Market research report on cosmetics executives

The latest global cosmetics market survey report

1. Overall trends in the cosmetics industry

The retail sales of the global cosmetics industry reached US$25.3 billion, and have continued to be strong for five years. A stable growth trend, especially from 1997 to 2000, with an annual growth rate of 11.7%. On the other hand, according to analysts' predictions, although the sales performance of the cosmetics industry has been rising steadily in recent years, the entire industry lacks innovative ideas. Therefore, both producers and sellers are faced with the problem of being unable to meet the increasing demands of consumers for consumer goods. bit crisis.

Although new products have continued to emerge in the cosmetics industry in the past five years, most of them only add skin care ingredients to the original products rather than making breakthroughs in formulas. Therefore, as the global cosmetics market becomes increasingly mature, , manufacturers and sellers are also facing increasing challenges. Various women's beauty and fashion magazines and advertisements have also become an important factor in promoting the innovation of the cosmetics industry, as cosmetics brands are rushing to launch their new brands. Among them, facial cosmetics have the most outstanding performance, accounting for 35% of the global sales market. The more famous brands include Revlon's Skin

lights and Shin-brightening series, and LVMH's Givenchy are also preparing to launch two to three star-rated products to consolidate their position in the industry.

Lipstick accounts for the largest share of all facial cosmetics, accounting for 30%. The increase in market investment and the launch of various lipsticks by various brands are important factors for the booming development of the market. In order to improve sales performance, many manufacturers have also selected middle-aged and elderly consumer groups to launch anti-aging lipsticks, which have achieved quite good responses. Ease of use and portability is another important market factor. Many two-in-one and three-in-one cosmetics have been hot sellers in the market in the past five years. Nivea's three-in-one cosmetics containing vitamin E and aloe vera have performed well. Some compact cosmetics cater to the tastes of young consumers and have become another best-selling product in the cosmetics market. For example, in 2000 and 2001, cosmetics manufacturers focused on young customers under 20 years old and 20-25 years old, such as Arcancil, Debby, Bourjois, etc.

2001 was a good year for the cosmetics market. Some cosmetics incorporating plant extracts and refreshing formulas were very popular in both the mass and high-end brand markets. The price of the same product will be different when purchased in different places. Cosmetics sold in American pharmacies for $40.72 may only cost $29.05 in department stores, so people are more willing to go to department stores to buy cosmetics.

Analysts also pointed out another factor affecting the cosmetics market: insufficient product awareness in advertising. Open a cosmetics magazine at random, and you will see the same beauties except for product names and advertising slogans. In addition, the raw materials and ingredients contained in today's cosmetics are all the same. Therefore, it is difficult for consumers to find product differences and choose the product that suits them.

When it comes to product raw materials, the global supply of flavors and fragrances has shrunk from the original 50% to 20%, because cosmetics without fragrance ingredients have become more and more popular among consumers, and some production capabilities are weak. Small cosmetics manufacturers have also been eliminated in this cruel competition.

Top 5 cosmetics brands in the United States (2001)

Ranking order brand market share %

1 Clinique (Estee Lauder) 10.3

2 Maybelline (L'Oreal) 9.9

3 Cover girl (P&G) 9.4

4 Revlon 8.9

5 Lanc?me (L'Oreal) 7.1

Top 5 cosmetics brands in Western Europe (2001)

Ranking order brand market share %

1 Gemey/Maybelline (L'Oreal) 12.8

2 L' oreal Perfection 10.4

3 Max Factor (Procter & Gamble) 5.2

4 Lancome (L'Oreal) 5.2

5 Margaret Astor (Coty) 4.7

2001 was a bumper year for the cosmetics market. Some cosmetics incorporating plant extracts and refreshing formulas were very popular in both the mass and high-end brand markets. The price of the same product will be different when purchased in different places. Cosmetics sold in American pharmacies for $40.72 may only cost $29.05 in department stores, so people are more willing to go to department stores to buy cosmetics.

Analysts also pointed out another factor affecting the cosmetics market: insufficient product awareness in advertising. Open a cosmetics magazine at random, and you will see the same beauties except for product names and advertising slogans. In addition, the raw materials and ingredients contained in today's cosmetics are all the same. Therefore, it is difficult for consumers to find product differences and choose the product that suits them.

When it comes to product raw materials, the global supply of flavors and fragrances has shrunk from the original 50% to 20%, because cosmetics without fragrance ingredients have become more and more popular among consumers, and some production capabilities are weak. Small cosmetics manufacturers have also been eliminated in this cruel competition.

Various unfavorable factors in the cosmetics market have prompted businesses to strive for innovation and breakthroughs, using their own advantages and unique formulas to consolidate their original positions and attract more customers.

