - August22,2018 #172-173 -Page 13 n CONFIDENTIAL CONFIDENTIAL CONFIDENTIA
L Show review MakeUp inParis Newness tothefore German companyFaberCastell,whichiscelebratingthe40 Seen inshow with thecosmetics divisionaccountingfor12-15% ofrevenues. lip pencils.TheFaberCastellgroup reportedsalesof€667mlastyear, von FaberCastell's(whoheads thecosmeticsdivision)favoriteeyeand Castell alsoshowcasedCountess' Classics,aboxsetofcountessMary matte finish,whichlastsupto sixhours.Tomarkitsanniversary,Faber Delight (picturedleft),ajumboplasticpencillipstickwithnon-drying infused withsparklingpearls.Forlips,thecompanyshowed Velvet eyeliner inamattemechanicalpencilthatlastsforupto24 hours andis up to24hoursasaneyeliner).AlsofortheeyesisAccessorize Me,an lasting kohlandeyeliner(itclaimstolastup12hoursasa kohland stick foron-the-gohighlighting.Magnetic/MysticEyes,includes along- is waterproofandcombinesanudestick(twoshades) shimmer retractable jumbopencilformatfortheface.Itclaimstobelong-lasting, lightweight, fluid-likeconcealerandhighlighterformulation in collections attheshow.EtherealTouchUp(picturedfarleft)isa anniversary ofitscosmeticsdivisionthisyear,presentedfivekey place inParisfromJune21-22 year's MakeUpinParisshow,whichtook formulas andpackspresentedatthis BW Confidential BW a 2% increase in visitor numbers from last year to 4,051. a 2%increaseinvisitornumbersfromlastyearto4,051. suppliers, whichcomprisedonethirdofthebooths.Theeventregistered This year'sexhibitorprofilehasalsoexpandedtoincludemoreskincare from thepackagingandformulasectors,including45newcompanies. aims topreciselymatchtheshadeofpackagingwithproductcontents. color samplesforpackstobesentclientsdigitally(ratherthanphysically),andwhich Sleever InternationalpresenteditsColorMatchtechnology,adigitaltechnologyenabling LF BeautydrewcrowdsarounditsvirtualdisplayunitforRougeGbyGuerlain,while ranges ofglitteralternativestoreplaceplasticpearls.Intermsdigitaladvances, box). Forexample,Mapreco/SunChemicalshowcasedthenewIntenzaandSunShine and vegancolorformulassustainableorbiodegradableingredientalternatives(see manufacturing, arelookingforturnkeysolutions. said thatevenlargeprestigebrands,whichinthepastwouldhavefocusedonin-house to trendsonsocialmediaandcomeoutwithaconstantstreamofnewproducts,suppliers among suppliersatthisyear'sMakeUpinParisshow.Giventheneedtorespondquickly T This was the ninth edition of the show and it attracted 160 exhibitors This wasthenintheditionofshowanditattracted160exhibitors Other trendsincludedproductsthatcatertoconsumerdemandfornatural-based,clean, be put on the market quickly was a key talking point be putonthemarketquicklywasakeytalkingpoint he needtoofferbrandsturnkeyconceptsthatcan
reportsonnewbeauty www.bwconfidential.com -July12 -August22,2018 #172-173 -Page 14 th
n Trends fromtheshow to market. • pencils andsticks. • Light,easy-to-use,easy-to-carry roll-ons, • for selfies. • Fun,instagrammableproductsthatareideal purchases. • Smaller,slimmerpacksfore-commerce and fragrance. a bottlethatcanbeusedformake-up,skincare used fordifferentproductcategories,suchas • Demandfrombrandsforonepackthatcanbe and sustainablematerials. • as lesstoxic;veganandcleanformulas. based nailproducts,forexample,thatareperceived • to howproductisappliedonsocialmedia. • Focusonapplicators,duetotheattentiongiven pens, pencilsandapplicators. and two-in-oneproducts,suchasdouble-ended •
that are ready to go Turnkey solutionsthatarereadytogo Foundations thatarelikeasecondskin. Sustainability. Focusonrecyclablepackaging Alternative formulas:withafocusonwater- products Return todemandformulti-functionalproducts
visitors), +2%vs2017 (including 1,255foreign Visitors: Exhibitors: Paris, France Carrousel duLouvre, Took place:June21-22, MakeUp inParis 4,051 visitors 4,051 visitors 160 160
MakeUp in Paris
n n n German company Geka presented its trend kit for spring-summer 2019 called Nomadic Treasure, which the company says plays on the idea of natural meets glamour. The kit consists of two mascaras, an eyebrow brush and a lip gloss. The SunnyEyes mascara conical brush combines two Geka fibers: one serves to boost volume, while an EOS fiber on the pointed tip is used to separate the lashes. The pack for the mascara is decorated with a master batch with a new type of pigment to give a liquid gold effect. The LashDivine brush uses Geka's 2K Sandwich technology, which results in a harder brush core to lift and separate the lashes and flexible bristles for softness during Show review application. BrowGlam (pictured right) is a twisted-wire brush for the brows with triangular-shaped fiber edges to improve definition. The JewelKiss (pictured far right) lip- gloss, meanwhile, comes with a diamond-shaped applicator for precise contouring and even distribution of the formula.
