Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission.

13 February 2017 Issue 5 cosmeticsbusiness.com NEWS BUSINESS 4 EXPERT ADVICE 7 DIGITAL 8 PEOPLE 11 Walgreens Boots Alliance Learning from the Product of Scentbird reveals 2016’s most YSL Beauté names new appoints WPP for marketing the Year USA 2017 winners searched fragrance terms Global Beauty Director L’ORÉAL USA HIT WITH MATRIX KERATIN LAWSUIT US beauty giant accused of misleading consumers with mentions of keratin benefits in marketing materials for its Matrix Keratindose hair products

’Oréal and its brand Matrix Essentials are facing a class action lawsuit over three of L its Keratindose hair care products. Consumers Brandi Price and Christine Chadwick filed the case against L’Oréal USA after raising concerns about its Matrix Biolage Keratindose Pro-Keratin + Silk Shampoo, Conditioner and Renewal Spray. The plaintiffs allege that L’Oréal USA is guilty of false advertising as its Keratindose products do not contain keratin and therefore are not considered able to provide the benefits associated with keratin-containing products, such as nourishing and repairing hair strands. In the complaint filed in the United States District Court for the Southern District of New York, the plaintiffs claim that L’Oréal is misleading the consumer via product labels, advertising and marketing. Through these platforms, the products claim to prevent damage and restore overprocessed hair, as well as be formulated with pro-keratin and silk, while the name of the range could be viewed as an implication of a keratin formula. The lawsuit accuses L’Oréal’s ‘misbranding’ as intentional, leaving the products ‘worthless’. BAREMINERALS has partnered with 28-year-old US YouTube personality Ingrid Nilsen to support the launch of a new limited edition collection. Nilsen It alleges: “[The] defendants’ conduct is all the revealed that she is gay in 2015 in a candid video on her channel. Since then more egregious, as they have chosen to label the she has gone on to become a Change Ambassador to the UN, working Keratindose products with brand and product towards encouraging gender equality. names which blatantly suggest the inclusion of an The Be Your Best Self collection comprises four skus designed to help ingredient – keratin – which is not found in the consumers achieve flawless foundation coverage with luminosity. The products at all.” collection includes: Original Foundation Broad Spectrum SPF 15, Limited L’Oréal faces ten counts including breach of Edition Invisible Glow Highlighter in Resilience, Limited Edition Beautiful contract, fraud, unjust enrichment and violation Finish Brush and a silver make-up bag with the slogan ‘Be Your Best Self’. The kit costs $50 and is available from bareMinerals’ boutiques, as well as of the California False Advertising Law. the brand’s website and .com. L’Oréal did not respond to Business’ enquiries by the time this article was published.

@cb_beautynews Cosmetics Business cosmeticsbusinesss Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. BUSINESS

PEINI BRINGS GIFTS FROM GHANA TO UK he Founders behind new skin care brand which includes vitamins A, E, F and K, as well as NEWS Peini have spoken out about their ambition raw materials indigenous to the region, such as T to bring Ghana’s gifts of nature to UK cocoa, shea butter, palm oil, coconut oil, 13 February 2017 consumers and the rest of the world. groundnut oil and almond seed oil. All raw Kwaku Kyei, 32, and his wife Sarah Nicolas- materials are sourced from Northern Ghana. The Issue 5 Kyei, 29, launched the Peini brand last year, brand works closely with the Pelungu cosmeticsbusiness.com motivated by the desire to spread Ghanaian Community Co-op, which comprises of women natural remedies and their skin benefits to people farmers, including widows and orphans. The outside of the region. Peini means ‘gift’ in farmers use natural, organic and biodegradable Editor Dagbani, a language derived from the Dagomba ingredients during production, and are able to Lucy Tandon Copp tribe in Northern Ghana. earn more money per tonne of raw material Reporter Kyei told Cosmetics Business: “Growing up in bought being largely responsible for production. Sarah Parsons Ghana I was raised with the many medicinal Kyei continued: “The essential oils and fats Sub Editor plants whose extracts have been healing the rural industry supports and employs thousands, Austyn King population for generations. From my 12 years especially women, so our mission is to provide a Contributors spent living in the UK I have come to value the mechanism to proactively sustain this market for Sarah Cohen, Patricia benefits of these natural remedies and have our rural women.” Mansfield-Devine noticed the lack of knowledge and Art Editor appreciation for Sibylla Duffy them.” Digital Production The range (£7.50- Nita Salem £13.95) contains a Head of Print & body conditioner, Digital Production shower gel and hand Ross Murdoch cream – all free from Managing Director parabens and SLS. Colin Bailey-Wood The products’ formulas are based on a “tropical vitamin skin supplement”, Cosmetics Business HPCi Media Limited Natraj Building A.S. WATSON TO INVEST $70M ON Sally Beauty confirms job cuts The Tanneries, ‘BIG DATA’ OVER THREE YEARS 55 Bermondsey St, A.S. Watson Group, the company behind after disappointing Q1 2017 London SE1 3XG retailers including Superdrug, Watsons and The +44 20 7193 1279 Perfume Shop, has announced plans to invest Sally Beauty has confirmed that jobs will be cut [email protected] US$70m on ‘big data’ over the next three years. as part of its restructuring plan to pull the Subscriptions The investment will be made with Toronto- business back on track. +44 20 7193 1279 based Rubikloud, a company that specialises in Restructuring plans were announced on 2 [email protected] software platforms for retailers. February as the company released its fiscal Q1 Rubikloud’s Rubicore data platform aims to 2017 results, which its President and CEO Chris Editorial help A.S. Watson Group’s retailers make Brickman called “disappointing”. The Q1 figures +44 20 7193 9502 informed decisions to grow loyalty revenue and included below expectations sales growth and [email protected] forecast product promotions accurately. gross margins. Gross margin was 49.2%, down A.S. Watson hopes to enhance its customer’s 30 basis points on the prior year. experiences as well as its own business efficiencies Brickman said: “In our core Sally business, our using Rubicore’s machine learning applications financial performance was negatively impacted by Promotion Manager and Lifecycle Manager. the challenging retail environment and The conglomerate’s network of 13,300 retail promotional activity that failed to drive sufficient stores across 25 Asian and European markets are traffic to the stores. ©HPCi Media Limited set to benefit from the new software. “In response, we are announcing a Articles published in this publication may only be reproduced with permission. The Malina Ngai, Chief Operating Officer of A.S. comprehensive restructuring plan and other publisher accepts no responsibility for any Watson Group, said: “We are investing in big aggressive cost reduction initiatives that we statements made in signed contributions or expect will meaningfully lower our cost structure in those reproduced from any other source. data amid global economic uncertainties because ISSN 2057-1984 we believe that technology is a critical enabler for without compromising our ability to serve the successful retailing in today’s world. customer and execute on our strategic priorities.” A.S. Watson revealed that Lifecycle Manager The company expects to incur charges of helped it to grow sales from direct-to-consumer approximately $12-$14m from the restructuring, CRM campaigns by more than 8% with one of its including estimated severance and related costs European operations. of approximately $7m.