2. The complex U.S. cosmetics market

2001 was a crisis-ridden year for the U.S. cosmetics market. Sales of cosmetics other than lip and eye products increased by 3.7%, ( Among them, lipsticks increased by 6.8%, eye products increased by 1%), and other cosmetics were in decline. Nail products performed mediocrely. As of December 30 last year, facial cosmetics had declined for 52 consecutive weeks, with a decline of 3.3%.

According to Information Resources survey company data, Maybelline still maintains its No. 1 sales position of eye cosmetics in the United States, among which Expert

Eyes is its best-selling product with the largest market share. It reached 8.6%, but as for eye cosmetics as a whole, Maybelline still fell by 1.2%. This is very similar to the situation of Procter & Gamble's Covergirl. Although its facial cosmetics fell by 3.4% overall, it is still the brand with outstanding sales performance in this field, with a market share of 8.2%.

Due to the impact of the weak U.S. economy, many consumers of cosmetics have begun to turn to cheaper mass market purchases. Although there is still no accurate data, the signs are becoming more and more obvious. Cosmetics sellers have become the biggest beneficiaries. However, not all mass market sellers benefit equally. ICN (International

Cosmetic News) magazine conducted a price survey on the four best-selling products in the U.S. market, respectively, at Rite

< p>Aid pharmacy and Wal-Mart department store. The survey results show that Wal-Mart department store is still the best choice for purchasing these types of cosmetics.

In addition, the mass market prices of many cosmetics are now almost the same as those in department stores, and Clinique’s performance is particularly obvious.

However, department store counters provide consumers with beauty consultations, skin tests, and free product samples from time to time, which are unmatched by the mass product market. Therefore, cosmetics counters in department stores are still the first choice for Americans. In response to this phenomenon, mass market cosmetics merchants have racked their brains to explore new ways. They have successively launched some new low-priced products to attract customers, and have changed some well-performing brands into chain operations, such as Duane < /p>

Reade has established a chain of 200 drugstores in New York. However, Marc

Pritchard, deputy director of Procter & Gamble's cosmetics department, pointed out that sellers cannot ignore the market effect of big brands. The six best-selling brands eight years ago are still the protagonists in today's market, which shows that consumers are Recognition of well-known brands when purchasing products and the continued efforts of these manufacturing companies over the years. At the same time, these larger well-known brands also occupy a considerable share of the market and play a decisive role in the entire cosmetics market. For example, Jack, the former CEO of Coca-Cola Company, joined Revlon some time ago. Although many industry insiders are not optimistic about this move, they still hope that Jack can reverse the disadvantage of Revlon, because this also means reversing the disadvantage of the entire cosmetics industry. The ratio of cosmetics to perfume has gone from the original 5:5 to 4:1 today, which shows the important position that cosmetics occupy in the entire industry.

Top 5 lipstick brands in the United States in 2001

Brand market share %

1. Revlon 22.2

2. L'Oreal 13.7

p>

3. Cover girl 12.6

4. Maybelline 12.3

5. Bonne Bell 10.7

Top 5 eye cosmetics in the United States in 2001< /p>

Brand market share%

1. Maybelline 34.4

2. L’Oreal 17.6

3. Cover girl 17.4

< p>4. Revlon 10.0

5. Almay 8.1

Top 5 facial cosmetics in the United States in 2001

Brand market share %

< p>1. Cover girl 26.4

2. Revlon 17.6

3. Maybelline 13.0

4. Olay 11.3

5. Neutrogena 7.5

Top 5 nail care products and cosmetics in the United States in 2001

Brand market share %

1. Del Labs 26.4

2. Revlon 17.6

3. Maybelline 13.0

4. Olay 11.3

5. AM Cosmetics 7.5

On the one hand, due to The bankruptcy of the American retail group Kmart and the closure of 2,100 sales stores have dealt a heavy blow to consumers and sellers. On the other hand, many products have made major breakthroughs in technological innovation, and their sales performance has also been rising. Take Max Factor's Lipfinity and Cover girl's outlast lipstick as examples. As of December 30 last year, they had maintained sales for 52 consecutive weeks. rose to more than $52 million.

Pritchard also pointed out that while innovating product formulas, the company has also launched a "try before you buy" campaign, as well as online interactive beauty education to allow customers to buy the products that are most suitable for them. Revlon conducted a random sampling survey of more than 300 customers to find out their favorite ways of placing goods and product introductions, and continuously made improvements to meet customer needs. Many cosmetics companies now let sellers design supporting facilities for their products. Although this saves a lot of costs and provides sellers with greater room for development, the disadvantage is that a cookie-cutter design will reduce the market impact of the product itself. . Therefore, among the various cosmetic brands, how to make customers attracted to the products at first glance, understand the color and efficacy of the products in the shortest time, and easily choose satisfactory products has become a challenge faced by cosmetics companies and sellers. Big problem.