French company Strand Cosmetics Europe showed the Revival collection, a skincare line boasting short formulas containing between 80% and 95% natural ingredients of fruit and floral extracts. Products include a concentrated serum, night and day cream and mask. New make-up products presented at the show aimed to translate the latest color trends, with high performance formulas that respect the skin. They comprised the Color your Lashes colored mascara in three shades; Glitter Lip Top (pictured), a shiny gel with holographic reflections, and True Lip Stick, which claims to have a comfortable, velvety finish and is available in 10 shades.
Turnkey manufacturer Asquan presented The Frame collection (pictured), a black glossy quad compact with a magnetic closure that sits in a thick transparent frame to create the impression that the color pans are floating. It also showed Slim & Chic, a double-ended lip color case designed like an hourglass with a lip color in one end and dark-tinted overglaze in the other. In addition, it showcased a mini lipstick product comprising four mini products that clip to one cap to offer multi-tasking and portability. The product can be used to combine different colors, effects or formulas, like a lip balm.
Italian company Gotha Cosmetics presented a new color collection dubbed In Chic we Trust (pictured). The collection is inspired by the concept of trust, reflecting consumer demand for transparency, authenticity and simplicity, and products that are free from harmful ingredients, says Gotha Cosmetics marketing director Chiara Pani. The collection comprises face and lip products in shades designed to reflect real-life make-up.
Quadpack showcased Yonwoo's Two Way Applicator (pictured), which features a cap that holds two different delivery systems for lip and blush applications. The cap and overcap system unscrews to reveal a doe-foot flock tip for lipstick or liquid lip formula, while the overcap can be unscrewed to reveal a blush sponge applicator. Also from Yonwoo was a new soft-touch Cushion Lipstick, which can be used for lips or cheek applications and is suitable for two-in-one and liquid formulas, as well as face formulas. Quadpack presented its wooden cap products, which are PEFC and FSC certified, and respond to demand for natural and sustainable trends. A new, UV-sensitive pack was also on show. Designed to alert the user of the strength of UV rays, the pack changes color when exposed to sunlight, indicating when the user needs to apply sun protection. n n n
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n n n International Lacquers, the nail polish division of IL Cosmetics, showed its first semi-permanent gel polish formulation system. The three-step system includes a base coat, a color and finishing top coat that dries under UV/LED lamp in 30 seconds. The company claims that the semi-permanent gel lasts for more than two weeks. The company said that semi-permanent nail polish is a growing part of the market, but that the trend also means lower demand for nail products overall given that these products last longer and therefore are applied less frequently than traditional nail polishes.
Show review German company Schwan Cosmetics has created a range of sustainable pencils called Perfect (pictured), which are made of renewable wood. They are designed to hold high-performance ingredients that the company says have not yet been used before in wooden pencils. Schwan Cosmetics claims this enables the pencils to be used for long-lasting and waterproof formulas. The pencils also feature a safety-lock cap, meaning when closed the pencil is airtight, which keeps the formula fresh.
German company Bomotrendline put the focus on double-ended, two-in-one products. These included eyebrow pens (pictured) with a comb on one end and an applicator to correct flaws and fill in the brow on the other, and a Duo Lips Pen, with a lip liner on one end and a lip color with a flock tip on the other.
France-based Albéa presented what it calls its Library of Turnkey Solutions, which includes packaging and formulas for brands looking to launch products fast. It featured ready-to-go, ready-to-customize products and focused on three trends: Arty Graphic, Botanic Shot and Tech Romance. A highlight of these solutions at the show was Albéa's Mask sheet offer, which allows brands to choose the sheet (lyocell, cotton, bio-cellulose or charcoal) and combine it with their choice of serum. The company also presented Onyx Face Trio (pictured), a three-in-one compact for full face make-up. At the point of sale, the consumer can choose the main color, which will be accompanied by two complementary shades.
Italy-based Baralan presented its Maria Cristina glass jar (pictured), which features a divided cavity to hold different products in a single container. The jar is said to respond to increased demand for multiple products in a single pack. It can be used, for example, for eye cream and face cream, primer and foundation or day cream and night cream.
