Have Selfies Changed the Face of Cosmetics?

Copyright © 2015 HPCi Media. This publication may not be distributed without prior permission. Business Retail Innovation Brands Jumei acquires minority stake Elemis unveils transformed SensorWake OPI gives muscle in Korean brand It’S SKIN House of Elemis uses scent to to manicures with page 2 page 6 rouse sleepers latest launch page 9 page 10

cosmeticsbusiness.com twitter.com/cb_beautynews 15 June 2015 NEWS Issue 22 Boots to axe 700 jobs in ‘shake up’

UK health and beauty retailer Boots has announced it is to cut approximately 700 jobs, a decision the company said it is not taking lightly. The Walgreens Boots Alliance company said the cuts would be made as part of a wider plan to “address the rapidly changing needs” of its customers and to continue the transformation of its businesses. The cuts affect non-store- based employees; Boots said it aimed to make the cuts via a combination of natural attrition, redeployment, retraining and redundancy. Simon Roberts, President of Boots, said: “Boots has an incredible heritage of delivering A BURN FOR JENNER FANS: ELLIE care and support to communities across the UK for over 165 GOULDING IS NEW FACE OF MAC years. While we have continued MAC puts out rumours circulating on social media that Caitlyn Jenner will front its to deliver a solid performance in next campaign the day before it announces Goulding is the brand’s newest face recent years, despite challenging market conditions, we cannot ans of Caitlyn Jenner – and everything directly. She posted the message: “Oi oi SO be complacent and must be she stands for – caused a social media excited to finally share what I’ve been working on stronger and more agile going Ffrenzy at the end of last week, with rumours with @MACcosmetics!!! #MACEllieGoulding forward, to meet the fast spreading that the 65-year-old reality star (born drops in Dec/Jan!” The post has since received changing expectations of our Bruce Jenner) might be signed as the next face 171K likes on Instagram and 934 favourites on customers. Together with my

of MAC cosmetics. leadership team, I believe this

While the brand was keen to show its support We are inspired by Caitlyn plan will make Boots even for Jenner, it was quick to shut down speculation Jenner, her personal journey, and“ better for our customers and over any signing, releasing a statement that said: “ drive sustainable future growth. “MAC cosmetics is a brand that embraces all we admire her courage and beauty. “We have not taken these ages, all races and all sexes, and is a long standing We have not signed Caitlyn decisions lightly and understand supporter of the LGBT community. We are the impact that today’s inspired by Caitlyn Jenner, her personal journey, Twitter, as well as 377 retweets. announcement may have and we admire her courage and beauty. We have A sneak preview of the collection has also on our colleagues.” not signed Caitlyn as a spokesperson for MAC.” been released; an eyeshadow quad, bronzer and The job cuts form part of a MAC’s quick response to quell the Jenner blusher duo compact, false eyelashes, lip gloss Walgreens Boots Alliance cost rumours became more understandable a day later, and lip colour products all appear to be on the restructuring programme, set when the brand confirmed that English singer- cards, centring on a rose gold and bronze theme. out in its Q2 results. Other areas songwriter Ellie Goulding, 28, would be the next No more news has yet been release regarding of focus for Boots include: celebrity to work on a make-up collaboration. Goulding’s collaboration. However, MAC did reinventing customer offer, It was Goulding herself who revealed the news, confirm with CBN that the collection would focused customer engagement, taking to social media sites Instagram and Twitter launch at the end of the year. investing in technology and to share teaser campaign images with her fans Read more at cosmeticsbusiness.com simplifying support operations.

JUMEI BUYS MINORITY SHARE IN IT’S SKIN hina’s leading online beauty e-tailer Jumei to collaborate with as we build Jumei Global has acquired a minority stake in Korean into the largest cross border e-commerce Cbeauty brand It’S SKIN. platform in China.” NEWS It is thought Seoul-based It’S SKIN will In Jumei’s latest financial report, the e-tailer benefit from the growing size and scale of Jumei’s saw orders decrease 5.9% in Q4 to 9.6 million. online platform. The brand has a comprehensive Total net GMV fell 3% to US$235.2m. However, CONTENTS offering of products for skin, hair, body, men and full year results remained buoyant. babies, as well as colour cosmetics. The It’S SKIN deal signals a positive move for Business: Choppies to run ten Ukwala stores 4 Leo Ou Chen, Founder and CEO of Jumei, the e-tailer, which only last year was embroiled in said: “The popularity of Korean beauty products a lawsuit over a statement connected to the Trends: How satisfied are global in China has grown rapidly over the past few company’s IPO on 16 May 2014. Jumei and some consumers with their looks? 5 years. With an extensive catalogue of prestige of its officers were accused of sharing false and Retail: Elemis gives House of Elemis products, It’S SKIN is an ideal partner for Jumei misleading statements with the public. a transformation 6

