Jamie Matusow, Editor-in-Chief06.05.15
Bridging the Centuries
Written by Marc Rosen, President and CEO, Marc Rosen Associates—and a member of Beauty Packaging’s Board of Advisors.
Happy Anniversary to Beauty Packaging—1995-2015, bridging both the 20th and 21st centuries. How wonderful to chronicle the best of the last century with millennium generation packaging.
The late ’90s were all about “less is more” with Dr. brands, makeup professionals’ lines and fragrance flankers to beat the band. We all thought that the year 2000 would represent a cataclysmic turning point in consumer tastes and loyalties. In the end it turned out to only magnify both the positive and negative aspirations of our consumer. Pop star fragrances seemed to multiply, in packages as glitzy as the stars themselves. In terms of skin care and makeup, stock packaging manufacturers created amazing collections that enabled both mainstream and entrepreneurial brands to launch new lines.
The recession, which began in 2009, changed consumer buying habits forever, it seems. The “I have to have it” or “darling you must try our latest fragrance” consumer became the “do I really need it” girl!
Now that the economy seems to be improving, how can our marketers and designers re-invent these categories? Energize and inspire the consumer to purchase? Can we shed the greedy flanker course of action to excite the fragrance buyer to try something new? Packaging is the answer. Beauty Packaging is so aptly named! It’s just what the doctor ordered: Beautiful packaging to enthrall the retailers. Build a new generation of consumers to “need” our products, and finally to take the best from the past two decades to re-imagine our future. •
Beauty: 1995-2015—How Things Have Changed!
Written by Karen Grant, Global beauty analyst NPD—and a member of Beauty Packaging’s Board of Advisors
In a very real sense, the state of beauty today was born just about 20 years ago. Isn’t it quite telling that if modern beauty were a person, she or he would be a millennial—ever changing, experimenting and evolving. What has changed? Almost everything.
In beauty retail, the ’90s saw the birth of Specialty Beauty—entirely new retail formats such as Bath and Body Works, Victoria’s Secret Beauty, Sephora and Ulta. Before the birth of Specialty Beauty, beauty selling was owned by mass merchants, drug, grocery, and department stores, which catered to the biggest brands and kept products under lock and key or sealed in packaging. Specialty beauty opened the door to new categories like body sprays and body lotions; to niche brands particularly in skin care and makeup; to a democratized selling experience allowing consumers to touch, test and feel products with or without the aid of a sales associate.
In beauty shopping vehicles, the late ’90s saw the dawn of the Internet—the most significant game changer in the world across industries. While brick-and-mortar stores and traditional media such as television, magazines, newspapers and radio were the sole avenues where consumers could discover what was new or learn about products or brands, the Internet flipped that model on its head. Depending on the category, consumers today may consult 10 sites or more, order a sample box, check blogs or product testimonials, or watch online videos to get product information and/or education. While brick-and-mortar stores still own the largest share of beauty sales and play a very important role in providing the shopping experience of beauty, annual Internet beauty sales grew by double digits while overall brick-and-mortar beauty sales reported flat results.
As far as beauty categories, products and brands, we could write a book on all that has changed. Twenty years ago, fragrance was the largest category of U.S. prestige beauty sales and aromatherapy was the trend to watch in skin care; products like prestige lip gloss, primers, applicator brushes, age specialists serums, flankers and prestige roller balls were virtually unknown; makeup artist and alternative brands in makeup, doctor and natural brands in skin care, and artisanal brands in fragrance were unheard of; and the premium price market did not exist.
Fast forward 20 years to today, and makeup owns the largest share of U.S. prestige beauty sales. Once unheard of product types continue to emerge and are now among the top category movers in makeup, skin care and fragrance. The top selling prestige makeup brand is a makeup artist brand and alternative brands lead makeup growth. Rounding out the top five skin care brands are a natural and a clinical/doctor brand. European designer brands now top the prestige fragrance charts and artisanal brands inspired by perfumers lead growth. Premium products outpace sales performance of their respective categories in fragrance, skin care, and even in makeup, creating an entirely new dimension in pricing opportuniWhat a transformative and momentous 20 years beauty has seen! Instead of growing older, beauty has grown younger, fresher and ever more vibrant. Fasten your seat belts. Thrilling times are yet ahead. •
Packaging for Beauty: Influences and Challenges in the Last 20 Years
Written by Paul McLoughlin, Vice president, creative, Elizabeth Arden—and a member of Beauty Packaging’s Board of Advisors.