2 cosmetics business 13 February 2017 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. BUSINESS

LA PRAIRIE INKS FIRST ART PARTNERSHIP NEWS IN BRIEF a Prairie has partnered with Art Basel, an “From the painstaking research behind our COTY has completed its international art fair held annually in scientific breakthroughs to the opulent acquisition of a majority L different locations around the world. formulations that envelop the senses, from the share in Younique, just The Swiss luxury skin care brand will jewel-like packaging to the high-touch weeks after it announced team up with Art Basel for the event service, art is not just what La Prairie the deal had been struck. held in Basel, Switzerland, from is, it is what we do.” The acquisition is expected 15-18 June. As well as partnering with Art to be immediately accretive At the fair, La Prairie will Basel, La Prairie will also to Coty’s top-line growth, offer VIPs the chance to try collaborate on a scientific EBITDA margin and full-year 2017 earnings, adding more out its products with and artistic innovation with value than the $600m cost. customised treatments in a group of modern artists, As part of Coty’s Consumer the Art Basel Collectors the company revealed. Beauty division, Younique Lounge. More details of that will continue to be led by La Prairie felt driven to partnership will be CEO Derek Maxfield and strike up the art fair announced in due course, Chief Visionary Officer partnership as it believes its but it is being organised Melanie Huscroft. “innovative spirit” is mirrored to celebrate La Prairie’s 30th SOLÉSENCE, a US skin in the world of contemporary art. anniversary of its hero Skin care manufacturer that Patrick Rasquinet, President and Caviar product. specialises in environmental CEO of La Prairie Group, said: “We are very In 2015, the brand added two new products to protection technology, has excited about the partnership between La Prairie its iconic skin caviar range including a Concealer partnered with prestige beauty and Art Basel, which we feel perfectly represents Foundation and limited edition Caviar brand Colorescience to develop our quest for timeless beauty and our passion Spectaculaire featuring 75ml of skin caviar luxe products for skin care and for audacity. inside a Baccarat crystal caviar server. protection. Solésence will use patented mineral skin care actives to develop sunscreen products exclusively for FRENCH ADVERTISERS TOLD TO Colorescience. It marks the first ESPA, the professional spa products and REVEAL IF IMAGES RETOUCHED use of Solésence’s technology treatments brand based in the UK, has given French advertising regulator ARPP has issued a in the beauty industry. reminder to advertisers that as of 1 January this its brand a refresh as it reaches its 25th anniversary. year, photographic retouching of images must be The brand has been updated with clearly mentioned in advertising materials if there refreshed and modernised packaging, which has been digital manipulation of a model’s weight. Founder Sue Harmsworth MBE, said is The ruling is under the code of work L.7123-2 designed to “broaden its appeal making it and states that if an image has been digitally cleaner, easier to navigate, select and buy”. altered to make the model either thinner or Talking about the brand’s evolution over the fatter, the words ‘photographie retouchée’ must past quarter century, Harmsworth told be added. The law applies to posters, online Cosmetics Business: “While reflecting on the last 25 years, it was clear that our original communications, newspapers, publicity materials brand philosophy was even more relevant sent to retailers and printed publicity materials today. designed to be seen by the public. “My original goal was to create a brand The penalty for non-compliance is a fine of that considered the impact of health and u37,500, which can be increased to a maximum of wellness on beauty combined with a holistic 30% of the amount spent on the advertisement. approach to deliver natural beauty and inner The ruling has been in the works since January calm. We’ve refocused on our original philosophy and taken cues from the 2016, when the French Parliament adopted a new DENMAN, the UK hairbrush simplicity and purity of the brand when it first brand, has been announced health code. The ARPP was fully consulted and started.” as the sponsor of Hairlooms: gave its opinion in November 2016, when the ESPA has a network of spa partners in The Untangled Truth About Government drafted a decree outlining the law. more than 60 countries around the world. Loving Your Natural Hair and In a note to the European Commission on It works with biochemists, skin Beauty, which made its experts and aromatherapists to create 3 November last year, the Government said: debut on amazon.com on 7 products and treatments designed to benefit “The exposure of young people to these February. The book, written skin and mind. normative and unrealistic images of the body by Michele Tapp Roseman Harmsworth leads to a feeling of... low self-esteem that has an from Maryland, US, provides added: impact on health behaviours. a first-hand view of the “At ESPA we author’s connection to her “The resultant pressure in favour of thinness is are guided by hair, and includes the ‘hair among the factors involved in the emergence and a holistic stories’ of 32 people. development of eating disorders.” philosophy, Roseman said: “The material caring for The ARPP has pointed out that regardless of is not just something I wrote your whole whether or not the decree is ever published, the but something I still use to wellbeing.” ruling still applies and advertisers should empower me today.” therefore consider this in their marketing.