Expert Advice: Sensai’s Yuki Naito discusses super premium skin care 7 L’Oréal scandal célèbre: Digital: Harvey Nichols unveils first loyalty scheme 8 eight found guilty For L’Oréal heiress and France’s wealthiest Innovation: SensorWake makes aromatic debut 9 woman Liliane Bettencourt, 92, it was a seven- year saga of bitter family politics, convoluted legal Brands: MAC harnesses power of wrangles and politics. The case even dragged light for Lightful C launch 10 close political aides of former French President People: Johnny Depp for Dior 11 Nicolas Sarkozy into its net. What’s Trending?: CBN’s panellists Last week a Bordeaux court found eight friends discuss selfies and make-up 12 and close contacts of Bettencourt – who now suffers from Alzheimer’s disease – guilty of News Editor Lucy Copp attempting to fleece her of billions of euros. Reporter Rachel Lawler MAESA GROUP ACQUIRES P2 At the heart of the ruling was French society Sub Editor Austyn King Private label manufacturer Maesa Group has playboy and photographer François-Marie Banier, Freelance Correspondents acquired beauty brand p2 Cosmetics, which is 67, who extracted money and took advantage of Sam Charo, Sarah Cohen, Adrian sold exclusively through German drugstore Bettencourt’s increasing senility to enrich himself, Holliday, Patricia Mansfield-Devine retailer DM. the court concluded. Production Designer Ross Murdoch The brand will continue to operate from its Banier was given a three year sentence, fined Art Editor Sibylla Duffy base in Vienna, Austria, under its current u250,000 and ordered to repay u15m to the Digital Production Nita Salem management. It is hoped the acquisition will Bettencourt family. In his defence, Banier claimed Editorial Director Erika Hatva broaden Maesa’s global footprint; p2 is currently Bettencourt showered him with millions of euros Managing Director Colin Bailey-Wood sold in 1,800 DM stores across Germany. plus gifts, including Picasso paintings – even a Gregory Mager, Founder and CEO of Maesa Seychelles island, which Banier did not much HPCi Media Limited Natraj Building, The Tanneries, Group, said: “p2 Cosmetics has a proven track rate, according to Vanity Fair. “I detest this 55 Bermondsey St, London SE1 3XG record of bringing innovation to the cosmetic island,” he said at one point. “It is full of +44 20 7193 1279 category. This brand has piqued a strong interest mosquitoes, it is tiny, and it’s very humid. On top for expansion in the US and Canada through an of all that, there are sharks. I hate islands.” Editorial +44 20 7193 9502 exclusive distribution model. Banier was appointed a consultant at L’Oréal [email protected] “I am excited for one of the most successful on a hefty salary at one point. Banier’s partner, Subscriptions +44 20 7193 1279 [email protected] exclusive beauty brands in the world to join Martin d’Orgeval, 41, cheated Bettencourt of art Maesa Group and I look forward to continuing worth u5m, the court found (d’Orgeval was given to grow the partnership with DM.” an 18-month prison sentence). Subscription Details P2 will join Maesa’s growing portfolio of Both Bettencourt’s private financial aids, Pascal The subscription includes full digital access to the beauty brands including Flower for Walmart, Wilhelm and Patrice de Maistre, also received cosmeticsbusiness.com website, Circa for Walgreens and Elle for Monoprix. prison terms. However, ex-Sarkozy Minister Eric as well as the weekly Cosmetics The acquisition was financed through unirate Woerth was cleared of taking cash from Business News and monthly debt provided by Tikehau Investment Bettencourt. Cosmetics Business Markets Management and a capital increase subsidised The case, which has gripped France for almost print magazines. by Maesa’s founders. eight years, was kicked off originally by daughter Edmond de Rothschild’s stake in Maesa will Françoise Bettencourt-Meyers, 61, accusing ©HPCi Media Limited rise from 20% to 25% after the acquisition. Banier of exploitation. In her original deposition, Articles published in this newsletter may Co-founders Gregory Mager and Julien Saada Bettencourt’s daughter denied the case was ever only be reproduced with permission. The publisher accepts no responsibility for any will remain majority shareholders. about her family’s huge fortune: “For me, it is not statements made in signed contributions or Maesa’s total revenues are predicted to reach a question of money. It’s about a predator who in those reproduced from any other source. $185m in 2015 following the takeover of p2. has broken my family. Everything has been ISSN 2057-1984 Read more at cosmeticsbusiness.com ruined by one man [Banier].”

