Does anyone remember Procter & Gamble’s Reflect?  A 6 year (1999 – 2005), $80 million experiment that provided customized make-up, skincare, haircare and perfume to its customers.  The products were shipped to consumers within 5 days after creation. (Marketing Week) After the company was closed, P&G said it had been an exploratory project to gain insights into consumer preferences. Were they ahead of their time?  Or is customization too challenging to turn a profit?

Let’s take a look at some of the brands that have moved into the customization space since then.

Launched in 2015, Function of Beauty celebrates the consumer with tailor-made, naturally-derived hair care formulas, crafted by in-house chemists and beauty experts. Since launch, they created over 15 million unique, customized products with the capability of creating a unique formula every 15 seconds. This customization includes fragrance, color, size and bottle type. Formulations can change as needs change. “Give us two minutes of your time and we’ll formulate a unique haircare regimen customized just for you.”

Prose launched in 2018 with an AI-powered algorithm to personalize skincare and haircare products and routine, carefully selecting from 185+ clean ingredients. Because every person is one of a kind, Prose is replacing mass-produced with made to order — for truly personalized products and custom care for unique hair and skin needs. As consumer requirements change, Prose will modify the custom formulas accordingly. Building progress into every formula, designed to evolve over time, products are freshly bottled in their Brooklyn factory and customized to the consumer’s life style, zip code and the changing seasons.

Pure Beauty Culture launched in 2020 via an at-home skin test and questionnaire. The company creates custom formulas that consider everything from the consumer’s diet and environment to their genes and skin priorities. They strive to make it easy to build a routine that fits each consumer’s unique lifestyle. They flipped the industry’s standard approach. Instead of starting with a one-size-fits-all product, they start with each client. “You’re more than just your skin type.”

Finnish Tech company Revieve launched in 2022. The company’s proprietary technology is their digital health-beauty-wellness platform, which features easy-to-use self-diagnostic modules. They can personalize search and shopping experiences to deliver targeted products, services and treatments to their clients. Their true-to-life AI and AR try-on platform proves “Beauty is Personal. Unleash the Power to Be Unique.”

Strands is a science-driven, premium, direct-to-consumer brand that launched in 2020, using results of scalp and hair testing to individualize haircare. The Hair Lab, a mass-market offshoot, entered Walmart in 2022. Their latest offspring, The Body Lab, launching shortly in Walmart, is anticipated to do $10 million in their first year.

Thinking through the category of customization on a broader scope brings me to Starbucks. With more than 170,000 ways to customize beverages at Starbucks stores, customers can create a favorite drink that fits their lifestyle. The concept of the “IKEA effect” refers to the psychological phenomenon where individuals place a higher value on products they have partially created or customized themselves. Starbucks expertly capitalizes on this effect by involving customers in the creation process of their drinks. By allowing patrons to customize their beverages down to the smallest detail, Starbucks taps into the innate human desire for autonomy and self-expression. As a result, customers feel a deeper connection to their Starbucks drinks, elevating their perceived value and fostering brand loyalty. By embracing customization as a cornerstone of its brand identity, Starbucks has transformed the coffee-drinking experience into a deeply personal and gratifying ritual for millions of people worldwide.

Back to beauty:

Estimates are all over the board, but the most mentioned number of beauty brands in the United States is about 4300.  I think that’s low…none the less, it’s hard for me to imagine there isn’t already a product on the shelf for every need and preference. Fenty has made 50 foundation shades table stakes!!

Can customization scale, make money, be efficient?  From my perspective, it remains to be seen.  Starbucks, claiming 170,000 variations of their drinks, made customization their mantra.  As we all know, they are now having their own set of issues and one of them is the amount of time baristas spend customizing consumer orders.

Technology is certainly a key element in the future and success of this progression.  Consumers believe customization is critical.  I’ve seen many failed attempts.  More to come for sure.  I can’t wait to see where we’ll be in another 5 years!!

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Trends in Colour Cosmetics

Tracking consumer trends in any category is like forecasting the weather: unpredictable and unreliable! Consumers move in mysterious ways today. While it’s always been true that for every trend there’s a counter trend, that’s never been truer than now!

Still, we continue to look for patterns, behavioural changes and indicators in many consumer categories that may tell us something about where beauty trends are headed.

