01.25.10
Dollars and Scents
Caught in a quandary, the fragrance industry must carefully balance slowing sales performance with the public’s insatiable desire for new launches. Innovative packaging holds the key.
Arkay teamed with the John Varvatos brand to create boxes utilizing Arkay’s Touch technique. |
By Leah Genuario, Contributing Editor
The U.S. fragrance industry is a $5.6 billion industry, according to 2008 figures from Euromonitor International. Despite its healthy size, this beauty sector has seen sizeable declines over recent years, shrinking 5% in current value in 2008.
Recessionary economics is not the only culprit (although it is still a major threat); Euromonitor International cites less popularity among Americans, reduced “mystique” and increased competition from scented toiletries, forecasting these factors will continue to weigh heavily on the segment.
Some factors affecting sales are easier for the industry to control. Industry analysts note the 7% decline in premium men’s fragrance, partly attributing the dismal performance “to the fact that there were fewer new launches in 2008 and 2007,” says Euromonitor International. Launches in the men’s segment continued to dip, with 60 men’s launches in 2009 compared to 90 in 2008, according to The Fragrance Foundation.
Caught in a quandary, the fragrance industry must carefully balance slowing sales performance with the public’s insatiable desire for new launches.
At The Fragrance Foundation’s State of the Industry lunch in November, Susan Babinsky, senior vice president of consumer products, Kline Management Consulting & Marketing Research Group, offered advice to the industry. Her company’s research uncovered ideals that have successfully excited and tempted fragrance consumers. Among them, she offered examples of successful brands providing the “the tried and true, special and new, and value too.”
According to Euromonitor, the top sellers in the premium segment—which accounts for 79% of all fragrance sales—were classic, well-established fragrances such as Chanel No. 5, Beautiful and Eternity for Men.
Brand loyalty is especially noteworthy among older consumers, while “the younger generation seeks out new scents.” Euromonitor reports that company activity will focus on new scents.
In a paradox, both tried and true fragrances and new fragrances drive sales. The new fragrances, competing among hundreds of other new launches, face the toughest battle, making innovation a key component of success.
“As to packaging, we have definitely seen a move toward more creative, fun, as well as luxury packaging to entice consumers,” says Rochelle Bloom, president, The Fragrance Foundation, New York, NY.
She adds, “For a few years, packaging took a more minimal approach, both for the outer packaging and the actual bottles, but now we are seeing a much more inventive design approach that reflects and showcases the perfume’s personality, style and vibe.It’s all about enticing the consumer to the counter, and packaging is the first thing that draws their attention and lures them closer.”
DKNY’s fragrances look extra delicious in boxes enhanced by Arkay’s Spectrum technology. |
Packaging Innovation: Materials
How can packaging effectively capture a consumer’s attention? “Today’s consumer has more of a dating relationship with their fragrances. Like anyone looking to gain the attraction of someone on a first date, fragrances are now getting dressed up,” explains Scott Kestenbaum, VP marketing for Maesa Group, New York, NY.
Fragrances dress for success in several ways. Many suppliers are noting an uptick in the use of unusual materials, both in primary and secondary fragrance packages.
Rigid gift set packaging provider Knoll Printing & Packaging, Inc., Syosset, NY, sees a rise in the use of “very upscale materials,” observes Joanna Sasso, VP of operations. Among them, she notes high-quality faux suede and leather, Mylar with liquid embossing, fabrics and pearlescent materials.
The trend also extends into primary packaging. Eric Bigotte, executive vice president sales and marketing, Jackel US, with a location in Hillsborough, NJ, and showroom in New York, NY, sees brands mixing materials, pairing, for example, metal with suede-like fabric.
A good example of innovation through material selection is John Varvatos’ Artisan fragrance. The fragrance is fully encased in a hand-woven, rattan material in a rich, caramel color and paired with an antiqued metal cap with a debossed logo. While it shares a silhouette with the Classic and Vintage fragrances, the rattan texture sets the Artisan fragrance apart.
Metal looks have seen a resurgence in the premium market, notes Olivier De-Saignes, operational marketing director, Alcan Packaging Beauty, including the use of aluminum screed, galvanization and metallization. As an example, Guerlain tapped Alcan Packaging Beauty for its Homme fragrance, which features a plate that has been white-bronze galvanized inside and out for visibility through every angle of the bottle.
In Shape
John Varvatos Artisan differentiates through use of texture. |
Jackel collaborated on the innovative Lola, Marc Jacobs fragrance. Its seven-piece cap, shaped like a multicolored flower, features soft plastic parts fixed to a base. The entire ensemble resembles a fresh bouquet held in a vase.
Other packaging suppliers share similar observations on the evolution of fragrance packaging shapes. “Bottles are becoming more detailed and extravagant. Our [rigid box] structural designs have become more challenging and far from the classic, machine-made box and cover,” adds Sasso.
“There was a time when everybody used the same stock items. Not anymore. Customers want to offer unique products and don’t mind investing in molds and dies,” says Pierre-Yves Azuelos, owner of Dapy Paris, headquartered in Puteaux La Defense, France. “I feel a return to asymmetry and more wavy lines.”
Dapy Paris also notes a trend in leveraging transparency, reflection and light. Speaking to this trend, the company recently created a factice for Michael Kors, Very Hollywood in transparent acrylic. The bottle calls to mind the light flashes from paparazzi.
