Beauty in the Age of Digital Marketing I - Inspiring Champions Reports/BIR_Sept 10… · Beauty in...

Beauty in the Age ofDigital MarketingBy Liz Grubow

n 2009, NPD Group, Inc., a marketresearch company, reported that the

Internet was the only retail channel to postan increase from the previous year in beautyproduct sales. Consumers are now gatheringinformation on beauty products andinteracting with those products online, and inresponse, manufacturers are communicatingmore directly with consumers through onlineoutlets. While department stores, drug andspecialty stores, and direct-to-consumerchannels are still viable channels for beautysales, online sales indicate that brands can nolonger afford to ignore e-commerce.

The Internet is the most widely usedresource for information gathering, andonline retail offers a greater depth of productoptions and a more convenient point ofpurchase. It has also provided women withthe ability to expand their beauty routines, aswell as gain access to brands from othercountries and insights into other cultures.

Blogs are trusted sources of informationfor millions of readers daily, providingproduct reviews and recommendations ondemand with direct links to e-commercesites. Blogs have, in effect, become thebeauty counter of the past, providing anexperiential aspect for consumers to interactwith others—whether it’s a girlfriend oracquaintance, or someone they’ve never met.

For mass brands like L’Oréal Paris, whichrecently created an interactive site to helpconsumers find cosmetics based on theirown skin type, the key is to incorporate thispersonal experience into their own onlinepresence. Megabrands like Olay continue toexpand social media presence on networkingsites like YouTube, Facebook and Twitter toengage fans and promote loyalty. Olay’solayforyou.com, created to provide a way for

his month’sCosmoprof NorthAmerica report Part 2

covers only a fraction ofthe exhibitors andbusiness-building

opportunities that made it a can’t-miss event. This issue also offers a terrific trifecta of

BIR feature interviews. Paul Sharnsky,president of SalonCentric, and his topmanagement team share valuableinformation on how one of the salonindustry’s largest distributor consolidatorsoperates. Robanda International’s president,David Leib, shares how his company has hadtwo back-to-back years of 20+% growth in achallenging economy. Plus, Larry Kopsa,president of Kopsa Otte, shares why hisaccounting firm has been called the “financialand tax go-to-professionals” for salons andspas. As always, this issue is jam-packed withnews from across all industry sectors.

Regards,

by Mike NaveEDITOR

SEPTEMBER 2010volume 13 issue 9

Digital marketing....cont. on p. 2

Trends: 2009 Hair Care Study 2Lafayette Jones’ Multicultural Report 5SalonCentric partners with salons 6Robanda’s strategy results in 20% growth 8Kopsa Otte offers financial services 10Cosmoprof raises trade show bar: Part 2 12Sport Clips opens 700th store 18Companies give back for breast cancer 22Brooke Carlson has new gigs 24Brian Graham leaves Nioxin 24

This is your industry’s newsletter, andBIR welcomes your feedback!

Mike Nave, editor818-225-8353/[email protected] invite you to connect with me on Facebook andfollow me on Twitter@MikeNave

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VISIT US ONLINEwww.bironline.com

& check out BIR’s 2010 BIG! Show Calendar

A MONTHLY NEWSLETTER FOR EXECUTIVES IN THE PROFESSIONAL BEAUTY BIZ I

Professional Consultants & Resources’ 2009Professional Salon Industry Haircare Studyreveals that overall salon industry growth is ata historically low 1.5% and hair care productgrowth is even lower at 1%. In spite of thedeep macro-economic recession and resultantlow growth, there are some highlights, trendsand bright spots emerging for future growth.

Lower disposable incomes and tight creditimpact the frequency of salon visits and resultin low product sales. Merger and acquisitionactivity, major distribution realignments, movesto direct sales and the economy all adverselyaffected the industry, especially top marketersand leading salons and chains. Sally Beautyand Beauty Systems Group (BSG) same-storesales were up around 1.8% in fiscal year 2009,but booth rental salons fueled sales at open-line Sally stores and BSG stores for exclusivelines. Salon hair care service revenuesexperienced very low growth at 1.5%, mainlyimpacting large chain salons. Home hair stylinggrew strongly in the recession and new genresof electric styling tools also grew.

Hair color experienced the lowest growthin years at 3%, due to the recession and use ofhome hair color. Specialty products grew at3.3% and hair styling grew at 3.1%. Shampoosand conditioners are in a low growth mode, asrealignments, mass retail brands and diversionimpact sales. Hardgoods and electrics saw4.6% growth from new products and heavyhome styling.

Booth rentals continue to grow in certainparts of the United States. Clients wantpersonalized, private services and shun the bigsalon chains, as their premises show wear andtear. Mega salon stores, like Ulta, BeautyBrands, etc., saw low sales growth all yearbecause of the recession, but sales boomed atholiday 2009. Sales began to plateau forcompanies selling direct to salons, includingAveda, Bumble & bumble, WellaInternational and Kerastase.

Great Clips and Sports Clips, both

economy chains, saw revenue and franchiseincreases. Small-to mid-sized productcompanies, like TIGI, Joico, Goldwell, SexyHair and Farouk, all grew low single digits,while market leaders faltered due todistribution realignments. Redken and JohnPaul Mitchell Systems were the only two bigcompanies growing. New “naturals” products,like Brazilian Keratin and Moroccanoil,showed some vitality.

An updated section reveals shipmentmarket shares for all top companies, withL’Oréal, P&G Professional Care and John PaulMitchell Systems ranked as the top threemanufacturers. Zotos, Estée Lauder andColomer follow.

For purchasing information or questionsregarding the study, contact Cyrus Bulsara,president, Professional Consultants &Resources, at [email protected] or visitwww.proconsultants.us.

SureTint Systems, LLC. introduces acomputer-assisted hair color formulationsystem. “SureTint’s precise systematic approachto color formulation replaces the standard,often unreliable color mixing operation withan easy-to-use, computer-guided system thatdelivers operational efficiencies and precisehair colors,” says Chuck Mayberry, president.“At the same time, SureTint frees stylists to usetheir time with clients more productively andeffectively.” SureTint, which can use colorproducts from any manufacturer, combinescomputer technology to enable colorformulas to be developed, securely stored andprecisely mixed, while managing the entirecolor formulation process. Each formula isalways the same because the systemautomatically corrects for errors and preventsoff-shades. In addition to storing colorformulas in a space smaller than two squarefeet, the system produces only the exactamount of formula needed, reducing costlywaste. “SureTint completely modernizes thecolor mixing operation, and anyone can

2 SEPTEMBER 2010

The Beauty Industry Report Visit www.bironline.com

the consumer to interact with the brand andgain specialized skin care recommendations,offers another outlet for product purchase.Mass marketers like Procter & Gamblecontinue to experiment with e-commercesites. CVS, which recently launched eightBeauty 360 stores in the United States,includes e-commerce.

According to the Direct SellingAssociation, beauty companies that employdirect sales techniques in tandem withInternet-based retail sales are positioned togrow exponentially. Avon has employed thatstrategy with its debut of Mark. a beautybrand focused on women under 30 thatutilizes digital marketing tactics likepersonalized e-boutiques, iPhone apps andFacebook e-shops.

As consumers continue to gatherinformation from blogs, rely on the ease ofonline shopping and the availability of a widerange of products, the beauty industry willdevelop new strategies to better understandits consumer. In established markets, brandswill rely less on traditional brick-and-mortarretail and embrace digital technology to keepup with consumer demands.

_____________________________Liz Grubow is vice president, group creative

director of LPK Beauty, where she has ledbrand identity programs for the world’s

leading skin care, hair careand beauty care brands,including Pantene, Olay,Max Factor Internationaland Cover Girl. Reach herat [email protected] andvisit www.lpk.com.

BIR invites you to become a GuestColumnist. Send your thoughts in about 450words, including a one-paragraph authorbio, to [email protected] in an MSWorddocument. We will edit your column forstyle and space.

Digital marketing...cont. from p. 1

actually mix the color based on the formuladeveloped by the colorist. Additionally, thesystem can manage inventory and trackcolor expense by employee, chair renter orclient,” adds Chuck. The system includes akeyboard, computer monitor, activatorstorage reservoirs and dispensing pumps, aprecision electronic scale and colormanagement software to guide usersthrough the mixing process. An optionalproduct storage system organizes and storesindividual colors, helps users instantly locaterequired colors and prevents theft. SureTintis available for purchase or for lease throughHarris Bank Leasing. Reach Chuck at847-509-3625 or visit www.suretint.com.

Lucent Advertising’s Echo Mirror offers anew advertising medium for promotion andbranding that’s perfect for beauty stores andsalons. The Echo Mirror has an LED-litacrylic base with an acrylic or glass face, andcan be wall mounted or freestanding. Withits small motion sensor, the Echo Mirror willtoggle between a regular mirror and a backlitad message, depending on whether or notyou are standing in front of it. Reach MarkPack, vice president international sales, at949-683-0083 or [email protected]. Visitwww.lucentads.com.

Farouk Systems introduces RoyalTreatment by Chi White Truffle and Pearl.This sulfate- and paraben-free system haskeratin-strengthening white truffle andrejuvenating, moisture-holding pearl in thewet line. The heated styling tools havegenuine 24k gold overlay. The line offers foursimple steps: Cleanse, Nurture, Achieve andComplete. Cleanse includes Super VolumeShampoo (12 ounces/list $10.00/SRP$20.00/32 ounces/list $20.00/SRP $40.00);Pure Hydration Shampoo (12 ounces/list$10.00/SRP $20.00/32 ounces/list $20.00/SRP $40.00); and Real Straight Shampoo (12ounces/list $10.00/SRP $20.00/32 ounces/$20.00/SRP $40.00). Nurture includes RoyalTreatment (12 ounces/list $10.00/SRP$20.00/32 ounces/$20.00/SRP $40.00);Royal Treatment Intense Moisture

(6 ounces/list $10.00/SRP $20.00/16ounces/list $20.00/SRP $40.00); and RoyalTreatment Intense Pearl Complex(2 ounces/list $7.00/SRP $14.00/6 ounces/list $14.00/SRP $28.00/12 ounces/list$25.00/SRP $50.00). Achieve includes RoyalTreatment Style Illumination (12 ounces/list $9.00/32 ounces/SRP $18.00/SRP$36.00); Royal Treatment Solid Foundation(6 ounces/list $9.00/SRP $18.00/16 ounces/list $18.00/SRP $36.00); Royal TreatmentRapid Shine (5.3 ounces/list $7.00/SRP$14.00); and Royal Treatment UltimateControl (12 ounces/list $7.50/SRP $15.00).Complete includes Royal Treatment GoldDigital Hair Dryer (GF1136USA/list $179.95/SRP $287.92) and Royal Treatment GoldDigital Hairstyling Iron (GF 1135USA/list$189.95/SRP $303.92). Reach Gregg Emery,vice president of sales, at 800-237-9175 [email protected].

Z.One Concept launches DelicatePermanent Color Oil, an ammonia-freecolor. Roy Hurley, president, says, “Thissimple color application with a mixing ratioof one part color and one and half partsdeveloper is simple—you mix and apply aseasily as regular permanent cream color. Theinitial response has been very promising.”The company is also launching an argan oilin three sizes (10ml, 50ml, 100ml). Reach Royat 623-344-0000, ext. 106, or [email protected]. Visit www.z-oneusa.com.

T.J. Schafer was recently honored with the2009 CND's Regional Manager of the YearAward. This award is given to employeeswho are passionately committed to the CNDphilosophy of serving the needs of the nailprofessional. T.J. has served at CND for morethan a decade, starting in 1998 as a shippingclerk and rising through the ranks tointernational account manager for AsiaPacific and Middle Eastern territories. He is a

proactive sales manager who strives to bringvalue and a keen business sense to the table.Reach John Heffner, president/CEO, at800-833-6245, ext. 277, [email protected]. Visit www.cnd.com.

Jacqueline Munoz is the 2010 recipient ofthe Nicholas F. Cimaglia Educator of theYear Award. The award is co-sponsored byThe Cosmetology Educators of America(CEA), the educational committee of theAmerican Association of CosmetologySchools, and Milady, part of CengageLearning and a top provider of beauty andwellness learning solutions. It is givenannually to an educator who exhibitssignificant contributions toward upgradingprofessional standards of educationalexcellence, particularly within the area ofstudent involvement. The award waspresented at the 16th Annual CEAConvention in Orlando, FL. Jacqueline, thedirector of cosmetology education at theMarinello School of Beauty in Bell, CA,realized her passion for cosmetology whenshe competed in and won a local studentstyle competition. From there, she decidedto pursue a career in the beauty industryand enrolled in beauty school where sheused a Milady textbook for studying. As astudent, she took such copious notes in hertextbook that years later, when she becamean educator, she used that same textbook tohelp explain concepts to her students. Aftergraduating from beauty school, Jacquelineworked in a salon for several years, butfound her true calling, education, afterattending a CEA conference in 1997. Inspiredby her experience at the conference, shedecided to become an educator and hasdedicated the past 12 years to cosmetologyeducation. She prides herself on being acheerleader in the classroom and stronglybelieves in the power of positivereinforcement. “We are excited to presentJacqueline with this prestigious award as sheexhibits a true dedication and commitmentto her students,” says Dawn Gerrain,president of Milady. “Her passion andunwavering devotion to cosmetology

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education is a reflection of the values wehold here at Milady.” Jacqueline received anall-expenses-paid trip to the CEAconvention, plus $2,500 cash and gifts.Reach Dawn at 800-998-7498, ext. 2409, [email protected]. Visitwww.cengage.com.

David Gulino is the new artistic educationdirector for Z.One Concept USA. Accordingto Roy Hurley, president/CEO, “David hasbeen an international platform artist andeducator for more than two and halfdecades, performing on stage and educatingon six continents and on television in 12countries. He is working with our educatorspreparing for an event featuring the team ofstylists from the award-winning London-based HOB Salons.” Reach Roy at623-344-0000, ext. 106, or [email protected]. Visit www.z-oneusa.com.