3. Establishing a personalized brand in the cosmetics industry. If a cosmetics brand wants to be successful, it must provide customers with a different and unique feeling. This includes product sales models, outer packaging and various related aspects. Similar advertising and promotion activities, only through comprehensive innovation and creation of products can we be unique among many cosmetic brands. Clinique is one of the best. While maintaining its original advantages, it constantly comes up with new tricks to show its unique personality. Therefore, whether in advertising, shopping mall counters, or other sales venues, Clinique always gives people a sense of brand. A refreshing feeling. While many cosmetics manufacturers are introducing new products, they ignore the most important point, which is to give their products unique vitality. Only cosmetics brands with personality can expand their influence through packaging and advertising. David, the UK marketing director of Givenchy, said that taking lipstick as an example, it is an indispensable part of makeup. Many new brands appear on the market every year, but there are only one or two brands that are really best-selling. It is very simple. Brands that are the same and have no personality are gradually being eliminated.

Today’s consumers’ preferences for cosmetics are constantly changing. What they care about is what new products are coming out every day? What surprises can new products bring them? Taking Givenchy as an example, the company launches one or two must-have makeup products every season to meet the needs of beauty lovers. It also makes consumers look forward to the launch of new products in the next season, so that customers will always remember the brand. In addition, with the launch of new products, small brochures introducing correct makeup and color selection can also attract many novelty-loving customers, especially young consumers. Revlon's Skin

lights series also relies on this to achieve extraordinary sales results.

In addition, the appearance design and packaging of the product cannot be ignored, because people will also consider the packaging of the product when choosing color and texture. This does not require a high technical level, as long as Just make it pleasing to the eye and make consumers feel good-looking. A more successful example is Christian Dior's Addict lipstick.

Customers usually shop around when choosing cosmetics and spend a long time deciding on the final product to buy. In order to attract more customers, Givenchy launched a "customer opinion" in March this year. "Feedback" activity, sellers record the cosmetics that customers expect and some suggestions for existing brands, and then feedback this information to the merchants in a timely manner. Consumers who participate in this activity can also receive certain gifts. Givenchy product manager Sambrook said that this event is intended to obtain the most authentic feedback information through consumer surveys to further improve product quality and meet consumer needs.

4. The colorful kingdom of cosmetic pens

In Ruoda’s cosmetics kingdom, in addition to lipstick, which ranks first, various cosmetic pens follow closely behind, and the market The share of cosmetics brands reaches 25%, and customer demand for them is still increasing year by year. Especially those cosmetic pens with beautiful appearance, small size and easy to carry are in short supply. Consumers' love for cosmetic pens has also given manufacturers Higher and more demands were made. Weckerle, one of the top five cosmetic pen manufacturers in the world, produced 58 million cosmetic pens last year, mainly supplying the mass beauty market. Jean-Marie, Weckerle's global sales director, said that Weckerle's global production companies are mainly located in Brazil, the United States, Sweden and Germany, and launch a new product every 6 weeks. This rapid development strategy has enabled the company to become a leader in the cosmetics production kingdom since 1992. Has always been invincible.

German cosmetics manufacturer Scdwan

Philippe, general manager of Stabilo, said that the company spends 10% of its total investment every year on the research and development of makeup pens, especially lip makeup. Pens, because the makeup pens used for the eyes mainly rely on color to win, and there will not be much improvement in the formula, but the lip makeup pens are very different. What kind of makeup pen can make the lips appear fuller and plumper? How to stand out in the competition with lip brushes and lip glosses, and how to make lips softer and more moisturized are all issues that cosmetic pen manufacturers are currently considering. Many manufacturers even add skin care ingredients to the formulas to achieve a more exquisite state. .

Although wooden cosmetic pens are still the main force in the current cosmetics market, accounting for 60% of the entire cosmetic pen market share, since Avon first launched machine-made cosmetic pens in 1985, they have been favored by manufacturers and consumers. Very popular, especially in Europe. Faber, a German company specializing in the production of wooden cosmetic pens

Castell has also begun to mass-produce machine-made cosmetic pens in recent years, currently accounting for 12% of its entire production. Although machine-made makeup pens are becoming increasingly popular, some experts are concerned that they are not as hygienic as wooden ones.

From formula, color to texture, cosmetic pen manufacturers are facing a revolutionary change. We hope that the growing number of cosmetic pens can add a beautiful touch to our lives.

All the above data and charts are jointly provided by Ewromonitor, Information Resources, and ICN)