BEAUTY CARE

What’s Next: Becoming a fast-growing indie beauty brand

BY Lonni Delane

When a product or an idea catches on with a national audience and goes from nothing to something very quickly, some might say it’s like catching lightning in a bottle. In 2014, there was an awful lot of lightning being caught in the beauty market. According to Kline & Co., several privately owned indie brands have experienced massive growth in the double and triple digits at nearly five times the market average. Among the brands cited as most buyable are ELF cosmetics, Anastasia of Beverly Hills, eos and Hello Products. Over the past several years, they have come to have the same familiar presence in the beauty aisles as brands owned by such larger corporations as P&G and Unilever. So, how are so many private brands getting a piece of the action?

Kline explores this question in its marketing report “Beauty’s Most Buyable Brands.” Social media marketing is one of the biggest factors, allowing brands to compete with the marketing budgets of the big players. These superstar indie brands also tend to target niche markets, like the brand Anastasia of Beverly Hills. Anastasia practically created a market where one didn’t even exist, turning eyebrow grooming from an optional makeup step into a beauty ritual with its own artistry. Its success has had a huge impact on the cosmetics market. According to Mintel, nearly 6% of global eye color cosmetic launches in 2014 were eyebrow products – double the number from 2012 — and 26% of U.S. women use eyebrow makeup.

The report also looked at the trend of intense acquisition that has taken place over the past two years with many indie companies like NYX and Dermalogica being bought out by major corporations. Prior to its acquisition by L’Oréal, NYX was a brand that was typically found in strip mall beauty stores, surrounded by a myriad of cheap, accessible products that were more remarkable for their rock bottom price points than their quality. While NYX has always had a quality product, their marketing also sets them apart.  Even in strip malls, they would have testers for their products built into their POS display. They really separated themselves from the pack by tuning into and capitalizing on the power of social media even before it was really a thing.

“We’ve seen the progression of NYX. They started out just by shipping packages of their pencils to vloggers. Just taking that small step can have a huge impact on the growth of a brand,” said Kelly Alexandre, analyst for Kline & Co.

Kline partnered with Tribe Dynamics to create the report “Beauty’s Most Buyable Brands.”  Tribe Dynamics tracked the earned media value of each of the brands and Kline & Co. analyzed the fastest-growing brands in terms of their product offerings, focus and social media presence. 


What’s Next is a weekly feature of Drug Store News, written by consumer beauty blogger Lonni Delane. The goal is to help give beauty merchants the cutting edge they need to stay ahead of the latest and greatest beauty trends.

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BEAUTY CARE

Shoppers Drug Mart debuts Enhanced beautyBOUTIQUE concept in Ottawa

BY Michael Johnsen

TORONTO – Shoppers Drug Mart on Wednesday unveiled its Enhanced beautyBOUTIQUE at the Rideau Centre in Ottawa.  Featuring 16 prestige brands, this will be the sixth Shoppers Drug Mart location in Canada to offer customers an elevated prestige beauty experience and the first in Ottawa. 
 
The 4,000 square-foot beautyBOUTIQUE features new fixtures, digital signage, enhanced fragrance and skin care areas and provides customers with a differentiated retail environment complemented by a wide assortment of prestigious brands.
 
"Our goal is to offer a unique and inspiring experience leveraging our customer insights in beauty while also integrating emerging customer trends," stated Mike Motz, president, Shoppers Drug Mart. "Shoppers Drug Mart has always pushed the envelope when it comes to the beauty category and as a result we have become the market leader in mass and prestige cosmetics, fragrances and skin care products and the beauty destination of choice for Canadian women."
 
The design was inspired by a gift box and the idea of unravelling a ribbon to reveal the present. The ribbon concept can be seen in the elements of the store design including the digital signage wrapped around the boutique and the finishing elements extending over the fixtures to the ceiling. 
 
"We are thrilled to continue to evolve and enhance our concept by modernizing the fixtures, adapt to changing shopping behaviours, incorporate new communication vehicles like digital signage and grow our brand assortment to include new prestige vendors," said Cathy Masson, VP category management, Shoppers Drug Mart. "We introduced this new concept all while holding true to our principles of knowledgeable and unbiased service in an enjoyable and convenient shopping experience."
 
In addition to a newly designed Enhanced beautyBOUTIQUE, this new store will continue to offer a wide assortment of health, beauty and convenience essentials including the full service pharmacy.
 
 
 
 
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BIOTA Botanicals launches new site, membership program

BY David Salazar

NEW YORK — BIOTA Botanicals announced this week that it had launched its new U.S. website, BiotaUSA.com. The new website is being rolled out alongside a more inse social media strategy from the company on Facebook, Twitter Pinterest and YouTube. 
 
“We’ve always had a direct line with our consumers and BIOTA’s reimagined website and optimized social presence will take this engagement to the next level that includes product announcements special offers and one-on-one interaction,” BIOTA International’s North America general manage John Van Houten said. “This level of personalization will be key to our marketing efforts.”
 
The new website will highlight the company’s Advanced Herbal Care and Proactive Herbal Care products, features hair care tips and offers information about where customers can buy products. Additionally, customers can enroll in BIOTA’s Beautiful Hair membership program, which includes advance information about forthcoming products, home delivery of a three-month supply of products every 90 days and savings of up to 60% on the Advanced Herbal shampoo, conditioner and serum. 
 
“Since introducing the BIOTA brand to the U.S. market in 2011, we’ve worked diligently to build a relationship with our consumers so that we’re sure to be providing the products they want and the service they deserve,” Van Houten said. 
 
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