Cosmetics packaging has had incredible influences and challenges in the last 20 years. Retail distribution, consumer, technical and economic changes have all influenced packaging and design.
Distribution has blurred in retail categories. Where in the past, packaging would be market-specific for prestige, mass or specialty markets, now many companies are trying to create a global package that crosses all categories. This direction has gained strength in the last 20 years due to retail, production and economic changes.
Just think of the migration of consumers to e-commerce, easy access to products on the Internet as well as QVC, HSN, Sephora, and pop-up stores. Global growth and influences in fragrance and beauty have created a lot of similarities in consumer demands for value, but also unique packaging opportunities for segmented markets. Examples of this are John Varvatos Oud created for the Middle Eastern market and Elizabeth Arden Visible Whitening product line created for the Asian market. As markets strengthen, packaging adapts. All of this has affected the approach and role of packaging, but not the final goal in delivering unique packaging a consumer wants to purchase.
Another big influence is production itself. Twenty years ago, Europe had a dominant percentage of global development and production, but today, look at the growth and dominance of Asia not only as a manufacturing destination but as a market itself. This growth flourished due to lower costs of goods and the interest and desire of companies for external production, lower overhead and inventory.
In addition, retailers’ buying practices have changed, causing a shift in the approach. Where in the past, retailer sell-in required more extensive inventory and product range within a brand, department store launches were more selective, thus creating a longer design and production timeline. Now the demand for speed to market and instant gratification of retailers and consumers has changed the product range, number of launches and life and pulse of a brand.
The flanker has become one of the key results of this demand. Packages are now brands within brands giving retailers and consumers New, New, New. In the past, promotional items filled this need, but the flanker has become an addition to the promotional calendar. Some of the strongest examples of successful lines and their corresponding flankers are Juicy Couture Viva La Juicy, Marc Jacobs Daisy, Marc Jacobs Oh Lola, Marc Jacobs Dot and Ralph Lauren Polo. This trend supports how important packaging is to each product and its dominant role in the success of a brand’s portfolio.
Green or sustainable packaging has had influence in the past 20 years as well, driven by retailers, consumers, economic pressures and government policies. There is no such thing as a completely “green” package. This may affect the approach and development of a package, but the core objective has not changed: function and design. The primary function is to protect product and to entice the consumer to purchase. If that goal fails, there is nothing green about the packaging.
Technology and the evolution in all packaging techniques and materials have been dramatic in the last several years. Examples of this can be seen in perfume bottle decorations from metallization to decorated dip-stick pumps, to innovative cartons and displays. The competition to produce high performing products also has created development of new packages from one-touch dispensing to specific primaries. This focus has strengthened the bond of designer, package development and suppliers in working together to achieve a successful product.
With all the changes in the last 20 years in the fragrance and beauty industry, there is one critical key element that has not changed: the package. It is the presence of the brand. It attracts the consumer to the product. The packaging is often the only contact with the consumer. It is the invitation to the product conveying the DNA of the brand. Whether luxury or mass, using all the best technology on the Internet or in store, in a good or weak global economy, if your package does not attract the consumer, you will not succeed.
CIBS Continues to Unite Beauty Brands with Suppliers
Written by Michael Warford, Director of sales, ABA Packaging Corp
This year marks the 67th year of the Cosmetic Industry Buyers and Suppliers (CIBS) organization. We continue to seek out and provide great events and venues in the Tri-State area where we can welcome the existing and future younger element to our great industry and where our members and guests can meet, network and interact.
We owe our continued success over the last 20 years to the hundreds of volunteers who have given their time and energy unselfishly to support our purpose and our events. Our thanks also go out to employers who have supported members’ participation. We have been fortunate to have great leaders as presidents of the organization since our formation in 1948, and that tradition has continued for the last 20 years as well. Over the last 20 years, our presidents, directors, and committee members have helped CIBS to endure through some of the most profound economic, generational, and operational changes that we have seen in our history.
Scheduled events for 2015 include our annual golf outing in June, the popular Summer Luncheon at the Central Park Boathouse in July, and the Black Tie Holiday Ball being held this year at Cipriani 42nd Street. (Please see www.cibsonline.com for a complete listing of events.)