13 February 2017 cosmetics business 3 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. BUSINESS

NEWS IN BRIEF WPP TO HANDLE WALGREENS ACCOUNTS fter a lengthy review process CEO, Walgreens Boots Alliance, said: “We have MARCHESINI GROUP, lasting almost a year, WPP has been grown rapidly, so too have our marketing and the packaging solutions company headquartered in A appointed to handle all marketing communications needs, and this multi- Italy, has announced a leap and communications for cosmetics and personal dimensional model and new way of working will in turnover in 2016 from care conglomerate Walgreens Boots Alliance. better support our vision for the company and u270m to u292m. Of this, The communications services group and a team future growth plans.” 78% is generated by of its agencies will look after Walgreens Boots overseas exports. Alliance’s retail and wholesale businesses, as well Marchesini revealed that as its health and beauty product brands. domestic orders have also The decision was made after a “thorough almost doubled compared with 2015. The company’s review process”, which began in early 2016. Chairman Maurizio Offices will be set up in Chicago, London and Marchesini explained that New York housing ‘Team WBA’ to support the the company aims to company’s Walgreens, Boots and Alliance expand its activities in the Healthcare businesses. cosmetics industry through Walgreens Boots Alliance is the parent the takeover of Dumek, a company of the Boots pharmacy chain in the company from Bologna, UK and Walgreens in the US. It is also the which it acquired in January. owner of brands including Liz Earl, Soap & THE ENVIRONMENTAL Glory and No7. WORKING GROUP released Stefano Pessina, Executive Vice Chairman and a statement on 30 January voicing its concern over rumours that President Trump L’ORÉAL CEO SAYS GENDER could pull out of the Paris DIVERSITY IS STRATEGIC PRIORITY THE ESTÉE LAUDER COMPANIES climate change agreement L’Oréal’s Chairman and CEO Jean-Paul Agon President and CEO Fabrizio Freda revealed imminently. Ken Cook, plans to make “targeted investments” this President of EWG, said: “Even has spoken out about the importance of gender fiscal year. Vladimir Putin, once an ardent diversity for the company, following its wins at Talking about the company’s Q2 2017 climate change denier, now the Gender Diversity Awards. results, Freda said: “We plan to make says it’s ‘one of the gravest L’Oréal scooped the Grand Prize for Gender targeted investments throughout the challenges humanity is facing.’ Diversity in the CAC 40 Category (French stock balance of the fiscal year to support and When Putin and Russia market) and Gender Diversity Award in the grow our brands.” outflanks the US on human Consumer Goods and Services category. This strategy, combined with product health and the environment, Agon said: “Gender diversity is a strategic innovation, increased consumer coverage we’re in big trouble.” He added: and improving trends in certain brands and “The only silver lining in Trump’s priority for our group as it is a source of creativity, markets, rounds out the company’s plan to disastrous agenda is the innovation and performance. These two awards achieve sales growth of 6-7% for the fiscal growing movement of recognise L’Oréal’s long-standing commitment to year. resistance at home and around equality between men and women at all levels of The Estée Lauder Companies registered the globe against his the company. They encourage us to further better-than-expected profits in Q2 2017, administration.” accelerate our efforts to advance gender diversity thanks in part to the acquisitions of Too in our company and in society.” Faced, Becca and By Kilian. L’Oréal’s workforce is dominated by women, The acquisitions contributed roughly 90 which account for 70% of its 89,331-strong basis points to sales growth, of which less global workforce. At senior level, women make than half was down to Too Faced. up 33.3% of the group’s Executive Committee Referring to the takeover of Becca and Too Faced – the latter of which was and 46% of the Board of Directors. rumoured to be the company’s largest THE GENTS PLACE, a US The ceremony was held at the Palais Bourbon acquisition in its history at $1.4bn – Freda lifestyle club for men that in the 7th arrondissement of Paris, France, on 30 added: “Both brands complement our provides men’s grooming January. It was organised by the Ethics & Boards make-up portfolio, which is the fastest- services such as razor Observatory, a company that observes the growing category in prestige beauty, and shaves as well as shoe strengthen our position in the specialty- shines, and hand and foot governance of publicly traded companies, multi retail channel globally. We have ample ‘repairs’, has signed a and the Institut du Capitalisme Responsable, room to expand their consumer reach.” franchise development which was founded this month and is dedicated agreement to expand its to supporting ‘integrated thinking’ among concept to Austin, Texas, in companies and investors. the US. The brand’s first The ceremony was held as part of the location will open in autumn, inauguration of the Gender Diversity in Business headed up by franchisee Index or Zimmermann Index. The index will Paul Terracina. Terracina, 26, previously worked at provide an annual measurement of gender Massage Heights’ corporate diversity of French stock market SBF 120 office in San Antonia. company boards and executives. The index will be extended to all of Europe in 2018.