George Jilly, founder and CEO of Uspa ofAustralia, announces the appointment ofJay Morris as senior vice president andgeneral manager of Uspa North America. Jaywas previously vice president of sales in theUnited States for Alterna, and also workedat American Crew and Creative NailDesign. Jay will develop the channels ofdistribution and support systems for theUspa brand in the North American market,beginning with the new Uspa Supernaturalhair care range. Uspa is a pure botanicalrange from Australia with a 10-year history inthe professional market for skin, body andhair care. Reach Jay at 214-219-9899 [email protected]. Visit www.uspa-usa.com.

Josh Hafetz, president of RaylonCorporation, announces the promotion ofChristopher Raszkiewicz to corporate vicepresident of finance. Chris joined RaylonCorporation in 1992 as an accountant andwas promoted to executive director of

finance in 2008. Reach Josh at 610-376-4871or [email protected]. Visit www.raylon.com.

Oligo Professionnel names StephaneGagnon as its new artistic director. Stephaneis one of Canada’s top master hairstylists.During his 28-year career, he has travelledthe world and taught, inspired andmotivated thousands of stylists. Stephanehas participated in national and internationalcompetitions and was also the Canadianartistic director for Matrix for 14 years.Reach Ilan Cohen, Vernico Products vicepresident, at 877-837-6426, ext. 116, [email protected]. Visit www.vernico.com.

Anthony Pucciarelli is the new president/CEO of Kao Professional Salon Services.Anthony has worked for more than 20 yearsin the management of KPSS, whichdistributes the Goldwell and KMSCalifornia brands. For the last three years,he was vice president of internationalbusiness development at KPSS headquartersin Darmstadt, Germany. Previously, he wasthe general manager of KPSS in Australia andNew Zealand. Reach Mario Argenti,president/CEO of KPSS North America, at410-850-7555 or [email protected] www.kpps-hair.us.

Orly and SpaRitual have appointed twonew education managers who will work todevelop educational strategies, materials andcurriculums for each brand, respectively.Catherine Baek is the new educationalmanager for Orly, while Marichu Corderofills that role for SpaRitual. Catherine andMarichu replace Kristi Galiano, former headof education for both brands, as she takeson a new role as regional sales manager forthe Southwest at SpaRitual. Reach DanShorts, vice president of sales, at818-994-1001 or [email protected] www.orlybeauty.com.

Bill White is the new regional sales managerfor the West Coast for The BurmaxCompany. Bill has been in the beautyindustry for more than 12 years, most

recently at VNC Sales. Prior to that, Bill wasthe vice president of sales at SecheInternational. Reach Bill at 631-831-3121 [email protected]. Visitwww.burmax.com.

Steve Levin joins Spilo Worldwide as vicepresident of global sales. In this role, Stevewill oversee all sales responsibilities forevery geographic market, along withcustomer service, telesales and salessupport, uniting those efforts under oneleadership position. Steve brings a depth ofsales and marketing experience to SpiloWorldwide, having worked at InternationalPlaytex, Avery Dennison and EsseltePendaflex. Reach Steve at 800-347-7456 [email protected]. Visit www.spilo.com.

Attention distributors: JLife Haircare, aBritish professional hair care brand currentlydistributed and sold in the United States,United Kingdom, Sweden and Russia, isseeking additional distributors in the UnitedStates. To learn more, reach MarciaRichards, business development director, at248-678-2420. Check out the line atwww.jlifehaircare.com.

Successful marketer of hair and skin careproducts seeks to acquire complementarybrands. The company sells its product linesin the personal care sections of major chainretailers in the United States and Canadaand is also active in the export market withsignificant sales in other areas of the world.“We have a growing salon division andwould like to add to it by purchasing viablebrands or companies with net sales in excessof $2 million and have distribution in thesalon field and/or the mass retail market,”notes a company executive. No start ups.Send information to BIR Box 901.

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he beauty industry has always been a partof Cornell McBride, Jr.’s life. Cornell, Jr.,

who has served the Atlanta-based McBrideResearch Laboratories in various capacities,including general manager, for the last 18 years,was named company president after his fatherand company founder, Cornell McBride, Sr.,passed the leadership torch to him. Thecompany is the creator of the DesignEssentials Salon System, which offers directdistribution of more than 40 hair care productsthrough salon professionals throughout theUnited States, the Caribbean, and increasingly,in Europe, aided by the launch of thecompany’s Therapuetics Rx, Wave By Designand Colaura brands. The company iscelebrating its 20th anniversary with eventsthroughout the year, culminating with a grandfinale in Atlanta. Call 770-981-8722 or visitwww.designessentials.com.

More than three-quarters of all AfricanAmericans (84%), Hispanics (82%) and non-Hispanic Whites (78%) agree, “One of the bestthings about America is the cultural diversityyou find here,” according to a multiculturalstudy by the Yankelovich research firm and theBurrell advertising firm. Marketers looking toreach and engage those ethnic consumers willneed to re-energize them with “attractiveoffers, new product innovations, enthusiasticways of getting their attention and effectivepersuasion techniques,” says Sonya Suarez-Hammond, vice president of multiculturalmarketing insights for The Futures Company,which spearheaded the YankelovichMulticultural Study 2010.

In light of the struggling economy, black-American women are committed to reducingoverall family spending. Still, they are notwilling to sacrifice national brand loyalty tosave money, says marketing research firmGlobal Hue. They have a high qualityperception of national brands and are less likelyto buy generic or store brands than theircounterparts of different ethnic backgrounds.They over-index in faith-based activities, makereligion a part of everyday life and are moreoptimistic than other women. Don Coleman isthe chairman/CEO. Visit www.globalhue.com.

Celebrities keep the spotlight on HIV/AIDS.Singer, songwriter and philanthropist AliciaKeys’ Keep a Child Alive Foundation provideslife-saving medicine to children with AIDS inAfrica and India. Her duet with Bono, “Don’tGive Up on Africa” and the Keep a Child AliveBlack Ball, publicize the cause. The foundationpartners with brands, including L’Oréal USAand Procter and Gamble. For information, call718-965-1111 or visit www.keepachildalive.org.

JF Labs introduces Organic Hair EnergizerHair Growth Booster with Pro Vitamin-B5, aone-step metabolic hair growth treatment withDHT (dihydrotestosterone) blockers, anti-oxidants and vitamins. It claims to prevent hairloss (alopecia androgenetica) and thinning hairby eliminating clogged hair follicles andenergizing dormant follicles. With daily use, itadds moisture, softness, sheen andmanageability. It’s available in a counter pre-pack unit of 12 pieces and free samplepackettes (#OHE02/list $107.88/$8.99each/SRP $14.99). To learn more, reach CarnellBillups, vice president of sales, at 773-620-1354or [email protected]. Visitwww.organichairenergizer.com.

Procter and Gamble’s Pantene brandcontinues cause-related marketing with“Pantene Beautiful Lengths: Grow Cut Share” inconjunction with the Entertainment IndustryFoundation Women's Cancer Research Fundand the American Cancer Society. Men andwomen grow, cut and donate their healthy hairto make wigs for women who have lost theirhair due to cancer treatments. Free wigs aredistributed by the American Cancer Society.For information, call 877-227-1596 or visitwww.beautifullengths.com.

AMBI skin care (www.ambiskincare.com) wasa show sponsor and hosted a sampling anddemonstration exhibit of AMBI products at theHair Wars Tour in Troy, MI. David Humphries(Hump the Grinder) wrapped up his 25th yearas founder and impresario of the traveling tour.David’s documentary, “Hair Wars: When, Whereand Why?” follows hair stylists as they preparefor the show and explains why Detroit isconsidered Hair Capital of the World. Nextyear, the tour will visit the Caribbean. For

information, call 313-534-8318 or [email protected]. Visitwww.hairwarsustour.com.

Linda Johnson Rice, chairman/CEO ofJohnson Publishing Company, Inc. (JPC), whichproduces Ebony and Jet magazines and offersFashion Fair Cosmetics, announces thatDesiree Rogers has been named chiefexecutive officer of JPC. Linda continues aschairman. Desiree will align core businessstrategies for all brands. She left her position asWhite House social secretary in February. InChicago, she was a senior executive with theIllinois Lottery, Peoples Energy and AllstateInsurance. Visit www.ebonyjet.com.

SoftSheen-Carson’s Roots of NatureNurturing Repair Shampoo for relaxed,natural, color-treated and over-processed hairpenetrates the hair to rescue, repair andprotect against weather and heat damage,dryness and brittleness. To learn more, reachAngela Guy, senior vice president and generalmanager, at [email protected]. Visitwww.softsheen-carson.com.

Organic Root Stimulator’s Olive OilNourishing Sheen Spray provides an all-dayshine without heavy greasy build up byrestoring the hair’s natural moisture balance. Tolearn more, visitwww.organicrootstimulator.com.

Need a style? Johnson Products’ websiteprovides a product list for numerous looks. TheBohemian Natural Twist Set is achieved withfour products: Ultra Sheen’s Original FormulaHair Dress; Detangling and ConditioningShampoo; Instant Detangling Conditionerand Supreme Style Setting Lotion. Look forproducts to enhance a short, sassy precisioncut, sultry waves, or straight look with a sideswept bang. Visit www.johnsonproducts.com.

Lafayette Jones is CEO of SMSi-Urban CallMarketing, a promotion and marketing

company, and publisher of UrbanCall custom publications. Contacthim with your multicultural newsat 336-759-7477 [email protected]. To learnmore, visit

www.SMSiUrbanCallMarketing.com.

SEPTEMBER 2010 5

The Multicultural Report by Lafayette Jones

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6 SEPTEMBER 2010


s president of SalonCentric, Paul Sharnskyoversees one of the largest distribution

organizations in the U.S. professional saloncommunity. SalonCentricwas created in 2008 froma strategic commitmentthat L’Oréal USA made tofurther its mission to gaincloser proximity to thesalon community while

continuing to provide them with the bestproducts, service, training and education forprofessional and personal success. Since then,the company has grown to become one of theindustry’s premier distribution businessesthrough a series of acquisitions of successfuldistributorships in targeted territories. BeautyIndustry Report (BIR) recently spoke withPaul, as well as his senior management team—Tim Forbriger, Chris Turner and WayneTaylor—for an update on this powerhouse. BIR: Paul, SalonCentric has been expandingrapidly, so please bring BIR’s readers up-to-date on what’s happening at your company.

Paul Sharnsky (PS): SalonCentric wascreated in 2008 following a series ofacquisitions that provided a strong storeorganization and distributor sales consultantnetwork. Since then, we have acquired anumber of legacy companies, including BeautyAlliance headquartered in Clearwater, FL;Maly’s West in Valencia, CA; Columbia BeautySupply in Charlotte, NC; Idaho Beauty &Barber in Boise, ID; Maly’s Midwest in GrandRapids, MI: Marshall Salon Services in Dixon,IL; and CB Sullivan in Manchester, NH.

SalonCentric takes a multi-line, multi-channel business approach with professionalsalon brands through hundreds of storelocations and field sales activities. Thecompany distributes, among others, CND,Essie, Farouk, Framesi, Kenra, L’OréalProfessionnel, Matrix, Mizani, Moroccanoil,OPI, Pravana, Pureology, Redken 5th AvenueNYC, Sexy Hair and TIGI.BIR: What’s the difference between BeautyAlliance and SalonCentric? Many use thosetwo interchangeably.

PS: As Beauty Alliance was the first acquiredcompany and our largest acquisition, many

people refer back to it as the main company. Infact, SalonCentric is the company that is acollection of multi-line distributors, BeautyAlliance being one of this group.BIR: Tell me about your team.

PS: SalonCentric has more than 3,300employees and services salon professionalsthrough its network of 1,150 distributor salesconsultants and 700 stores. Our managementteam includes Tim Forbriger, executive vicepresident of business development; WayneTaylor, vice president of store operations; andChris Turner, vice president of marketing,along with other key individuals.BIR: What is your company’s philosophy?

Chris Turner (CT): SalonCentric providessalon professionals with unsurpassed servicethrough a national network of distributor salesconsultants and a strong store organizationthat connects hairdressers with the finestbrands, education and business solutions toensure their overall success. Additionally, it isfully committed to fighting diversion andprotecting legitimate channels of distribution.

SalonCentric has an integrated marketing,communications and promotional strategy thatutilizes state-of-the-art technology andbreakthrough concepts to attract stylistinterest in both the street and store channelsof distribution. As a result, SalonCentric ispositioned as the leader in the professionaldistribution industry.BIR: Do you still take on new brands?

Tim Forbriger (TF): Of course! In order toserve our salon and stylist customers, we areconstantly looking for new and innovativeproducts. We also have the good fortune ofrepresenting the finest companies in theprofessional salon industry, who have a veryactive new launch calendar that we bring tomarket. New brands can contact me to see ifwe’re a fit for each other.BIR: How is your sales team structured?

TF: The sales structure for our traditionaldistribution arm is made up of four regions,each led by a regional vice president of sales.The four regions—Mid Atlantic, Southeast,Midwest and West—are supported by 14divisional sales managers and 61 district salesmanagers nationally. The divisional and district

sales managers manage sales consultants. Eachregion has a sales and education support team.As executive vice president of businessdevelopment, I lead the sales organizationalong with a support team in Clearwater, Fl.

As their business partners, we arecommitted to providing the DSCs with the besttools available to help them service theircustomers at the highest level. That isaccomplished through sales training, salesautomation featuring CRM (customer relationsmanagement) and order entry, and utilizingbusiness building tools provided through thebrands we represent. And, we provide ourcustomers with the best brands available.BIR: How do you partner with salons?

CT: SalonCentric provides a solid valueproposition that differentiates itself from otherprofessional salon product distributors throughseveral programs, including:

1. Regionally-based support: AlthoughSalonCentric is a large national company, weunderstand the value of knowing ourcustomers and our market. We also understandthat this is a relationship-based industry andthat it is imperative for our supportdepartments to be able to react quickly andserve our customers with the attention that afamily-owned distributor would. In order for usto uphold that commitment and provide thetools to help our customers grow theirbusinesses, we have our own regionally-basedsales support, salon development, productfulfillment and facilities and educationdepartments, which are dedicated solely tothose salons in each region.

2. Business development: SalonCentricserves as a resource for both salon consultantsand their clients to assist in the growth ofsalons through the implementation of soundbusiness systems and programs that includebusiness consulting services, salon marketingsupport and education.

