Post on 11-Jan-2017
INDUSTRY TRENDS AND FUTURE PROSPECTS FOR THE US
IN-COSMETICS PARIS - APRIL 12, 2016
PRESS BRIEFING
US BEAUTY IN THE GLOBAL CONTEXT
PREMIUMISATION OF US BEAUTY
CATEGORY HIGHLIGHTS
CONCLUSIONS
US BEAUTY IN THE GLOBAL CONTEXT
PREMIUMISATION OF US BEAUTY
CATEGORY HIGHLIGHTS
CONCLUSIONS
© Euromonitor International
4
Outstanding Growth in North American Beauty MarketBEAUTY BREAKDOWN: INDUSTRY TRENDS AND FUTURE PROSPECTS FOR THE US
2015 Beauty & Personal Care Value Sales and Growth by Region
Wester
n Euro
pe
Easter
n Eur
ope
North A
merica
Latin
Ameri
ca
Asia Pacif
ic
Austra
lasia
Middle E
ast a
nd A
frica
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
Colour Cosmetics Other Beauty & Personal CareColour Cosmetics Growth Total Beauty & Personal Care Growth
US
$ B
illion
s
2014
-201
5 V
alue
Gro
wth
(Cur
rent
, Fix
ed 2
015
Exc
hang
e)
© Euromonitor International
5
U.S. Outpaces 2015 Global Beauty Growth Across Categories2015 U.S. Beauty & Personal Care Value Sales and Growth by Category
Skin
Care
Colo
ur Cos
metics
Men
's Groo
ming
Frag
rance
s
Deo
doran
ts
Sun
Care
$0
$20
$40
$60
$80
$100
$120
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
8.00%
US World US Growth World Growth
2015
Sal
es (U
S$
Billi
ons)
2014
-201
5 V
alue
Gro
wth
(Cur
rent
, Fix
ed 2
015
Exc
hang
e)
US BEAUTY IN THE GLOBAL CONTEXT
PREMIUMISATION OF US BEAUTY
CATEGORY HIGHLIGHTS
CONCLUSIONS
© Euromonitor International
7
2015 U.S. Premium Beauty Sales Grow Across All CategoriesPREMIUMISATION OF US BEAUTY
2015 U.S. Premium Beauty & Personal Care Select Category Value Sales and Growth
Premium
Colo
ur Cos
metics
Premium
Fragran
ces
Premium
Skin
Care
Premium
Sun
Care
Premium
Deo
doran
ts$0
$1
$2
$3
$4
$5
$6
$7
$8
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
Market Size Growth
US$
Billi
ons
2014
-201
5 G
row
th
© Euromonitor International
8
Power to PremiumPREMIUMISATION OF US BEAUTY
2011 2015 2020
Premium Value Sales ($US billion, constant)
$20 $23 $28
Premium Penetration (% Value)
32% 34% 37%
US$5 BillionU.S. premium beauty growth through 2020
Premiumisation of U.S. Beauty and Personal Care Market Forecasted to Continue
© Euromonitor International
9
$2.16
$1.38
$1.15
$0.23
$0.39
Premium Colour Cosmet-icsPremium Skin CarePremium FragrancesPremium Hair CareOther Premium Beauty and Personal Care
The Future Of U.S. Premium Beauty: Growth-Driving CategoriesPREMIUMISATION OF US BEAUTY
Premium Category CAGR
Total Beauty and Personal Care
4.10%
Colour Cosmetics 5.70%
Sun Care 5.60%
Sets/Kits 4.90%
Skin Care 4.70%
Deodorants 4.60%
Bath and Shower 3.80%
Fragrances 3.30%
*Constant Value termsUS$5 Billion
U.S. Premium Beauty Value Growth 2015-2020(US$ Billions, Constant)
U.S. Premium BeautyCAGR* 2015-2020
US BEAUTY IN THE GLOBAL CONTEXT
PREMIUMISATION OF US BEAUTY
CATEGORY HIGHLIGHTS
CONCLUSIONS
© Euromonitor International
11CATEGORY HIGHLIGHTS
Top 15 Growth Subcategories for 2015 U.S. Colour Cosmetics
Colour Cosmetics: Growth Subcategories
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
EyeShadow
Mascara
Other EyeMake-Up
EyeLiner
BB & CCCreams
Foundation & Concealer
Other EyeMake-Up
Other LipProducts
Blusher,Highlighter& Bronzer
NailPolish
Lipstick
BB & CCCreams
Powder
Lip Liner
Lipstick
y
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Premium Mass
© Euromonitor International
12CATEGORY HIGHLIGHTS
Top 15 Growth Subcategories for 2015 U.S. Colour Cosmetics
Colour Cosmetics: Growth Subcategories
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
EyeShadow
Mascara
Other EyeMake-Up
EyeLiner
BB & CCCreams
Foundation & Concealer
Other EyeMake-Up
Other LipProducts
Blusher,Highlighter& Bronzer
NailPolish
Lipstick
BB & CCCreams
Powder
Lip Liner
Lipstick
y
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Premium Mass
© Euromonitor International
13
Sephora introduces South Korean BB Cream brand Dr. Jart+ to the U.S.