WEENER SIGNS MULTI-MILLION EURO DEAL NEWS IN BRIEF eener Plastic Packaging Group competitive advantage. The company has a British-Dutch consumer (WPPG), a company that manufactures leading position in its core markets and we look goods company Unilever Wpackaging solutions for the personal forward to working with the strong management has priced e1.25bn in bonds care industry among others, is due to benefit team to further increase the company’s market on the European market, from a multi-million euro injection. share and global footprint through a buy-and- including e750m Floating The Germany-based company is to receive build strategy.” Roel Zeevat, CEO of WPPG, Rate Notes and e500m 1% approximately u250m (£183m) from 3i Group, added: “WPPG’s strong track record of Fixed Rate Notes. The bonds an international investment manager. innovation and our competitive position had an anticipated closing Former shareholder Lindsay were attractive to 3i. With the support of 3i, date of 3 June. The company said it intends to use the Goldberg Vogel has sold its stake we will be able to take our company’s proceeds for “general in WPPG. development to the next level by fostering corporate purposes”. It is hoped the investment will growth, expanding our global footprint, enable WPPG to expand its global continuing to build our innovation Colgate-Palmolive has been footprint and improve the leadership and further improving the downgraded from a hold rating efficiency of its operations. efficiency and effectiveness of our to a sell rating by Zacks. The Currently, WPPG operates in 15 operations.” news comes after Colgate- countries via a production network WPPG produces packaging for Palmolive posted disappointing first quarter 2015 results. that spans 24 locations. companies including Beiersdorf, Zacks also pointed to intense Ulf von Haacke, 3i Managing Colgate-Palmolive, L’Oréal, P&G competition in the industry but Director and Head of and Unilever. WPPG generated accepted that Colgate is still a Industrial, 3i Private Equity, sales of approximately u270m market-leading brand in the oral said: “WPPG’s focus on in 2014 and achieved a CAGR care product category. innovation and superior of approximately 8% between technical know-how is a huge 2010-2014. Bulldog skin care has teamed up with Penguin Books to create a range of Father’s Day gift sets. TOO FACED SELLS MAJORITY Available exclusively at STAKE TO GENERAL ATLANTIC Waitrose, the limited edition After rumours that Too Faced Cosmetics was up sets include a selection of for sale last year, General Atlantic has announced four classic British novels the purchase of a majority stake in the company paired with four different from brand owner Weston Presidio. Bulldog products. The iconic As part of the deal, former President of Bath cover of each book has been redesigned by Bulldog’s & Body Works Ken Stevens will join Too Faced in-house design team. as Chairman. Andrew Crawford, Managing Director and French ingredients company Global Head of General Atlantic’s Retail and Gattefossé has committed Consumer sector, said: “With such a prominent to protecting bees with the presence in speciality beauty retail, Too Faced installation of three hives at is uniquely positioned to capitalise on this its Lyon site. Each hive will channel’s growing popularity with consumers. We Indian FMCG company Emami has agreed become home to 50,000 bees and the company will be look forward to working with Too Faced’s proven to acquire hair and scalp care brand Kesh King. The acquisition signals its move into responsible for the upkeep of management team. Their passion for innovating the Ayurvedic hair and scalp sector. the hives. Employees working beauty is unrivalled and has driven extraordinary Launched in 2009, Kesh King products at the site will also be invited business success.” address problems such as hair fall, to take part in the initiative with Jeremy Johnson, Co-Founder and Chief dandruff and premature greying. Key bee-keeping workshops as part Executive Officer at Too Faced, said: “We are ranges including Ayurvedic Medicinal Oil, of Gattefossé’s CSR policy. so grateful to our loyal Too Faced customers who Herbal shampoo & conditioner and have fuelled our growth from a small indie brand Ayurvedic Capsules for hair fall which are PZ Cussons has been downgraded by Panmure to a fixture within the beauty industry. To all GMP & Halal India certified. The brand currently has a turnover of US$47m with a Gordon to a sell rating. continue our growth trajectory, we were seeking three year CAGR of 61%. However, analysts at a global thought leader experienced in partnering Sanjeev Juneja, Owner of the Kesh King HSBC have reiterated a buy with founder-led, high growth companies, and brand, said: “My products and formulations rating, setting a target price the team at General Atlantic was a natural fit. enjoy the numero uno status in their on shares of $6.19. Other Their experience will help us accelerate our segments. The range of Kesh King analysts that have given the expansion as we invite even more women around products offers a complete solution to hair company a hold or neutral the world to ‘own their pretty’.” and scalp problems. We are confident of rating include JPMorgan and Investec. PZ Cussons has a Jerrod Blandino, Co-Founder and Chief Emami taking this business to even greater heights in the future.” consenus of a hold rating Creative Officer at Too Faced, added: “With Emami’s portfolio currently includes and an average target General Atlantic’s partnership, we can continue Navratna and Emami 7 Oils in One. price of $5.71 making make-up that our ‘Too Faced Girl’ loves to wear.”

NEWS IN BRIEF CHOPPIES TO RUN TEN UKWALA STORES In a bid to expand its reach beyond Southern The latest expansion plans build upon a flurry The average level Africa, Choppies, the Batswana multinational of other retail ventures in the pipeline for the of sunscreen protection bought in France is SPF33, Iretail conglomerate, has entered into an retailer according to media reports. according to a new survey agreement with Ukwala Supermarket, a Kenyan In a recent interview on CNBC Africa, by online pharmacy New retail chain, to operate ten of the company’s Choppies revealed it will be opening its first Pharma. This is the figure stores across the country. stores in Zambia and Tanzania before the end balanced out across the Choppies revealed in its latest financial of this year, tapping into new markets. nation, although inhabitants statement that one of its key initiatives going Established in 1986 in Lobatse, a southeastern in the south buy lower SPF forward is to provide a broader product offering, town 70km from Gaborone, Botswana’s capital products. The keywords including cosmetics. city, Choppies has grown its footprint through a ‘bronzer’ and ‘bronzing’ topped the list of search The retailer’s initial line of business was food- number of acquisitions. It also has a growing terms, said New Pharma, based, selling both wholesale and fresh groceries. own-brand range of products. starting in April and May However, over the years it has diversified into With over 104 stores in Southern Africa, the 2014, and peaking in June other consumer goods to meet growing consumer company recently sealed a deal in Kenya with and July. demand for different products. Ukwala that will enable it to ease its way into Tefo Mimi, Trainee Marketing Manager at the East Africa region. The company will be Revlon has pledged a $1m Choppies, said: “The demand for multiple targeting Tanzania, as well as Uganda, Rwanda donation to the Revlon/UCLA consumer goods, like electronics, construction and Burundi in future. Women’s Cancer Research Program, a charity that works materials and drugs, is an untapped market, and The company is listed in the Botswana Stock to eradicate women’s cancers. Choppies is diversifying into this sector in order Exchange and as of 2014 it had an approximate The donation was revealed at to meet the needs of the people we serve now market capitalisation of US$230m. a Love Is On event held in LA, and those we intend to in the long run.” Read more at cosmeticsbusiness.com US, on 3 June, which honoured Dr Dennis Slamon, Director of the Revlon/UCLA Women’s NORWAY UNVEILS SYSTEM TO Cancer Research Program at REPORT COSMETIC ALLERGIES UCLA’s Jonsson Comprehensive Cancer Center for his One in ten people are estimated to suffer outstanding achievements with adverse reactions to cosmetics but the in cancer resarch. Norwegian Government believes many of these incidents go unreported. Consumer packaging In response to this growing concern and company Colep has become in a bid to encourage reporting, the country the sole shareholder of the recently launched an anonymous reporting three Brazilian companies: system that consumers can access directly to Provider, Total Pack and CPA (Colep Provider Aerosol). record their experiences. Colep acquired the 49% Since 2008, health professionals in Norway stake held by ZM Participação have been obliged to report any side effects from building on its pre-existing cosmetic products they treat, but the system only 51% stake, which it acquired recieves around 50-100 reports each year. on entry to the Latin “The low figues are probably due to Shiseido has confirmed a deal to distribute American market in 2010. underreporting of both consumers and healthcare Burberry make-up and fragrance products professionals. Until now, consumers had to in its home market of Japan. The Philippines’ only beauty Shiseido already distributes Burberry trade show, Philbeauty 2015, contact health professionals to report their side effects, which may be perceived as cumbersome. cosmetics in several other markets via its has announced a line-up of Paris-based subsidary Beauté Prestige, When people themselves can register effects via nine country pavilions including but this is the first time the company will ones from mainland China, Altinn, we hope to lower the threshold for distribute Burberry beauty in its home market. Japan, India, Indonesia, Korea, reporting,” said Berit Granum, a senior scientist Shiseido will support the Japanese Singapore, Thailand, Taiwan at the Norwegian Institute of Public Health, launch of the brand’s latest fragrance, My and Malaysia. The three-day Department of Food, Water and Cosmetics. Burberry, in stores and online. The event will take place from 8-10 The Government hopes the new system will fragrance will be available in Hankyu July at the SMX Convention Department Store, Umeda Main Store, Centre, Pasay City. make it clearer which products are likely to cause side effects and the severity of the reaction each Hankyu Online Store and five standalone Burberry stores and 13 concessions across product can cause. Italian hair care brand Japan. The partnership is one of several Davines has teamed up with Gramum added: “All forms of adverse effects new developments for Burberry in Japan. the non-profit Slow Food should be reported. Even if the symptoms Toru Sakai, Representative Director of Foundation for Biodiversity disappear when you stop using the product, Shiseido, said: “These are exciting times; in Italy and joined the Slow we want people to report their experiences to us.” the boundaries between fashion and beauty Food Presidia Project. The All the reports will be submitted to the Food are blurring. While the core of our business initiative aims to relaunch remains focused on beauty, this new the economy within specific Safety Authority, which will determine whether or not it needs to follow up with the partnership with Burberry is a significant areas in Italy by supporting one for Shiseido.” small-scale food producers. manufacturer or supplier. Read more at cosmeticsbusiness.com