3. Salon furnishings: The SalonCentricSalon Furnishings Division and its over 30-timeSalon-of-the-Year award-winning team ofdesign specialists can take the fear away fromdesigning a new salon or renovating an existingsalon by walking the owner through the entireprocess from conceptual development to

SalonCentric partners with salons for successA

SEPTEMBER 2010 7

design services to plumbing and electrical.4. Education: The quantity and quality of

our educational events speak volumes aboutour commitment to the cultivation andadvancement of every salon professional.

5. Consultative sales force: SalonCentrichas demanding hire requirements and providesintense continuing education for each salonconsultant, including in-depth information onsalon development tools, product knowledge,salon finances and industry changes, makingeach consultant an expert.

6. State-of-the-Art distribution centers:Our premiere distribution centers shipexclusively to each region. Additionally, theyhave a 98% fill rate to salons and incorporatestrenuous anti-diversion coding mechanisms.BIR: Speaking of diversion, how does yourcompany overcome it?

PS: Taking a leading role in fighting diversionis at the very core of the strategy to build outthe national SalonCentric network. As such, wehave implemented a comprehensive anti-diversion strategy of a magnitude never beforeattempted by a professional salon distributionorganization. The company has created a focuson accountability, training, systems andstructural safeguards, compensation,communication and coordination. In concertwith a state-of-the-art secondary codingprogram that captures nearly 100% of unitsshipped, this focus has enabled SalonCentric toidentify and terminate thousands of divertingaccounts, representing millions of dollars inunauthorized sales of professional-only retailproducts. With mandatory salon authenticityrating systems, salon profiling, on-site visits andupdated anti-diversion contracts, plus activemulti-level order filtering and analysis,SalonCentric continues to raise the bar foreffective diversion controls. These efforts arepaying off, as the national statistics show a 49%decrease in number of diverted units on corebrands over the last 24 months.BIR: Tell me about your store organization.

Wayne Taylor (WT): With 464 stores andcounting, the objective of the SalonCentricstore division is to provide salon professionalswith the ultimate shopping experience. Thatmeans having stores that are well stocked withsalon essentials; that carry the most powerfuland impactful brands; that present the newestproducts and innovations; that afford a cleanand pleasant shopping environment; that offer

education in new techniques as well as basicskills; and that offer value pricing and excitingpromotions. Most important is that theultimate shopping experience is provided bytrained, professional associates who supplyaccurate and timely information to our clients.We want the shopping experience to be fun,exciting—and consistent throughout the nation.

Our stores have national, centralizedprograms for promotions, merchandising,training, store design and other aspects of storeoperations, but those are executed regionally.There are currently three regions (West, Eastand Midwest), each comprised of 120 to 200stores. A Northeast Region will be added in2011. The sales and operations of stores in eachregion are managed by district managers, whoreport to division managers. Each region has amanager for store training, inventory controland administration. BIR: How does SalonCentric provide

inspiration to stylists?PS: 1. Through manufacturer and

distributor trade shows. SalonCentric iscommitted to three extraordinary independentshows during the year: America’s Beauty Showin Chicago, Premiere Orlando and PremiereBirmingham. Additionally, our legacycompanies have a fantastic history of moreregionalized shows, like The Myrtle BeachShow in South Carolina, The Ocean City Showin Maryland, The Forum in Michigan, The Mid-American Beauty Show in Ohio andExpressions, Elevations and Evolutions in theMidwest. In partnership with many of ourbrands, SalonCentric actively promotes local,intimate educational events like Centricity forRedken and Pureology in Orlando andPremiere Encounter for Redken and Pureologyin Lake Geneva. These shows are the perfectopportunity to provide stylists with technical,artistic and business education.

2. Through business-building education,like SalonCentric’s RISE Business Forum, whichfocuses on the four pillars of running asuccessful salon business—finance,management, marketing and human resources.Additionally, SalonCentric offers stylistsprograms that are run through the brands, likeRedken’s Step-Up and Summit programs.

3. Through special education events, likeSilhouette and Undressed. Silhouette letsstudents experience an event created just forthem. They step outside the confines of beautyschool and explore professional product lines,cutting edge techniques and the latest trends.Our “Undressed: Creativity” event lets stylistsexperience four separate stage demonstrationsfrom top artists all in one day. Each showcasesone of their favorite brand’s artistic expression,creativity and trends.

4. Stylists can also attend our brands’advanced academies, such as The RedkenExchange, the Matrix Academy, the L’OréalProfessional Institute, The Tigi AdvancedHair Dressing Academy, Framesi Academy,The Sexy Hair Institute of Courage and TheFarouk Chi Academy.

5. Finally, SalonCentric inspires styliststhrough interesting editorial and trendreviews in our magazine, on-line atSalonCentric.com, through in-store demos ofnew products and in-salon VIP events.

To learn more, reach Tim Forbriger at727-561-0622 or [email protected].

“The quantity &quality of oureducationalevents speakvolumes aboutour commitmentto thecultivation andadvancement ofevery salonprofessional.”

sing aggressive marketing and smartacquisitions, David Leib has built Robanda

International into a fast-growing company. Atthe recent Cosmoprof North America,Robanda, in addition to launching numerousproducts and previewing promotions for itsmany brands, presented a re-branded Jinglesline by launching ProRituals hair care andcolor. Beauty Industry Report (BIR) met withDavid to find out the inside story, and we arepleased to share it with BIR’s readers. BIR: Welcome, David. Please give BIR’sreaders an overview of RobandaInternational.

David Leib (DL): Robanda is a multi-brandcompany that has something for a wide varietyof organizations in theprofessional beautymarketplace—our corecustomer base includesfull-service distributors, naildealers, OTC beauty storechains and independentstore operations. We alsodo about 15% of total salesin private label. In addition,we have experienced strong growth with SallyBeauty over the past few years.

When we launched the company, weinitially created our own skin care line, butquickly realized that the way to fast growthwas through acquisitions. We acquired Jingles in2001, Mr. Pumice in 2003, BodyographyCosmetics in 2007, Realys (Tropical Shine) in2007 and Marilyn Brush in 2009. Now, we areso excited about our new ProRituals line, whichfeatures phenomenal formulas, awesomepackaging, great hair color and a new educationteam.BIR: Tell me about your team.

DL: We have 38 employees with the keymembers being Anthony Leib, vice presidentof sales; Shawn Russell, international salesdirector; Anita Zappacosta, national salesdirector; Janusz Ramotowski, operationsdirector; Delores Duenas, office manager;Martha Guerra, purchasing manager; and GlenHawkins, general manager, nail file division.BIR: What is your company’s philosophy?

DL: We are 100% service driven; everyonehere understands that the customer pays theirsalaries and our goal is to grow each brand. BIR: What did you see in the professionalbeauty marketplace that indicated there wasan opportunity for Robanda?

DL: The opportunities we originally sawhave become even more evident today. We areable to provide new boutique brands and fillthe void created by big company acquisitions.BIR: What is your vision for your company?

DL: We have become a global companywith our brands now found in more than 40countries worldwide. Our vision is to expandthe base for all of our brands worldwide, andalso to continue to grow within the United

States, the world’s largestpersonal care market. BIR: What is yourcompany’s mission?

DL: To offer the finestquality beauty productsstrongly demanded byconsumers andunparalleled customerservice that reaches

far and wide. BIR: In this crowded marketplace, what isRobanda’s point of difference?

DL: At Robanda, we are obsessed withperfecting our formulations; they’re what bringthe customer back time and again. Combinethat with excellent packaging, education, lotsof promotional support and advertising, andwe have a formula that works for everyone. BIR: Do you have a flagship brand, and why isit so successful?

DL: Each is equally important to us.However, we are fortunate that several of ourbrands are leaders in their categories. Forexample, Mr. Pumice is key to the Asian naildistributors, Marilyn Brush is an important toolfor stylists and Tropical Shine nail files arebeloved by both nail technicians andconsumers. Our dry shampoo, Batiste, is easilythe brand leader in the professional beautysegment. In spite of all of these leaders, Ibelieve that ProRituals hair care and color willbe our biggest brand by far within three years.

BIR: How can beauty stores maximize salesof your products?

DL: We encourage the use of our displays—we provide free testers for all of our products.Our new Bodyography self-service floordisplay, which debuted at Cosmoprof NorthAmerica, is a huge hit. BIR: What is Robanda’s greatestaccomplishment in the last five years?

DL: We have been able to maintain annualgrowth in excess of 20%, even in the difficulteconomic climate of the past two years.BIR: I understand you have a stronginternational business. Please tell me more.

DL: Shawn Russell heads up internationalsales, and our growth has been explosiveworldwide, as we have penetrated variousmarkets with different brands. We recentlybegan doing business in Brazil, which is veryexciting because it’s one of the top beautymarkets worldwide. We are currentlynegotiating several important contracts,including India, Mexico, South Africa, Korea,Singapore and Russia. BIR: What suggestions would you give toothers looking to expand globally?

DL: Be patient...and learn all the legalrequirements with regard to productregistrations, packaging, etc. Participate in thekey international shows to grow your business.BIR: How are you structuring ProRituals’distribution?

DL: We have 28 ProRituals distributors. Weare requesting exclusive contracts with setgoals for years 1, 2 and 3. We do still have anumber of open territories where we want topartner with the right distributor. Having abeautiful brand like ProRituals is going toenable us to play in the big leagues.BIR: Describe your ideal ProRitualsdistributor partner.

DL: Ideally, we look for distributors wherewe will be their No. 1 or 2 line—we don’t wantto be the last out of the salon consultant’s bag.They must commit to extensive education—that is how we plan to drive the brand. Ourphilosophy is to have a small, but highlyqualified team of educators.BIR: With ProRituals, I would imagine

8 SEPTEMBER 2010


Robanda’s brand strategy leads to 20% annual growth

U

David Leib oversees a variety of brandsat Robanda International.

striving to partner with salons is a majorgoal. Tell me about your plans.

DL: We sell this brand exclusively through anetwork of distributors, and we areemphasizing to our distributor partners thatProRituals gives them the ability to target thetop A salons in their territory. For the image ofthe brand, we obviously want to see ProRitualsin leading salons nationwide. We have alsorecently partnered with an exclusive schooldistributor to focus on Marilyn, Bodyographyand ProRituals, again targeting only the top 10%of schools.BIR: You purchased Marilyn Brush more than18 months ago. How is that turning out?

DL: In the first six months, we set aboutfixing everything—being 100% in stock, creatinggreat point of sale material and planning newbrushes and promotions. I’m delighted toreport that many distributors have now comeback to the brand, and it’s showing tremendousgrowth. Marilyn Brush, as a two-time winner ofthe Stylist Choice Award, has a cult followingamong stylists, so it was relatively easy to putthis great brand back on track. BIR: What else is new or hot in your line?

DL: ProRituals is now shipping after 18months of hard work—it’s gratifying to see theamazing response to the new brand.Distributors who placed theiropening orders are calling forurgent repeat shipments of theirfirst order, most within onemonth. Within Bodyography, weare launching TintedMoisturizer in three shades, thefall collection is called GypsyEyes and our top selling ClearPrimer will be on promotion in atravel size tube. In Marilyn Brush,we just launched an ergonomicbrush called Futuro for stylistswith carpel tunnel and in November, we arelaunching the revolutionary patented Twin,which is two brushes in one. With our hotBatiste Dry Shampoo, we are launching twonew formulas that spray out brown and blackfor colored hair and a new fragrance calledDiva. Within Mr. Pumice, the new minidisposable Pumi bars are selling very well.BIR: What type of educational programs doyou provide, and who is in charge of this

important aspect of your business?DL: Training of the distributors’ sales forces

is handled by our reps andsales director. For trainingstylists, we have aneducation team that’s co-coordinated by each brandmanager. For example,ProRituals and MarilynBrush share the samegroup of educators. Theyare leading stylists who areknowledgeable in theirtrade. Bodyography has aseparate team of

educators, mostly top makeup artists. Werecently implemented an education allowance(a 5% discount) for our full-service brands. Eachdistributor uses those dollars to contractdirectly with the educators.BIR: At your company, what role do salontrade and distributor shows play?

DL: Shows are a critical component of ourgrowth plans. For the major salon shows,including the International Salon & Spa Expo,

America’s Beauty Show, Premier Orlando,etc, we partner with the distributor in eacharea. Sometimes, that means our brands arefound at several different booths, but wesupport the distributor with educators andsales staff. We do the shows for distributors,like the WBRA’s Western Buying Conference,the Northeast Beauty Rep Association’sNEBRA show and Cosmoprof North America,ourselves, and we get great support from ourindependent sales reps. On the internationalfront, we do about three shows, includingCosmoprof North America, annually. BIR: Tell me about your organization’s onlinemarketing initiatives, including socialnetworking sites, such as Twitter, My Space,YouTube, Facebook and LinkedIn?

DL: That we leave in the capable hands ofAudrey Butler, our in-house PR representative.All of our major brands, including Bodyography,Pro Rituals and Marilyn Brush, are supportedwith Facebook, Twitter and YouTube, which arefed by a strong fan base. Our social networkingcommunities see daily activity and growth, andfans learn firsthand about brand updates—sometimes faster than by any other mediumbecause it happens instantly. The dialogue wemaintain with our fan base is a direct link toour loyal customers, and those relationshipsare rewarded with contests and regulargiveaways. We look forward to seeingtremendous growth in our social networkingcommunities.BIR: What’s your company’s biggestchallenge going forward?

DL: We want to ensure that even though wecontinue to experience dynamic growth, westill stay true to our core values, and continueto provide the same excellent service to ourcustomers.BIR: What inspires you?

DL: My family, and as I approach the big 5-0,enjoying life to its fullest.BIR: What would BIR's readers be surprisedto learn about your company?

DL: We were the 19th fastest growingcompany in San Diego and placed within thetop 1,500 fastest growing companiesnationwide, according the INC. 5000 list.

To learn more, reach David Leib at800-783-9969 or [email protected]. Visitwww.robanda.com.

SEPTEMBER 2010 9

“We areobsessed withperfecting ourformulations—they’re whatbring thecustomer backagain andagain.”

The new ProRituals line is nowshipping after 18 months of

development.

