Value, demos make up sales in cosmetics
The cosmetics segment has been on the upswing, and the momentum is likely to continue within the mass market as beauty mavens get increasingly thrifty and do their research when it comes to purchasing makeup.
The cosmetics segments for face (up 4%), lips (up 2.7%) and eyes (up 2%) all experienced a lift for the 52 weeks ended Sept. 4 at food, drug and mass (excluding Walmart), according to data from SymphonyIRI Group.
Going forward, it is likely that sales will remain on the upswing as consumers look to get the best value for their money. In fact, a recently released report from Mintel, a supplier of consumer, product and media intelligence, found that 64% of women in the $100,000 to $149,000 income bracket planned to continue buying some store-brand/private-label color cosmetics and some brand-name color cosmetics. This compares with just 50% of women in the $50,000 to $74,000 income bracket, and 48% in the $75,000 to $99,000 income bracket.
In a separate Mintel report, Kat Fay, senior beauty analyst at Mintel, noted, “Women are really starting to do their research when it comes to making cosmetic and skin care purchases. The days where favorite beauty products were simply automatic replacement purchases are gone.”
To further drive sales, retailers and manufacturers shouldn’t underestimate the power of demos. “In addition to recommendations and advertising, shoppers are influenced by in-store cosmetic demos,” Fay said. “Demos show a product in action, teach shoppers how to properly use an item and allow them to ask pertinent questions. Retailers say demos always spur sales.”
The article above is part of the DSN Category Review Series. For the complete Spring Cosmetics Buy-In Report, including extensive charts, data and more analysis, click here.
ReportersNotebook — Chain Pharmacy, 10/24/11
SUPPLIER NEWS — The Medicines Co. and generic drug maker Teva Pharmaceutical Industries have reached a settlement that will allow Teva to start selling a generic version of one of MDCO’s drugs by the end of the decade. The drug makers announced the settlement in the U.S. District Court for the District of Delaware, whereby Teva can launch a generic version of the injectable anticoagulant drug Angiomax (bivalirudin) in June 2019.
Under the settlement, Teva admits that two patents covering Angiomax are valid, enforceable and would be infringed by Teva’s generic version. The patents are scheduled to expire in July 2028, according to the Food and Drug Administration. MDCO remains in infringement litigation concerning the drug with generic drug makers APP Pharmaceuticals, Hospira, Mylan and Dr. Reddy’s Labs.
Novo Nordisk is seeking approval for two new insulin products, the company said. Novo Nordisk announced that it had filed with the Food and Drug Administration for approval of insulin degludec and a co-formulation of insulin degludec and insulin aspart. The products are insulin analogs developed for the treatment of Type 1 and Type 2 diabetes.
Amneal last month launched its version of an epilepsy treatment. The drug maker said that felbamate tablets are available following approval from the Food and Drug Administration last month. The drug is the first-to-market generic equivalent of Meda Pharmaceuticals’ Felbatol, Amneal said.
The Amneal generic is available in 90-count bottles in 400-mg strength and 90- and 180-count sizes in 600-mg strength, the company said.
Annual U.S. sales of Felbatol totaled $43.7 million, according to IMS Health data.
Mr. Eder goes to Washington
I’m not going to lie about it. The first thing I thought as I checked into the U.S. Capitol on official business to moderate a special Congressional briefing hosted by the American Association of Homeopathic Pharmacists was: “Wow, this is pretty cool.”
Truth is, the American Association of Homeopathic Pharmacists believed that Drug Store News could make some pretty complex ideas understandable for a group of 20-somethings whose job it is to tell 435 members of Congress what to think and how to vote.
What’s easy to understand is that homeopathy is a 200-year-old form of medicine that was discovered by a 19th century German physician who fell into it for much the same reason so many consumers are rediscovering homeopathy today — he was disillusioned with what modern medicine, at the time, had to offer. And, while people today have MUCH better options than, say, bleeding, stories in the consumer press about drug recalls; changes in pediatric dosing; adverse events and side effects; new studies that refute old studies; and possible contamination and counterfeiting, all change the way people think about their options.
According to research conducted by the Deloitte Center for Health Solutions, one-third of Americans give our health system a failing grade as it relates to wellness and prevention. And they are looking at all options to stay ahead of the illness curve. According to Deloitte, in the last year:
- 15% decided NOT to see a doctor when they were sick or hurt, and chose to use an alternative treatment/natural therapy first or instead;
- 4% switched to a provider that incorporated complementary/alternative therapies into his or her practices;
- 14% purchased an OTC instead of filling a prescription — 26% among people without insurance; and
- 13% used some form of CAM in addition to a prescription drug — 8% INSTEAD of filling a prescription.
As our nation shifts from a patient-oriented model to a consumer-directed model where the emphasis is on preventing rather than treating disease, you can expect these trends to continue. That was my message for a room full of 20-somethings whose job it is to tell 435 members of Congress what to think and how to vote on some pretty complex issues — issues like the future of health care. And I’d be lying to you if I didn’t tell you that as I said it, all I could think was, “Wow, this is pretty cool.”
Rob Eder is the editor in chief of The Drug Store News Group, publishers of Drug Store News, DSN Pharmacy Practice, PharmacyTech News, Specialty Pharmacy and Retail Clinician magazines. You can contact him at firstname.lastname@example.org.