ISSUE# 47 A Publication of WWD
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ISSUE
#47
MARCH 26, 2021
A Publication of WWD
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THE BUZZ 2
MARCH 26, 2021
Beauty Bulletin
SK-II will release as “leftover” in Chinese culture.
The company's #ChangeDestiny
By the
eight original
films through its
newly formed campaigns over the years also include
Numbers:
SK-II Studio. “The Expiry Date,” “Meet Me Halfway”
and its “Timelines” docuseries,
Trendalytics'
created in partnership with Katie
Couric.
“All of these stories have been about
the limitations that society has placed
on women, forcing them to make
Top 10
choices that they don't necessarily
want to make,” Seth said. “We felt
Beauty
the need to make this brand purpose
much more integral. Over the last year,
Trends
Data from Trendalytics
across the world, a lot of unfortunate
points to a return to
things have been said and done. We
normalcy by summer.
felt that SK-II needs to take a stronger
BY JAMES MANSO
stance and have a point of view and be
that force for good.”
CONSUMERS ARE getting ready
Along with its studio, SK-II has set to show their faces to the outside
up a #ChangeDestiny fund, to which it world — masked or otherwise.
will contribute $1 per view of its films. Trendalytics' top March trends
Total contributions will be capped at point to the masses anticipating
$500,000, with proceeds benefiting a return to normalcy, perhaps
organizations with which SK-II has a by this summer.
relationship. “People are trying to prepare
Asked for the company's stance themselves for the fact that
SK-II to Release Original Films on the rise in global anti-Asian hate they’ll have to be appropriate for
human consumption sometime
crimes since the onset of COVID-19,
soon,” said Cece Lee Arnold, chief
YoeGin Chang, SK-II Global's senior
Via New Studio Division brand director, said the company
stands “for our Asian, Pan-Asian,
executive officer of Trendalytics.
“It's like, 'We’re very close to
the end of this.
SK-II is investing in original last year after being diagnosed with Pacific Islander employees partners, I should probably touch up my
storytelling. leukemia in February 2019. friends and family.” roots or do my nails.'”
The company has formed SK-II “At SK-II, we've always believed in “The work that we're doing with SK-II The list is still reflective of some
Studio, a global film studio division storytelling and that's been a core Studio, and also the work that we lingering trends from the height
and content hub, through which it will part of how we've been engaging have been doing as a brand for the of the pandemic, like an emphasis
release eight original films this year. with our target audiences across last seven years, since 2014, has on skin care. Growing eye makeup
the world,” said Sandeep Seth, chief always been around elevating stories trends suggest prolonged mask
Based in Singapore, the division is
executive officer of Global SK-II. [of] courageous women overcoming usage. “This list has all the eye
made up of about 50 employees.
trends, because masks probably
SK-II Studio's first film, “The Center SK-II has released a number of limitations and featuring Asian faces
aren’t going way that soon,”
Lane,” will be released on March 29. notable short film campaigns, such as in our work,” Chang said. “We want to
Lee Arnold said. Here,
Directed by Hirokazu Koreeda, the film its 2016 “Marriage Market Takeover,” continue doing that and SK-II Studios
Trendalytics' top 10 trends
follows Japanese swimmer Ikee Rikako, which highlighted how unmarried is one definite way of doing that.” for March, as ranked by
who returned to competitive swimming women of a certain age are labeled —Alexa Tietjen year-over-year search growth.
TOP 10 TRENDS
Cassandra Grey Pivots Amid Store Closure business and shoppers turning to
1. hydrocolloid patches
e-commerce, Grey has had to pivot.
As the world has gone fully +1,019 percent
digital, so has Grey, who now 2. mask stick
offers #VioletAtYourService, a +961 percent
personal shopping resource for 3. headband wig Tk Caption
customers to use via text. She’s +837 percent
also producing content through 4. refillable deodorant
celebrity profiles in editorial shoots +487 percent
as part of a series titled “Screen 5. bloat supplement
Tests.” Violet Grey’s latest subject +483 percent
is actress Emma Roberts.