10 SEPTEMBER 2010

arry Kopsa is seen at many salon and spashows, but he isn’t a stylist or spa owner.

Larry is a certified public accountant and hasbeen in accounting and taxes since 1972. He’s

been specializing in thearea of salons anddistributors for the past20 years, and he and hisfirm, Kopsa Otte, have

earned the title of the financial and tax go-to-professionals for salons and spas. BeautyIndustry Report (BIR) caught up with Larry ata recent salon industry event, and I amdelighted to share our conversation.BIR: Larry, how did the experience you hadas a salon owner with your wife Maggieprovide you with deep knowledge of thefinancial and the management challenges ofthe salon industry, leading you to become aspecialist in this area of practice?

LK: Being a salon owner made me aware ofthe difficulties that other owners face. Forexample, in interviewing a new stylist, I wastold, “I will work for you if you pay me cashunder the counter.” Little did I realize howcommon that practice is. I also came to knowthe challenges of sales, pre-booking andinventory control. Most importantly, I feel Iknow the issues of employee motivation andmanagement. BIR: How did your accounting firm evolveinto one that specializes in the professionalbeauty industry?

LK: We realized that working in nichemarkets allows us to become experts in thosespecialties. Accordingly, we can create value forour clients. There are many accountants, andthey are general practitioners. They have anunderstanding of debits and credits and of thetax law, but they really don’t know how toadvise clients in the nuances of their industry.We know that if we can “take work to volume,”we can provide specific advice that createsvalue. BIR: What do you mean by “take work toVolume”?

LK: That saying comes from Henry Ford.What it means is that if you do something overand over again, you will become more

proficient with a higher level of knowledge andunderstanding of that work. BIR: You mentioned that several years ago,your firm made the conscious effort to gofrom “compliance to reliance.” Tell me whatthat refers to.

LK: At a senior staff retreat, it hit us like abrick. The question was, “Why do clients useour services?” The answer was that they haveto use our services because the bank or the IRSor some other government agency required theinformation. We were simply helping them to“comply.” We did not want that image. Wewanted our clients to come to us because they“rely” on our knowledge and expertise.

BIR: Kopsa Otte’s motto is “Your Success IsOur Goal.” Share with BIR readers how youaccomplish that with clients.

LK: We know that if a client feels that thecost of our service is not an actual expense butthat the work we do assists them to becomemore profitable and to meet their goals, thenwe are doing what accountants should bedoing for their clients. BIR: Larry, there is certainly no shortage ofaccounting firms with clients from ourindustry; however, I don’t know of any firmthat not only has salon and spa clients, butalso works with distributors and evencosmetology schools. How have you beenable to expand your expertise and youraccounting practice across the industry?

LK: It was a natural progression. As word gotout on the service that we provide, we begangetting referrals. The rest is history. BIR: In the medical field, getting a secondopinion is standard operating procedure formany; however, Kopsa Otte uses itsuccessfully in the salon industry. Describeyour “Second Opinion” strategy.

LK: Our Second Opinion strategy is a wayfor us to show potential clients what we cando for them. We put a lot of effort intostraightening out the accounting so that we cancompare numbers to industry averages andbenchmarks. In addition, we closely reviewtheir tax returns to advise on tax strategies thatmight have been missed. On many occasions,we have actually been able to file amended taxreturns to get refunds back for our clients.BIR: If I was still running a distributorshipand you were soliciting my business, whatwould be your approach?

LK: We have specific tools that we use inanalyzing distributorships. There are someunique areas to the industry. The best way toshow you what we can do is to perform a“second opinion.” We request your last twoyears’ financial statements and tax returns anddo our workup. We then set up a telephoneconference using GoToMeeting. We spend anhour or two reviewing our findings with you. BIR: What typically do you find in doingthese second opinion workups?


Kopsa Otte offers beauty biz financial/tax services L

“We do not justwork with largesalons/spas,schools ordistributors.We work withsmalloperations tomulti-milliondollarcompanies.”

SEPTEMBER 2010 11

LK: When analyzing information for our“second opinion”, 98% of the time, we findmistakes or errors that can save the potentialclient thousands of dollars. We find misseddeductions, wrong form of business, sales thatdon’t match the salon software, accrual vs. cashbasis, and chart of accounts that are set upincorrectly. We saved one potential client$10,000 with our second opinion. Of course,that business is a current client now.BIR: Larry, you are certainly popular on thespeaking tour at shows and workshops. Tellme about that aspect of your career.

LK: Word-of-mouth and testimonials are thebest way for us to reach new clients. Secondly,speaking gives us exposure to potential clientsthat we never could reach. When you areholding a microphone, people think you are anexpert. I have been speaking since we startedworking with salons. I have traveledinternationally and all over the United Statesand for many different conferences. It has beenan honor to do so.BIR: Tell me about your team and yourphilosophy toward your people.

LK: There are 25 people employed in ourfirm. Besides myself, there are two otherpartners, Candy Otte and Stacey Stark. Wehave eight CPAs in our practice. Our firm hasalways believed that our team members mustgrow for the company to be successful, sotraining within and outside the office is veryimportant. Each member has a specific role, yetthey do not have specific clients—rather clientsbelong to the whole firm. We also have apayroll department that is growing.

We hire good people and get out of theway and let them do what they do best.Accounts and work are assigned and we haveresources available to assist in helping solveproblems. We know that what we sell is ourknowledge. We have a saying “Knowledge isPower and Scarcity Creates Wealth.” We arecontinually educating ourselves. Finally,technology is very important. We always striveto be on the cutting edge of technology.BIR: What are your vision and mission?

LK: Our vision is that Kopsa Otte will be theleading experts and trusted advisors for theniches that we serve. Our mission is that we arededicated to implementing strategies thatenhance the well being of our people and the

clients that we serve.BIR: What is Kopsa Otte’s greatestaccomplishment in the five years?

LK: We place a lot of emphasis onemployee satisfaction. It makes me so proud to

see the growth of our team and how we havebeen able to help them achieve their personaland professional goals. BIR: Tell me about your organization’s onlinemarketing initiatives.

LK: We know that social networking isbecoming more important all the time. Wecontinue to grow in that arena. We have fourblogs that we send out on a weekly basis. Ipost information on each that I believe will beinformative, as well as interesting. We are alsoon Facebook. We also conduct free webinars. BIR: How do you partner with salons.

LK: One unique part of our engagement isthat we give our clients what we call “unlimitedaccess.” That means that clients or anyone thatthey designate can call us with questions andwe don’t charge any additional fees. Because ofthat, we get a lot of questions that help us tobe a great partner to our clients. In addition,we are constantly finding new industry facts,averages and benchmarks that we share withour clients. We also read all of the majorindustry publications and make our clientsaware of those business, management and taxarticles that we believe can benefit them. BIR: What’s your company’s biggest challenge

looking forward? LK: Our biggest challenge is something that

we really have no control over and that is theoverall national economy. BIR: In your opinion, what is the salonindustry’s biggest challenge? How can theindustry solve that challenge?

LK: There are several challenges in the salonindustry. For salons, they include adequatestaffing; plummeting retail sales; booth rental’simpact on the commission salons and too-highcommission structures. Distributors’ challengesplay off of those. Sales start at the chair. Ifsalon retail sales are down, distributors’ saleswill be down accordingly. Distributor marketsegment consolidation is also an issue. At thebeauty school level, challenges include funding,student enrollments and increasingcompetition for students.BIR: What business trends can you predictfor balance of 2010 and into the new year?

LK: If the economy sours, then we will likelysee Darwin’s Law come into effect and we willsee more closings of salons that are currentlymarginal. A lot depends on the overall economy.BIR: What is the best business advice youever received, and who was it from?

LK: Many years ago, I was speaking at asalon show in St. Louis, and Doug Von Allmen,the owner of Beauty Alliance Inc., met meafter my presentation and said that he liked mymessage. He said, “I have always run mybusiness to make it more valuable so that if Iever sell it, it will be worth more. If you followthat philosophy, you will always be makinggood business decisions.” Doug, who eventuallywent on to sell this business to L’Oréal, knewwhat he was talking about. BIR: What would BIR's readers be surprisedto learn about your company?

LK: We do not work with just largesalons/spas, schools or distributorships. Wework with small operations to multi-million

dollar companies. Wetailor our services for theneeds of the clients.

To learn more aboutKops Otte’sa service ,s reachLarry Kopsa at402-362-6636 or

[email protected] or visitwww.kopsaotte.com.

“We want ourclients tocome to usbecause theyrely on ourexpertise.”

12 SEPTEMBER 2010

ast month, Beauty Industry Report (BIR)began its three-part coverage of Cosmoprof

North America, with our take on the overallshow and special events. This month, we walkthe show floor to bring you a recap of whatwas new, hot and creating a buzz.

The show floor was a combination of fourseparate sections or pavilions, totaling 700exhibitors that attracted, according to showmanagement, more than 25,000 attendees.They included a combination of both domesticand a growing number of internationaldistributors. Being on the show floor was likegoing to a Cineplex that was featuring fourgreat movies that we wanted to see but onlyhad time for two. As a result, we focused onPavilion D: Professional Hair, Nails & Tools andPavilion A: Cosmetics and Personal Care.

As always, salon styling tools wereprominent all over Pavilion D. Helen of Troyunveiled its new show exhibit. Vice president ofsales, Scott Hagstrom, stated, “We wanted tomake a bold statement about our commitmentto the professional beauty industry. We had 106pre-booked appointments and about 15 walkups over the three days—about 15% more thanthe previous three years. We showcased ourHot Tools and Fusion Tools brands andintroduced a number of new dryers, flat irons,curling irons, and specialty irons in new finishesand colors. The customer response was great.We don’t sit and write many orders at the showanymore…that has been that way for the past 8to 9 years. Our customers make verbalcommitments, and then the orders start topour in over the next 7 to 14 days. I liked thehours of 10 a.m. to 5 p.m. We were swampedall three days, but we still had time to seeeveryone. It also gave more flexibility to get todinners without rushing so much.” Reach Scottat 915-225-5805 or [email protected]. Visitwww.hotus.com.

Conair introducted the new Italian-madeVolare 1 and Volare 2 hair dryers featuringengines designed by Ferrari. David Gardner,product manager, gave BIR the low down. TheBaBylissPRO Volare dryers feature intense airpressure and include a turbo button thatdelivers an instant burst of powerful air for

high-speed drying. Both the full-size V1 andmid-size V2 are powered by the V12 engine,designed and built exclusively for BaBylissPROin cooperation with Ferrari. This Italian-made2000-watt AC engine combines high torqueand smooth run, generating extreme powerwhile operating quietly. The Ferrari designedV12 engine is the world’s first ball-bearing dryerengine design. It significantly reduces vibration,and helps to extend the lifespan up to 300% inconjunction with extended engine brushes. TheVolare dryers also feature nano titaniuminfused grills for heat distribution and a tri-portionic generator to maximize shine. Volare alsofeatures a nano titanium-infused grill, tri-portionic generator, true cold air and six speed andheat settings. (#BABFRVIRed/#BABFVIBlack/list$199.99/SRP $399.99). Volare 2 is a mid-sizedryer (ABFRV2/Red/#BABFV2Black/list$199.99/SRP $399.99). Reach Ken Russo, vicepresident, Conair professional division, at800-726-6247, ext. 9027, [email protected]. Visit www.conair.com.

In addition to those large appliancemanufacturers, there were more than a dozenother exhibitors of tools on the show floor.Also in the Chinese and Korean pavilions, itseemed as if every other exhibitor wasdisplaying flat irons and hair dryers. In off floorhotel rooms, both FHI Heat and HAI-Elitewere also exhibiting their new models andmerchandising programs.

Hair oils were big again this year. At EarthlyBody’s exotic Moroccan-themed booth andlounge, President Kevin Wachs showed BIR theall-natural hemp oil-based body carecompany’s new scents of its Marrakesh Oil.They included tangerine plum “Dreamsicle,”coconut lime verbena “High Tide” and sweetand spicy original, which also comes in a lighterversion for fine hair. (2 ounces/60ML/list$11.50/SRP $22.99). Reach Georgene Smith,national sales manager, at 877-EB4-HEMP [email protected]. Visitwww.earthlybody.com.

At Alterna, President Joan Malloy, stated,“We introduced our Bamboo collection,featuring pure, organic bamboo extract, astrong and sustainable ingredient that delivers

stronger, healthier hair. The first of threecollections is Bamboo Smooth, which isinfused with organic bamboo paired withorganic kendi oil, a sustainable, eco-certified oilfrom Indonesia that guarantees frizz-free, sleekhair. Bamboo Smooth launches with four skus—Anti-Frizz Shampoo and Conditioner, KendiPure Treatment Oil and Kendi Dry Oil Spray.Three additional products will launch in late2010, followed by the Bamboo Shine andBamboo Volume collections. Reach Joan at424-253-2090 or [email protected] www.alternahaircare.com.

At Moroccanoil, Zohar Paz, noted, “At ourdistributor dinner, we acknowledged theoutstanding performance by our distributorpartners and gave special awards to JonShakour/Essential Salon Products and KarlSweis/Sweis Inc. as our U.S. distributors of theyear, and Brad Gauvin/ Haircare Australia, asthe international distributor of the year.”

Larry Solomon, president of KeratinComplex, reported, “In addition to our twobooths on the show floor, we had a packedmeeting room, which gave us a quiet,comfortable, convenient place to conductserious, focused meetings and presentationswithout interruptions. It allowed us to previewnew products. I would highly recommend ameeting room, rather than an off-site location.It's convenient, professional and no one needsto traipse to different locations in the middleof the business day. I can't tell you how manypeople said they were appreciative of that."Reach Larry at 888-409-4445 [email protected]. Visitwww.bironline.com.

At the Aloxxi Hair Coloring and Haircaremeeting room, general manager MyriamClifford reported, “As a long-time Cosmoprofexhibitor and attendee, this was the first time Ihad the opportunity to take advantage of themeeting room space and was truly thrilled withthe outcome. The meeting rooms wereaccessible before and after regular show hours,from 7 a.m. to 7 p.m. We scheduled a multitudeof meetings with our existing distributors, aswell as prospective distributors to discuss theAloxxi re-launch in 2011. This is a great option


Cosmoprof raises the trade show barL

SEPTEMBER 2010 13

for limited distribution brands—it is stillunbelievable that many companies choosehotel meeting rooms as an alternative to theshow floor. That is not in the best interest ofthe industry or the distributors who need torun from hotel to hotel and then back to theshow floor!” Reach Myriam at 877-512-7131 [email protected]. Visit www.aloxxi.com.