THE GLOBAL FEEL-GOOD FACTOR

It seems consumers are finally beginning to love the skin they’re in – in some countries, at least. GfK recently released an international GENDER EQUALITY overview about how happy people are with their personal looks Assumptions that women are more critical of their appearance than and the results were surprisingly positive. men have been challenged. Satisfaction with personal looks was Across the 22 countries, 55% of consumers aged 15 and above more or less equal between genders. were satisfied with their looks: 12% said they were completely satisfied and just 3% were not at all satisfied. The results varied slightly between countries. Levels of complete satisfaction with personal looks were at their highest in Latin America. Nearly three quarters of Mexicans were satisfied with their looks, followed by Turkey at 71%. Brazilians and Ukrainians were in third place with 65%. However, levels of dissatisfaction were highest in Japan, where 38% of people surveyed claimed to be not at all or not too satisfied with their appearance. Russia, the UK and South Korea were the next least satisfied with 20% of people unhappy with their looks in all nations, followed by Australia and Sweden at 19%. Among teenagers, just 16% of 15 to 19-year-olds claimed to be unsatisfied with their appearance. Those aged over 60 tended to be the least critical of their image.

The results are expected to interest international conpanies Men Women who could tweak their marketing strategies to suit each region. GfK Completely satisfied 12% 12% suggested beauty and personal grooming brands adjust their Fairly satisfied 43% 43% message from ‘improve your look’ in Japan, the UK and Russia Neutral 31% 27% to ‘maintain your look’ in Mexico and Turkey. Not too satisfied 11% 14%

Source: GfK survey of 27,000 consumers aged 15+ in 22 countries worldwide Not at all satisfied 3% 4%

NEWS IN BRIEF

Nailberry has secured a retail deal with department store Selfridges in London. The 5-free nail polish brand, which makes use of oxygenated technology, allowing air and moisture to pass through the lacquer, will see 38 shades stocked in the high end retailer. Nailberry was founded by French entrepreneur Sonia Hully aiming to bring French flair to UK consumers with New York efficiency.