4 cosmetics business 13 February 2017 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. COMMENT

WAS DOVE RIGHT TO MOCK TRUMP?

At the end of January, Unilever brand Dove took out a print ad in The Times and The Guardian that went viral – but not for the reasons you might first think. The ad poked fun at Trump’s Counselor Kellyanne Conway and her use of the phrase ‘alternative facts’ on Chuck Todd’s Meet the Press show. The brand printed a list of its very own #AlternativeFacts, which soon dominated social media feeds. But was the campaign really a good idea?

“BEING A CONSUMER “DOVE IS NOT ALONE “DOVE COULD DRIVEN COMPANY IN CRITICISING ENCOURAGE CARRIES RISKS” TRUMP” OTHER BRANDS” ~ Lucy Tandon Copp, Editor ~ Sarah Parsons, Reporter ~ Jo Allen, Editor

“Unilever’s decision to run its “Dove was in safe hands when it “Dove has surprised, but also #AlternativeFacts Dove campaign has commissioned creative agency Ogilvy impressed consumers with its provided a few laughs in the office. to design its #AlternativeFacts ad. relevant yet subtle and entertaining However, as the company becomes The agency is not one to shy away from criticism of the Trump administration more vocal about its position on Trump, hard-hitting social commentary disinformation campaign. In the current it does make me wonder whether real campaigns and Dove is no stranger to divided political climate, the need to progress could be achieved here – or the agency – the relationship dates back clarify brand values and take a stance whether consumer companies are just to the 1950s. The pair previously has never been greater. Beauty putting themselves at risk. Unilever as a revealed the power of opinionated consumers are increasingly demanding business is not alone in its anti-Trump branding through its anti-airbrushing honesty and authenticity from brands, sentiments. Uber’s CEO Travis Kalanick Real Beauty campaign. But Dove is not and Dove’s ad builds on the progress has stepped down from Trump’s alone in criticising Trump and his it has already made in this direction, economic advisory council after circle – fashion houses have refused to through its Real Beauty campaign and mounting internal pressure, while 2,000 dress the First Lady. During the Self-Esteem Project. By strengthening Google employees recently walked out Superbowl, America’s largest its role as both a challenger and a voice, over his anti-immigration orders, with advertising platform, Coca-Cola, Audi, Dove could encourage other beauty their boss’ support. And now there is Air Bnb and Budweiser voiced pro- brands to be bolder with their voices in talk of a ‘virtual war’ with Trump’s immigrant messages reminding the future too.” administration led by tech giants consumers that hope and passion is including Facebook and Apple; a public always welcome in the US. These letter is said to be in the works opposing advertisers are just exercising their Trump’s early moves. But being a creativity and using basic core consumer company like Unilever is marketing messages to unite arguably more risky than a Silicon Valley consumers – this one happens to be giant – and Starbucks is a case in point. against Trump policies. Its CEO Howard Schultz recently criticised Trump’s immigration ban, which led to shares plummeting and a boycott by Trump supporters. It would be a shame for Unilever to keep quiet – but there could be consequences.”

New Dove antiperspirant increases your IQ by 40 points. New Dove antiperspirant boosts your Wi-Fi signal. New Dove antiperspirant is a really good listener. #AlternativeFacts

13 February 2017 cosmetics business 5 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. RETAIL

NEWS IN BRIEF

UK customers spent 27% more in health and beauty SME stores over the Christmas period than in 2015. The cosmetics sector had the most success compared to other retail categories: homeware, lifestyle and gifts grew by 23%; sports, toys and hobbies by 12%; and fashion and apparel by 8%. PoS provider Vend compared year-on-year spending from Black Friday to 15 January. The date was based on a sample of 1,500 UK SME retailers from across all product sectors.

INDITEX has announced plans to introduce e-receipts for online transactions for its clothing and beauty stores Zara and Oysho. Online customers will receive a digital receipt via e-mail or saved in their online account. The announcement is PRIMARK is set to become the anchor store for a new w70m shopping mall in Ireland. part of the Spain-based Operating under the name Penneys, the two-storey 51,000sqft shop will join other international retailer’s latest digital push. It and local retailers on the Carlow Central site. follows the launch of mobile The newly developed Penneys will sit on a site of 6.5 acres, with the mall due to open for payments in Spanish stores last Christmas 2018. Penneys’ beauty offering has expanded in recent years and it now offers colour year. Inditex claims the new cosmetics throughout its stores. In 2015, it partnered with Australian brand ulta3 to launch a new receipts will improve the line of beauty products. When completed, the Carlow Central shopping mall will comprise of customer shopping experience 200,000sqft retail space and 640 car spaces, and will create more than 1,000 jobs. and reduce the company’s Gerry Butler, Sales Director at Primark, said: “This announcement is an important milestone for environmental impact. us and one which we know is eagerly anticipated by the people of Carlow. “We are delighted that the expansion will generate additional jobs in the new store.” Primark was founded in Dublin, Ireland, under the name Penneys in 1969. It could not use the name outside of Ireland as J. C. Penney legally registered the name.