Eric Horn, the Professional BeautyAssociation’s associate director-businessdevelopment and Cosmoprof show director,had this to say about off-site meetings, “Off-floor or in-suite meetings have always takenaway from the show floor selling process, andin 2011, we are providing more convenientlocations with a wider variety of options toentice manufacturers to stay on the floor andalleviate the travel and time it takes to senddistributors to and from…we hope the supportof the manufacturers in on-floor meetingrooms will be stronger in 2011, and we will doall we can to entice them to become part ofthe selling process (along with the other 700-plus manufacturers who already are).”

Texture control was the other hot categoryat Cosmoprof North America. Three of themajor brands—Brazilian Keratin Treatment,Global Keratin and Keratin Complex—all hadshow floor exhibits. BIR talked with MarceloTeixeira, Brazilian Keratin Treatment president,who said he is attempting to create anassociation of companies that are marketing inthe category with the purpose of addressingthe concerns, issues and misinformation aboutthe potential health issue claims being made.Reach Marcelo at 561-272-8443 [email protected]. Visitwww.braziliankeratin.com.

Salon Tech, a growing styling tool line, usedCosmoprof to launch its keratin straighteningsystem. Lee Anne McCool, sales manager,reported, “We had 45 distributor and mediaattendees join us at Border Grill in MandalayBay for breakfast and the official launch of ournew keratin straightening system. The system isformulated with kaolin (white clay), whichfilters heavy fumes and acts as a barrier toprotect the hair from heat damage. The haircan be washed immediately after thetreatment. The line consists of five skus—Activating Cleanser (16.9 ounces/SRP $45.00);

Treatment (33.8 ounces/SRP $320.00); Mask(8.3 ounces/SRP $35.00); and after careshampoo and conditioner infused with keratinand collagen (8.3 ounces/SRP $10.00). For acomplimentary sample kit of the new keratinstraightening system, contact Lee Ann at516-941-3462 or [email protected]. Visitwww.salontech.com.

With all the concerns about the potentialproblems connected with formaldehyde, aprimary ingredient in a number of straighteningsystems, there is a growing interest in non-formaldehyde straighteners, as well. Accordingto Cindy Van Steelandt, ZerranInternational’s marketing director, “We trulyhad a global response at Cosmoprof NorthAmerica. The Internet is turning out to be apowerful ally, because potential new clients aredoing advance research online and come to the

show floor ready to talk business. And, thanksto the U S Consulate General office with itsexport program, we had the opportunity tomeet qualified buyers from a wide geography,including Africa, Australia, New Zealand, Europeand Latin America.” Zerran reported highinterest in its patented, vegan andformaldehyde-free Zerran Reform NaturalPermanent Hair Straightening System. Cindyalso reported that the all-in-one suite ofchemical service products, the Zerran APS(Advanced Professional Services) Collection(kit of five full size products, instructionbooklet and APS tote bag, for salon useonly/list $58.00) is gaining traction for itscompatibility with all brands of professionalhair color, bleach and perms. Reach Cindy at800-626-1921 or [email protected] www.zerranhaircare.com.

New line launches made news atCosmoprof North America. Of note are twobrands being marketed by companies locatedout of the country who are smart enough torecognize that having their lines inventoried,warehoused and shipped from a U.S.-baseddistribution point is a critical key successfactor. From Australia, evo featured an artgallery type "installation" and the result was afun-filled environment full of energy. Selectevo distributors are launching this month withsupplies coming from its Los Angeleswarehouse and fulfilment center. Brad Gauvin,evo manager, said, “The show was verysuccessful for evo in connecting the brand withmany more key distributors who have shownstrong interest in joining our select network.”For distribution inquiries, contact Jim Fogg at720-273-0901 or [email protected].

From Sweden comes REF (short forReference Hair Care). The line originallyexhibited at Cosmoprof North America fiveyears ago, and management realized theyneeded to go back to the drawing board toprovide the sales and marketing strategiesneeded to market successfully in the U.S. salonmarket. Now, it’s back and ready to do businesswith a U.S.-based company with inventory. REFhas a clean, fresh Swedish design with a simpleand easy-to-use reference number system.Packaging features orange symbols with the REFnumbers that allow you to select the right

“Mostimportant istheopportunity tomeet withcurrentpartners toreviewbusiness andcreate plansfor next year.”

Cosmoprof continued on page 14

14 SEPTEMBER 2010


product to do the right job—which hold, whichshine and which volume is needed. REF isdistributed in more than 24 countries. The linecontains 27 products, including shampoos,conditioners, treatments, styling and finishingproducts. Recently, REF launched 62 shades ofpermanent hair color and a men’s line. REF isseeking aggressive boutique distributors. ReachUlrika Johansson at 203-428-1060 [email protected]. Visitwww.referencehaircare.com.

Bed Head followed up the launch of UrbanAnti+dotes with three new shampoos andconditioners called Bed Head Style Shots.With names like Epic Volume, Hi-Def Curlsand Extreme Straight, these products havebeen formulated with unique styling shotsfused inside the products. Reach Vince Davis,general manager, TIGI Americas, at800-259-8596 or [email protected] www.tigilinea.com.

Neuma’s sustainable hair care line launchedat Cosmoprof after five years in the making.Brand owner Cosway, a large contractmanufacturer and marketer of hair care brandsto the salon market, has delivered a hair careline that incorporates plant-based, organicingredients. Neuma offers a full range ofsystems. Moisture infuses life back into dry,damaged hair, improving condition. Volumeenhances volume and fullness with long-lastingbody. Renew is ideal for normal hair, as well asclarifying. Repair restores and strengthensoverworked, over-processed hair, Finally,Styling offers a variety of stylers to completeany look. Tommy Dionisio, chief sustainabilityofficer, told BIR that Jeff O’rrell, who workedalongside Jim Markham at PureOlogy, hasjoined Cosway and is putting together thedistributor network. Reach Tommy at800-333-0707 or [email protected] www.neumabeauty.com.

BIR checked in with Joe Mastalia, presidentof DePasquale Companies, who said, “Ourcompanies introduced a new booth, whichfeatures our collection of lifestyle brands,including ECRU New York cosmetic hair care,New York Streets hair culture collection,beauty ADDICTS beauty made simple andCures by Avancé curative and correctiveskincare. In addition, our newest venture,Lakme inspired hair care, also showcased its

new booth. Said Joe, “We were excited by thelevel of interest and opportunities for bothdomestic and international distributors. Thisyear’s distributor meetings took on a moreserious approach and the quality of thepotential distributor was greater.” Contact Joeat 800-724-4742, ext. 223, [email protected]. Visitwww.depasqualecompanies.com.

At Kim Vo Luxury Hair Care, CraigShandler, president, said, “We came away fromour first Cosmoprof with firm commitmentsand strong leads both domestically andinternationally. As a result, we are very positiveabout the future of our business. We were ableto take advantage of further connecting withpotential and existing customers through theKim Vo Salon at The Mirage. We providedsalon tours with Kim and were able to shareour go-to market and education programs,helping to further convey the power of the KimVo brand.” Interested distributors can contactKevin Barrett, vice president of sales atFromm International, at 800-323-4252 [email protected]. Visitfrommonline.com.

Prolana, the company formerly known asOlan Labs, introduced a new hair care productcalled Crack under the Prolocks division. Inaddition, president Greg Minuto announcedthat Donna Louis has been made a partner inthe company. Donna said, “Crack, a hybrid hairtreatment and styling aid in one, is one sku thatdoes it all…transforming thick, coarse, frizzy,stressed hair into luxuriously silky, shiny andhealthy hair, with UVA, UVB, thermal andchlorine protection.” Crack will be sold throughlimited distribution channels across the UnitedStates, Canada and other international markets(display of 6/2.5 ounce tube/list $9.95/SRP$19.95; backbar size 5 ounces/list $19.95).Sample packets are also available.

The Prolana nail care line introduced six newcolor collections on small 12-piece vacuumform displays. The mini 1/8-ounce sizes ofcolor and nail treatments on various displayswere a hit, as well as the new treatmentpackaging with a very high-end look. ReachDonna at 661-993-0232 or contact Greg at800-645-1616 or [email protected]. Visitwww.olanlabs.com.

At Color Club, Michael Rose said, “We had

strong buyer interest in our new UntamedLuxury collections of glamorous polish shades,including the Indulgence and the DiamondCollection. The Indulgence Collection includesseven cream shades, while the DiamondCollection features six shades of high-shine andshimmer plus our Luxury Topcoat to give eachshade an abstract design and covered indiamonds flare.” Each collection comes in a7-piece salon pack/list $12.32/SRP $24.64,27-piece display/list $47.52/SRP $95.04 and54-piece display/list $95.04/SRP $190.08.Reach Michael at 800-221-8080 [email protected]. Visitwww.cosmeticgroup.com.

At Betty Dain Creations, owners Don andRichard Lebow launched new packaging andthe Betty Dain Signature apparel line. Thenew packaging features modern rounded boxescolor-coded by apparel category while offeringa multitude of merchandising options, as well

“This year’sdistributormeetings tookon a moreseriousapproach andthe quality ofthe potentialdistributorwas higher.”

Cosmoprof continued from page 13

SEPTEMBER 2010 15

as cut outs to feel the material. The Betty DainSignature line offers upscale premium apparelfrom multi-purpose capes and aprons totailored barber and stylist jackets. ContactMarci Miguel, director of marketing, at800-327-5256 or [email protected]. Visitwww.bettydain.com

J&D Beauty introduced The Diva Tweezersin the Santa’s Helper Edition, a 12-piecedisplay (#SPTW1012H/list $21.00/SRP $9.99);The Wet Brush, being marketed as the “World’sBest Detangler Brush” (#B830W/list $3.50/SRP$9.99 to $14.99); a complete floor stand brushcenter display (#SP1008/list $3,788.00/SRPsrange from $2.99 to $14.99); and the travelaccessory center, a floorstand unit of smallbottles (#SPTD22l/list $614.20/SRP range $0.79to $2.99). Reach Phil Greco, president, at631-273-2800, ext. 303, or [email protected] www.jdbeauty.com.

BIR spotted WILL, a new, limited-sku men’sfragrance and grooming line available fromWilliam Neely Cosmetics, a first-timeexhibitor. (Men’s Eau De Toilette/3.4 ounces/list $18.50/SRP $ 37.00; Refreshing Splash/3.4 ounces/list $13.50/SRP $27.00; BodyMoisturizer/6.7 ounces/list $7.00/SRP $14.00;After Shave Balm/3.4 ounces/list $8.50/SRP$17.00). Reach William Neely, president/CEO,at 310-849-6333 [email protected]. Visitwww.williamneelycosmetics.com.

The Discover Beauty Section is aCosmoprof North America highlight. In spite ofthe limited number of exhibitors, it’s exciting tocheck out new brands and talk with theentrepreneurs behind them. Barista Bath andBody, a natural line of coffee-inspired bath andskincare products, received the 2010 DiscoverBeauty Award, an award based on concept,packaging and the ability to succeed in thebeauty marketplace, as judged by a group ofindustry experts. The line includes Perk It UpEnergizing Shampoo (8 ounces/240ml/SRP$16.00), Soothe Those Jitters MoisturizingConditioner (8 ounces/240ml/SRP $18.00),Triple Shot3 3-in-1 Coffee Shower Gel(8 ounces/240ml/SRP $15.00), Room forCream Exotic Origin Body Crème(8 ounces/240ml/SRP $22.00), One Lump orTwo Coffee Sea Salt and Turbinado SugarBody Scrub (8 ounces/240ml/SRP $28.00),

Make Mine Black Handcrafted Coffee Soap(5 ounces/150ml/SRP $12.50), Pump of FlavorBody Mist (4 ounces/120ml/SRP $13.00) andFroth Moisturizing Coffee and Mint Lip Balm(.15 ounces/4.5ml/SRP $4.50). Reach MaryBocci, vice president business development, at888-233-3178 or [email protected]. Visitwww.baristabathandbody.com.

In addition to visiting with exhibitors, BIRchatted with sales reps and salon store chainexecutives to get their show experience. RonBranscom, Beauty Brands’ divisionmerchandise manager, said, “Cosmoprof isinclusive of all major brands, plus new and

emerging brands. There’s direct contact withsenior management of today’s top companiesall in one place. You have an opportunity toreview your business with the key decisionmakers and develop strong plans for thefuture.” Reach Ron at 816-960-5047 [email protected]. Visitwww.beautybrands.com.

Maria Rush, director of stores for BeautyCollection, stated, “The benefit of CosmoprofNorth America is twofold. First, it allows me tomeet new and emerging brands in DiscoverBeauty. Second and most important is theopportunity to meet with current partners toreview business and create marketing and salesplans for the next year. This arena provides theenvironment to meet with dozens of ourpartners over a few days and generate somecreative strategies to increase business andbrand exposure. It never fails that I return fromthe show with 20 or more plans to work out!The most innovative brand I saw was Cry Babysemi-permanent mascara, a service that lastsfor up to two weeks! (Kudos to the inventor forcreating the next best thing in the lash growthand extension age.) Reach Maria at 818-785-7447, ext. 22, or [email protected] www.beautycollection.com.

Harlan Kirschner, president of TheKirschner Group, Inc, noted, “Cosmoprof givesus the opportunity to have our customers andmanufacturers meet, dialog and plan all in onelocation. It is a great opportunity for decisionmakers to meet and make strategic decisionsfor growing their business. The social events,like City of Hope, the North AmericanHairstyling Awards and the parties, are greatvenues to compare and share business ideasand challenges. The manufacturers who comeprepared and have well-thought-out businessapproaches to each customer leave fulfilled inachieving their goals.” Reach Harlan at800-527-8645 or [email protected] www.kirschnergroup.com.

With 700 exhibitors, BIR could fill acomplete issue and just scratch the surface ofall the viable product lines at CosmoprofNorth America. Watch for part 3 of ourextensive coverage next month.