Over 15 BB/CC creams launch in the U.S., from Clinique to Maybelline to Dior
BB/CC Creams grow 61% (constant value)
Packaging innovation: Miracle Cushion by Lancôme and Double Wear Makeup To Go Liquid Compact by Estée Lauder
Facial Cosmetics: Innovation Drives Growth
U.S. Facial Make-Up Sales 2011–2020 2011
2012
2013
2015
US BB/CC Cream constant value CAGR 2011-2015: 133%(Projected) US BB/CC Cream constant value CAGR 2015-2020: 12%
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020$0
$1
$2
$3
$4
$5
$6
$7
Foundation/Concealer Powder Blusher/Bronzer/Highlighter BB/CC Creams
Other Facial Make-Up
US
$ B
illion
s (C
onst
ant)
© Euromonitor International
14CATEGORY HIGHLIGHTS
Top 15 Growth Subcategories for 2015 U.S. Colour Cosmetics
Colour Cosmetics: Growth Subcategories
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
EyeShadow
Mascara
Other EyeMake-Up
EyeLiner
BB & CCCreams
Foundation & Concealer
Other EyeMake-Up
Other LipProducts
Blusher,Highlighter& Bronzer
NailPolish
Lipstick
BB & CCCreams
Powder
Lip Liner
Lipstick
y
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Premium Mass
© Euromonitor International
15
Brow Cosmetics: Boldness Drives GrowthCATEGORY HIGHLIGHTS
US Other Eye Make-Up constant value CAGR 2010-2015: 20%(Projected) US Other Eye Make-Up constant value CAGR 2015-2020: 13%
Boldly Bushy Boldly Defined
May
bel
lin
e N
ew Y
ork
Eye
Stu
dio
Bro
w D
efin
e +
Fil
l Du
o—6
/20
15
Clin
iqu
e Ju
st B
row
sin
g B
rush
-On
Sty
lin
g M
ouss
e la
un
—8/
20
15
An
asta
sia
Bro
w D
efin
er—
1/2
01
6
Bu
rber
ry E
yeb
row
Def
iner
lau
nch
ed—
9/20
15
© Euromonitor International
16CATEGORY HIGHLIGHTS
Top 15 Growth Subcategories for 2015 U.S. Colour Cosmetics
Colour Cosmetics: Growth Subcategories
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
EyeShadow
Mascara
Other EyeMake-Up
EyeLiner
BB & CCCreams
Foundation & Concealer
Other EyeMake-Up
Other LipProducts
Blusher,Highlighter& Bronzer
NailPolish
Lipstick
BB & CCCreams
Powder
Lip Liner
Lipstick
y
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Premium Mass
© Euromonitor International
17
Lip Cosmetics: Variety Drives GrowthCATEGORY HIGHLIGHTS
US Lip Make-Up constant value CAGR 2010-2015: 7%(Projected) US Lip Make-Up constant value CAGR 2015-2020: 5%
Glossy, Plump and Natural Vivid Colors in luxurious Finishes
Pix
i Lip
Lift
Max
—3
/20
15
Maybelline Color Sensational Vivid Matte Liquid Lipstick—
1/2016
Burt’s Bees Lipsticks—2/2016Yves Saint Laurent Volupté Tint-in-Oil—1/2015
© Euromonitor International
18CATEGORY HIGHLIGHTS
Top 15 Growth Subcategories for 2015 U.S. Colour Cosmetics
Colour Cosmetics: Growth Subcategories
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
EyeShadow
Mascara
Other EyeMake-Up
EyeLiner
BB & CCCreams
Foundation & Concealer
Other EyeMake-Up
Other LipProducts