Those of us who love tracking consumer behaviour will continue to do so. When we’re wrong, we hope no one notices!

What I’m reviewing here is not newly emerging. These directions have staying power and are, I believe, indicators worth exploring.

Colour Cosmetics + Skincare Ingredients

Makeup is increasingly linked to skincare. The demand for products that also demonstrate skin benefits like radiance, hydration, or UV and pollution protection are becoming essential. Foundation seems like the most logical place to start, but it doesn’t stop categories such as blush, brow gel and eye liner from jumping on board.
What we’re seeing is a creation of hybrid products that combine the artistry of makeup with the science of skin care.

Here are a few examples I believe are noteworthy:

Ciele Tint & PROTECT SPF 50+ Tinted Serum Foundation
Jones Road Miracle Balm All-Over Glow (this could also be added to the “Glow” list that follows)
Kosas Revealer Concealer
Chanel N°1 de Chanel Lip and Cheek Balm
Ilia Limitless Lash Mascara
Victoria Beckham Beauty Satin Kajal Liner
Valde Beauty Ritual Creamy Satin Lipstick
Kjaer Weis FeatherTouch Brow Gel

Glisten & Glow

While the pendulum may swing back and forth between radiant and matte, the fact remains, glowing skin is aspirational. Radiant skin looks healthier, younger, more energetic and vibrant. TikTok loves this category because of its powerful visual appeal and attraction.

The entries in this category are substantial. There are few brands without one. This is a random sampling.

RMS Beauty Luminizer The OG glow. It doesn’t get better than this!
Chanel Le Blanc Rosy Light Drops
Kosas Glow I.V. Vitamin-Infused Skin Illuminating Enhancer
Armani Beauty Fluid Sheer Glow Enhancer
Westman Atelier Lit Up Highlighter Sticks

Lash-Out with Colour! Coloured Mascara is having a moment!

Red, pink, yellow, purple, green or blue, lashes have never had such a rainbow of colors to choose from. Like hair color and nail lacquer, there is no limit on the color palette.
Pat McGrath Dark Star Colour Blitz Mascara: red, fuchsia, azure, jade
Kiko Milano Smart Colour Mascara: purple, emerald, bright blue, metallic burgundy
ColourPop BFF Volumizing Mascara: blue, red, green, purple, pink
Chanel Noir Allure: red, orange, lilac

Many brands have jumped in here: Chanel, Valde, Hermès, Fenty Beauty, Dries Van Noten, Hourglass, Dior, Kjaer Weis, Lush and Guerlain.
Anecdotal evidence from beauty influencers and consumer reviews suggests positive reception. Consumers appreciate the ability to reduce waste and often view refillable products as a luxury or premium option. However, I’m not hearing great reviews from suppliers on this topic. It can also be complicated for retailers, forcing them to carry additional inventory. From the few I’ve spoken with, sales are not robust.

As much as the concept feels like the right thing to do, carrying and displaying an expensive lipstick is part of our industry’s DNA. When the case starts to look shop-worn (and they all do after weeks or months in a bag), buying a refill to keep the original case out of landfill is probably unlikely.

The entire refill concept remains controversial. There are experts who say the refills only exacerbate the carbon footprint. The jury is still out.

Hot/Interesting Products

Milk MakeUp really scored on this one. Sticks are hot in all categories and their Cooling Water Jelly Sticks are playful, easy to use and very social media friendly. Lots of press and a quick sell-out!
Milk MakeUp Cooling Water Jelly Tint Sheer Lips & Cheek Stain

Lush Earth Naked Mascara launched last year with an interesting concept. A blend of butters and waxes are moulded into a solid form so no plastic packaging is required. The consumer wets one of the 3 brush choices (no plastic in the brush), twirls it inside the mascara “roll”, picks up the desired amount of product and applies it to lashes. It’s a new gesture that requires a bit of practice, but scores high for innovation.

For the colour crazy beauty consumer, there’s plenty of action and lots to choose from. New textures and delivery systems work their magic and adding a few skin friendly ingredients doesn’t hurt either.

Whether it’s for self-expression, confidence boosting, transformation, mental health “therapy” or just plain fun, there’s nothing that beats make up for a feel-good vibe!

Feeling inspired?

Then why not visit one of the in-cosmetics events around the world?