JOHN LEWIS SLASHES 90-DAY Walmart’s two-day shipping RETURNS POLICY IN THE UK John Lewis has cut its generous 90-day refund Walmart has launched a free two-day shipping policy to 35 days. service to consumers across the US. The UK retailer said shoppers will not notice US shoppers will be able to use this delivery the two-third decrease as most customers already option without the need of a membership fee. SOAPER DUPER, a bath return the unwanted items within 35 days. The retailer is encouraging customers to use and body range with over A spokesperson for John Lewis said: “Before the service by lowering its minimum purchase 90% naturally derived we made the change, we asked our customers required for free shipping from $50 to $35. Items ingredients, will be stocked about our policy and found that over 85% were being shipped to stores have no price threshold. in Tesco stores and on its unaware of our policy for unwanted items and “I couldn’t be more excited. We are moving at website from 22 February. The brand prides itself on over 90% of customers who change their mind the speed of a start-up,” said Marc Lore, being an affordable guilt-free about a product bring it back within 35 days.” President and CEO of Walmart US e-commerce. body care brand containing The retailer claims the change will still “be one “Two-day free shipping is the first of many no plastic microbeads, of the best returns policies of all UK retailers”. moves we will be making to enhance the parabens or phthalates. The All items purchased before 1 February will customer experience and accelerate growth.” range includes shower gels, continue with the 90-day rule. The changes will The company will continue to offer its online body butters, hand creams apply to all cosmetics and fragrances within the grocery pick-up option at more than 600 and scrubs. Soaper Duper store. Customers may open the packaging, but locations across the country, with plans to expand will launch in Tesco and tesco.com nationwide, with will not be able to return any used cosmetics. the service in the coming year. RRP for the brand’s John Lewis said customers will continuously be “In today’s world of e-commerce, two-day free products starting at £5.50. warned about the change via point of sale, shipping is table stakes. It no longer makes sense receipts and parcels ordered online. to charge for it,” added Lore.

6 cosmetics business 13 February 2017 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. EXPERT ADVICE

and an innovation that simplifies the at-home beauty routine, helping to save time and money.

What’s the secret to winning over consumers today? It is vital to understand that change is a delicate balance. Mike Nolan is the Global When introducing new CEO of Product of the products, brands must innovate Year USA but not alienate. Companies have to understand that Have any beauty winners this consumers constantly crave year surprised you? products that are new and All of the brands that won in exciting, yet they are also the skin, lip, hair and oral care creatures of habit. For example, categories have introduced with the new Comfort Care Lip products with innovations Balms, Carmex is introducing unlike anything else we have new flavours, but they are still seen before. These brands are delivering the benefits of taking home Product of the Carmex products that Year Awards because they have consumers have come to rely been extremely successful in on and trust over time. identifying customers’ wants and needs, and are then How important is consumer capitalising on those needs. trust in the beauty market? Kleenex recently introduced a Consumer trust is extremely line of Kleenex Facial important in the beauty and Cleansing products, while personal care market, both in another winner, Amopé, the US and around the world. introduced a revolutionary Websites like Yelp are popular product called GelActiv Insoles because we are always looking & Inserts. These insoles are for testimonials and available in variations based on recommendations from our heel height, an offering we have WHAT IT TAKES friends, and other people like not seen before from women’s us. We use Yelp to figure out footwear insole manufacturers. where to eat because we want Overall, we are excited by the TO BE AWINNER to make sure we’re getting the innovations we are seeing, but best information and feedback are not surprised by the brands out there. By the same introducing those products, as IN THE US principle, customers look to they are consistently at the friends and peers to decide forefront of innovation, The Product of the Year USA awards are the largest what products to try, which is introducing new attributes where Product of the Year ahead of their competitors. consumer-voted awards for product innovation. Over comes into play. If someone is 40,000 US consumers voted in 2017, but what do the deciding between two new lip What do you think US winning brands tell us about what consumers want? care products and one has the consumers want in beauty? Product of the Year Award logo Two of the major trends that we convenience and removing a conditioner to protect and on pack and the other choice are seeing this year in the step from the beauty routine, repair hair, and helps cover grey doesn’t, most often, that person beauty and personal care saving time. The Schwarzkopf hair, which is yet another will choose to buy the Product industry are the rising Keratin Color acts as a example of a 2-in-1 product, of the Year winner. In fact, our popularity of beauty routines research shows that 44% of that can be done at-home, and consumers are more likely to the expansion of all-in-one 2017 BEAUTY CHAMPIONS: buy a product recommended products. This is a growing by fellow consumers, and that trend because for consumers, FOOT CARE Amopé GelActiv Insoles & Inserts Product of the Year winners convenience is key. For SKIN CARE Kleenex Facial Cleansing, Exfoliating Cushions historically outperform example, the Sensodyne True FEMININE CARE SweetSpot Labs Washes & Wipes category sales performance White toothpaste gives a LIP CARE Carmex Comfort Care Lip Balm by 38.1%. whitening treatment and acts as HAIR TREATMENT Schwarzkopf Keratin Color a sensitivity toothpaste ORAL CARE Sensodyne True White Share this interview on simultaneously, creating cosmeticsbusiness.com