6. quercetin
As a way to tie-in products
+384 percent
alongside the stories, Grey has kicked
off “Shop Their Bag,” which lists a 7. niacinamide serum
+338 percent
Cassandra Grey celebrity's beauty items of choice in
¬ Cassandra Grey has closed shopping experience with a a shoppable page on violetgrey.com. 8. rice water shampoo
the doors of her Violet Grey shop decor that’s reminiscent of an She has also introduced a short-form +332 percent
and turned it into a temporary old-world boudoir, has been on video series on the site called “Behind 9. smudged eyeliner
work space. trendy Melrose Place in West the Counter,” which is “similar to the +255 percent
The luxury boutique, an Hollywood, Calif., since 2014. But likes of QVC and HSN,” according to 10. floating eyeliner
intimate and highly curated with COVID-19 disrupting the retail the company. —Ryma Chikhoune +240 percent
P O W E R E D B Y :
UNILEVER PRESTIGE AND WWD PARTNER TO LAUNCH:
Project Connect—Bridging
the Digital Divide
The grant program presents opportunities for innovative entrepreneurs
whose products and services will advance the retail industry.
U
nilever Prestige and “We want to restore confidence in the
WWD have announ- industry,” said Smith. “Confidence that
ced a new initiative to there are technologies and innovations
showcase next-gener- that can rebuild the marketplace and pro-
ation business lead- vide advancements for future success. This
ers whose products, program is all about purpose and empow-
services and solutions ering the next generation of entrepreneurs
provide industry advancements that gives us the greatest purpose of all.”
involve the connection between technol- Eligible entrepreneurs who wish to
ogy and the human touch. apply for the Project Connect grant must
COVID-19 has undoubtedly caused have the following.
immense acceleration in technology in
every aspect of life including everyday Vasiliki Petrou, • A future-focused mindset that
interactions – proving that in a post-pan- Executive Vice Amanda Smith, prioritizes pandemic rebuilding
demic world, technology and virtual com- President of President, Fairchild across industries.
munication will be core elements. Though Unilever Prestige Fashion Media • A business plan that serves to
while technology continues to allow prog- humanize technology for the
ress amid disruption and enable near-con- of connection across all industries. next generation of consumers
stant communication, research shows that “Having spent my career raising aware- and entrepreneurs across all
50 percent of people are reporting feeling ness of future focused brands, I’m excited industries including beauty, tech,
fashion, CPG, etc.
isolated this year, compared to 23 percent
just two years ago. To truly serve to find new and innovative entrepre-
neurs whose business models push the • Products or services that demon-
With Project Connect, Unilever
Prestige and WWD aim to harness com-
our consumers boundaries of what we’re used to,” said
Vasiliki Petrou, Executive Vice President
strate humanity with technology
and virtual communication by
bined expertise and power of storytelling now and in the of Unilever Prestige. “Brands with pas- associating them with human
to promote a human-centered approach sion and purpose tackle a mission bigger touch through virtual means.
that highlights the “heart and soul” future, we need than life, and there’s no escaping that dig- • Social impact aligned with efforts
behind technology and help bridge the
digital divide. The technology product or
to enrich that ital experiences have been the future for
a long time now. But COVID has really
that promote an inclusive plat-
form and progressing market-
solution to be showcased in this program
will serve as a way to keep us connected
space at the expedited that process, and personally for
me, coming from brands where human •
place values within the business.
Industry-wide implications
even as the pandemic moves us into a intersection touch and face-to-face interactions are so through scalable technology that
help to drive consumer adoption
more isolated state.
“As we look forward to a post- of our digital vital to the customer experience, it’s felt
like there is a missing piece. To truly serve of technology solutions and
COVID-19 world, we need to pivot and
rely on innovative technology more than
lives and our our consumers now and in the future, we
need to enrich that space at the intersec-
professionals to adapt to a future
marketplace.
ever,” said Amanda Smith, president of need for human tion of our digital lives and our need for
Fairchild Media. “There is nothing more human connection.” Applications must be submitted by
exciting for WWD then partnering with connection.” Eligible entrepreneurs will be asked April 30, 2021 and will be reviewed by a
Unilever Prestige to power our portfo- to submit an application to be overseen full panel of industry experts including
Vasiliki Petrou,
lios with purpose and celebrate trail- by a panel of industry experts, including Amanda Smith and Vasiliki Petrou.
