BEAUTY CARE

Club retailers to see higher growth over next three years, Deloitte study finds

BY Alaric DeArment

NEW YORK — Club retailers could be in for a good time over the next three years, according to a new study.

The study, by Deloitte, found that consumer products executives expect growth through warehouse club retailers to outpace those of other retail channels, including mass merchandise, supermarkets and online retail.

According to the study, for which Deloitte polled 79 consumer packaged goods manufacturers and 53 retailers between Oct. 30 and Nov. 6, 2012, 89% of consumer packaged good executives expect their company’s sales through warehouse retailers to increase during the next three years, while 49% expect to see such an increase in grocery channel sales, and 18% expect to see sales in the grocery channel decline.

"Consumer products companies are responding to the increased sales and branding opportunities in the warehouse club channel, particularly in expanding segments traditionally dominated by grocery and mass merchandise channels," Deloitte vice chairman and consumer products leader Pat Conroy said. "Club retailers have been remodeling existing stores, including allocating more space for food, particularly organic, healthy and fresh offerings, and personal care products. These retailers also continue to provide a variety of services and benefits to members, whether it is for personal consumption or for the members’ business."

Seventy-nine percent of those surveyed expected warehouse clubs to increase the number of food, household goods and personal care product SKUs, while 75% expect them to increase their geographic presence and add space allocated to health and wellness products. In addition, many executives said club stores were increasing their appeal to a wider array of consumers, with 77% saying members make more trips, 78% saying they spend more and 63% saying consumers find the stores more appealing than three years ago. The stores are most frequented by affluent and high-income consumers, with 46% of respondents saying they themselves shopped at the stores, and 71% of those making more than $100,000 in household income saying the same.

"Unlike past recessions, where consumers eventually returned to their previous shopping habits, this recession left a scar, not a bruise, and consumers remain hesitant to break from their cost-conscious routines," Conroy said. "Economic uncertainty and consumers’ focus on value has made club stores a more important channel for many consumers, including those who are at the higher end of the income scale and represent a more lucrative target customer for retail and consumer products brands."

Seventy-one percent of surveyed executives said pricing differences between warehouse club products would increase conflicts with traditional supermarkets and mass merchandisers, while 53% of consumer packaged goods executives said they viewed sales to the warehouse club channel completely or primarily as a shift from other channels like grocery and mass merchandisers.

 

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Alterna Haircare announces actress Katie Holmes as global spokesperson, co-owner

BY Antoinette Alexander

NEW YORK — Alterna Haircare, whose products are sold at Sephora and Ulta, Sephora.com, Ulta.com, Beauty.com, QVC and salons, announced on Tuesday its official partnership with actress and entrepreneur Katie Holmes as co-owner and first-ever celebrity spokesperson.

Launched in 1997 and now owned by TSG Consumer Partners, Alterna has been recognized by beauty and industry insiders for cutting-edge formulations that are “free of” harsh chemicals and formulated with globally-sourced, often sustainable, and organic ingredients.  

Over the course of her multi-year relationship with Alterna, Holmes will be sharing her creative and consumer insights to help the brand continue to grow and expand its consumer following around the world, as well as inspire salon and retail partners.

Consumers will get their first glimpse at the partnership with the Spring 2013 integrated marketing campaign, which will appear in March women’s beauty, lifestyle and salon trade publications. This will be the largest ad campaign for the company since its inception.

In support of the campaign, Alterna will be distributing product samples and merchandising materials featuring the campaign image globally across all of Alterna’s distribution channels, including salons, specialty beauty retailers (Sephora, Ulta, select Nordstrom, Douglas) and all e-commerce outlets, including the brand’s own e-commerce site slated to launch in February 2013.


 

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Schick expands portfolio with new disposable razors for men, women

BY Antoinette Alexander

SHELTON, Conn. — Schick, an Energizer Personal Care brand, is expanding the Schick Hydro franchise of razors with the launch of new Schick Hydro 5 disposables and Schick Hydro Silk disposables.

Introduced in 2010, the Schick Hydro razor offered the first-of-its-kind technology. Available in three- and five-blade options, Schick Hydro utilizes technology including skin guards, a flip trimmer on the five-blade razor, an ergonomic handle and a hydrating gel reservoir to provide hydration throughout each shave. In 2012 the Schick Hydro Power Select, a powered wet shave razor, became available on the market offering a major advancement in men’s grooming.  The brand expanded with the launch of Schick Hydro Silk for women, a razor built upon the technology of the Schick Hydro brand. Using water-activated moisturizing serum, the Schick Hydro Silk razor hydrates skin to help replenish moisture shaving can take away.

With the introduction of the disposables line, Schick Hydro and Schick Hydro Silk promises to continue to innovate the category. These disposable razors hydrate skin throughout each shave and help protect skin from irritation. Schick Hydro 5 Disposables and Schick Hydro Silk Disposables come with a money-back guarantee and provide a shave that feels like a brand new disposable each time, the company stated.

Schick Hydro 5 Disposables razors feature technology designed to combat irritation and hydrate the skin throughout each shave with the following innovations:

  • Water-activated gel reservoir hydrates skin throughout each shave, helping to reduce friction and irritation;
  • Five blades with skin guards smooth skin while doubling the points of contact between the blades and the skin, for less irritation;
  • Flip trimmer flips back allowing all five blades to help trim tight spaces; and
  • Ergonomically-designed rubber grip handle for optimal control and performance.

Schick Hydro Silk disposables bring the technology of the Schick Hydro Silk razor into a disposable format, offering the following shave benefits:

  • Water-Activated moisturizing serum hydrates throughout each shave and for up to two hours to help replenish skin’s natural moisture;
  • Five curve-sensing blades deliver a close shave and glides over a woman’s curves;
  • Skin guards smooth the skin while shaving helping to protect from irritation; 
  • Compact oval cartridge shape fits easily into hard to reach areas and allows for easy maneuvering over a woman’s contours and curves; and
  • Ergonomic and soft disposable handle designed and optimized to provide a comfortable shave.

The Schick Hydro 5 disposables and Schick Hydro Silk disposables will be available beginning February 2013.


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