Blusher,Highlighter& Bronzer
NailPolish
Lipstick
BB & CCCreams
Powder
Lip Liner
Lipstick
y
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Premium Mass
© Euromonitor International
19
Eye Cosmetics: Lashes Drive GrowthCATEGORY HIGHLIGHTS
US Eye Make-Up constant value CAGR 2011-2015: 4%(Projected) US Eye Make-Up constant value CAGR 2015-2020: 3%
NYX Big & Loud Lash Primer—1/2015
Benefit Roller Lash—2/2015
Dio
r D
iors
how
Mas
cara
—6/
201
5
© Euromonitor International
20
Skin Care: Growth SubcategoriesCATEGORY HIGHLIGHTS
Top 10 Growth Subcategories for 2015 U.S. Skin Care
Premium
Lip C
are
Premium
Skin
Care
Sets
/Kits
Premium
Face M
asks
Premium
Acn
e Trea
tmen
ts
Premium
Facial
Clea
nsing
Wipe
s
Mass F
ace M
asks
Mass F
acial
Clea
nsing
Wipe
s
Premium
Anti
-Age
rs
Premium
Non
-Wipe
Clea
nsers
Premium
Gen
eral P
urpos
e Bod
y Care
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
$22
$1,166
$119$43 $18 $48
$363
$1,939
$498
$144
2015 Sales 2015 % growth
US$
Milli
ons
2014
-201
5 V
alue
Gro
wth
(Con
stan
t)
© Euromonitor International
21
Skin Care: Growth DriversCATEGORY HIGHLIGHTS
Korean Beauty Trends Drive Growth
Successful Skin Care Products Put Focus on Ingredients
Niche Brands Gain Market Share
Source: Sephora Polska
© Euromonitor International
22
2015 2016 2017 2018 2019 2020-10%
-5%
0%
5%
10%
15%
20%
25%
Premium Men's Fragrances Premium Women's FragrancesPremium Unisex Fragrances Mass Men's FragrancesMass Women's Fragrances Mass Unisex Fragrances
Yea
r on
Yea
r Val
ue G
row
th (C
onst
ant)
Fragrances: Growth SubcategoriesCATEGORY HIGHLIGHTS
U.S. Fragrance Subcategory Value Growth 2015-2020
2015-2020 Premium Fragrance Growth (constant value) = US$1 Billion
Premium Unisex2015-2020 CAGR:
15%
© Euromonitor International
23
2014 2015-10%
-5%
0%
5%
10%
15%
20%
25%
30%
Estée LauderCliniqueDonna Karen New YorkTommy HilfigerJo MaloneTom Ford
2014
-201
5 V
alue
Gro
wth
(Cur
rent
)
Niche Brands Drive Premium Growth
Fragrances: Growth DriversEstee Lauder Company Fragrance Brands
Personalization Through Layering
US BEAUTY IN THE GLOBAL CONTEXT
PREMIUMISATION OF US BEAUTY
CATEGORY HIGHLIGHTS
CONCLUSIONS
© Euromonitor International
25
Macroeconomic Factors Evolving Retail Channels Success of Niche Brands
U.S. Beauty: Overall Trends and OpportunitiesCONCLUSIONS
Source: Mike Mozart
• Newly-Flush Consumers Seek Affordable Luxury
• Premium Beauty: Gateway Purchase
• Rise of Masstige
• Well-Informed Consumers
• “Physital” Customer Engagement
• Internet Retailing, the Great Equalizer
• Millenials Usher in Era of Individualism
• Foreign Brands Garner Attention
• Acquisitions: Large Companies Take Note of Niche
THANK YOU FOR LISTENINGIrina BarbalovaHead of Global Beauty and Personal Care
For press inquiries, reach out to press-london@euromonitor.com