Executive Vice President of
blazers who are the next generation of members of the WWD and Unilever
business leaders.”
Unilever Prestige Prestige executive teams. The winning
By scaling innovations in technology entrepreneur(s) will be presented with All interested in applying for
that will create a bridge to the future, grant funding and a robust prize pack- the “Project Connect – Bridging
across industries, and aid people around nections and partnerships. Together, age of resources that include mentorship, the Digital Divide” grant:
the world in engaging today’s tech with a unified goal to bridge the digital opportunities to help scale the business,
driven market, a post-pandemic world divide with human touch, WWD and and exposure of your brand to new indus- APPLY HERE
will require collaboration and new con- Unilever Prestige will guide a journey tries and audiences.
The pandemic caused
Organizers said an immense acceleration
innovations in in technology in every
technology will create aspect of life including
“a bridge to the future.” everyday interactions.
NEWS FEED 4
MARCH 26, 2021
Sustainability
Key Topic at
WWD China's
Beauty Inc
Awards
Speakers also
addressed the
buying habits of skin
care loving Gen Z
consumers. BY JENNY B. FINE
KEY LEADERS FROM China’s
Sephora Collection is a bestselling beauty industry came together at
Mohit Dhanjal brand for the retailer in India. WWD China’s second annual Beauty
Inc Awards ceremony and Beauty
How Sephora India Aims to Reach the
for Future Summit in Shanghai
last month to discuss the future
of beauty there. Sustainability was
Changing Indian Beauty Consumer a key topic, as guests including
Zhuang Mudi, secretary of the party
committee of Fengxian District, Rene
CEO Mohit Dhanjal has identified key “pockets of opportunity.” Co, chief sustainability officer of P&G
BY MAYU SAINI Greater China, and Jenny Chen from
the Jala Group addressed the “new
NEW DELHI — As the pandemic Indian beauty market, with retailers of the fastest categories to recover.” normal in the post-COVID-19” era as
turned a corner in India, beauty like Nykaa and Shoppers Stop Other growing categories include the green industry develops.
sales have seen recovery, along with increasingly targeting the category. bath and body and men’s products. “Sustainability is not about
some change in direction. Mohit Dhanjal, though, is firmly focused Dhanjal said consumer attention environmental protection only,” said
Dhanjal, who took over as chief on the fast-changing $16 billion to Indian brands has also been Lena Yang, chief executive officer
executive officer of Sephora India beauty market in India, particularly increasing. “Recently we introduced of WWD China. “We should think
on Jan. 1 in a changing of the guard on what he describes as “pockets of Simply Nam, a makeup cleaner, about how to achieve sustainability
for the biggest international beauty opportunity.” which is a reusable towel to clean in commerce, humanities, culture
retailer in India after five years, has As for one of the biggest? off makeup. It has a low carbon and the environment.”
very quickly taken the reins of this “Skin care,” Dhanjal said, footprint because it is reusable Mudi spoke of the commitments
changing market. unequivocally. for up to 90 times. We launched that the Fengxian government has
“Sephora has done a very good Pre-COVID-19, makeup had taken it mid-December and it is doing enacted to help facilitate companies
job in regard to the brand mix the lead at Sephora India, but the really well.” Other key Indian brands doing business in the region, while
in India, the categories that we balance is changing. “The pandemic include Forest Essentials and Kama, Co shared insights about P&G’s
work in, to identify the gaps in the continues to bring up protection and launching this summer. sustainability efforts and how the
Indian retail space, whether it is sanitization issues. People are going In terms of international brands, company is addressing packaging
online or offline. The fundamentals to continue to protect themselves Benefit, a Sephora exclusive in India, issues in a time of unprecedented
are there,” Dhanjal said, in an and be more hygienic. There is also and Dior have been top performers, e-commerce activity.