Cosmoprof 2011 takes place July 24-26. Visitwww.cosmoprofnorthamerica.com and reserveyour space to begin today.

“Themanufacturerswho comeprepared andhave wellthought outbusinessapproaches toeach customerleave fulfilledin achievingtheir goals.”

16 SEPTEMBER 2010


Joico introduces Clinicure StylingSolutions. The collection includesWeightless Texture Thickener (8.5 ounces/list $6.98/SRP $13.95), Lifting FoamVolumizer (10.2 ounces/list $6.98/SRP$13.95) and All-Day Dry Hold Finisher(9 ounces/list $6.98/SRP $13.95). Theseformulas contain botanical ingredients thatprovide weightless, all-day style and hold,while making thinning hair look fuller andthicker. Reach Candy Gebhart, seniordirector marketing, at 800-805-6426 [email protected]. Visit www.joico.com.

Affinage launches Heroes, a boxed set ofthree specialty products designed to changethe way hairdressers use color. Converterchanges any permanent hair color to a tone-on-tone effect, so there’s no longer a needto carry a complete demi-permanent line.Quick Pig corrects color or revives colorthat has faded. Available in red, orange andyellow, the spray is used with foils forefficient re-coloration without the mess.Eraser is a two-part color removal plus one-part post application system that targetsindividual artificial hair color molecules andbreaks them down while removing themfrom the hair shaft. Heroes is available in acarrying box with a handle (1 liter Converter$33.65, one of each 8-ounce Quick Pig sprayin red, orange and yellow and 3-step Eraserremoval kit/salon list $33.65). Brochures areincluded for every product. Reach MichaelIfergan, managing director, at 877-597-2929or [email protected]. Visitwww.affinage.com.

Wayne Grund launches Surface CraveStyling Paste. Sugars and corn starchesprovide a humidity-resistant hold and createa rich texture that lasts throughout the day(3.4 ounces/list $14.95/SRP $29.95). TrinityProtein Tonic is a conditioner for hair

extensions made with cationic veganproteins of amaranth, keravis and soy. ProteinTonic is free of PVP/PA and other plastics,making extensions less likely to slip off(6 ounces/list $14.98/SRP $29.95). ReachWayne Grund at 866-944-7863 [email protected]. Visitwww.surfacehair.com.

The new Bosley Professional StrengthLimited Edition Travel Packs, which containTSA-approved 2-ounce NourishingShampoo and Volumizing Conditioner,nourish and thicken hair. The Bos-Defensesystem volumizes normal to fine hair andalso treats minor hair thinning. The Bos-Revive system reconditions hair andrejuvenates the scalp, treating visiblythinning hair and hair loss. LifeXtendComplex creates the ideal conditions forhair preservation, growth and restoration.Formulas are also pH-balanced, vegan,paraben-free, sulfate-free and phthalate-free. ColorKeeper Complex extends thelongevity of color (list $4.50/SRP $8.95).Reach Dev Rice at 800-267-5391 [email protected]. Visitwww.bosleypro.com.

Dennis Bernard adds three shampoos to theSmart Solutions line. Cleanse n’ VolumeShampoo is for the client who wants aprofessional shampoo at a value price. Aneveryday shampoo that improves thecondition of damaged hair while addingvolume, enhancing color and adding shine,it’s paraben free and comes in three sizes (12ounces/list $5.99/SRP $11.97, 32 ounces/list$8.99/SRP $17.98 and gallon/list $19.99).Problem Hair n’ Scalp Shampoo treatsdandruff, relieves dryness and eliminatesflaking while nourishing the hair and scalp. Itcontains jojoba beads, which gently removeflaking, and along with zinc pyrithicone, fightscalp scaling and itching to normalize oilyhair. The formulation is sulfate-free, paraben-free and sodium chloride-free (8 ounces/list$7.99/SRP $15.97). Clarifying DemineralizingShampoo is for swimmers, for use beforechemical services and to remove build-up

(32 ounces/list $11.99/SRP $23.97). ReachDennis Bernard at 732-308-9595 [email protected]. Visitwww.DennisBernard.com.

New Chi Matte Wax from Farouk Systemscreates definition, separation and threedimensional styles—flawlessly shaped curls,dynamic pompadour heights or tousled andunstructured finishes—with a dry mattefinish (2.6 ounces/list $7.50/SRP $15.00).Reach Gregg Emery, vice president of sales,at 800-237-9175 or [email protected]. Visitwww.farouk.com.

Tressa, Inc. introduces the SmoothOperator Straightening System (salon list$15.99) in two formulas: normal-resistantformula and color-treated formula. WithSmooth Operator Straightener, you cancolor and shampoo on the same day thatyou straighten. The thio-based straightenerhas just two products to apply, no pre- orpost-treatment necessary. Keep some curl,make it wavy or go all the way straightwithout flat ironing, heat or formaldehyde.Support products address the needs ofchemically straightened hair. SmoothOperator Shampoo and Conditioner (13.5ounces/list $6.00/SRP $12.00) andSmoothing Therapy (8.5 ounces/list$6.00/SRP $12.00) will maintain straightlocks, keeping hair manageable, smooth andfrizz-free. Reach Dianne Simpson, salesmanager, at 800-879-8737, ext. 308, [email protected]. Visitwww.tressainc.com.

L’anza launches Healing Style Beach Spray,a lightweight spray-and-go formula thatcreates fresh-from-the-beach tousled wavesand natural loose separation, thanks to DeepPacific sea water, seaweed, cactus plant andLanza’s keratin healing system. Beach Sprayprovides thermal protection up to 500˚ andtriple UV Protection (3.4oz/salon list$10.00/SRP $20.00). Reach Holly de Rivaz,brand manager, at 310-393-5227, ext. 3433, [email protected]. Visitwww.davexlabs.com.


SEPTEMBER 2010 17

Head Organics offers a back-to-school two-for-one $21 liter promotion for retailing andbackbar use. That’s just 31 cents per ounce.It’s available in Clearly Head Shampoo andClearly Head Conditioner or HydratingShampoo and Clearly Head Conditioner.Head Organics was one of the first pH-balanced shampoos to use a sodiumlaurel/laureth sulfate-free formula, moveaway from paraben-based preservationsystems and make a non-aerosol, non-alcohol based hair spray. (The formula usesnatural witch hazel.) Reach Barry Thomas,director of sales at 888-481-5011, [email protected]. Visitwww.headorganics.com.

At Alterna Professional Haircare’s firstAlterna Stylist University (ASU), 45 Alternaprofessionals from across North Americaparticipated in classes ranging from producteducation to retail methods to cutting skills.Participants got a first look at the 2010 Mind,Body and Spirit Collection—Alterna’s newestcutting/styling collection created byMichael Shaun Corby, global creativedirector. “Salon owners and professionalstylists are fundamental to what we do,”explains Michael. “They are trustedambassadors for the Alterna brand, so weare always looking for new and exciting waysto give them the products, knowledge andtechnology to make them successful in theirtrade, and ultimately to drive sales.” TheAlterna Creative Team, as well as sales andeducation managers, also attended. ReachJoan Malloy, president, at 425-253-2089 [email protected]. Visitwww.alternahaircare.com.

Scruples Urban Shock Color Craze offerspastel and custom shade mixing options.With seven intense direct-dye colors in aconditioner base, Urban Shock Color Crazecontains no ammonia and requires noperoxide developer. Urban Shock ColorCraze creates vibrant and pastel shades onlight or pre-lightened hair and subtle toneon darker natural or color-treated hair. Thenew interactive swatch book features

removable swatches of each color in threetone depths (2.5 ounces/.75ML/list $5.50).Reach Tracy Liquori, office of president-marketing, at 800-457-0016 [email protected]. Visitwww.scrupleshaircare.com.

Global Keratin has launched a stylisteducation program for the Global KeratinHair Taming System with Juvexin. Its MasterStylist Certification is an extension of the GKAcademy and will offer hands-on workshopsin technique and application. The benefits ofbecoming master certified include receivinga Juvexin master certified stylist framedplaque; a Juvexin master stylist membershipcard and decal; free quarterly education andre-training seminars; direct access to GlobalKeratin’s customer service and a dedicatedin-market service representative; specialsales on products and the opportunity tointroduce new products in market first; asalon listing with photo on thewww.juvexin.com salon finder; inclusion inmarket-specific advertising and aprescription pad. Reach Dave Mulhollen,director of sales, at 888-588-3946 [email protected]. Visitwww.globalkeratin.com.

Bamboo Cosmetics introduces BambooHair for Men and Bamboo Hair forWomen. Bamboo Hair, using natural activeingredients and nanotechnology, is anintensive treatment that helps combat thecauses of hair loss, thinning and breakage. Itsadvanced proprietary NP7 Complexcombines proteins, vitamins and mineralsessential for strong, healthier hair growth.Bamboo Hair restores the vitality to yourhair, while supporting proper circulation andblood flow to the scalp and root of the hair.(5.1 ounces—a 90-day supply/list $80.00/SRP $159.00) Reach Tammy Von, vicepresident, at 612-747-6661 [email protected]. Visitwww.bamboocosmetics.net.

Sudzzfx Level Straight straightens bothwavy and extremely curly hair with humidity

resistance and long-lasting straighteningcontrol. It’s formulated for use betweenkeratin treatments to help sustain results. Inhumid weather, use on all hair types to helpretain body and fullness (8.5 ounces/list$9.95/SRP $19.95). Reach Aris Koroyan,president, at 805-983-6575 [email protected]. Visit www.sudzzfx.com.

IGP Beauty, Inc. launches the Ed HardyVintage Collage Accessory Line of eightbrushes, combs and paddles as stylingcompanions to Ed Hardy blow dryers andflat irons. The line includes the Koi StylingBrush (list $7.50/SRP $15.00), Rose TeasingBrush (list $5,00/SRP $10.00), Rose Comb(list $3.50/SRP $7.00), Rose Comb—SmallTooth (list $3.50/SRP $7.00), True to MyLove Teasing Comb (list $3.50/SRP $7.00),True to My Love Large Paddle (list $7.50/SRP $15/00), Love Eternal Medium Paddle(list $7.50/SRP $15.00), Vintage Collage PopUp Brush (list $4.00/SRP $8.00). ReachJennifer Wilson, director of marketing, at630-862-8128 or [email protected]. Visitwww.igpbeauty.com.

New from Comodynes is Hydra Tanning:Moisturizing Summer Effect, an intensemoisturizing tanning lotion. It works on threelevels to give skin a natural and uniformglow. First, it adjusts color intensity to eachskin phototype. Next, it prolongs the naturaltan and lastly, it reinforces skin’s sundefenses against free radicals (6.7 ounces/list $10.00/SRP $20.00). Reach AllaDorodny, U.S distributer, at 818-551-0209 [email protected]. Visitwww.comodynes.net.


WunderCover, a high color-densityconcealing cream, is now available tomakeup artists, estheticians and all beautyprofessionals. Created by the professionalsat Brush Up with Barbara, WunderCover isa full coverage concealer designed toeliminate undereye dark circles, blemishesand most skin imperfections. Available infive shades, WunderCover is highlypigmented and formulated with vitamins Aand E, as well as beneficial botanicalextracts. All the tools for applyingWunderCover are also available, including anylon Taklon bristle application brush, non-latex sponges for blending, moisturizingmineral powder for setting and an applicatorbrush for powder. WunderCover can bepurchased by contacting Kimberley Frey,Brush Up creative director, at 516-437-6244or [email protected]. Visitwww.brushup.com.

Takara Belmont and Minardi Color PerfectLighting have joined forces to bring thislighting solution to salons across the UnitedStates. Now beauty professionals will beable to see the benefits of precise salonlighting firsthand at Takara Belmontshowrooms across the country. In addition,Takara Belmont representatives will carrysample lights so salons can experience theeffects in their own location. Takara Belmontdesigners will also contribute salon designtips each month to CUTS, a free newsletterfeaturing tips to help salon professionals dobetter work and earn more money.Illuminating the top salons from New YorkCity to Beverly Hills, Minardi Color Perfect

Lighting offers an entire family of lightingspecifically designed for every area of thesalon from the color bar to the stylingstations and every area in between. Colorperfect lights are available in designer styles,colors and finishes. By simply changing tospecifically-designed-for-salons colorperfect lighting, you can see your work moreaccurately, virtually eliminating most redos,creating a more beautiful, comfortableenvironment for staff and clients alike,reducing eye strain, showing yourcommitment to a “green” business and evensaving thousands of dollars a year onelectricity. “Beth Minardi’s expertise as ahair color educator is world-renowned, andthe name ‘Minardi’ is synonymous withbeautiful, perfect hair color. Takara Belmontstands for the top quality salon equipmentand furnishings in the world. They’re bothbrands that top salons trust. What a perfectteam to help salon professionals do theirvery best work possible,” says Larry Erikson,vice president/national sales manager forTakara Belmont. “We’re delighted to workwith the fine designers at Takara Belmont tohelp beauty professionals create their bestpossible work in the most comfortableenvironment possible,” says Jeff Gasman,co-president of Eco-Lite Products, which isMinardi’s partner in creating Minardi ColorPerfect Lighting and the leaders in colorperfect specialty lighting for more than aquarter of a century. Howard Gurock, co-president of Eco-lite Products, adds “We’veturned the science of lighting a salon into atrue art form. For example, the styling chairs,mirrors, color bars, reception desks and retailareas all have different requirements when itcomes to choosing the type of light andlighting technology that work for thatspecific area. Ceiling height, wall color,ceiling color and floor color all have a hugeimpact in choosing the type, color, powerand placement of lights.” For a free lightinganalysis and consultation, contact your localTakara Belmont representative, visitwww.salonlights.com or call 800-345-9652.To start your free subscription to CUTS,email [email protected].