BROWSE SHOWS

Despite the ever present concern about the economy, American beauty consumers are spending more. They are spending more on prestige products and trading up. There’s a significant “premiumization” of what would normally be considered commodity products:  toothpaste (Aurezzi toothpaste & mouthwash $39 each), deodorants (LeLabo for $37) and household cleaning products.

Dr. Barbara Sturm, DedCool and Bath & Body Works are recent entries in this category. Unilever’s Dove just launched a collection of Plant Based Cleansing Bars in the premium space providing “a new standard for what consumers should expect from a premium bar—an elevated sensorial experience.” As the US accounts for about 25% of the global beauty market, what happens here is important to monitor.

Looking at a few numbers from 2023 (according to Circana), prestige beauty grew 14% to $31.7 billion.  The mass market gained 6%.  In general product categories, lip oils are strong, as is hand soap and scalp care.  Prestige fragrance grew 12% in a small, but star category. Prestige haircare grew 14%. Total US beauty grew 11% on a dollar basis.

Ironically, despite the strength of the prestige market, dupes remain important and compelling. While years ago the “copy” category stayed out of the lime light, brands today shout out their efforts and love flaunting their success stories on social media. E.L.F. has proudly made a name for itself in this category, providing quality “copies” of trending products for a fraction of the retail price.

Large beauty brands continue to search for acquisition opportunities that allow them to move into new spaces and find new customers. There have been several noteworthy acquisitions in recent months:

• Bridgepoint Capital purchased RoC Skincare.
• Shiseido purchased Dr. Dennis Gross Skincare.
• E.L.F. Beauty purchased Naturium Skincare.
• Unilever acquired premium biotech hair care brand K18.
• Puig acquired Dr. Barbara Sturm Skincare.

While Bricks and Mortar retail is still recovering from Covid, finding its way back to health and trying to sort out how to improve the beauty consumer’s in-store experience, the category is showing signs of life.  It remains 75-85% (depending on the category) of the beauty business, a number we often forget with the double digit growth of online shopping in recent years (ecommerce in beauty grew 13.6% in 2023 according to Insider Intelligence).

We know brands perform better and sell more product when they are present in both channels:  online and in-store. For brands to really scale and build brand awareness, that Bricks and Mortar presence is crucial. Technology and AI are moving as fast as they can in the beauty category, but nothing compares to the experience of trying on a red lipstick or spritzing a fragrance in real life!

Social Media and influencers that populate it are major drivers in the US beauty landscape.  Two thirds of beauty shoppers say they turn to influencers to discover new products (Harvard Business School). One-third of beauty consumers interact with brands on social media.(Social Samosa). Four out of five beauty shoppers use Instagram daily (Harvard Business School).  Despite the controversy, the lack of regulatory oversight, and the constantly shifting landscape, the importance of this category in the beauty world cannot be overestimated.

Here’s a quick overview of some of the beauty trends that will impact consumer spending in the category in the US this year:

• The focus on sustainability is here to stay, but consumers won’t pay extra for it (despite what they say).
• Efficacy trumps “clean”. Science is critical and consumers recognize that.
• Premiumization in every category is happening. Despite concerns about the economy (and all the other worries consumers are tracking), beauty is an affordable luxury and a brief escape into self-indulgence.
• Hair and scalp care, niche fragrances, supplements and sexual wellness are categories of potential solid growth.

US consumers have started 2024 over indexing their spending on tech and devices and health and wellness. The beauty industry fits nicely into the second category.  We’re working on it, but we need to up our game in technology.  There’s a lot of it creeping into beauty, but most of it is clunky and awkward.  Lots of room for improvement here.

Our industry is off to a solid start in 2024. We have trained beauty consumers to be constantly on the alert for newness, innovation and bright shiny objects that may be little more than a facelift. The year is just getting started, but there appears to be a substantial quantity of all of these on the beauty horizon. I’m optimistic. Keep the young, upstart brands coming and the established, legacy brands re-inventing themselves. Let retailers continue to create new “experiences” to entice us inside. Who knows where social media will lead us next.  Yes, I’m optimistic.

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It’s been an amazing year for the beauty industry, with fairly solid growth (with only a few bumps and bruises) in most categories.  Consumer interest and engagement remain strong.  Innovative product launches continue to happen. There’s plenty to talk about.