exclusive interview with Beauty Inc. a shift to technology-led skin care, as has Sephora’s private label That's why Procter & Gamble
“Now we have to ensure that this be it ingredients or application,” products. has innovated their packaging
pandemic — which has caused so Dhanjal said. “Our differentiator is the Sephora materials and launched degradable,
much disruption — also gives us The other major change isn’t what label, which is present across all the environment-friendly packaging
the chance to look at the changing consumers are buying, but how. categories of the beauty segment. that can protect products during
market. I’m not looking at a shift in Dhanjal said consumers in India are It is by far our largest brand,” said transportation and be recycled
strategy, but more at the pockets of in the “the early transition curve” of Dhanjal. “This is amply supported afterwards. P&G has also made the
opportunities that the pandemic has experimenting with buying beauty by more than 30 of our Sephora- packaging patent available for the
raised and looking at it as a way to online. Normally, experimentation exclusive brands that add vibrancy entire industry in the hope that all
satisfy changing consumer needs.” took place in physical stores in and freshness to our various practitioners would act together to
Sephora India opened in 2015 India. But all of the Sephora doors categories.” achieve sustainable development of
with a license for Bengaluru-based are in malls, and the 2020 lockdown Dhanjal pointed out that the the beauty industry.
Arvind Fashions Ltd., which has had a significant impact. beauty consumption in India was Sun Xiaocheng from CBNData
brought a host of global brands to Stores are starting to reopen, still very low, especially compared shared insights from the company’s
India including Tommy Hilfiger with 95 percent reopened by mid- to Southeast Asian and other recent Gen Z Beauty Report.
and Calvin Klein, but has never a January and single-digit growth global markets, but said the Among the key learnings: Gen Z
presence in beauty. It was Sephora’s posted for February. Dhanjal expects rapidly growing middle class will females from tier 1 and 2 cities
third partnership in the country the online behavior to become part be eager to try new products and are the main online shoppers for
in as many years, and has grown of a bigger trend, with the growth of innovations. “We can expect that skin care, with a much higher than
to 24 stores. technology and the work put in by the large set of consumers who are average spending and growth rate
This is also Dhanjal’s first foray retailers and brands. now experimenting with beauty than from tier 3 cities and below.
into beauty. Earlier, he was business Fragrance sales were surprisingly will only increase substantially,” he The report also found that Gen
head of textile manufacturer and strong online, for example. “A lot of said, predicting double-digit growth Z has started to adopt skin care
retailer Raymond in India, and fragrance brands ran very attractive in the coming years. “We know routines at a much younger age
has also worked with multisector offers, so that got a lot of people a that awareness combined with the than previous generations, and that
industries. He takes over at a time chance to try them for the first time,” increasing disposable income will the price they are willing to pay for
of growing competition in the said Dhanjal. “Fragrance has been one lead to greater sales.” products has increased every year.
NEWS FEED 5
MARCH 26, 2021
Intercos Teams With Italian University for Joint Lab
The leading cosmetics manufacturer and the University of Milano-Bicocca will join efforts in conducting
scientific researches to develop new solutions for beauty. BY SANDRA SALIBIAN
MILAN — In an unprecedented managed to do that,” said Ferrari, idea and product in the cosmetics
move in the Italian beauty landscape, underscoring that more than 1,000 industry, as we know all the brands
leading cosmetics manufacturer Intercos employees work in R&D. and have privileged relationships
Intercos Group has inked a five- “We have always worked in-house. with key companies,” Ferrari said.
year agreement with the University We know that research and innovation For the university's dean Giovanna
of Milano-Bicocca to team up in are things you can't buy: they are Iannantuoni, the collaboration could
conducting scientific research the result of years of work, and you also provide key learning helping the
on formulations and sustainable have to create them from the inside,” institution in improving its courses
processes aimed at developing continued Ferrari, highlighting that to match the real demands of the
innovative beauty products. Intercos will specifically bring to the industry.