Sport Clips, the nation’s largest men’s andboys’ hair care provider with stores in 38states, celebrated the opening of its 700thstore by setting a world record for charity atits new White Marsh, MD, location. Duringthe event, several current and formerBaltimore Orioles baseball players, includingScott McGregor, Jason Berken, RickDempsey and Dave Johnson were on hand,along with the team’s Bird mascot, while 10stylists worked from 9 a.m. to 9 p.m. to set aGuinness World Record for the mosthaircuts given in a 12-hour period. By theday’s end, the team completed a total of 329cuts. Confirmation from Guinness is pending.For each haircut, clients were encouraged tomake a $7.00 donation to the BaltimoreOrioles REACH foundation. A check for$10,000 from the proceeds was presented atthe team’s home game July 23 by Sport Clipsfounder/CEO Gordon Logan; Maryland areadeveloper for Sport Clips Wayne McGlone;and local store owners Gary and SusanPfaff. Reach Gordon at 512-869-1201 [email protected]. Visitwww.sportclips.com.

FHI Heat is on the move, realigning itsdistribution to bring its high-end heatedstyling tools to salons and consumers acrossNorth America. New distribution partnersinclude SalonCentric’s Wynn and NexTrendin Georgia; ACE and Independent SalonResources in Florida; Gulf States inAlabama, Louisiana and Mississippi; Royalcovering Tennessee, which are all distributingthe GO Hairstyling by FHI Heat line. InCanada, FHI Heat has launched SalonCentre in Manitoba; International BeautyServices in Alberta and Saskatchewan north

18 SEPTEMBER 2010



including Victoria Island; and Venus Beautyin Ontario. The company has also launchedPeru through VK Imports and Beauty. Formore information, reach Les Haverty, vicepresident of international sales and keyaccounts, at [email protected] orDavid Genes, vice president full-servicedistribution, at [email protected].

Congratulations to Alan Hagler, founder ofParamount Beauty, for celebrating 50 yearsin business. Although the day-to-dayoperations have been handled by Alan's son,Jeffrey Hagler, and son-in-law, EvanFeingold, for more than 10 years, Alan hasnow officially moved into the position aschairman of the board and advisor to Jeff,now CEO, and Evan, the new president. Evanand Jeff have positioned Paramount as oneof the major independent distributors inNew York and, recently, in New Jersey. Undertheir leadership, Paramount has identifiedand increased salon owners’ and hairdressers’recognition of niche brands, such asMoroccanoil, Keratin Complex andSchwarzkopf. Paramount has a 50-plusmember field sales team and 20 RoyalBeauty Supply Professional Stores. As partof the reorganization, the company haspromoted Susan Nicoletti to vice presidentof finance, and Fran Reiss to vice presidentof operations. BIR comment: I grew up inthe professional beauty business during thedays when manufacturers did business withdistributors on a basis of mutual supportand trust. In the early 1980s, I got to knowAlan, as our companies distributed a numberof similar lines. Today, I have been fortunateto work with both Jeff and Evan. One of thefoundations of the professional beautybusiness is family businesses. However, it isnot always automatic that when leadershipis passed to the next generation that it willturn out for the best. In the case ofParamount, the son and son-in-law havetaken Paramount to the next level andcurrently run one of the most successfuldistributorships in the country. Reach Jeff at800-755-7475 or [email protected] www.paramountbeauty.com.

Bassett Salon Solutions, LLC, an exclusivedistributor of Eufora, Kemon and Davinesproducts, has received the President’s Awardfrom Eufora. The President’s Award is givenannually by Eufora to the distributor withthe highest sales volume for the fiscal yearin the nation. Jim DeBerry, president ofEufora, states, “We are proud to have WardBassett and the team at Bassett SalonSolutions as our exclusive distributorthroughout California. Bassett represents thevalues of Eufora in every way and servesindependent salons with a passion.Therefore, it is no surprise the company hasagain achieved the status as the No. 1 salesteam for Eufora in North America.” WardBassett, CEO of Bassett Salon Solutions,responded, “It is such an honor to have thisaward bestowed upon our organization. Thisis an award that is earned by our clients forthe support they give us. Without them, wewould not exist.” Bassett Salon Solutions wasformed in 2007 by Ward and ChristinaBassett. Reach Ward at 866-277-9288 [email protected]. Visitwww.bassettsalonsolutions.com.

Evolution, The Salon Source, Inc. ofJacksonville, FL, sees being green as morethan just a trendy catchphrase. As adistributor of many earth-friendly productlines, shipping green is also important.Recently, the company introduced an air-packaging system to protect products duringshipping and reduce packing waste. Thisbenefits the manufacturers as well, who seefewer damaged products. Their greenphilosophy is also embraced by Evolution’snew marketing department, with the recentlaunch of a company bi-monthly publicationfor their professional customers, printed onpost-consumer-waste recycled paper withsoy-based inks. This magazine also “recycles”the idea that the distributor andmanufacturer can work together in the bestinterest of everyone. Servicing Florida’ssalons for 46 years, Evolution representsprofessional exclusive salon-only brands,salon and spa essentials. The sales team, ledby Annette Davis, with field managers Tina

Bodnar and Tony Martin, have a combined69 years in this industry. The 22 accountexecutives are consultants, educating theirclients about the best products andproviding the motivation and marketing togrow their business. Reach Mark Talpalar,vice president, at 904-731-4177 [email protected]. Visitwww.evolution411.com.

Colure True Color Care has added sixdistributors to carry its luxury color care line.The distributors are Spectrum SalonServices, San Diego, CA; Alternative SalonServices, Seattle; Evolve Distribution,Spokane, WA; DLK Distribution, Hawaii;Global Beauty Distributors, Florida andColor Mid-Atlantic covering New Jersey,Maryland and North Carolina. Reach TonyCase, COO, at 888-265-8731 [email protected]. Visitwww.colurehaircare.com.

The Aerial Company now representsTowelDry, a men’s hair care line, across its80-plus store locations. “At Aerial, we’realways looking for quality products that cangive stylists what they want...real productsthat perform. We are pleased to representthe TowelDry line and look forward tobuilding a profitable business partnershipwith this line,” says Chuck Salewsky, vicepresident of sales and marketing at Aerial.Reach Terry Wells, founder of TowelDry, at425-463-9014 or [email protected]. Visitwww.toweldrymen.com.

Kevin Van Nest, VNC Sales partner, says hisson, Justin Van Nest, has joined the VNCSouthwest team and will be taking overaccounts previously called on by his brother,Jason, who is returning to the hospitalityindustry. Reach Justin at 972-247-3330 [email protected]. Reach Kevin at972-247-3330 or [email protected].

SEPTEMBER 2010 19


VNC Sales & Marketing manufacturers’representatives and office staff wererecently honored with awards from severalmanufacturers at Cosmoprof NorthAmerica. From Zotos, VNC Midwest wasnamed Rep Group of the Year, DaveChinburg achieved Highest Sales of the Year,Tom Harrison achieved Second HighestSales of the Year and the corporate officestaff was named Office Staff of the Year.From Monroe Brush, the company wasnamed Rep Group of the Year, John Madiawas named Outstanding Rep of the Year,Cindy Enloe was named Peak Performer ofthe Year and Chris Gunderson was awardedfor the Fastest Growing Account of the Year.From Erico Industries, John Madia wasnamed First Place Rep of the Year and MattBucholc and Cindy Enloe tied for SecondPlace Rep of the Year. From Graham, MattBucholc received the Excellence Award.From Genie Beauty Products, Bill Whitereceived the First Place Sales Award andCindy Enloe received the On the Ball awardfor sales. “VNC Sales & Marketing is proud ofthe achievements of each of these fineindividuals and the acknowledgement of ourexcellent office staff,” states co-founder,Charlie Coleman. Reach Charlie orco-founder Kevin Van Nest at972-247-3330. Visit www.vncsales.com.

Donna Young joins The Kirschner Group asan account executive representing thecompany’s manufacturers to select nationalcustomers. Donna has a heavy background inretail merchandising and peoplemanagement. She was most recentlydirector of merchandise at Beauty Brands,where she managed all salon and retailproduct buying, as well as in-store visualmerchandising. She proved instrumental inhelping the organization grow from 7 to 52locations in 12 states during her 10-yeartenure. “Donna has the knowledge and skillsto bring our manufacturers and customersgreat value,” comments Jane Caris, vicepresident of The Kirschner Group. ReachDonna at [email protected]. Visitwww.kirschnergroup.com.

Professional salon industry veteran SandyMangione launches iBeauty, LLC., acompany that specializes in bringing newbrands to market by building a targeteddistribution network, creating meaningfulmarketing initiatives and developingeducation programs built around the keyprinciples by which stylists and other salonprofessionals learn best. In addition, iBeautyspecializes in helping new and existingprofessional distribution companies buildthe market penetration and credibilitynecessary to quickly gain a foothold in themarketplace by creating harmony betweenthe manufacturer, distributor and salon.Sandy’s 30-plus-year experience in theprofessional beauty industry has solidified afirm foundation for her new role. She’sachieved great success on both the brandand distribution levels, achieving enhancedmarket penetration and dramaticallyincreasing both top-line sales andprofitability in both domestic andinternational markets. Her abilities to createoriginal sell-in and sell-through strategies areunrivalled due to her keen insights andunderstanding of exactly what salon owners,beauty professionals and professionalbeauty stores need in order to grow theirbusinesses. Prior to leading the BeautyForward (Goldwell) division ofSchoeneman Corporation for almost 15years, as well as working on the distributionside of the business for Goldwell of NewYork, Inc. and Tri State Beauty Supply, Inc.,Sandy also had plenty of experience on thebrand side, holding sales positions atConair/Rusk, Farouk Systems and Zotos.Reach Sandy at 215-275-0952 [email protected].

Cathy Mogler’s Trendsetter ConsultingGroup is a boutique resource serviceproviding socially relevant public relations,social networking, marketing, branding andbusiness consulting solutions under one

roof. The company’s personalized, à la carteapproach allows business owners to choosejust the services their business needs. “Weare a true hands-on agency with more than50 years experience. Whether you needhelp in telling your story or creating one, weoffer sound ideas, executablerecommendations and proven programs thatadd value to your business,” says Cathy.Services include public relations, socialnetworking, email marketing, web work, TVproduct promotion, VIP gifting andconsulting. Reach Cathy at 720-261-7878 [email protected]. Visitwww.trendsetterconsulting.com.

The Day Spa Association and TheInternational Medical Spa Associationannounce their sale to DSA World, Inc,headed by Allan Share, a leader in the spaindustry for more than 20 years. As the newDSA and IMSA president, his plans call forcontinued support and growth of the spaindustry, as well as expanding theassociations to include wellnesspractitioners of every kind. Allan notes,“Consumers are asking our industry tochange and to see wellness as an essentialpart of spa and beauty. Hannelore Leavyhas done more than almost any otherindividual to shape the course of ourindustry. Our vision is to build upon thatlegacy. Our goal is to make the DSA andIMSA the foremost trade associations in theprofessional spa, esthetics and wellnessindustries. We will bring together thedisparate parts of our industries by providingthem with a one-stop-source forinformation, the place to learn about alliedprofessions and fields, as well as an easyconnection to other colleagues in the U.S.and around the world.” Hannelore, founderof the DSA and IMSA and the currentexecutive director, will stay on as chairmanof the advisory committee. Allan’s previous

20 SEPTEMBER 2010



companies include New Life Systems andLotus Touch, which he sold to ScripCompanies, owners of Scrip/HESSCO,Massage Warehouse in 2007. DSA Worldwill be headquartered at 2863 HedbergDrive, Minnetonka, MN 55305 USA. ReachAllan at 952-767-2202 [email protected]. Visitwww.DaySpaAssociation.com to join.

Last call for Global Beauty Exchange onSeptember 26-29—don't miss youropportunity to attend. This exclusive eventallows you to pre-schedule appointmentsand network with the leaders in theprofessional beauty industry. Participation islimited and space is going fast. The GlobalBeauty Exchange connects top beautysuppliers and buyers at a professionalappointment-based event at the luxuriousfive-star St. Regis Monarch Beach Hotel inDana Point, CA, in a relaxing environmentthat’s ideal for developing long-lastingbusiness relationships. All companiesattending the Global Beauty Exchange arevetted by a panel of industry experts toensure the most effective use of your time.The event joins buyers with real purchasingauthority and suppliers with products thatare must-see. Qualified beauty buyers,including uniquely qualified multi-locationor high-volume beauty buyers, attend atabsolutely no cost for participation, housingor even travel. To learn more, contactSharon Beusse at 203-202-7787. Qualifiedsuppliers are guaranteed appointments andunlimited networking opportunities.Suppliers pay a fee for personal access totheir best prospects—a small fraction ofwhat lead development typically costs. Ifyou would like to participate in the GlobalBeauty Exchange, you must be pre-approved.Contact Joyce Jamison at 203-202-2576 [email protected]. Visitwww.globalb2bexchange.net.

Emiliani Enterprises announces “EducationRocks,” a 150,000-square-foot Beauty Expothat will take place October 10-11 at the NewJersey Convention Center. Features of theevent include a VIP reception, a studentcompetition and more than 2,000 seats ofhands-on classes and tailored packages,allowing experts and novices to access a fullday of education at great pricing. This is amust-attend event to learn about the latesttrends from the world’s top hair, nail, andmakeup artists. On Saturday, October 9,there will be a Grand Opening Night and VIPreception, which will offer an opportunity topreview exhibitors and access the showfloor (limited guests only). Street Beats, theNew York City-based dance and percussiontroupe, will perform, and renowned graffitiartist Vincent Ficarra of VJF will create a 20-foot wall of graffiti, a hallmark of the show.For a $5.00 to $100.00 donation, attendees,chief manufacturers and salons from the tri-state area can have their name added to thegraffiti wall. At the end of the show, the wallwill be photographed and displayed in trademagazines, blogs and featured on Emiliani’swebsite. The proceeds will benefit City ofHope, a non-profit foundation dedicated tocancer research. Call 866–EMILIANI or visitwww.emiliani.com/expo2010/.

Sally Beauty Holdings, Inc. (the "Company")announces strong financial results for thefiscal 2010 third quarter. Consolidated netsales for the fiscal 2010 third quarter were$743 million, an increase of 10.3% from thefiscal 2009 third quarter. Same store sales inthe fiscal 2010 third quarter grew 4.6%compared to 2.6% in the fiscal 2009 thirdquarter. Net earnings in the fiscal 2010 thirdquarter were $41.1 million; growth of 30.6%over GAAP net earnings of $31.5 million inthe fiscal 2009 third quarter and growth of37.1% over adjusted net earnings of $30.0million in the fiscal 2009 third quarter.