13 February 2017 cosmetics business 7 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. DIGITAL

NEWS IN BRIEF MILLENNIALS SEEK SEXY SCENTS IN 2016 centbird has revealed the most searched popularity. Women in 2017 are more interested AZOYA is celebrating its official US launch. The for scent terms by millennial’s in 2016. in ‘floral’ scents that are ‘sexy’ and ‘sophisticated’. turnkey e-commerce S The US fragrance subscription brand has For men, ‘classic’ and ‘fresh’ are most desired.” solution provider works with released an infographic showing ‘sexy’ and ‘fresh’ Scentbird further identified a consumer desire companies to manage their at the top of the list for women and men. for more complex, sweeter fragrances – ‘woody’, online presence in China. Scentbird has a unique view of the category, ‘sweet’ and ‘mysterious’ also grew in popularity. Already established in particularly when it relates to millennials. “We The brand believes this data can be helpful to Europe, the company is fielded over 4 million fragrance queries last year build a picture of the consumer mindset when expanding to help US on our platform and our subscribers are 80% 18- creating fragrance. “This information may help companies. Feelunique and La Redoute are among 40 year olds,” said Rachel ten Brink, CEO of to think of fragrance in a different context. For the European brands the Scentbird. “We wanted to identify where example, ‘occasion’ may be the most intriguing provider has partnered with consumer preferences were going.” The terms result of this research. Women search most for to help break into the ‘sexy’, ‘floral’ and ‘fruity’ were the most search ‘everyday’ scents, while men are looking for ‘date Chinese market. Azoya for by women, while ‘fresh’, ‘date night’ and night’ – pointing to a focus on special occasion works with brands to tailor ‘classic’ came out on top for men. usage. However, men are evolving to using scent their marketing strategy to “Sexy, was searched more than 350,000 times more often as the ‘office’ grows in popularity.” China and advises them on on our platform, while ‘fresh’ was searched “We were surprised by the rising popularity how to educate customers. 125,000 times by men,” added Brink. “For women, of searches for ‘trendsetter’ and ‘workout’,” ‘clean’ is still somewhat relevant but is losing Brink added.

INSTAGRAM is trialling a feature for multiple images in a single post. Currently this option is only available to brands and Instagram’s 200,000 advertisers The app’s users have been able to swipe through images from companies, but now they themselves may soon be able to select ten photos at once, with separate filters for each to showcase to their followers. The Facebook-owned app said 44% of customers were influenced by beauty brands and 52% were influenced by hits the road beauty experts on social media. THE BALDEN GROUP, an Italian wellness and body care company, has launched its Coty’s make-up brand Rimmel hosted its first NIVEA has been announced electronic beauty mask to the UK market. as the official backstage Consumers will need to download the Play YouTube Road Trip episode in Cardiff on 27 ‘care partner’ for British Skin app, plug the mask into their January as part of a new style and make-up series. talent show The Voice UK. smartphone, then apply the two supplied Each month, two successful YouTube beauty The brand will work with electrodes to the face, which will then stars will show off what they love most about the make-up artist Lauren activate a low current to tone facial muscles. style and attitude of a particular UK city and Murphy to provide backstage The hydrogel mask contains moisturising uncover the latest looks in beauty and make-up. support for the acts and and anti-ageing properties such as Camellia reveal professional skin care The first episode took place in Cardiff where sinensis, a fresh green tea plant with Em Ford from the My Pale Skin blog grew up tips. The partnership is nutrients said to counteract the ageing designed to highlight the process. The brand claims the electronic and it shows her taking beauty vlogger Fleur De importance of effective mask is a ‘cult product within the European Force to special places from her past as well as cleansing in a fast-paced, beauty market’ and has been new ones. The girls showcased their favourite stressful environment. The dermatologically tested at the University of make-up looks to suit the different places they wider campaign aims to Ferrara in Northern Italy. visited and the audience were encouraged to engage consumers through Users only need to use the mask for 10 suggest venues via social media. the backstage content found minutes and once a week to see “the online and via social media, A new Rimmel Road Trip episode will be enhancement of hydration and radiance of uploaded to the RimmelLondon YouTube including skin care tips and skin post-treatment”, according to its creators. interviews. channel each month until June. Each episode will feature two influencers in different UK cities.

8 cosmetics business 13 February 2017 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. INNOVATION