A shared laboratory hosting collaboration its know-how in raw “Cosmetics are often considered the
researchers and tech equipment from materials and active ingredients, 'poor relatives' of pharmaceuticals
both parties will also be established Intercos Group's president and founder developed over the last 25 years, as but there's a lot of people applying
Dario Ferrari signing the agreement with the
on one of the university's campuses, University of Milano-Bicocca. well as its knowledge of the market. for this industry because it has
specifically the one at Vedano al At the signing of the deal, The executive identified the main been making progress in leaps and
Lambro, a 20-minute drive from Intercos’ founder and president challenge of the partnership in bounds and it moves faster than
Intercos headquarters. Dario Ferrari recalled previous, creating a common language “since pharmaceutical. We move in a more
Dubbed “Joint Lab,” the laboratory one-off collaborations with the as of today we speak two different agile way, which is rooted in the
will officially kick off its activities multidisciplinary university but ones” but said the collaboration will be nature of our business itself, so we
in September. The initial, shared defined the new, long-term agreement fruitful and result in new solutions in can bring a way of thinking that's
investment in the operation was more as “one-of-a-kind.” cosmetics. innovative and faster,” Ferrari said.
than 1 million euros. “Since the very beginning of this “The result will be proportional to Founded in 1972, Intercos supplies
A technical scientific committee company, we understood that research our ability to turn [discoveries] into makeup and skin care to around
comprising four representatives and innovation was the only way to efficient, commercial opportunities 450 customers globally. It employs
of each party will set the general grow. We wanted to be the company and take them to the market. This about 5,800 people worldwide,
guidelines for the development that could invest more money, energy will be our goal and, presumption distributed through 11 research
of activities and definition of and workforce in innovation in the aside, I believe Intercos is really the centers, 15 production plants and
operational projects. world of cosmetics globally, and we ideal vehicle to promote any new 15 sales offices on three continents.
P O W E R E D B Y :
Vision and Commitment
awareness to unite and promote positive
change. As an organization, we have
embraced this ethos that serves as a
powerful daily inspiration and a reminder
for a Brighter Future
that, when people come together and
share authentic experiences, it builds
bonds, strengthens connections, and
fosters a more dynamic and multifaceted
exchange of ideas and creativity.
As Eder Ramos steps in as Symrise’s new Global President of the
Fragrance division, his sights are set on promoting growth via innovation, FMG: Can you speak more to the
company`s values and how they inspire
sustainability, diversity and inclusion. innovation across the company?
E.R.: We are a disruptive company working
A
with raw materials, intellectual capital and
t the end of 2020, Symrise, including a more robust rollout human relations. Symrise has six corporate
Symrise announced of diverSym, the company’s mission and values, all of which are equally important:
new leadership his hopes for the future. creativity, excellence, sustainability, com-
changes, including the mitment, integrity and added value.
promotion of Eder Fairchild Media Group: What is the For me, creativity, or the idea of “always
Ramos to Global company’s approach and philosophy in inspiring more,” is prevalent throughout
President of the terms of inclusivity and diversity? the Fragrance division — from Supply
Fragrance division. As a leader in the Eder Ramos: Diversity and inclusion Chain to Perfumery. Creativity is in our
industry, Symrise has built its success on are global themes with regional and local DNA and I am always proud of my team
the foundations of sustainability, innova- nuances. However, Symrise is commit- for their work to inspire new ideas, inno-
tion, and inclusion. Under Eder’s lead- ted to ensuring equality and is currently vation and disruption.
ership, the company aims to amplify its engaged in projects that actively move Eder Ramos,
commitment to these key pillars, while this mission forward. In a greater sense, Global President FMG: How would you define the
also dedicating focus towards the people the appreciation of diversity and inclusion company’s mission?