Diluted earnings per share in the fiscal 2010third quarter were $0.22; growth of 29.4%over GAAP diluted earnings per share of$0.17 and growth of 37.5% over adjusteddiluted earnings per share of $0.16 in thefiscal 2009 third quarter. Adjusted EBITDAincreased 12.9% in the fiscal 2010 thirdquarter to $107.8 million versus $95.5 millionin the fiscal 2009 third quarter. Total storecount at the end of the quarter was 3,986,an increase of 165 stores or growth of 4.3%over the fiscal 2009 third quarter.

“Strong performance across all of ourbusinesses led to another outstandingquarter for Sally Beauty Holdings,” says GaryWinterhalter, president/CEO.“Consolidated same store sales growth of4.6% contributed to a strong revenue growthof 10.3% while gross profit margin expandedby 140 basis points. And for the first timeduring a quarter, adjusted EBITDA reachedthe $100 million mark. Our business isperforming in line with historical trends, andwe believe that this underscores the stabilityand consistency of our business model. Wedo not expect these trends to change in theforeseeable future." Reach Gary at 940-297-4444 or [email protected]. Visitwww.sallybeauty.com.

For the same period at Sally BeautySupply, same store sales grew 3.6%, sales of$467.4 million were up 7.5% from $434.7million in the fiscal 2009 third quarter.Significant components of growth includesame store sales growth, sales growth fromnet new store openings of 1.6% and 3.0%growth from acquisitions. Unfavorablechanges in foreign currency exchange ratespartially offset sales growth by 0.6%. Grossmargin of 53.4% represents a 170 basis pointimprovement from 51.7% in the fiscal 2009third quarter. Segment operating earnings of$85.1 million were up 10.9% from $76.7million in the fiscal 2009 third quarter.Segment operating margins increased 50basis points to 18.2% of sales from 17.7% ofsales in the fiscal 2009 third quarter.

Sales for the Sally Beauty Supply businessin the fiscal 2010 third quarter werepositively impacted by same store sales

SEPTEMBER 2010 21


growth, new store openings, acquisitions andimprovement in the international business.Gross profit margin was positively impactedby a shift in product and customer mix, low-cost sourcing initiatives and improvement inthe U.K. business. Segment operatingearnings increased over the fiscal 2009 thirdquarter primarily due to higher gross profit.Reach Mike Spinozzi, president of SallyBeauty Supply US/Canada, at 940-297-4446or [email protected]. Visitwww.sallybeauty.com.

At Beauty Systems Group, in the fiscal2010 third quarter, same store sales grew7.4%. Sales of of $275.5 million were up 15.5%from $238.6 million in the fiscal 2009 thirdquarter. Significant components of growthinclude same store sales growth and 8.6%growth from acquisitions. Sales growth wasalso positively impacted by improvement inthe franchise business, new store openingsand a favorable impact from changes inforeign currency exchange rates of 1.2%.

Gross margin of 40.4% was up 140 basispoints from 39.0% in the fiscal 2009 thirdquarter. Segment operating earnings of $30.1million were up 17.4% from $25.6 million inthe fiscal 2009 third quarter, while segmentoperating margins increased by 20 basispoints to 10.9% of sales from 10.7% of salesin the fiscal 2009 third quarter.

Sales improvement was primarily drivenby strong same store sales growth, salesfrom new stores, acquisitions, improvedperformance in the franchise business andfavorable foreign currency exchange. Grossmargin expansion was primarily due toimproved sales and product mix, expansionin new and existing territories and improvedperformance in the franchise business.

Segment earnings improvement wasprimarily due to improvement in gross profit,ongoing cost reduction initiatives and savingsrealized from the warehouse optimizationproject.

To learn more, reach John Golliher,president, Beauty Systems Group at800-777-5706, ext. 4441, [email protected]. Visitwww.beautysystemsgroup.com.

This fall, Kenra, Ltd. will package three sizesof its best-selling and award-winning KenraVolume Spray 25 in a limited edition pinkcan to promote breast cancer research andwill make a flat donation of $35,000 to Cityof Hope, a leading cancer research,treatment and education center. Kenradonated $25,000 in both 2008 and 2009 fora three-year total of $85,000. “We’re proudto donate $35,000 to City of Hope on behalfof the Kenra corporate team, distributors,vendors, salons and consumers whoconsistently make Kenra Volume Spray 25one of the beauty industry’s most belovedproducts year after year,” says TimMcMeekan, CEO of Kenra, Ltd. “Each time awoman sees our pink can, we hope itreminds her to take proactive steps towardearly detection in hopes of some day findinga cure for breast cancer.” To help createawareness for the cause, salons receive afree point-of-purchase display with thepurchase of 12 1.5-ounce cans of VolumeSpray 25. Visit www.kenra.com.

Joico has established a Breast CancerAwareness Salon Advisory Board, consistingof key leaders in Joico salons across thecountry. They, in turn, have created a “VirtualToolkit” to give salons the resources theyneed to launch a campaign of their own.Found on www.joico.com, the toolkit offerstips, strategies and resources for driving localawareness and planning fundraising activities,ranging from cut-a-thons to silent auctionsand dedicated in-salon events. The site alsoprovides planning checklists, templates forpress releases, letters and invitations andcontact information for breast-cancerrelated organizations, all culled from theextensive experience of the Advisory Boardmembers. Also included are a tip sheet tooffer general ideas for success in promotingevents, suggestions for obtaining donationsand a system to track results. “This cause hits

close to home with women everywhere, andmany salons have expressed a strong interestin getting involved, but simply didn’t knowhow,” says Joico education developmentmanager, Tom deVries. “This virtual toolkitgives them the practical tools and guidancethat they need to bring their ideas to life.”Reach Patrick O’Keefe, director ofcommunications, at 626-961-1682 [email protected].

This fall, you can feel as good as you lookwhen you pick up your favorite 1-inch GOHairstyling Iron by FHI Heat in a speciallimited edition bright pink plaid design. Forirons purchased at a Regis salon, FHI Heatwill donate $1 per iron to the RegisFoundation for Breast Cancer Research.For irons purchased at any other salon, FHIHeat will donate $1 per iron to Bright Pink(bebrightpink.org). “FHI Heat believes ingiving back to our customers through ourGO Gives series of styling irons for a cause,”says David Kim, CEO of FHI Heat. "BrightPink is a perfect partner, because thisremarkable organization provides meaningfuleducation, peer support and a sense ofcommunity to young women who are at highrisk for breast and ovarian cancer and mightotherwise not know where to turn. Inaddition, The Regis Foundation helpssupport continuing research for a cure forbreast cancer, which is also critical tofighting women’s diseases on all fronts.” Withall of the styling power you’d expect fromFHI Heat, the GO Hairstyling Iron featuresadvanced adjustable heat, super-fast heatrecovery, one-pass technology, ceramictourmaline plates and beveled plates withround edges to create a variety of styles.Suggested retail price is $79.99. Visitwww.gohairstyling.com.

In addition to its annual sponsorship of theAmerican Cancer Society’s Making StridesAgainst Breast Cancer’s South FloridaWalk, Jarden Consumer Services willdonate a portion of the proceeds from thesales of its pink version of the OsterProfessional Classic 76 Clipper from

22 SEPTEMBER 2010



September 1 until October 31. The Classic 76Clipper features AgION detachable blades,break resistant housing and a motor designthat allows for easy maintenance. ReachIleana Moya, group marketing manager, at561-912-4828 or [email protected]. Visitwww.jardenes.com.

TIGI has made a one-time donation of$50,000 to City of Hope, a leading research,treatment and education center for cancerand other life-threatening diseases. Threespecially-marked TIGI products featuring thepink ribbon—Bed Head Hard HeadHairspray, Bed Head Masterpiece MassiveShine Hairspray and Rockaholic DirtySecret Dry Shampoo—will be available atselect salon and beauty suppliersnationwide beginning this month. “Webelieve in the power of research to makebreast cancer a curable and ultimatelypreventable disease,” said Stephenie Staton,TIGI trade marketing director and brandmanager. Visit www.cityofhope.org/breast.

Scruples is offering an exclusive White TeaBelieve in Miracles Combo to benefitbreast cancer research. Purchase a WhiteTea Leave-in Miracle Foam Conditionerand receive a free Scruples Pink Brush.Scruples will donate more than 40% of theprofits to help the fight against breastcancer. (5.1 ounces/150ML/list $7.50/SRP$15.00). Reach Tracy Liguori, office ofpresident-marketing, at 800-457-0016 [email protected]. Visitwww.scrupleshaircare.com.

For the fourth consecutive year, ProductClub will help raise money for breast cancerresearch. This year, the featured product isthe ready to use, Pop-Up Foil 400 count inalternating pink and silver 5- x 11-inch sheets.Each box contains a special access code toview a step-by-step technique online thatuses the pink and silver foil. The Colors ofCourage technique was developed byProduct Club’s Education Team Member,Nicole Lynne. Patrick McIvor, ProductClub’s artistic director, shot the DVD at his

salon, Studio Two in Allentown, PA, whereNicole works as style director. The modelfor the shoot was diagnosed with breastcancer in 2008 and had a bi-lateralmastectomy. She has been in remission fortwo years. A portion of the sale of foil willbe donated to the American CancerSociety. Suggested salon cost for each boxis $13.95. Reach Mary Albanese, vicepresident of marketing, at 800-308-3588 [email protected]. Visitwww.productclub.com.

The Cricket Company will donate a portionof the proceeds from pink hair products toSusan G. Komen for the Cure. Productsinclude the Pink Amped Up Teasing Brushi(#5511919/list $2.19/SRP $4.49), Pink FrictionFree Travel Dryer (#5517142/list $19.95/SRP$39.95), Pink Scroll Mini Friction Free FlatIron (#5517237/list $16.95/SRP $34.95) andthe Pink Friction high-powered dryer(#5517203/list $44.99/SRP $89.99). Reach JeffSchwartz, vice president of sales, at415-475-4150 or [email protected]. Visitwww.cricketco.com.

tng worldwide (TNG) will host its annualcharity event, DREAMS, in Warren, MI, onOctober 3. The evening of live performancesshowcases the season’s latest fashion trends.The show is woven around the 2010 TiffanyAwards, which recognizes outstandinghairdressers. Net proceeds go to theAmerican Cancer Society (ACS). tng hasraised more than $1.5 million to-date forACS. Reach Liz Mace at 248-347-7700, ext.2922, or [email protected] or visitwww.thetiffanyawards.com.

Rusk, in partnership with brandspokesperson Nancy O’Dell, has released anextension to the popular “Make A Muscle –Make A Difference” ad campaign for theMuscular Dystrophy Association (MDA).Nancy, who serves as an Ambassador forMDA and hosted the 2010 MDA Telethonover Labor Day Weekend, is featured in theadvertisement urging readers to donate$5.00 to MDA by texting “RUSK” to 20222.

The ads will run with Modern Salon,StyleSource.com and online withCosmopolitan Magazine, which will alsofeature Nancy in her new RUSK DeepshineOil and W8Less campaign. In addition, theRusk Creative Team will donate their time tostyle the hair for the celebrity presentersand special guests during the telethon.Reach Ken Russo, vice president/professional division, at 800-726-6247,ext. 9027, or [email protected]. Visitwww.rusk.com.

Employees from American InternationalIndustries (AII) joined the 17th annualRevlon Run/Walk event designated to raiseawareness and funds for the fight againstwomen’s cancers. It took place at the LosAngeles Memorial Coliseum at ExpositionPark. Team AII has raised nearly $4,000.00.This was the fifth year executive vicepresident, Terri Cooper, paid for every teammember’s $30.00 to $35.00 registration fee.Reach Anne Moratto, director of PR andadvertising, at 323-728-2999 [email protected]. Visitwww.aiibeauty.com.

Onesta Hair Care announces its partnershipwith Rally for Kids with Cancer. TheChicago Rally for Kids Scavenger Cup raisedmoney for the Comer Children’s Hospitalat the University of Chicago. ParticipatingRally Drivers agreed to raise a minimum of$25,000 each to qualify and draft theirCelebrity Navigator. Honorary Co-ChairsScottie Pippen and Eric Roberts were inattendance. All money raised will go towardfunding cancer research. Onesta donatedproduct for the event, and will be a sponsorat the Los Angeles, Toronto and Miami Rallyfor Kids. Visit www.rallyforkids.com. Onesta’sflagship salon in Chicago, Michael &Michael, featured Onesta in the celebrityhair and makeup suite after the Rally.Michael and Linda Redmond attended theevent. Reach Erika Peterson, brand manager,at 877-542-5300 [email protected]. Visitwww.onestahaircare.com.

SEPTEMBER 2010 23

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The Beauty Industry Report A MONTHLY NEWSLETTER FOR EXECUTIVES IN THE PROFESSIONAL BEAUTY BIZ

After 20-plus years as a seniormarketing and managementexecutive in the beauty industry,Brooke Carlson joins the FashionInstitute of Technology in NewYork as a professor in theCosmetics and FragranceMarketing and Managementmaster's degree program. She isalso launching Beauty Strategies,LLC, a consulting, marketing andstrategic business developmentcompany. Reach Brooke at203-243-9040 [email protected].

Brian Graham has left Nioxin.Brian joined Nioxin more that 20years ago and has served as CEOand president since 2003 as acentral driver of the brand’sgrowth in the fine and thinninghair category. Reach him at770-335-4053.

Freeman Beauty Labs, started bybrothers Rick and LarryFreeman, originally sold hair carethrough salon productdistributors before shifting to themass retail market. Recently, thecompany re-entered the salonworld with PSSST Dry Shampoo.The company is also entering theethnic product arena with EllinLavar Hair Care. Later this year,the company will be offeringspecialty skin products createdfor women of color. Reach LarryFreeman at 310-446-9300, ext.

201, or [email protected] www.freemanbeauty.com.

Wes Brown’s Beauty Solutionshas launched label.m. Thecompany recently resigned UniteEurotherapy, which will now beusing a direct-to-salondistribution model in California.Reach Wes at 800-973-7546 [email protected]. ReachJared Thrombetta, UniteEurotherapy vice president, at760-585-1800, ext. 101, [email protected].

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