ICONIC ASTRAL BRAND HAS OPINION COLUMN PACKAGING MAKEOVER PICKING A GOOD BRAND DDD-owned moisturiser brand Astral has had a packaging makeover. Previously in a plain blue pot, the Original Face & Body NAME IS A HARD TASK Moisturiser range has an updated design for the 50ml, 200ml and 500ml sizes. Astral worked with the RPC Manuplastics and M&H, A word has the power to conjure up strong emotions both part of the RPC Group, to update the brand’s image, which and associations, so getting your brand name right was first established in 1953. from the beginning can be the gateway to success Astral explained the original shade of blue has been maintained to ensure the consumer can still recognise the product on the shelf. TOM HEARN IS THE BUSINESS DIRECTOR OF BRAND AND Brand Manager Sian Rimmer said: “Since 1953, the same Astral PACKAGING DESIGN COMPANY NUDE BRAND CREATION formula has been used by all kinds of women for all kinds of things. “Manuplastics and M&H have helped us to deliver a new pot that reflects our original pack design while modernising the brand What’s in a name? passion – and even an for the future.” A“ name says so much entrepreneur can DDD is a family-run company based in the UK. It acquired about your brand. lack it. Dentyl Active Mouthwash in 2014 and, prior to this, the Chanel, , So, how do you Snufflebabe baby healthcare brand ghd... Each one pick a name? The in 2010. It has been in conjures up a look name follows the operation since 1912. and feel so consumers back story and can be know exactly what to expect inspired by the creator of from that brand. the brand such as Eve Lom; an Choosing a name however ingredient, in Moroccanoil’s is one of the hardest tasks in case; a brand ethos like Crème the design world. I say ‘design de la Mer; or simply what the world’ because the best product does, for example success we have had with Enhance. We task our creative brand creations is when a team to come up with an idea company comes to us with its and then we test it. It’s often as product even before it has simple as brainstorming names chosen a name. So how do it? that we like. Ask the desired One of the first things I audience for its input – but look for with a new beauty never undervalue your gut BASF RESEARCHERS USE EPIGENENTICS TO brand is the back story. It is instinct – it has got to feel REVITALISE FIBROBLASTS AND AGEING SKIN critical to its success to get right. Our goal is to create a BASF researchers have joined forces to explore the field of epigenetics. this right. There needs to be name that’s true to the brand, Experts from public and private research institutions plan to a clear reason why the new unique and sticks in the ascertain how genetic changes caused by chronological ageing or product is different and consumer’s mind. environmental factors can be mapped and precisely controlled. special. Getting an authentic When the creative team has BASF intends to develop and market several active ingredients and single-minded brand story conjured up a suitably sticky for cosmetic products that harness the findings on epigenetics. right helps to create a brand name, testing it beyond the BASF’s new launch is the first active ingredient that re-activates with genuine depth and the UK’s borders is essential. One fibroblasts, the cells that dictate continuous skin cell renewal, by potential for longevity. fantastic sounding name in the protecting them from epigenetic modifications and the ageing Consumers can easily spot a UK could mean something process, which alter the fibroblast’s functionalities. ‘wannabee’ a mile off. I want offensive elsewhere, or it David Herault, Head of Global Research and Development for to see clients with a passion could sound just plain silly. Bio-Activesm, said: “Epigenetics is our strongest ally. It is the key for their creations and it’s my The next step is to make it to understanding gene modulation and stimulating the activity of job to turn that passion into a legal. Register you name as genes that have an influence on the longevity of the skin.” brand. One thing that trumps early as possible and get the The loss of fibroblast’s vitality leads to a rarefaction of collagen even big brands and big bucks legal rights both here and and a loss of dermal density. The skin loses its tonicity, elasticity is passion. You’ve got to have abroad. If it’s already and firmness, which is when the first signs of ageing appear. it and to show it. Why would registered (but not in use) Based on these observations, BASF teams have created an extract anyone spend money on a don’t be put off. You might from Origanum majorana leaves, that stimulates actin synthesis in product that even the creator be able to buy the rights back. fibroblasts. It does not change the fibroblast’s genetic code, but doesn’t believe in? Two years And never underestimate how wakes up the cell and stimulates it to prevent ageing. “We wanted down the line if there’s no long it takes. to find ways to slow the ageing process of the skin through backstory – no influences and Now the fun can begin. environmental influences and lifestyle. excitement to communicate – Once the name and story are “With Dermagenist, we are now able to maintain the fibroblasts’ you can’t dream one up. Even in place, that’s when your capacity for self-renewal and stimulate their activity,” said Sabine a multinational can have true brand can be built. Pain, R&D Project Manager. ”

13 February 2017 cosmetics business 9 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. BRANDS

NEW PRODUCTS

1 BOBBI BROWN has of a Malagasy co-op to create 4 PRIMAVERA has launched a 6 ’S new announced the arrival of its first the collection, which is made body care collection for spring. fragrance is designed to compact foundation. The Skin entirely of crocheted raffia. The Harmonising Rose and encapsulate simple pleasures. Foundation Cushion Compact Photojournalist and fashion Osmanthus Body Care range The White Tea edt’s ($37 for SPF 35 (£36) will be available photographer Serge Anton (£13-£30) contains four organic 50ml) top notes are Italian in nine shades and comes in worked with the brand on its products designed to soothe the mandarin, clary sage essence, refillable airtight packaging marketing images of the Mikea skin after winter. Primavera says sea breeze accord and Japanese designed to preserve its tribe. the products could help to white fern. The middle notes freshness. The foundation Launch: March reduce broken capillaries and include white tea extract and contains caffeine and lychee to promote cell renewal, while the white iris accord, while the base rejuvenate the skin, and is 3 NUBIAN HERITAGE has osmanthus will moisturise and contains madras wood and tonka infused with moisturisers for a expanded its bath and body improve the complexion. The bean Venezuela absolute. dewy glow. Amy Conway, Bobbi collection into facial care. The range is available online and in Launch: out now Brown make-up artist, advises African Black Facial Care health stores. customers to curve the included collection ($4.99-$16.99) is Launch: out now 7 DOVE has introduced its sponge into a ‘taco shape’ and available online and in Whole DermaCare Scalp Series ($4.99 then apply the foundation in a Foods. Inspired by traditional 5 HEATHCOTE & IVORY has each) to help women combat rolling motion for an even finish. healing philosophies, the range released the Sweet Pea & dandruff. The range’s products Initially available in Selfridges in features US-certified Honeysuckle bath and home aim to moisturise hair while the UK, the foundation will then homeopathic remedies. The collection (£3-£10). The 11-sku ensuring a flake-free scalp. The roll out nationwide. collection is naturally black in range includes body creams, collection includes Pure Daily Launch: March colour, and is designed to bathing flowers and an edt. The Care 2 in 1 and Shampoo; soothe and clear blemishes. The products contain vitamin E, Invigorating Mint 2 in 1 and 2 BAOBAB COLLECTION has African Black Soap Facial Care glycerin and shea butter, as well Shampoo; and Dryness & Itch launched a spring/summer collection is cruelty-free and as patchouli and cactus essential Relief Shampoo and Conditioner. collection inspired by the does not contain parabens, oils. The entire range is free from The line will be available online Madagascan Mikea tribe. A sulfates, phthalates, paraffin, parabens and sulphates. and in US mass retailers percentage of the sales of the mineral oil, petroleum, DEA, Launch: out now Launch: out now premium Mikea candles (£89- synthetic fragrance or artificial Share these stories on £540) will be donated to the colouring. cosmeticsbusiness.com tribespeople whose land is being Launch: out now exploited for rosewood. The brand collaborated with women