MiniLuxe, a nail, brow and waxing service provider, has opened a new location in Boston, US. The opening of the store in the Prudential Center in Back Bay is part of the Elemis has given its flagship spa and brand space in central London company’s national growth a complete overhaul after 14 years. plans to double its number The House of Elemis is described as a ‘couture beauty house’ for of stores in the next year. The people who want to look after their skin and themselves. It features opening of the store marks a shop, where experts will be on hand to help consumers select MiniLuxe’s ninth Boston products to buy; a penthouse, where guests can indulge in location and its tenth treatments in a luxurious, private setting and take advantage of spa salon nationwide. concierge services; and a ‘speed spa’, which offers 15-30min treatments for those who want quick results. Facial wipe brand Halo The house was designed to reflect the brand’s pillars and was Wipes has secured a listing created with designers Virgile and Partners. The space features for its new Fragrance Free natural materials, textural lighting, artisanal glass and ceramic work Facial Wipes in 700 Tesco in a bid to create an atmosphere that is both contemporary yet stores in the UK. The brand residential. As well as a new look, The House of Elemis also has some new treatments, created by only recently saw its wipes Co-Founder and Creator of Elemis therapies Noella Gabriel. rolled out into 307 of the Séan Harrington, President of Elemis, said: “I am so excited to present the inaugural House of retailer’s stores, but after Elemis in the heart of Mayfair, the home of this incredible British brand. My vision is to see this meeting with success, this global standalone concept rolled out in every major city around the world. A wonderful couture number has grown. The beauty space where you can learn, touch and experience the power of Elemis.” launch of the wipes are the first in a line of new products for the brand this year. THE PERFUME SHOP BEGINS ‘Statue of Liperty’ takes off Facialist Sarah Chapman has RETAIL OVERHAUL IN UK opened her flagship store and The Perfume Shop’s UK retail investment plans A new addition to London Heathrow Airport’s Skinesis Clinic in London. The 3,000sqft store spans two floors are in full swing, with new store openings and Terminal 5 has been grabbing attention. and comprises four elements: relaunches underway. To celebrate the launch of the airport’s first The Theory Bar, The Hub, The Just a few weeks ago, the A.S. Watson-owned International Lipstick Colors of the Year report, Skin-Glow LED Light Pod and fragrance retailer relaunched its Cribbs Causeway a 20ft replica of the Statue of Liberty has been the Clinic. Each area provides store in Bristol, investing in a major refit to erected, made entirely of lipstick – aptly named consumers with a different transform the premises. Meanwhile, The Perfume the ‘Statue of Liperty’. service or function from Shop has also relocated its Romford store in The The sculpture took a team of sculptors, education to laser therapy and Liberty Shopping Centre to a new, larger space. engineers and make-up artists more than 240 Botox or dermal fillers. Finally, a new store is also slated to open in hours to complete; it is made of a shade of red Chanel has announced the Surrey Quays in London. that is said to be fashionable in New York. opening of its new spa at the Speaking about the Cribbs Causeway relaunch, Heathrow’s report, meanwhile, delves into the Ritz in Paris. The spa, called Gill Smith, Managing Director of The Perfume lipstick trends identified from sales under its roof. Chanel au Ritz Paris, is said Shop, said: “Having grown up in Bristol, this With over 120 brands, 12,500 beauty products to be inspired by Chanel’s relaunch was close to my heart; I can recall when and 1,451 lipsticks, Heathrow is said to be home art of skin care and will offer the Cribbs Causeway Centre opened in 1998. It’s to Europe’s largest beauty range in one place. treatments for women. wonderful that it remains so popular and we hope The report lists the most popular colours in The brand is keeping tight- lipped about further details. the new, modernised store will thrive in the major cities worldwide. In London the lip colour Mademoiselle Chanel lived developing centre as we provide expertise and of the year was reported to be Caramel Nude; in at the Ritz Paris for 34 years. over 400 branded perfume products.” New York, Bright Red; in Dubai, Rose Pink; in Read more at cosmeticsbusiness.com Shanghai, Sheer Coral; and in Paris, Dusky Rose.

15 June 2015 cosmetics business news 6 Copyright © 2015 HPCi Media. This publication may not be distributed without prior permission. expert advice PIONEERING SUPER PREMIUM SKIN CARE Underpinned by exclusivity and luxury, Sensai’s Company President Yuki Naito discusses the future for Kao-owned skin care brand Sensai

How has your brand evolved since its original launch? In 1979 Kanebo launched in Harrods, London; the Sensai line followed in 1983. In 1989 we launched Kanebo Sensai Ex La Crème – the most expensive cream on the European market at the time. We are real pioneers of ‘super prestige’ skin care. Ten years later we launched our core range Kanebo Sensai Cellular Performance. In 2011, we Can you explain your decision to make the rebranded to Sensai, separating it as a brand. We range exclusive to Harrods? created a new brand image – the Sensai Universe. We feel that the store allows us to provide a level of customer satisfaction to match our high quality How do you differentiate your brand from product. It’s not just about the product. Our other super premium lines? range is designed to appeal to all five senses and Every product is now formulated with koishimaru the retail experience is an important part of that. silk – Sensai’s signature ingredient, signifying So for the time being at least, we want to exclusivity and luxury. It stimulates production of concentrate on our relationship with Harrods hyaluronic acid in the skin, keeping it moisturised in the UK. We have a very good relationship and nourished from within. We have also It’s not just about with Harrods. developed a signature style of packaging. We worked with Gwenaël Nicolas, a French designer the“ product. Our range Which other retail spaces are important for based in Tokyo. He ensures our packaging is designed to appeal your brand? matches the quality of our products. to all five senses – and Spas are an important channel and point of the retail experience“ contact for our target customers. We opened our Sensai is a Japanese brand but is not currently flagship spa, Sensei Select Spa, in Switzerland available in Asia. Do you plan to change this? is an important part [also developed by designed Gwenaël Nicolas] in Last year we decided to withdraw from the US of that 2010. It’s one of the best destinations for tourists market. The current market would not allow us Yuki Naito, President, Sensai and it helps us communicate our brand values to to continue there so we decided to direct our our customers. efforts elsewhere – our native Asia. It is an area with high growth potential. We are still Your products are not available to buy online conducting market research at the moment. It’s at all – why is that? important for us to achieve sweet success in one Our beauty consultants are a key driver for our Asian market first and then go on to the rest of brand. They go through specialised training to the region from there. be able to deliver hand massages and conduct our specialised Saho skin care ceremony – a ritual inspired by the Japanese tea ceremony. The order of each step in the routine is very important in 550 the ceremony, and for effective cleansing. Our mission is to provide high quality service as well The number of beauty consultants Sensai employs TOP 5 as quality products – that is key for us so we do not plan to sell Sensai products online. Sensai’s top selling products in Harrods in April 2015: Are there any new retail areas that you are £230 1 Cellular Performance exploring? The cost of a 40ml jar of Kanebo Sensai Emulsion Ex La Crème at its launch in 1989 Travel retail is a very important channel. The 2 Cellular Performance Lotion cosmetics market in Europe overall has been 3 Cellular Performance Total slowing down for some time, but we know that Finish Foundation travel retail is an area of growth. It’s also 2.6% 4 Ultimate The Cream important for brand visibility to be in these The percentage growth in sales compared with 2013 5 Silky Purifying Creamy Soap channels to attract new customers. Source: Kanebo Read more at cosmeticsbusiness.com