As we look to the future, CIBS continues to work to attract youth to our industry by awarding multiple scholarships to deserving students annually. In recent years, scholarships have been awarded to students from Rutgers School of Packaging Engineering, FIT School of Packaging Design, and FIT School of Cosmetic and Fragrance Marketing and Management.
CEW Evolves Through the Years
Written by Carlotta Jacobson, President, CEW
Over the past 20 years, Cosmetic Executive Women (CEW) has evolved with the times—and the ever-changing beauty industry it serves.
Manhattan-based CEW, which turned 60 in 2014, now acknowledges everything from the most accomplished leaders in beauty (Achiever Awards) to the best beauty products (Insiders’ Choice Beauty Awards) to up-and-coming talent (Beauty’s Top Talent.) And of course, since CEW’s mission is to develop women professionally, the association’s Beauty Insider Series events, along with Global Trends Forecasting and Newsmaker Forum events, educate the industry about beauty business strategies and the latest trends. (For a full schedule of events/member benefits: cew.org)
Since 2010, men can be members, too, and they now represent about 12% of the total.
Like many industry organizations, CEW has a charitable arm. CEW Foundation runs Cancer and Careers, which was established in 2001, and helps people with cancer work during and after treatment. It is the only organization of its kind. In 2013, Cancer and Careers hit a huge milestone: QVC’s TV show that features donated products from the beauty industry in an effort to raise money for Cancer and Careers, hit $1 million.
Millennials are absolutely making waves in the beauty industry, and to make sure the next generation of women leaders are captured, CEW established Career Development Series to target the younger executive, even entry level beauty newbies, with events that include discussions on how to ace an interview, managing up and how to best handle finances.
CEW has also realized the power of collaboration and partnerships in order to give its global member base (8,000+) proprietary information. Over the past several years, partnerships with, for example, The NPD Group, allow CEW to offer members access to its annual Hot Off the Press event, which presents year-end sales results.
At the heart of CEW’s success is its 60-member board, and its chairwoman, Jill Scalamandre, who also is senior vice president of the Philosophy brand and Prestige Skin Care at Coty Inc. Scalamandre, who became chairwoman in 2007, brings her business perspectives to the organization, helping it to frame its strategic plan.
The Future of Beauty: The Next 20 Years and Beyond
Written by Karen Young, CEO, The Young Group
As for “The Future of Beauty,” I would never have accurately predicted we would wash our hair with conditioner, paint our nails with a custom printed film to match a favorite T-shirt, treat our faces with snail slime and shop for beauty products without touching, seeing or smelling them. So I cannot profess to have vision and insights into where we go next. But I do spend an enormous amount of time thinking about it and speaking with clairvoyants who may be one step ahead of the pack. I am happy to share my musing:
—The experience, the products and the communication will all be warmer, friendlier, more interactive and less aggressive. We will stop the attack on wrinkles, spots, sagging skin and acne. We will stop killing germs, scrubbing, scouring and peeling off layers of skin. We will understand that prevention and gentle care are better antidotes for everything, real or imagined. Look at soap 101, Willa, MPWR and Hello Products.
—Smaller, more nimble companies will continue to lead innovation and therefore growth. Not only do they move faster, they are more willing to take risks and—very important—there is likely a real person at the wheel who is insanely passionate about what he or she is doing.
—Color will adjust to light. Cosmetics will stay on till we remove them. Thanks to apps like ShadeScout, if we are not 3D printing our own, we are at least customizing shades.
Creative things are happening: Look at Stiks Cosmetiks and Stowaway Cosmetics.
—Fragrance will be ubiquitous and changeable, based on mood and situation. For inspiration, look at Commodity and The Blend.
—At-home hair color has already been revolutionized, thanks to eSalon and Madison Reed. Next, look for technology that considers the condition of the hair while creating the custom color.
—At some point, SPF will be seamlessly blended into everything, so there is no decision to be made.
—Wearable technology will ping you after too much sun exposure, modulate the level of fragrance applied and revive lip color on command. Bad hair days will be banished because of film polymers, which can be refreshed (or fixed via your personal hair care/stylist robot), and your make up will adjust to changing light and intensify in time for the evening event.