and talent that will transform and solid- at Symrise is a commitment we reaffirm Symrise? E.R.: Our mission is to help our cus-
ify Symrise’s position as an employer of every day through our core values and our E.R.: There are many layers to the topic of tomers improve the lives of everyone by
choice for years to come. organizational culture, which is the foun- diversity & inclusion and because of this, actively partnering to increase consum-
In 2019, while heading the global dation of our success. we tapped into our employee network to ers’ well-being, happiness and health; this
Cosmetic Ingredients group, Eder spear- We invite each and every employee to gather insights and collaborate on defin- serves as our motivation in the Fragrance
headed the launch of the diverSym initia- reflect on their role in promoting inclu- ing our vision. division. We strive to conduct our business
tive. Through this program, the Symrise sive practices and learning more about Essentially, diverSym is the “embrace” activities in harmony with people, society
Brazil community served as architects of these topics, which are part of who we are that supports, comforts and celebrates. and nature. That’s why we develop supe-
what has now become the blueprint for and who we want to be as a company. Our mission is to generate dialogue, rior sensory solutions and ingredients for
D&I initiatives across the organization. value plurality and differences to promote existing and emerging consumer needs in
Here, Eder Ramos talks to Fairchild FMG: Can you explain what diverSym Diversity & Inclusion within Symrise. It’s fine fragrance, personal care, home care,
Media Group about his top priorities at is and how it is defined as a part of about listening, engaging and exercising and other everyday products.
DEEP DIVE COVID's Long-Term Impact 6
MARCH 26, 2021
Gates predicted a “hangover effect”
from COVID-19 when it comes to
consumers and testers. “Do I want to be
testing and trying things that I know a
million other people have touched?” she
said. “How can we get more innovative
with sample programs?”
Hygiene will extend into payments,
as well, noted Greene. “You're going
to see a lot more voice activation,
contactless, BioID payments,” she said.
corporate social responsibility
The heightened focus on diversity and
inclusion that followed the killing of
George Floyd in May is here to stay,
experts said. Beauty brands are tasked
with examining equity and inclusion
in their organizations as consumers
continue to spend with companies
that align with their values.
“A lot of what we saw in the
news over the last year was
corporate America being a lot more
performative. Now it's time for
them to actually double down and
create opportunity,” Behari said.
sustainability
Experts said coming out of the
pandemic, consumers will be
How the
and clean beauty. People are focusing increasingly focused on sustainable
on things you can see outside the shopping, paying attention to product
mask, so to having clean and healthy packaging, but also reconsidering
Coronavirus
hair, it's getting back to taking care of buying volumes.
your skin,” said Mousumi Behari, an “In the beginning of the pandemic,
e-commerce expert at Avionos. sustainability was a huge thing
Changed Beauty
In terms of wellness, an evolution because things were scarce. It made
is also underway, said futurist people think, ‘should I be using all
Lucie Greene. this plastic? Should I be using all this
“The idea of spending a fortune water?’” Gates said. “People had to get
Shoppers' focus on self-care and corporate social on all these luxury boutique on- really survivalist in the beginning, and
responsibility are here to stay, experts said. BY ALLISON COLLINS demand classes and supplements and that type of thing carries over — you
refillable bottles and weird ingestible reflect on how much we did waste, or
THE CORONAVIRUS pandemic the increasing democratization of products…it's a very Millennial, how much we overconsumed.”
has altered the beauty and shopping beauty, acceleration of e-commerce yuppie idea, a very luxury idea, Gates is seeing beauty brands look
habits of many consumers, who and purpose as a cornerstone of of wellness,” Greene said. into postconsumer recycled plastics or
have spent the last year cutting their brand building. And it's on its way out, in favor recycling ocean plastics, or refillable
own hair, filing their own nails and This past year saw two major retail of a more holistic approach. options. “I don't think people want to
performing other odd grooming tasks partnerships: Ulta Beauty and Target, “[There is] a desire for more go back to being wasteful,” she said.
at home. and Sephora and Kohl's. Those deals simplified wellness, where you can Consumers want to make sure
Some initiatives that have gained each bring higher-end items into walk, where you're in nature, and products they use “don't destroy the
traction over the past year, including lower-priced ecosystems, and are seen where you're doing it as much for environment,” or have workers in
an increased focus on self-care and as moves toward democratization. your mental health as anything,” “terrible factory conditions,” Behari said.
