ENTRANCE POLICY: Professional Beauty is reserved for trade and professional visitors only. Due to the professional nature of the event, babies and children under 16 cannot be admitted.
The real value of brand value03 April 2018The challenges that beauty (and personal care) brands face are a perfect microcosm of the challenges that all brands are facing today. So says Jordan Rost, VP, Consumer Insights, of global information and measurement company, Nielsen. He continues: “How do you as a brand stay relevant with shifting consumer preferences, as well as leverage the growth of emerging channels and be responsive to upstart indie brands all at the same time? “The secret to balancing all of these challenges is understanding the macro trend that’s driving the micro trend. For example, Americans’ shifting view of health and wellness is fundamentally driving a shift toward more natural beauty products. But, it’s also crucial that you constantly adapt your view of that macro trend. As these shifts grow from niche to mainstream, they evolve and enable new products and categories to connect with consumers.”Rost maintains that there are three such shifts driving beauty forward – Natural, Personal and Connection. “Regarding the shift towards natural, in beauty, as in food and many other consumer goods categories, consumers are flocking to more natural and objectively simpler products. But rather than simply accept brands’ definitions of what’s natural, consumers are deciding for themselves. While sales of cosmetics claiming to be natural have declined 1.2% over the last year (on par with cosmetics as a whole), sales of cosmetics free from parabens have grown 2.3%. Additionally, sales of cosmetics products that are both free from parabens and claim to be natural are growing 12% – this is five times as fast as those just meeting the paraben-free specification.“The reality is that you can no longer simply claim to be natural as the path toward natural beauty starts with creating your product in its simplest form with only the right ingredients. Then, once you have an authentic claim to natural, organic or whatever matters most to your consumer, you have the right to communicate to those consumers that your product aligns with the lifestyle inherent in that claim. Brands need to be authentic to consumers and deliver that authenticity at a truly granular level.”In terms of the shift towards personal, Rost cites Rihanna’s Fenty Beauty as an example, as it has released more inclusive product lines and celebrated the fact that anyone can find themselves in its product lines. As to the third shift, (i.e. Connected), Rost points out that because everyone is more digitally connected, brands have the ability to engage consumers one-to-one, at scale. “Authenticity and personal relevance are quickly becoming table stakes. It’s perhaps no surprise then that beauty products are some the first consumer goods products to see significant shifts in sales to online channels. Over the last year, nearly a third of all beauty sales have flowed through online channels.“And as social, video and other digital platforms become more shoppable themselves, it becomes easier to find inspiration and buy immediately. As new digital shelves pop up across social, video and search platforms, the tenets of good search engine optimisation will be just as important for all marketers. But remember that ultimately, successful brands are the ones that deliver authentic products that solve consumer needs.”For the full ‘The Future of Beauty’ report visit http://www.nielsen.com/us/en/insights/reports/2018/the-future-of-beauty.html