Personally, I can’t wait.
Written by Marc Rosen, President and CEO, Marc Rosen Associates—and a member of Beauty Packaging’s Board of Advisors.
Happy Anniversary to Beauty Packaging—1995-2015, bridging both the 20th and 21st centuries. How wonderful to chronicle the best of the last century with millennium generation packaging.
The late ’90s were all about “less is more” with Dr. brands, makeup professionals’ lines and fragrance flankers to beat the band. We all thought that the year 2000 would represent a cataclysmic turning point in consumer tastes and loyalties. In the end it turned out to only magnify both the positive and negative aspirations of our consumer. Pop star fragrances seemed to multiply, in packages as glitzy as the stars themselves. In terms of skin care and makeup, stock packaging manufacturers created amazing collections that enabled both mainstream and entrepreneurial brands to launch new lines.
The recession, which began in 2009, changed consumer buying habits forever, it seems. The “I have to have it” or “darling you must try our latest fragrance” consumer became the “do I really need it” girl!
Now that the economy seems to be improving, how can our marketers and designers re-invent these categories? Energize and inspire the consumer to purchase? Can we shed the greedy flanker course of action to excite the fragrance buyer to try something new? Packaging is the answer. Beauty Packaging is so aptly named! It’s just what the doctor ordered: Beautiful packaging to enthrall the retailers. Build a new generation of consumers to “need” our products, and finally to take the best from the past two decades to re-imagine our future. •
Beauty: 1995-2015—How Things Have Changed!
Written by Karen Grant, Global beauty analyst NPD—and a member of Beauty Packaging’s Board of Advisors
In a very real sense, the state of beauty today was born just about 20 years ago. Isn’t it quite telling that if modern beauty were a person, she or he would be a millennial—ever changing, experimenting and evolving. What has changed? Almost everything.
In beauty retail, the ’90s saw the birth of Specialty Beauty—entirely new retail formats such as Bath and Body Works, Victoria’s Secret Beauty, Sephora and Ulta. Before the birth of Specialty Beauty, beauty selling was owned by mass merchants, drug, grocery, and department stores, which catered to the biggest brands and kept products under lock and key or sealed in packaging. Specialty beauty opened the door to new categories like body sprays and body lotions; to niche brands particularly in skin care and makeup; to a democratized selling experience allowing consumers to touch, test and feel products with or without the aid of a sales associate.
In beauty shopping vehicles, the late ’90s saw the dawn of the Internet—the most significant game changer in the world across industries. While brick-and-mortar stores and traditional media such as television, magazines, newspapers and radio were the sole avenues where consumers could discover what was new or learn about products or brands, the Internet flipped that model on its head. Depending on the category, consumers today may consult 10 sites or more, order a sample box, check blogs or product testimonials, or watch online videos to get product information and/or education. While brick-and-mortar stores still own the largest share of beauty sales and play a very important role in providing the shopping experience of beauty, annual Internet beauty sales grew by double digits while overall brick-and-mortar beauty sales reported flat results.
As far as beauty categories, products and brands, we could write a book on all that has changed. Twenty years ago, fragrance was the largest category of U.S. prestige beauty sales and aromatherapy was the trend to watch in skin care; products like prestige lip gloss, primers, applicator brushes, age specialists serums, flankers and prestige roller balls were virtually unknown; makeup artist and alternative brands in makeup, doctor and natural brands in skin care, and artisanal brands in fragrance were unheard of; and the premium price market did not exist.
Fast forward 20 years to today, and makeup owns the largest share of U.S. prestige beauty sales. Once unheard of product types continue to emerge and are now among the top category movers in makeup, skin care and fragrance. The top selling prestige makeup brand is a makeup artist brand and alternative brands lead makeup growth. Rounding out the top five skin care brands are a natural and a clinical/doctor brand. European designer brands now top the prestige fragrance charts and artisanal brands inspired by perfumers lead growth. Premium products outpace sales performance of their respective categories in fragrance, skin care, and even in makeup, creating an entirely new dimension in pricing opportuniWhat a transformative and momentous 20 years beauty has seen! Instead of growing older, beauty has grown younger, fresher and ever more vibrant. Fasten your seat belts. Thrilling times are yet ahead. •
Packaging for Beauty: Influences and Challenges in the Last 20 Years
Written by Paul McLoughlin, Vice president, creative, Elizabeth Arden—and a member of Beauty Packaging’s Board of Advisors.