corporate social responsibility, are And while those partnerships Greene said. “It's become more
here to stay, experts said. But others — have major IRL shopping in mind, elemental — good food, fresh air, time digital
especially the DIY haircuts — are not. consumers will continue to shop with family, community. There's been Store shutdowns during the
“No one really wants to run around online, experts say. E-commerce a great paring back.” COVID-19 pandemic caused many
with a raggedy head of hair,” said accelerated during the pandemic, “Outdoors oriented personal care shoppers to head online for beauty
Neil Saunders, managing director at and is expected to continue to play a will continue to grow,” she added, purchases, driving a massive uptick
GlobalData Retail. major role in sales going forward. including SPFs and barrier creams. in e-commerce sales. That prompted
As more and more people become Here are the beauty and shopping companies to provide better online
vaccinated, many are expected trends that experts predict will hygiene shopping assistance and try-on tools.
to seek out services, including outlast the pandemic. Experts predict the need for hygiene Those tools helped to propel
facials, hair coloring, manicures, — both in terms of in-store trial growth for brands like home hair-
pedicures and brow offerings. Self- self-care and in personal care products — color business Madison Reed.
care is expected to evolve as people Beauty marketers had been peddling will linger long after the pandemic. “There has been a huge amount
find themselves with more social skin care as self-care for years, but Unilever's Dove, for example, has of innovation in how to deliver
engagements and less time for that concept hit the mainstream ramped up marketing for Anti- these services at home with online
pampering. And hygiene, which has during the COVID-19 pandemic as Bacterial Body Wash. tutorials,” Greene said.
been top of mind will play a major consumers increasingly added beauty “There's been a trend of hygiene Livestreaming is also here to say,
factor going forward in both the rituals into their wellness routines. and self-care that has expanded,” Saunders said. “Just from the supply
personal care and sampling arenas. Going forward, the concept is said Cecilia Gates, chief executive point of view, there will be a lot more
There have also been major expected to endure, but evolve to be officer of Gates Creative. “During the retailers out there experimenting
developments that are expected to less materialistic. pandemic we launched an oral beauty with livestreaming,” he noted, ticking
forever change the industry, including “There's a movement toward natural brand for Colgate for Gen Z.” off Walmart and Nordstrom.
P O W E R E D B Y :
Cultivating a Culture
of Empowerment
With a female trifecta at the top, Paula’s Choice proves that bringing its brand
DNA of empowerment to the forefront is key to finding success.
E
mpowerment, includ-
ing empowerment of
women, is a message
that Paula Begoun
has carefully woven
throughout the DNA
of Paula’s Choice since
its inception – a quality
she counts as the key to the brand’s over-
all success.
In its 25 years, Paula’s Choice has
earned a loyal following through a ded-
ication to its consumers, empowering
them to make the best skincare decisions
possible by providing transparency, edu-
cation and research-backed products that
work. But what consumers don’t know is
that the work of empowerment starts long
before production, and in fact is part of the
brand’s core philosophy at every stage. Erika Kussmann,
“Throughout my 40-year career in chief marketing Paula Begoun, Tara Poseley, chief
beauty I have always focused on empow- officer at founder of executive officer
ering people through research, facts, Paula’s Choice Paula’s Choice at Paula’s Choice
and education so they can make the best
skincare decisions possible,” said Begoun. practice the team is then able to take the those around her. “Paula was a real beacon
“And I know that whatever we are trying best part of an idea and collaborate to of that, enabling me to step into my role
to accomplish in life, that the way to create the best outcome. with confidence. I do better with strong
self-esteem, self-confidence, and heal-
ing is following the path of knowledge
“To run a truly creative or agile orga-
nization, where the people doing the
In corporate women and men, and Paula’s embodiment
of these values were important to me and
to improve our own lives and the lives of
others as well.”
work are the people making the decisions,
has to mean creating space for making
culture, we how I could use her as a mentor.”