A collection of young brands, in varying stages of development and growth, was selected for review.  They stand out for different reasons. As a marketer and product developer, I’m more focused on marketing positioning and strategy, product offering, innovation and overall story telling ability, than the P&L.

I have met all of the founders and their stories are compelling.  We could all learn from their vision, their perseverance, their courage and their commitment. As I say repeatedly:  this journey is not for the faint of heart!

Saints & Sinners (https://www.realsaintsandsinners.com/ ): An amazing, edgy hair care and hair styling brand that started in the professional category and is moving into the consumer world.  Positioned as a prestige brand, they are high performance products with captivating fragrances, irresistibly packaged.

Diana and Michael Wilson, the duo behind the cult haircare brand, epitomize the perfect harmony of personal and professional lives. Michael’s background in sales and finance meshes perfectly with Diana’s intimate knowledge of the creative process.

Dye Candy (www.dyecandy.com): Moving to another sector of the hair business: Kathryn Madison, a salon professional for many years, felt the at-home hair color experience needed a makeover. She designed her own color applicator, the “Hummingbird,” creating an entirely new gesture for applying color to hair.

Kathryn wanted to put an end to the ketchup-style squirt bottle and replaced it (after many years of development, trial and error) with a user friendly, easy to handle, efficient and beautifully designed alternative.

WowCream (https://wowcream.com):  Austin Nagel, founder of WowCream, found that his busy, on-the-go life style of real estate, extensive travel, husband and father took a toll on his skin health.  His search for solutions sent him on even more journeys.  He discovered the science and precision of Switzerland and connected it to the design aesthetic of Japan.

From this exploration came WowCream:  a high tech, highly efficacious skincare treatment.  Loaded with skin-loving ingredients and thoughtfully packaged to preserve them, Wow Cream is performance driven, science backed, with sophisticated aesthetics.

Clear For Me https://www.clearforme.com/: While not a physical product, this service platform is a game changer.  Sabrina Noorani, the founder, states, “Ingredients are personal. We’re revolutionizing how beauty consumers understand them: how they work, why they’re in your products, what their stories are.”

Born out of Sabrina’s own skin problems, and aided by her experience in data analytics, she began building the constantly-evolving database of over 2 million ingredients. Clear For Me empowers the beauty marketplace to make critical marketing and purchasing decisions, building trust between brands and consumers. The platform includes over 375 brands and beauty retailers.

Pure Heritage Essaouira http://pure-heritage-essaouira.com/en : Created by a Franco Moroccan couple, this brand is the fruit of a passion for the natural and precious products offered in nature and more particularly, the natural cosmetics of Morocco.

Nabila and Sebastien are working closely with women’s cooperatives in Morocco to sustain a source of high quality, plant based oils and perpetuate the know-how of Moroccan Berber women in their rural areas. With several organic certifications, the company is committed to the purest product, as well as preserving the rituals and heritage of the region.

Kate McLeod Body Stone https://www.katemcleod.com/: A pastry chef with dry skin, Kate tried using one of her favorite ingredients, cocoa butter, on her body. The results were transformational. But cocoa butter is rock hard in its natural state. Kate wondered if she could improve the application. She thought about her work with chocolate, went to the kitchen, melted it down and blended in luxurious oils.

After years of perfecting and fine tuning, Body Stone was born. The stone-shaped solid moisturizers contain waterless concentrates of efficacious, natural ingredients that nourish the skin.  Sustainable, plastic-free packaging was the next step.  She and her small team continue to hand pour the stones in their Hudson Valley workshop, committed to pure ingredients and zero waste. 

Lucky Chick https://luckychick.com/ : The brand focuses on connecting with women through color, art and shared experiences. “We celebrate one another and ourselves as we continue along the journey of beauty and self care.”

Stephanie Miklosvary’s inspiration for creating the brand was her mother, Bonnie, an artist, who was successfully treated for breast cancer. During this tenuous and uncertain time, she turned to the grounding and spiritual part of her life: her art. This was her way to soothe and center herself, finding peace and calm. Each day as she painted, her blooms blossomed with joyful colors. Bonnie’s art is featured on Lucky Chick’s website and packaging.

