Never, before, heavy-weights in the US makeup and skincare market will have been confronted to such a revolution in consumer beauty products. A totally new dynamics, coming from Internet sales, social networks, bloggers, which is at worst, destabilizing and, at best, giving a real boost to leading brands in the industry. The next edition of MakeUp in NewYork and more particularly its conference cycle will place a special emphasis on this phenomenon. One thing is sure, nothing will ever be the same again! The proof...
All recent studies prove it, "In the United States, domestic brands and niche brands alike, use the power of social media to communicate with their consumer targets." Hence, according to the Cosmetics & Toiletries USA study undertaken by Kline, "The fact that small brands, especially in the makeup category, are the ones with the strongest growth, confirms the power and capacity of social media to reshuffle the cards among players with big advertising budgets, and smaller niche brands that not have such marketing budgets." The study also demonstrates the power that these companies have in terms of sales.
Again according to the study, "mobile devices play a crucial role in the customization of the beauty routine of consumers. Sephora launched Pocket Contour, a 100% mobile experience designed to help beginners acquire the contouring technique. Applications like Beautiful Me or Plum Perfect are a help to digitally identify the skin tone of users and give advice on the ideal makeup based on pictures of the user on social networks. "Boosted by demands from the selfies generation, lipsticks and lip gloss are the products which recorded the highest growth (more than 8%) in 2015".
The finding is the same at NPD: "smart brands and retailers are embracing the opportunities presented by the changing dynamics of the beauty industry. Social media, new consumer attitudes and behaviors driven by Millennials, staying power of the Boomers, and mobile retail formats are just some of the influencers' key to effective strategies".
The explosion of skin complexion products
According to the recent study "Augmented Beauty - Latest Beauty trends in the USA", undertaken by Cosmetics Inspiration & Creation, "the US beauty market is driven by strong growth, with the makeup industry being the main driver.
Color is the expression of increasingly unbridled creativity with strong color bias, innovations and the explosion of skin complexion products for the Millennials and more particularly the popular selfies".
Online sales, up 30% in the 1st quarter of 2016!
Also according to the NPD Group, the Prestige beauty market recorded in 2015 a growth of 7%* in the Beauty sector, driven by makeup at +13%. Beyond the initiatives of traditional brands, "indies brands" (independent niche brands), were strong contributors, and more interestingly, the on line prestige market has been experiencing in recent months a somewhat insolent growth (+ 30% for on line prestige makeup in the first quarter of 2016*).
The Beauty market in the US, which is closely linked to the rise of smartphones (71% of Americans have one**), changes the beauty habits and representations of beauty in this country. The dynamics of social networks and the explosion of YouTube have created a platform to exchange on beauty subjects. The number of videos dedicated to Beauty has grown by more than 50%*** on YouTube, with half of them concerning makeup. Instagram and Snapchat play a considerable role in the representations of femininity in the US. Influencers are the new artists and looks are more assertive and bolder.
Indie brands (independent and alternative brands) have made of social networks their favorite playground. They master perfectly their codes and have the required flexibility to ride the trends and adapt to women's requirements. Brands have developed on online sales, and find as a setting, concept stores and lifestyle stores eager for breakthrough innovations.
More than ever, US brands are revolutionizing the Beauty world! Roll on MakeUp in NewYork!
Sources: NPD Group and WWD Press Release / ** Pew Research Spring 2015/ *** Pixability 2015