Cosmetics packaging has had incredible influences and challenges in the last 20 years. Retail distribution, consumer, technical and economic changes have all influenced packaging and design.
Distribution has blurred in retail categories. Where in the past, packaging would be market-specific for prestige, mass or specialty markets, now many companies are trying to create a global package that crosses all categories. This direction has gained strength in the last 20 years due to retail, production and economic changes.
Just think of the migration of consumers to e-commerce, easy access to products on the Internet as well as QVC, HSN, Sephora, and pop-up stores. Global growth and influences in fragrance and beauty have created a lot of similarities in consumer demands for value, but also unique packaging opportunities for segmented markets. Examples of this are John Varvatos Oud created for the Middle Eastern market and Elizabeth Arden Visible Whitening product line created for the Asian market. As markets strengthen, packaging adapts. All of this has affected the approach and role of packaging, but not the final goal in delivering unique packaging a consumer wants to purchase.
Another big influence is production itself. Twenty years ago, Europe had a dominant percentage of global development and production, but today, look at the growth and dominance of Asia not only as a manufacturing destination but as a market itself. This growth flourished due to lower costs of goods and the interest and desire of companies for external production, lower overhead and inventory.
In addition, retailers’ buying practices have changed, causing a shift in the approach. Where in the past, retailer sell-in required more extensive inventory and product range within a brand, department store launches were more selective, thus creating a longer design and production timeline. Now the demand for speed to market and instant gratification of retailers and consumers has changed the product range, number of launches and life and pulse of a brand.
The flanker has become one of the key results of this demand. Packages are now brands within brands giving retailers and consumers New, New, New. In the past, promotional items filled this need, but the flanker has become an addition to the promotional calendar. Some of the strongest examples of successful lines and their corresponding flankers are Juicy Couture Viva La Juicy, Marc Jacobs Daisy, Marc Jacobs Oh Lola, Marc Jacobs Dot and Ralph Lauren Polo. This trend supports how important packaging is to each product and its dominant role in the success of a brand’s portfolio.
Green or sustainable packaging has had influence in the past 20 years as well, driven by retailers, consumers, economic pressures and government policies. There is no such thing as a completely “green” package. This may affect the approach and development of a package, but the core objective has not changed: function and design. The primary function is to protect product and to entice the consumer to purchase. If that goal fails, there is nothing green about the packaging.
Technology and the evolution in all packaging techniques and materials have been dramatic in the last several years. Examples of this can be seen in perfume bottle decorations from metallization to decorated dip-stick pumps, to innovative cartons and displays. The competition to produce high performing products also has created development of new packages from one-touch dispensing to specific primaries. This focus has strengthened the bond of designer, package development and suppliers in working together to achieve a successful product.
With all the changes in the last 20 years in the fragrance and beauty industry, there is one critical key element that has not changed: the package. It is the presence of the brand. It attracts the consumer to the product. The packaging is often the only contact with the consumer. It is the invitation to the product conveying the DNA of the brand. Whether luxury or mass, using all the best technology on the Internet or in store, in a good or weak global economy, if your package does not attract the consumer, you will not succeed.
CIBS Continues to Unite Beauty Brands with Suppliers
Written by Michael Warford, Director of sales, ABA Packaging Corp
This year marks the 67th year of the Cosmetic Industry Buyers and Suppliers (CIBS) organization. We continue to seek out and provide great events and venues in the Tri-State area where we can welcome the existing and future younger element to our great industry and where our members and guests can meet, network and interact.
We owe our continued success over the last 20 years to the hundreds of volunteers who have given their time and energy unselfishly to support our purpose and our events. Our thanks also go out to employers who have supported members’ participation. We have been fortunate to have great leaders as presidents of the organization since our formation in 1948, and that tradition has continued for the last 20 years as well. Over the last 20 years, our presidents, directors, and committee members have helped CIBS to endure through some of the most profound economic, generational, and operational changes that we have seen in our history.
Scheduled events for 2015 include our annual golf outing in June, the popular Summer Luncheon at the Central Park Boathouse in July, and the Black Tie Holiday Ball being held this year at Cipriani 42nd Street. (Please see www.cibsonline.com for a complete listing of events.)