Color the Lines
Color also introduces an additional element of design. “A decade ago, a typical fragrance counter was a homogenous collage of clear, naked glass. Today’s counters are a lot more dynamic in terms of shapes, colors and materials,” says Kestenbaum. “Package designers used to think of the glass itself as the art. We now think of the glass as the canvas.”
Ed Hardy fragrances, for example, feature glass covered with the designer’s signature tattoo art. Coty’s Harajuku Lovers collection conceals the glass entirely to showcase a doll-shaped overcap.
Sasso of Knoll Packaging observes that color is an effective way to gain a competitive advantage. “The use of bold colors and metallics engages the consumer’s sensory appeal and contributes to brand identity,” she says.
New technologies increase the depth and range of color available to brand marketers. For secondary packages, folding carton supplier Arkay Packaging, Roanoke, VA, offers Spectrum. Spectrum is a printing process leveraging UV ink and newly developed pigments to expand the CMYK color gamut to nearly the full RGB range. The result, says the company, is a richer, deeper color reproduction than what can be obtained with conventional four-color process.
Fragrance brands aren’t only appealing to visual senses. In response to demand for sensory branding, Arkay Packaging is also offering Touch, a new aqueous coating producing a soft and yielding surface. The eco-friendly, ultra-matte texture simulates the effect of matte film lamination for a distinctive touch.
Portability
The Usher VIP fragrance bottle, produced by SGD, makes a strong design statement with its cognac-inspired bottle and eye-catching plaque. |
“We are seeing a trend emerging which is sort of a crossover into the world of cosmetics,” says Rebecca Goswell, global creative director, HCT Packaging, London. “As more and more primary packs are becoming heavy and ornate, with intricate and decorative sculpted packs, we are predicting a push for ‘satellite packaging.’”
Goswell describes satellite packaging as “smaller scale,” “portable and refillable,” but “linked to the brand by use of material and aesthetic design.” Examples include refillable, liquid vials or solid versions of the main scent that “can be slipped into pockets or handbags for reapplying fragrance on-the-go, much as one uses a lipstick or pressed powder compact,” says Goswell.
Euromonitor International has also recognized the portability trend. “Restrictions on traveling with liquids, as well as busy lifestyles, are likely to prompt manufacturers to introduce more portable items, such as rollerball pens and fragrance solids for air travel and the gym,” according to its report on U.S. fragrances.
Maesa reports a surge in solid fragrance rings and accessories in 2009. “Marketers increasingly cater to today’s on-the-go consumer by unveiling more portable versions of their fragrances—in the form of both travel atomizers and solid fragrances.We’ve noticed a significant uptick in the requests for solid fragrance perfume packages—which blur the fine line between beauty and fashion—often taking the form of rings, necklaces, or other decorative accessories,” says Kestenbaum.
Among its solid fragrance projects, Maesa recently produced, turnkey, the Leslie Blodgett Bare Skin solid perfume compact. Leslie Blodgett, the icon behind the Bare Escentuals brand, is introducing her collection of fragrances exclusively for Sephora. The solid perfume package was inspired by one of Leslie’s traditional timepieces. The package—a five-piece, custom zamac design—is powder-coated and tumbled to give it an antiqued look.
Jackel has recently launched its Clip Line of products. Although a new standard range touted mainly for cosmetics, the compact can be tapped for solid fragrances too. Among the interesting design elements, the range features a clip to affix the product to a handbag or pocket.
Maesa Group worked with Leslie Blodgett to release a solid fragrance compact inspired by a timepiece. |
You’re Special
According to Euromonitor’s report, “The increased incorporation of scents into everything from soaps to laundry detergents to hand dishwashing liquids, and the availability of premium fragrances in numerous outlets, from club stores to street vendors, has served to make fragrance less “special” to many consumers.”
So how can fragrance brands still capture “special?”
The Usher VIP fragrance bottle accomplishes this through packaging design. Produced by SGD’s glass factory in Covington, GA, the heavyweight bottle is a crystal orb “inspired by fine cognac bottles,” says Shéhérazade Chamlou, VP sales and marketing, SGD North America. A plaque, glued on the bottle at the SGD decoration facility in Sparta, GA, communicates the brand’s signature style.
“The weight of this bottle and the presence of a strong design element give this launch firepower to break through the clutter,” adds Chamlou.
In another prime example, Givenchy Play connects with consumers in an interactive way, offering a primary package designed after today’s portable multimedia devices. Alcan Packaging Beauty teamed with Givenchy for the launch. The four-part cap gains its innovative look and feel through several different technologies.
A moldflow simulation enabled Alcan Packaging Beauty to determine the exact point for injecting the cap material, eliminating visible gluing lines. The cap is overmolded with a black, matte, plastic strip with a soft touch. Its two-part pump cover features a colored polypropylene and soft material bi-injected actuator cover with a rubber feel, as well as an inner band made from colored polyoxymethylene.
The Foreverlily fragrance is inspired by a real-life story. |
“For us, the package is extremely important for another reason: We have a story to tell,” says Beth Nonte Russell, the founder.Since our fragrance was inspired by a book and a true-life story, the package serves as a bridge between the book and the perfume.”
The outer package opens like doors to dramatically reveal the fragrance. Among many innovative packaging highlights, the eye is immediately drawn to the custom, clear acrylic cap, which calls to mind an abstract lily and is designed to convey the energy of love moving up and out of the heart.
“Like the real-life experience that inspired it, the packaging is unique and special and is meant to be cherished,” shares Russell. “We wanted a package and bottle that would convey a sense of ‘forever;’ something you would not throw away.”-