NEWS IN BRIEF HARVEY NICHOLS LAUNCHES LOYALTY APP K luxury retailer Harvey Nichols has Anesis, a luxury hair and beauty spa and salon, is bypassed the traditional loyalty card in due to launch its first TV Ufavour of a new app rewards programme. channel on YouTube. The The Rewards by Harvey Nichols app rewards channel will feature a series customers for every purchase allocating one point of videos featuring the spa’s for every pound spent in the UK, in-store and treatments, bloggers and online. The incentive even stretches to any UK hair and beauty makeovers. Harvey Nichols bar or restaurant including the The channel was created in OXO Tower located on London’s Southbank. the run up to the company’s big reveal of its expansion The incentives do not stop there. Encouraging plans in Dubai, the UAE and consumers to spend a little extra, the more GCC countries. Its sister purchases a consumer makes the further they skin care brand Anea is also climb up the points ladder, unlocking different to expand in this region. rewards. Rewards range from a one-off smoothie to Botox or a champagne dinner. There will also Color Wow, a hair care brand be voucher rewards to spend four times a year. that specialises in root cover The retailer decided to use a smartphone-based “Rewards by Harvey Nichols is uniquely different up, has launched its second television advertising campaign. rewards system over a traditional card format to competitors’ loyalty schemes, firstly because The adverts will be broadcast after analysis showed over 80% of their customers it’s an app, which we believe is the future of during peak hours across Good showed preference for an app. To use the app, communication with our customers – instant, Morning Britain, This Morning customers either show their member ID barcode personalised and modern. Secondly it offers and Loose Women airtimes. The at the till or scan their own receipts. brilliant and indulgent experiences which will ads promote the brand’s hero Shadi Halliwell, Group Marketing and help our customers be fearlessly stylish.” Root Cover Up product as well Creative Director at Harvey Nichols, said: Read more at cosmeticsbusiness.com as products from its wider styling range. After the first campaign, sales of Color Wow products were said to have Beiersdorf confronts rival experienced a huge boost, according to the brand. Unilever over deodorant ad Beiersdorf and Unilever have gone head to head A wave of interest has been once again, this time concerning a claim Unilever sparked recently over an app made in one of its deodorant advertisements. that allows users to edit their The advert in question promotes Unilever’s features and appearance. Sure Crystal Invisible Black+White deodorant. Off the back of the trend for selfies, the Beauty Plus app The advert features a bar chart comparing the was created allowing users Sure deodorant with Beiersdorf’s Nivea Invisible to enlarge their eyes, remove Black and White deodorant. The chart showed blemishes and lighten skin. Men’s fragrance brand Old Spice, owned Sure as registering a higher reading for The results of the app have by P&G, is rolling out a range of protection against yellow stains compared with been shared widely on social deodorants in broad distribution in French supermarkets and is backing up the launch Nivea. At another point, a voiceover stated: “Our media prompting discussions superior black and white protection.” about the types of features with its first ad campaign in the country. The advert hit a nerve with Beiersdorf, which considered desirable in Old Spice has been available on French different countries. Amazon since last year and will now enter lodged a formal complaint with the Advertising the Auchan and Leclerc supermarket Standards Authority (ASA) challenging whether An online beauty shop has chains. The tongue-in-cheek advertisement, the claim could be substantiated. launched that aims to help which lasts 35 seconds and is headlined Ça Unilever responded saying that it had carried consumers find products that va faire mâle – ‘It’ll make you male’, but out independent tests (both in vitro and consumer will suit their requirements with ‘male’ also being a pun on ‘mal’, the French word for bad. It stars actor and perception) that revealed Sure deodorant did without having to approach provide better protection against yellow stains counter staff in-store. The former pro-football player Terry Crews and compared with Nivea’s Invisible Black and White website, Powder, was set up as is an overdubbed version of an English- part of Time Inc (UK), which language advert. It features Crews in a deodorant, the leading competing product. owns consumer media titles locker room, shouting at another man and Unilever also said that “our superior black and and websites including Marie turning him into a vending machine when white protection” referred to the product as best Claire, InStyle, Wallpaper* and he wants potato crisps. for black and white protection within the Sure Look. Powder asks website “The same video has been deployed in range, not in comparison with Nivea’s product. the UK, Germany, Spain and Portugal and users to register with their skin The ASA ruled in Beiersdorf’s favour and is already online on the French YouTube type, concerns and shade. upheld the complaint. It stated that it was unclear Then they can select a category channel,” representatives of the brand told that the ‘superiority’ claim referred only to that they are interested in CBN. “So far, the video has been viewed buying a new product from. The nearly four million times on YouTube and protection against yellow stains, and the advert website will then suggest the Facebook.” Old Spice is concentrating on had implied the product was superior for black most suitable products. its digital strategies due to their success. and white protection. It told Unilever the ad must not appear again in its current form.