5 4

7

1

6

2

3

10 cosmetics business 13 February 2017 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. For the latest opportunities, visit cosmeticsbusiness.com/jobs/jobs_page PEOPLE

GILLETTE has named its first ever eSports athlete, Enrique “xPeke” Cedeño, as its new global ambassador. The P&G-owned brand will be working with the world’s largest eSports event ESL by sponsoring the League of Legends Intel Extreme Masters (IEM) World Championship in Katowice, Poland, later this month. Cedeño is a professional gamer, team owner and former IEM Katowice Most Valuable Player. He will join a long list of acclaimed players to have partnered with the brand, including Roger Federer, Thierry Henry and Tiger Woods. Speaking about his new role, Cedeño said: “I’m happy and humbled to be their first global eSports ambassador and get the chance to show more of the world how much precision eSports requires.” Gillette will offer ESL fans customised 3D printed razor handles at the event, as well as autograph sessions with the ambassador.

ON THE MOVE AT... YSL BEAUTÉ

YSL has appointed Tom Anja Rubik, Crista Cober and Edie an attitude, and that is embedded in the Pecheux as its new Campbell – to create looks for YSL’s beauty colours, the textures and the materials. Global Beauty advertising campaigns. He will collaborate “And I adore that about make-up, to Director. with the brand’s key colour creators on create the tool to make that woman feel The make-up artist has product development, as well as advise good or to feel sublime. I simply do not worked in the beauty customers through expert ‘how-tos’ and understand how one cannot take pleasure in industry for three decades information about the brand’s latest making oneself pretty.” and has created looks for the likes of product innovations. Pecheux’s appointment follows the Chanel, Balmain, Lanvin and Emilio Pucci. Pecheux succeeds Lloyd Simmonds, who announcement last month that Staz Lindes As well as creating runway looks, was at the company for six and a half years. will become the luxury brand’s global Pecheux was previously Make-up Director Stephan Bezy, International General ambassador. Originally signed to the at Estée Lauder. He was also involved in Manager at YSL Beauté, said: “I am company last December, Lindes is a fashion creating the make-up brand and delighted to welcome Tom Pecheux as the model and musician who was the face of Colour Creator, while in 2001 he helped new Global Beauty Director. We are proud Dior’s SS16 campaign. the brand launch its Beauty Navigator. to collaborate with such a talent and YSL called her a “brilliant artist, true to Pecheux has been credited for transforming creative mind.” herself and a symbol of her generation”. Shiseido into a beauty empire. Pecheux said in YSL’s Instagram In his new role, Pecheux will work with announcement: “At Yves Saint Laurent we Share these stories on the other YSL ambassadors – Staz Lindes, aren’t just selling make-up, we are selling cosmeticsbusiness.com

13 February 2017 cosmetics business 11 Copyright © 2017 HPCiMedia. This publication may not be distributed without prior permission. WHAT’S TRENDING?

with solid white respectively. The product can be used in one slick ‘FASHION SWEAT’ LOOKS to achieve a uniquely blurred result every time. Meanwhile, offers its Color in Liquid Lips product in six shades. The SET TO STICK IN BEAUTY product is described as having a ‘cushiony water-sliding texture’. To apply, users can draw the wide side of the waterdrop applicator tip Against all odds, greasy and lived-in make-up is along the lip line, then poke the centre of the lips to encourage the becoming desirable as fitness trend filters through colour to gradate freely, without being controlled. As the trend grows, it seems that South Korean consumers are Over the past year, trends in the food and fitness industries have veering away from perfection and towards individuality through influenced cosmetics as consumers look to buy into the well-being means of ‘going with the flow’, taking direction from their products movement across all areas of their lives. and not the other way around. And if there’s one thing you can be However, if there is one part of healthy living regime that seems, sure of, it’s that avid beauty consumers in the West will already be at first glance, to be an unnatural fit with the beauty industry, it is watching closely. the physical process of sweating. With cosmetics companies historically investing in R&D and “IT’S ALL ABOUT THE WATERY GLOW” basing product lines on consumer desire to banish oil, it may come as a surprise that MAC chose to dedicate an entire section of its “The lived-in make-up trend is huge right now. Trends SS17 lookbook to the theme of ‘wet’. By this, the Estée 2017 is the year for healthy looking skin, with Lauder brand means ‘fashion sweat’, which in itself is meant to be many women wanting to imitate that ‘post an embodiment of words such as grease, humidity and athleticism. workout’ look. Last year we saw a trend for the strobing/highlighting technique, but now it’s all The trend goes beyond skin including other features such as oily about the watery glow. This kind of glow is easily eyelids, blurred lips and wet-look hair. achievable with the right skin care. Opt for hydrating In South Korea, consumers are already well on their way to products to prep the skin. Recently, at New York Fashion Week we mastering fashion sweat thanks to a myriad of specially-designed used Extra Face Oil pressed in on top of make-up. Simply apply a skus. Innovations have so far focused predominantly on lip small amount to the palms of the hands, warm and press around products. Laneige has launched its Two Tone Lip Bar, an ombre the cheeks, forehead and chin. This finish looks so natural and is lipstick with two strikingly different shades in the same bullet. more flattering than shimmer.” Available in 14 variations, two of the skus, Orange Blurring and Amy Conway, Bobbi Brown make-up artist Milk Blurring, feature a bright orange and a fuschia pink paired

12 cosmetics business 13 February 2017