Kline study finds bold looks, key demographic divergences ignite boost in U.S. personal care market
PARSIPPANY, N.J. — New trends in nail care, dramatic eye looks and the appeal of limited-edition scents significantly bolstered sales in the 2011 U.S. personal care market, which exceeded $38 billion at the manufacturers’ level, surpassing pre-recession levels and representing robust growth of 4.2%, according to the recent "Cosmetics & Toiletries USA" report from global consulting and research firm Kline & Co.
Makeup sales comfortably exceeded the industry average growth rate, boosted by a nearly 30% growth of nail polishes in 2011. The magnitude of this growth was partly caused by the emergence of new trends, including bold colors and special effects, that attracted women of all demographics. The category was additionally augmented by innovation in application techniques, which could be seen in such products as Sally Hansen Salon Effects and Nail Inc.’s Magnetic Polish.
Eye makeup, supported by the season’s hot “smoky-eye” look, saw a strong increase in 2011. Eye shadow, eyeliner and mascara, all used to complete the dramatic eye look, contributed to the growth seen in all trade classes.
After several years of declining sales, fragrances for women also experienced high growth in 2011 as more consumers turned to fragrances as an affordable indulgence. The luxury trade class, in particular, experienced above-average growth of more than 10%, where niche fragrances were a new trend in 2011, Kline stated. Limited distribution scents from such brands as Bond No. 9, Creed and By Kilian gained high visibility during the period. Conversely, celebrity scents experienced substantial declines.
Looking at the usage of cosmetics and toiletries by specific demographic groups, Kline’s consumer research found that a higher percentage of Hispanics use perfume or cologne regularly, at 56% of all Hispanics, as compared with 32% of the non-Hispanic population. Furthermore, about half of African-Americans use perfumes or colognes regularly, as compared with one-third of Caucasians and Asians in the United States.
The skin care product class — dominated by facial treatments — remains the largest product class. Men’s skin care became more popular, seeing the best growth in several years and now offering expanded product lines exploring new applications by creating solutions for men — such as concealers, products free of parabens, formaldehydes, dyes and added fragrances — according to Kline.
The cosmetics and toiletries market continued its upward trend due to an especially strong performance in the luxury class, which saw nearly double-digit growth. Analysis also reveals that all trade classes posted gains in 2011.
“The comparatively low growth in the professional class correlates with the greater trend we’re observing with consumers’ relatively moderate expenditure on professional services,” stated Nancy Mills, Kline’s consumer practice industry manager. “And yet, driven by ‘frugal-fatigue’ and a rising financial confidence, consumers are compensating by purchasing premium products as affordable luxuries driving sales in the luxury and mass trade classes.”
Looking ahead, Kline projects skin care and makeup to maintain exceptionally high growth over the next five years. In addition, Mills expects the dominating drivers in personal care to be multifunctional products that deliver promised results, a gradual replacement of harsh synthetic chemicals with more natural-derived products and an adoption of a more overt environmentally responsible profile.
NRF: Stutter step reported in May retail sales not a dark cloud over pending BTS season
WASHINGTON — After a strong first quarter, consumers in May took a more practical approach to their spending. According to a National Retail Federation release on Wednesday, May retail sales (excluding automobile, gas stations and restaurants) decreased 0.3% seasonally adjusted from April but increased 4.8% unadjusted year over year, marking 23 consecutive months of retail sales growth.
“As the first industry to feel any backlash from consumers’ attitudes about the revival of the economy, retailers are far from discouraged by May’s sales report; it’s evident that consumers are simply taking a breath,” stated NRF president and CEO Matthew Shay. “Going forward, retailers will make sure to keep a steady eye on key economic indicators, being cautious with inventory and promotions as back to school — the second biggest time of the year — approaches.”
May retail sales, released today by the U.S. Department of Commerce, showed total retail and food services sales — which includes nongeneral merchandise categories, such as automobiles, gasoline stations, and restaurants — decreased 0.2% seasonally adjusted month to month but increased 7.1% unadjusted year over year.
Health and personal care stores’ sales decreased 0.1% seasonally adjusted month to month but increased 3.1% unadjusted year over year.
Government agency issues draft recommendation doubting calcium, vitamin D benefits
ROCKVILLE, Md. — U.S. Preventive Services Task Force on Tuesday issued a draft recommendation around the ineffectiveness of vitamin D and calcium to prevent cancer or fractures. The draft guidance also suggested vitamin D and calcium could equate to a greater risk of kidney stones in older women.
"Many people take the supplements, but the science was insufficient to make recommendations for everyone," stated panel member Timothy Wilt of the University of Minnesota.
In response, the Council for Responsible Nutrition urged caution in interpreting what the Task Force report means for recommending vitamin D and calcium supplementation. “The draft report … does not change expert recommendations for the benefits of calcium," stated Taylor Wallace, senior director of scientific and regulatory affairs at CRN. "The Institute of Medicine supports a recommended dietary allowance of 600 IU to 800 IU of vitamin D and 1,000 mg to 1,300 mg of calcium daily for adults," he added, citing long-term randomized controlled trials, systematic reviews and meta-analyses that support that supplementation with calcium and vitamin D is beneficial for bone health, particularly in post-menopausal women and the elderly, when the diet is not sufficient.
"Even though the USPSTF’s recommendations are based on a large body of evidence, the draft report recognized that in the largest [randomized control trial], the Women’s Health Initiative study, the vitamin D dose used ‘may have been too low to cause an effect,’" Taylor added.
Previously, the USPSTF found that supplementation with vitamin D was beneficial in preventing incidences of falls among adults ages 65 years and older. Since falls commonly result in fractures, it’s common sense for the elderly to consider supplementing with vitamin D and calcium, Taylor noted.