A slowdown in the once revved-up anti-aging segment in the skin care category has brands and retailers looking for more fertile options.
To view the full ECRM Beauty Report, click here.
For the 52-week period ended March 20 in multi-outlets, IRI data revealed overall skin care category sales were down just a little more than 1%. But body anti-aging sales plummeted almost 13%, while facial anti-aging sales took a 6% downturn.
In trying to cite what’s to blame, retailers ticked off everything from the fact that cosmetics integrate more skin care properties into formulas to migration to specialty stories with “cooler” brands. A barrage of independent brands, some with Korean beauty properties, emerged in specialty doors enticing shoppers looking for the next big thing. Some of the compelling lines include GlamGlow (which Estee Lauder acquired), Peter Thomas Roth, Algenist, Dr. Dennis Gross and Tata Harper. Unilever likes specialty skin care so much that the company acquired Kate Somerville, Ren and Demalogica last year.
Korean skin care has been such a torrid growth sector that Peach & Lilly, which originally was an online website selling Korean beauty products, not only opened up a shop within a New York City Macy’s location, but also has developed its first own brand — a collection of sheet masks.
Seeking opportunities, mass market retailers are playing up the logical link between the healthy image of their stores and the burgeoning natural skin care arena, as well as therapeutic skin care.
Rite Aid, is embracing natural skin care with a line that, among other attributes, can be used by those suffering from celiac disease. The chain recently added Éclair Naturals, an American-made line of body care products that are non-GMO verified, gluten-free, soy-free, cruelty-free and vegan. It is a far cry, however, from the “crunchy granola” natural lines of the past — call it luxurious and green.
“We’re always looking for new and innovative products to offer our customers, especially in beauty and skin care, as they continue to travel their own unique road to wellness,” noted Cathy Furtado, Rite Aid’s category manager. “Éclair Naturals is a first-of-its-kind skin care line for us to offer, and we believe our customers will enjoy having the opportunity to purchase a non-GMO verified, gluten-free, soy-free, cruelty-free and vegan product.”
Actress Jennifer Esposito serves as a brand advocate for the products. In addition to being known for her gluten-free baking, she wrote a book about living with celiac disease. “My relationship with Éclair Naturals was a perfect fit. They are a pure and honest company, from their ingredients to their ethos. As a person living with celiac disease, I know firsthand that it’s not just what goes in your body, but what goes on your body that counts,” she said.
Éclair Naturals founder John Matise said that while millennials “get the line,” he thinks more and more consumers realize that they don’t need chemicals. “Your average mass market consumer is starting to realize that there are wonderful natural products, and you don’t have to sacrifice quality to make smart choices for the environment.” The line also is sold at H-E-B and Target.com.
One of the first brands at mass to truly bring natural with a hip attitude to chains was Yes To. While exhibiting dynamic growth over the years, the brand is now being revived under the eye of CEO Ingrid Jackel. In less than eight months, she’s embraced a fresh start with a brand that has “amazing DNA.” Her first moves included new creative advertising, showing it is one of the only brands in the natural beauty category that is fun and green. “I like brands with souls, and I saw that in this brand. With love, passion and a lot of work, this can be great. The natural phenomenon is exploding. We’ve seen it coming, but it hadn’t taken yet,” Jackel said.
She said it helps that the target market, millennials, are shopping in the stores now. “We have the right kind of consumer that is attracted to the natural category,” she said. Yes To will unveil several new products in the second half of the year to bring back innovation to the brand, especially in wipes, masks and charcoal. Also adding to acceptance, Jackel noted, is the improvement in performance of natural. “There are better ingredients that can work as well as chemicals, ” she said.
Skinfix is another brand on the move. Known for its dermatologist-recommended and natural ingredients, the brand has nabbed prime real estate in major chains. In addition to “beautiful” skin care, such as foaming oil cleanser, hydrating lotions and brightening eye creams, the brand has serious skin care products, such as its eczema regimen.
With interest in other areas of skin care, the big brands haven’t given up on what was once the growth engine — premium facial skin care. L’Oréal’s Garnier just signed on Molly Sims as a lifestyle expert for its SkinActive line. The SkinActive lineup includes micellar cleansing waters, which help lift dirt and oil. Sims said she’s been a loyalist of micellar waters for many years, since her modeling career. SkinActive, which launched in January, also features brightening moisturizers, anti-aging moisturizers, BB creams, basic moisturizers and cleansers. Garnier’s website features a problem-and-solution tool for consumers to discover the right product for a particular issue, such as dark spots or wrinkles.
And Procter & Gamble is dedicated to reviving the robust growth of its Olay franchise, but cutting out nonproductive line extensions with a goal of getting back to its heritage.