As we look to the future, CIBS continues to work to attract youth to our industry by awarding multiple scholarships to deserving students annually. In recent years, scholarships have been awarded to students from Rutgers School of Packaging Engineering, FIT School of Packaging Design, and FIT School of Cosmetic and Fragrance Marketing and Management.
CEW Evolves Through the Years
Written by Carlotta Jacobson, President, CEW
Over the past 20 years, Cosmetic Executive Women (CEW) has evolved with the times—and the ever-changing beauty industry it serves.
Manhattan-based CEW, which turned 60 in 2014, now acknowledges everything from the most accomplished leaders in beauty (Achiever Awards) to the best beauty products (Insiders’ Choice Beauty Awards) to up-and-coming talent (Beauty’s Top Talent.) And of course, since CEW’s mission is to develop women professionally, the association’s Beauty Insider Series events, along with Global Trends Forecasting and Newsmaker Forum events, educate the industry about beauty business strategies and the latest trends. (For a full schedule of events/member benefits: cew.org)
Since 2010, men can be members, too, and they now represent about 12% of the total.
Like many industry organizations, CEW has a charitable arm. CEW Foundation runs Cancer and Careers, which was established in 2001, and helps people with cancer work during and after treatment. It is the only organization of its kind. In 2013, Cancer and Careers hit a huge milestone: QVC’s TV show that features donated products from the beauty industry in an effort to raise money for Cancer and Careers, hit $1 million.
Millennials are absolutely making waves in the beauty industry, and to make sure the next generation of women leaders are captured, CEW established Career Development Series to target the younger executive, even entry level beauty newbies, with events that include discussions on how to ace an interview, managing up and how to best handle finances.
CEW has also realized the power of collaboration and partnerships in order to give its global member base (8,000+) proprietary information. Over the past several years, partnerships with, for example, The NPD Group, allow CEW to offer members access to its annual Hot Off the Press event, which presents year-end sales results.
At the heart of CEW’s success is its 60-member board, and its chairwoman, Jill Scalamandre, who also is senior vice president of the Philosophy brand and Prestige Skin Care at Coty Inc. Scalamandre, who became chairwoman in 2007, brings her business perspectives to the organization, helping it to frame its strategic plan.
The Future of Beauty: The Next 20 Years and Beyond
Written by Karen Young, CEO, The Young Group
As for “The Future of Beauty,” I would never have accurately predicted we would wash our hair with conditioner, paint our nails with a custom printed film to match a favorite T-shirt, treat our faces with snail slime and shop for beauty products without touching, seeing or smelling them. So I cannot profess to have vision and insights into where we go next. But I do spend an enormous amount of time thinking about it and speaking with clairvoyants who may be one step ahead of the pack. I am happy to share my musing:
—The experience, the products and the communication will all be warmer, friendlier, more interactive and less aggressive. We will stop the attack on wrinkles, spots, sagging skin and acne. We will stop killing germs, scrubbing, scouring and peeling off layers of skin. We will understand that prevention and gentle care are better antidotes for everything, real or imagined. Look at soap 101, Willa, MPWR and Hello Products.
—Smaller, more nimble companies will continue to lead innovation and therefore growth. Not only do they move faster, they are more willing to take risks and—very important—there is likely a real person at the wheel who is insanely passionate about what he or she is doing.
—Color will adjust to light. Cosmetics will stay on till we remove them. Thanks to apps like ShadeScout, if we are not 3D printing our own, we are at least customizing shades.
Creative things are happening: Look at Stiks Cosmetiks and Stowaway Cosmetics.
—Fragrance will be ubiquitous and changeable, based on mood and situation. For inspiration, look at Commodity and The Blend.
—At-home hair color has already been revolutionized, thanks to eSalon and Madison Reed. Next, look for technology that considers the condition of the hair while creating the custom color.
—At some point, SPF will be seamlessly blended into everything, so there is no decision to be made.
—Wearable technology will ping you after too much sun exposure, modulate the level of fragrance applied and revive lip color on command. Bad hair days will be banished because of film polymers, which can be refreshed (or fixed via your personal hair care/stylist robot), and your make up will adjust to changing light and intensify in time for the evening event.
Personally, I can’t wait.