SENSORWAKE HELPS USERS WAKE UP WITH FRAGRANCE SUPPLIERS NEWS ELLE-EMENTARY STYLE aking up to the smell of fresh coffee and croissants is now Berdoues Parfums et an everyday possibility thanks to French entrepreneur Cosmétiques Group, a W Guillaume Rolland who has designed an alarm clock that fragrance designer and can rouse people using their favourite scents. distributor, selected Aptar The SensorWake device works by issuing a timed release of the Beauty + Home to package the consumer’s chosen aroma. Rolland teamed up with Swiss fragrance new Elle So Frenchy scents for manufacturer Givaudan to provide authentic scents. children. Three fragrances were “SensorWake is like an espresso machine,” Rolland said. “You created including So Cute, So insert a capsule with a scent and set an alarm. In the morning, a Pretty and So Sweety. The consistent appearance. The hatch opens and a patented diffusion system gently releases the bottle design features the VP4 technology is also said to scent over two minutes. This starts soft and gets stronger.” So Chic snap-on pump, which reduce the use of raw Rolland was compelled to create the product following his own reveals the scent’s genre: tart, materials, energy and water. disdain for the sound of alarm clocks: “The idea came from two fruity or floral. The pumps allow places. One, my father, who owns a nursing home, complained that each bottle to be decorated DUAL APPEAL getting residents up was a challenge as many of them were hard of with a different accessory. Lancôme has joined hearing. The other is from being a student and hating the sound of forces with brush my alarm clock.” manufacturer Rolland also hopes to evoke Cosmogen to launch memories with the product, making a new ergonomic, the experience even more of a retractable foundation pleasant one: “Smell has been shown brush. The brush is to be the strongest trigger for designed with a rotary memories. By choosing a scent with a mechanism that has a happy memory attached, we get to retractable tuft. If the choose the exact feeling we get when CRYSTAL CLEAR brush is retracted, it we open our eyes.” Spectra Packaging has can be used for high Currently launched on Kickstarter launched a plastic alternative coverage to cover in the US, the product will be to glass packaging. The new imperfections, but if the brush distributed in concept stores and on glass polymer packaging is let out it can be used for the brand website. solution is said to provide the light coverage, to stretch the crystal clarity of normal glass foundation formula over the but with the flexibility and face. BEAUTY BUZZ: CLAY AND MUD GIVE SLIP performance of rigid plastic. Read more at TO TRADITIONAL SKIN CARE FORMATS Read more at cosmeticsbusiness.com Clay and mud-based products are having a moment in the cosmeticsbusiness.com limelight, according to recent analysis by The NPD Group. IN THE ROUND Within the US prestige sector, these types of products are Claremont & May, a body experiencing the greatest growth, outstripping sales for more care and home fragrance traditional skin care formats such as serums, lotions and milks. manufacturer, used RPC Sales of clay and mud products grew a hefty 53% to $27.9m in Bramlage-Wiko’s Exclusive the 12 months ending this April. On the flipside, sales of prestige container for its solid stick skin care oils, which have received huge consumer interest over deodorant product. The 75ml the past few years, only grew 22%, although overall sales value round container tube was still topped those of clay and mud products at $58.5m. injection-moulded in high-gloss “The growth in oils, and clay and mud comes on the heels of the black PP/SAN with a matching shift to more primary facial care products we first began watching coloured cap and decorated about five years ago. While corrective anti-ageing treatments are FOAM MEETS FORM with a printed label. A variety still an important part of the facial skin care market, the consumer Metsä Board, a paperboard and of colours are available and the is increasingly recognising that there are other vehicles that provide pulp producer, has announced stick itself is fillable from the great-looking skin,” said Karen Grant, Global Beauty Industry it is to start live testing foam top or bottom. Analyst, The NPD Group. “With innovative new applications of forming on a production scale age-old beauty secrets, consumers are discovering the noteworthy at its Kyro mill in Finland. The benefits of products that soothe and nurture the skin as well as company aims to use foam address environmental aggressors, a primary source of ageing.” forming to lighten paperboard And the interest in clay and mud is not just limited to the US. In structures; when this process is the UK, revenue growth of such products grew 28% in the year used fibres become more ending April 2015; growth in this country outstripped growth of evenly distributed in the web, oils, which stood at 24%. However, in other European countries improving formation of the such as France and Spain, growth in clay and mud products board and resulting in a more remained flat. Read more at cosmeticsbusiness.com

NEW PRODUCTS

1 MAC is harnessing the power brand recently unveiled its Jack three products (£3.99 each) 7 BEE GOOD’s latest innovation of light for its latest launch. The Black Hair Care collection (£11- including: Revitalising Scalp is Honey & Camelina Facial MAC Lightful C 2-in-1 Tint and £24.50). The 8-sku range is Shampoo, Intensive Scalp Exfoliator (£10.50). The creamy Serum with Radiance Booster formulated with essential oil Conditioner and Re-balancing exfoliator is designed to lift away (£40) has a gel-like formula and blends, botanicals and extracts, Scalp Tonic. The trio is dead skin cells, oil and dirt for is designed to provide skin and is said to be created with formulated with caffeine, lime brighter, more energised skin. care benefits as well as an hair and scalp health in mind. and ginseng, and is said to be Key ingredients include: British incandescent tint. Skin concerns Products include: shampoos, a trichologist approved. wildflower honey, vitamin E, tackled by the product include conditioner, a texturising cream Launch: out now wheatgerm oil, camelina and dark spots, uneven skin tone and and three pomades, among British crambe oil. The product dehydration. The product can others. The products are said to 6 OLAY is tapping into the trend uses milled lavender flowers, be used on the face both day be sulphate-free, and to contain for night masks with its new Olay which act as a natural exfoliating and night. pro-vitamin B5, silk amino acids Total Effects 7-in-1 Night Cream grain. It is free from parabens, Launch: out now and wheat proteins. Mask (£14.99). The treatment synthetic colours, mineral oil, Launch: out now is said to tackle seven signs of silicone and SLS/SLES. 2 FUDGE has unveiled four new Read more at ageing in one step. As well as Launch: out now hair art sprays, called Fudge cosmeticsbusiness.com a blend of moisturisers, the Urban Hair Art (£5.99 each). product also contains Vitaniacin, 8 KOKOSO BABY has made its The sprays come in four pastel 4 OPI has blended its Nail Envy which helps to smooth fine lines, debut on the UK market through shades including Violet Haze, product with colour for the moisturise, even skin tone, retailer Boots. The baby skin Coral Crush, Pink Ink and launch of Nail Envy “Strength in minimise the look of pores, care brand was launched by Turquoise Noise. The hair sprays Colour” (£19.50). The new range, enhance brightness and restore Lauren Taylor, who won the are said to be ideal to create a which comes in four shades, is skin firmness. The brand created Inspired by Baby competition seamless dip dye or stencilled designed to provide nails with the overnight product based on held by the retailer. The brand’s effects. After use, the colour strengthening benefits and the fact that the skin’s debut product is a multi-purpose can be washed out. The products colour. The formula is infused permeability rate is higher at moisturiser (£7.99) that contains are exclusive to UK retailer with hydrolysed wheat protein night, meaning that active fresh-pressed raw virgin organic Superdrug. and calcium. Shades include: ingredients can be absorbed coconut oil. The product is said Launch: out now Hawaiian Orchid, Samoan Sand, easily. In addition to the mask, to nourish and protect a baby’s Read more at Bubble Bath and Pink to Envy. Olay has also unveiled its new delicate skin providing naturally cosmeticsbusiness.com Launch: August Total Effects Mature Skin antibacterial, anti-fungal and Therapy Moisturizer (£14.99). antimicrobial properties. The 3 JACK BLACK has delved into 5 SUPERDRUG has created a The product is designed for pre- moisturiser can be used on any a new sub-category for its latest hair care range that is meant to and post-menopausal skin. part of a baby’s body. launch. The men’s grooming provide a cheaper alternative to Launch: out now Launch: out now expensive scalp treatments. The Read more at new Trichology range comprises cosmeticsbusiness.com

