Retail sales in health and beauty rise as other aspects in economy fall
PHILADELPHIA Makeup sales are continuing to rise, even though retail sales in February were down 0.9 percent according to published reports.
Commerce department figures estimate that sales in health products and personal care stores have risen to 0.5 percent from January to February and overall sales are up 4.5 percent from a year ago. A company that tracks retail spending, the NPD group, has also estimated that $8.9 billion were spent in department stores on cosmetics alone.
Kathy Grannis, a spokeswoman for the National Retail Federation explains this increase: “It more or less speaks to the fact that consumers are continuing to buy necessities, which would be their toiletries and health and beauty care needs.”
Many other analysts also agree that purchasing of beauty products are ultimately less expensive, and people are more inclined to buy more of them, hence the increase in retail sales in cosmetics. According to published reports, statistics show that an increase in makeup sales is not a new discovery, as during a recession in 2001 similar sales were up 23 percent.
L’Oreal releases “Horton Hears A Who!” children’s hair care
NEW YORK L’Oreal Paris has announced the launch of its new L’Oreal Kids “Horton Hears A Who!” collection of children’s shampoos.
Each shampoo in the limited edition collection features the cleansing and conditioning formulas with fruity scents for children. Horton’s Whoberry and Kangaroo’s MangoRoo smoothie-based formulas are designed to help minimize split ends, while The Mayor’s Melon and Jo Jo’s Juicy Cherry condition for more manageable hair.
Like all L’Oreal Kids’ Extra Gentle 2-in-1 Shampoos, the “Horton Hears A Who!” formulas promise no tears and no knots. They join the existing line of Extra Gentle 2-in-1 Shampoos for a limited time only. The suggested retail price is $2.99.
The launch coincides with the March 2008 release of the movie, in which the makers of the blockbuster animated hit “Ice Age” team with comedians Jim Carrey and Steve Carell to bring to life Dr. Seuss’ classic tale.
Inter Parfums 2007 sales up 21 percent
NEW YORK Inter Parfums, a prestige perfume and cosmetics manufacturer, reported fourth-quarter net sales rose 32 percent to $119.4 million for the period ended Dec. 31, 2007, up from $90.2 million in the same period a year ago. Net income for the quarter rose 57 percent to $8.6 million.
“As did many of our peers, we entered the fourth quarter of 2007 with much trepidation, and looked to contain costs and brace for a turbulent holiday season,” stated Jean Madar, chairman of the board and chief executive officer. “With fourth-quarter sales far exceeding our expectations, fourth-quarter profits came in considerably better than anticipated, and as a result, our net income and diluted earnings per share surpassed our prior 2007 guidance.”
For the full year, Inter Parfums reported record net sales of $389.6 million, up 21 percent from $321.1 million in 2006. Net income for the year increased 34 percent to $23.8 million from $17.7 million in 2006. A 15 percent increase in U.S.-based sales, which approximated $58.8 million, was due to Inter Parfums’ specialty retail business with Gap, Banana Republic and New York & Company.
“With regard to U.S.-based operations, among the highlights of the past year was the launch and rollout of personal care, fragrance, grooming and home fragrance products that we developed for Gap stores in North America,” Madar stated. Inter Parfums also rolled out a line with New York & Company and signed an agreement in November with Brooks Brothers to produce personal care products for the chain.