Enjoy exploring the brands and reading their stories. This industry is blessed with inspirational, creative people who are willing to push the boulder up the hill, no matter the weather, because they believe the sun is shining at the top!

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Indie brands now make up about 20% of the total beauty business and they continue to grow.  They are changing the way the industry functions and are very consumer responsive. We know that for every one that survives, there are many who don’t.  McKinsey puts the success rate at 20%. Not great…..

It’s a long, expensive journey with many obstacles scattered along the way. I tell brands it will cost twice what they imagine and require twice the time they think. Yet brands continue to try.  Our industry always makes room for an innovative, fresh approach from a focused, smart brand that ticks all the boxes.

Unique Selling Propositions require discipline. Sorting out distribution (and distributors)–DTC, bricks and mortar, Amazon–is nothing short of a nightmare.

Innovative marketing is critical and often the unexpected and unplanned are the default. (A TikTok viral video is never on the calendar…)

After many years of working with small brands (some who survived and some who didn’t), I have a list of must-do’s.  They shift and change from time to time, based on the consumer and the market place, but here’s my latest collection of what start-ups and young brands must do to launch, survive and thrive.

The Young Group’s 6 points to follow and remember:

Innovation

Fresh and new, but not unfamiliar. Innovation can happen in marketing, community building, product format, dispensing systems, AI, distribution and many other places. There is a fine line between new and compelling and requiring an entire re-education for the consumer. Never a good thing!

Holistic

Holistic and wholistic: your earth, your body, your soul. They all need care and maintenance. Table stakes, no news here. Consumers expect a focus on ingredients, manufacturing and package sustainability. They expect brands to think about beauty inside and out. They expect brands to have a healthy, thoughtful, conscientious approach with their marketing.

Invest in Science

STEM: science not mythology. Proof not hyperbole. Transparency and traceability. No smoke and mirrors. Those days are over. Consumers are savvy, smart and well-informed. Ninety percent of shopping is done with the right side of our brains, but the left side wants reality and facts. Published, peer-reviewed clinical trials are increasingly important. Science based companies received two and a half times more funding last year than their non-science counterparts.

Freedom of expression

The changing face of beauty. It’s here to stay. There are no more rules. Do it your way. Complete freedom of expression is the consumer mindset. There are no more stereotypes and archetypes, no right or wrong. Everyone plays. Everyone has a seat at the table.

Perfect your USP

Unique Selling Proposition (USP): Consistent and disciplined messaging, communication and visuals. Find that USP and stick with it. Take it slowly. Be thoughtful. Sounds so simple, but it never is. Target one consumer, not an entire demographic or cohort. If the brand can’t identify and define its target audience, how will the consumer recognize him/her self in that message?

Create a Brand Culture

Brand culture is critical. Politics. Socio-economic factors.

Unavoidable. Consumers expect brands to take a stand, like it or not. The days of brands aiming for neutrality or staying under the political radar are over.  Be prepared; be frank; be transparent and be proud.

Just the start of go-to-market

This is only the beginning of the go-to-market journey. There are plenty of balls to juggle and mistakes to be made along the way. Above all, the founder must love the process (the journey), find energy in every door that is slammed in his/her face and believe in the quest, while maintaining a grip on reality.

A good team helps.  It can’t all be done alone, nor should it. Sometimes founders have a tough time with that concept. You may not be able to afford a complete GPS, but a small roadmap will be a great comfort and allow you a brief night’s sleep from time to time.

The majority of the small brands I’ve worked with will testify the journey is worth the effort: blood, sweat, tears and of course, financial investment. We’re lucky to be in an industry that remains robust, relevant and full of creative and generous people.

Bring on the indie brands…they’re changing the industry!

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I’ve selected a few favorites to share:

Clariant’s Plant Milking technology is an innovative and sustainable plant cultivation method:

• The process uses the richest part of the plant: the
• Plants are grown in an aeroponic (soilless) culture. Root exudation is a non-destructive process that “milks” the same plants several times a year.
• The process allows exploration of unusual plant species, difficult-to-access plant parts, and rare compounds, while preserving biodiversity.
• A highly controlled environment stimulates the plants to produce targeted molecules in higher quantities: this enhances the phytochemical profiles.
• The desired ingredients are more concentrated than in a “natural” environment.
• The process provides greenhouse farming advantages, which means protection from aggressors and extreme environments.