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JOHNNY DEPP has announced his first ever fragrance campaign, being signed as the new face of CHRISTIAN DIOR PARFUMS. Depp was appointed by Dior to front the brand’s new scent composed by perfumer- creator François Demachy. Details about the fragrance have yet to be revealed but the scent is slated to launch worldwide on 1 September. Previous faces for the brand have included Jude Law for Dior Homme Sport and Dior Homme Intense, and Robert Pattinson for Dior Homme. Depp will next appear on screen in Black Mass, also due to be released in September in the US.

THE LATEST APPOINTMENTS

AMYRIS has announced the appointment ANNE QUÉRARD has been appointed CEW has appointed DIANA NINO as of BRAM KLAEIJSEN to its board of Group Marketing Director at GEKA. Membership Secretary. Nino will succeed directors. The appointment follows the Quérard succeeds Pilar González Gómez, Christine Berwick, who has served as resignation of Nam-Hai Chua from the who is now focused solely on her role as CEW’s Membership Secretary for 11 board. Klaeijsen is an experienced business Head of Sales Germany, Northern & years. Nino joins the company from the leader from Cargill and has held numerous Eastern Europe. Quérard will be based Association of Residential Managing roles with affiliates of Temasek. Read in the GEKA Paris office and will report Agents, where she was a Membership more at cosmeticsbusiness.com to Amaury de Menthière, Group CEO. Services Officer.

DIRECT SELLING ASSOCIATION has MAYBELLINE NEW YORK has named BINKY FELSTEAD, the reality television named DAVID HOLL, currently President British singer MOLLIE KING as its new star best known for her role on Made In and CEO of Mary Kay, as Chairman of the UK Ambassador. King, who is best known Chelsea, has been named as the new face Board for 2015-2016. Holl takes over from as being a pop singer in girlband The of EASILOCKS’ new product Hair Hero. M Truman Hunt, President and CEO of Saturdays, will front the launch of the The 3-in-1 styling tool is designed to help Nu Skin Enterprises. Holl joined Mary brand’s new contouring palette Master users create waves, curls or a sleek finish. Kay in 1993 and took on the role of CEO Sculpt. King will appear in TV and print The tool is also said to counteract positive in 2006 after being internally promoted advertising for Maybelline from this month ions present in dry or damaged hair to leave a number of times. He was previously onewards. The 2-in-1 palette features a tresses smooth and sleek. Read more a VP at Citibank in New York. contouring powder and highlighter. at cosmeticsbusiness.com

HAVE SELFIES CHANGED OVER TO THE PANEL

THE FACE OF COSMETICS? “We live in a society where everything ends up online and selfies are par for the course. Our Today, everyone’s taking selfies. But has this growing therapists are seeing an increasing number of trend affected what consumers want from cosmetics? clients taking selfies even during their treatments. It is a challenge to keep up and there’s definitely more or a trend that started with teens on social media, creating YES room for the beauty industry to embrace this trend, a new dictionary definition is quite an achievement. Selfies making it clearer to consumers when products and treatments will help them get ready for their close-up.” are now obligatory at almost every event, with celebrities, F Emma Roberts, Marketing Executive at BABTAC politicians and even Queen Elizabeth being snapped in one. Even after numerous high-profile destinations have banned “Women like the Kardashians have made selfies an the use of the much-maligned selfie stick, this is one phenomenon essential part of life, bringing make-up that is really that just won’t quit. More than one million pictures are now posted meant for TV into the mainstream. It looks good on on Instagram with #selfie every day. Prolific self-portraitist Kim screen but is a bit much for real life. But, as with any Kardashian has published an entire book of her pictures. Even trend, there’s a counter movement. For every girl obsessed with contouring, there are ten more Barack Obama and David Cameron were caught taking a photo NO wearing make-up not because of how it makes them of themselves while attending Nelson Mandela’s memorial service. look in pictures, but because of how it makes them feel in real life.” But these candid snaps are rarely as spontaneous as they are Poppy King, Founder of Lipstick Queen designed to appear. According to a recent survey commissioned by Feel Unique, it takes an average of 16 minutes and seven different “It feels like we live in a world of high definition. shots to capture the perfect selfie. Consumers are increasingly feeling the pressure With smartphone cameras more powerful than ever before, the to have their best face on at all times. Brands are craze for self-portraits is putting increasing demands on cosmetics developing new products that are designed to mimic to make consumers look good on screen as well as in real life. Many the language of digital filters and tools, diminishing fine lines and imperfections. We’ve also already brands have responded to the demand with ‘HD ready’ formulas YES started to see some interesting innovations from and intense pigments. But is this just a fad? Or has the selfie trend brands around formulas that can auto-adjust like a filter.” really changed what consumers want from their cosmetics? Victoria Buchanan, Beauty Specialist at The Future Laboratory Join the discussion: @cb_beautynews #whatstrending

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