Beauty concept provider Essentia Beauty presented themed trend make-up collections, which included: Green Lover on the natural theme; Beauty Tech, focused on diagnostics, and Digital Make Up Artist, which plays on the idea of social-sharing trends. The company is expanding its turnkey services with investments in digital. As a result, it will offer clients an app to leverage data, and has launched the web platform Allmazing.com, which is designed as a community to involve millennials in the creative process. n n n
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n n n CMSmartconnect presented its NFC card for packaging. The product is described as a 'new media' that can be integrated into packs. The media could include information on ingredients, how to use the product or recommendations for other products. Similar to a QR Code in that users scan it with a mobile phone, the technology does not require consumers to download or open an app to access the information on the card. CMSmartconnect's platform collects and analyzes the data from the card to provide information on the product's use, or other products the consumer is interested in.
Show review In response to the demand for more natural and eco-friendly products, France-based Alkos showed a solid shampoo bar. The company claims it can be used for 60 washes and says that the format is convenient for travel. Alkos also showed a Solid Brush Cleanser that includes a natural antiseptic oil. The company underlined that consumers increasingly want to know more about where products are made and where ingredients come from. To this end, Alkos teamed up with packaging company RPC to develop an airtight chubby stick entirely made in France. The airtight packaging is particularly adapted to long-lasting or highly perfumed formulas. The jumbo collection presented at the show (pictured) borrowed the colors of the French flag to include a long-lasting blue eyeshadow, a white lip balm and a matte, red lipstick. Alkos says that its collaboration with RPC means clients can have an eight-week lead time.
Korea-based World Sponge showcased its Merry-Go-Round applicator and container (pictured). The applicator fits into a jar and moves like a joystick; it can move up and down and has a 360° rotation. Its key advantages, according to the company, are: that make-up is easy to apply, there is no need for additional applicators with the product and that there is no wastage of formula. World Sponge says the product is also fun and offers a different approach to applying make-up.
Texen showed its new turnkey mascara offer (pictured). The range comprises eight mascaras in a bid to offer brands a complete offer (including wiper, brush and formula) that they can put on the market quickly. The collection includes two fiber brushes and three injected designs and the packs come in plastic and aluminum versions.
Hot stamping and coating specialist Kurz presented the third edition of its packaging collection Box in Box (pictured). Box in Box is made up of four boxes that fit into each other, with each representing a trend—the last box reveals a fifth trend. The boxes highlight the marking and finishing techniques that can be used to show different trends. For example, Art of Life reflects natural phenomena and the corresponding box has changing light reflections and rainbow effects.
France-based Cosmogen revealed that it had signed an agreement with Pylote, which specializes in mineral and green ceramic chemistry, to provide more hygienic applicators and brushes. Cosmogen will use Pylote's technology, which creates an anti-microbial effect by incorporating mineral microspheres into a material, such as foams or brush fibers. The microspheres are obtained using a patented, green manufacturing process in a single step without any organic solvent or waste. The companies say that products incorporating the technology will result in cleaner, safer products for consumers, and could also enable brands to use fewer preservatives in their formulas. n
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Phebo highlights its heritage The Brazilian brand goes back to its roots with a new store concept razilian brand Phebo is looking to highlight its roots with its new concept Bstore which launched in Rio de Janeiro in Brazil at the Leblon Shopping mall in June. The brand, which was founded in the 1920s and has been part of the Granado company since 2004, aims to convey the Brazilian character of its fragrances with this new store. "This new phase of the brand represents a re-interpretation of Phebo's beginnings," says Sissi Freeman, marketing and sales director of Grupo Granado. The Rio store is the first of three boutiques based on the new concept, with openings planned in Curitiba and in São Paulo. In addition to the new retail concept, the brand has re-designed its logo, which can be seen in the new stores. The 40m2 (431ft2) store aims to provide what the brand calls a sensorial ambiance to test its fragrances. Scents for testing are positioned on a central table in the store, while the rest of the range is presented in industrial-inspired cubes made from cast iron and glass, intended to highlight the brightly colored packaging of the products. There are also wooden elements and plants, which the brand says reflects its environmental credentials and are a nod to its Phebo products' plant-based ingredients. l Location: Rio de Janeiro, In terms of services, consumers can choose their own packaging for products in Brazil the store and there is also a bottle engraving machine to customize fragrances, l Opened: June as well as an area where shoppers can assemble their own gift sets. In addition, l Size: 40m2 (431ft2) the store will sell exclusive products. l Special features: Engraving For the launch of the store, the brand put the focus on its latest fragrance, machine, exclusive products, Timur, which features in the window display. n customized packaging
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s A table at the center of the store features the brand's fragrances, and is intended to encourage testing
s Industrial-style units highlight the products' brightly colored packaging
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