There are numerous benefits of the Plant Milking technology:

• It’s eco-friendly: there is biocontrol, recycled water is used, few plant resources are required.
• There is no plant destruction during harvest.
• Plant capacities are optimized.
• The process permits full traceability from seed to active ingredient.

Biocogent’s DermaPhage® technology is worth exploring and understanding.

Phages are found wherever bacteria are present. They are natural microorganisms that are harmless to humans and only interested in targeting bacteria. An imbalance of these phages on our bodies is associated with obesity, bowel disorders, acne and other diseases.

Biocogent’s products are infused with a unique combination of three phages that target specific bacteria in the skin microbiome. Grounded in a discovery made more than a century ago, these phages have a phenomenal safety profile, coupled with clinically proven efficacy. Phages are ubiquitous in the environment and recognized as the most abundant biological agent on earth. Biocogent’s technology offers a targeted approach to dealing with a variety of different skin conditions.  Acne is Biocogent’s first target, to be followed by other types of treatment.

This approach to target the bacteria contributing to blemish flare-ups is a game changer.

Bacteriophages

• exist naturally on our skin
• are sustainably sourced and naturally occurring
• have been part of nature for billions of years
• are harmless to humans and have no side effects
• are very effective in targeting certain bacterial skin problems

Taiki Bōshi Beauty Products are instantly dissolving waterless products made from nano-spun polymers.

• Electrospun nanofibers are made using water soluble polymers, like Hyaluronic Acid.
• The nanofibers, which are 100-1000x smaller than an average human hair, are easily dissolvable with a few drops of water.
• Efficacious levels of active ingredients can be added: Hyaluronic or Salicylic Acid, Niacinamide and Vitamin C to name a few.
• Minimal fillers allow for concentrated, high performing formulas for better delivery of actives and product effectiveness.
• Removal of water allows for preservative-free formulations.
• The product can take various forms such as small patches or “pillows.”

Taiki Boshi Technology

KDC/One has a collection of remarkable, surprising and delightful product textures for skincare.

I selected formats that are particularly appealing in warm summer weather.

• Moisture Burst Gel Cream Facial Moisturizer: an all in one, lightweight gel cream with a cooling finish. The skin feel is watery and refreshing, leaving a slight radiance.
• Refreshing Body Sorbet: This cooling, translucent gel looks like sorbet, and feels energizing and refreshing on the skin. It absorbs quickly, leaving a light satin skin feel, with no stickiness or residue.
• Satin Touch Body Lotion: This silky, hydrating, lightweight lotion is serum like. It is fast absorbing, leaving a light, moisturizing sensation without any tacky residue.
• Jelly Body Wash: This amusing, wiggly, jello-like texture body wash is a real surprise in the shower! It transforms from a dense jelly to a squishable layer of foam. Travel friendly, space saving and just fun to use!

Jelly Body Wash

Obviously, these beautiful textures can be customized with fragrance, color and key skincare ingredients.  The sensory experience provides a great reminder that innovation has many forms.

This is a sampling of some of the news suppliers are bringing to market. These examples cover:

• concentrated, sustainable plant-based ingredients
• an anhydrous delivery system for concentrated ingredients
• a side-effect-free, efficacious acne treatment
• sensorially rich product textures

It’s an exhilarating time for the beauty industry. Growth is forecast for approximately 6% annually in the coming years. New distribution channels are popping up in unexpected places. AI is here and redefining the business.

Don’t miss out!

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BROWSE SHOWSThe post What’s new in skincare technology? first appeared on in-cosmetics Connect.]]> https://connect.in-cosmetics.com/ingredients-formulation/whats-new-in-skincare-technology/feed/ 0 20477 https://connect.in-cosmetics.com/trends-en/how-gen-z-is-changing-the-beauty-landscape/ https://connect.in-cosmetics.com/trends-en/how-gen-z-is-changing-the-beauty-landscape/#respond Wed, 21 Jun 2023 14:53:16 +0000 https://connect.in-cosmetics.com/?p=19925 Gen Zs are about 25% of the US population, and they’re growing up fast. (They are currently between the ages of 9 and 24.) This digitally native cohort has unique shopping habits after going through Covid in their formative years and thanks to their comfort with the digital world. From TikTok to the creator economy […]