Today, alongside her, Begoun has been a wrong decision, balanced with being don’t give Leading with kindness
joined by a force of female leadership
with Tara Poseley, chief executive officer
accountable and taking responsibility
for improving our own processes,” said
enough Further Poseley applauded her colleagues
for leading with kindness which she has
at Paula’s Choice and Erika Kussmann,
chief marketing officer at Paula’s Choice,
Poseley. “It’s essential for people to be
stretching, learning and pushing to drive
credit to how seen as being as indispensable for creat-
ing a culture across the entire company
along with an all-female team of general creativity and innovation.” operating for an open dialogue where employees
managers across Europe and Asia, to fur-
ther bring her focus to life.
When it comes to life lessons, Begoun
said, “I wish I had known that if I’m the with kindness bring ideas to the table. “Leading with
kindness changes everything in business
Female trifecta
smartest person in the room I’m in the
wrong room. Surrounding yourself with
and respect for the better because when people feel
compassion and empathy they do incred-
Together, in the past two years, the
trio has led the brand to achieve two
smart people with different backgrounds
helps you form better ideas and make the
can drive ible things and come to work with pride
and excitement ready,” said Poseley.
times the sales growth, four times the best well-informed balanced decisions.” business Echoing the sentiment, Kussmann
Instagram following and over four times
the customer acquisition . In 2020,
“In corporate culture, we don’t give
enough credit to how operating with
results.” told WWD, “Human beings should treat
one another with respect. That’s how
Paula’s Choice was named one of the kindness and respect can drive business Tara Poseley, I operate as a leader and those are the
five most talked-about beauty brands on results,” said Poseley. “Leading with expectations I set for my organization. I
chief executive officer
Reddit and, thanks to its Tik Tok popular kindness and respect doesn’t mean we learn from my team every day and they
products, was among the top four brands don’t hold ourselves to an incredibly high
at Paula’s Choice are why our brand has the momentum
gaining the most traction via search standard of professionalism but we do it we’re experiencing today.”
according to Google and Spate. without antagonism or rivalry. We learn Moreover, Begoun said it is important
According to Begoun, Poseley and from each other and focus on how we can well-rounded, open leadership style. For to recognize that a company can only
Kussmann, these accomplishments, and motivate ourselves and our teams to the Poseley, joining Paula’s Choice four years truly be successful when the people they
on a larger scale the brand’s strength next level of excellence and success whilst ago felt like a new chapter, one where she bring together are in the right environ-
in consumer connection, should be maintaining a collective spirit”. was able to contribute to building a cul- ment to grow together, establish ways to
attributed to the corporate culture from ture that she believed in. encourage and focus on equal opportuni-
within Paula’s Choice. Put simply, by cul- Collective value “It was the first time I could really ties – all are recognized.
tivating ethos that empowers from within, “We rolled out the agile way of work- unleash all those parts of me and show “I’m proud to say Paula’s Choice
the brand can share those values with the ing across our organization so that we up to an organization, full-throttle as Skincare is fueled by intelligent, talented
consumer in an authentic way. can work together, collaboratively, as me. It was liberating and exciting,” said and caring women and men too,” said
The goal is to help everyone on the high-performing teams to effectively Poseley. “I said on the first day, leave Begoun. “I have been privileged to work
team bring out big, out-of-the-box ideas deliver the most value to the customer as your ego at the door. I get excited about with so many amazing people at Paula’s
by advocating for all employees to be a brand,” said Kussmann. hiring super smart people around me, Choice Skincare. Whether it’s my bril-
proud of their concept that they believe Notably, Begoun, Poseley and thought partners with incredible judg- liant research team, eloquent writers,
will ultimately help the company. As a Kussmann have a diverse set of pro- ment who I can constantly learn from. I creative geniuses, financial gurus or com-
leader Poseley says she goes into every fessional backgrounds prior to joining want to keep learning.” passionate managers they have all been
meeting with the mindset of allowing her forces at Paula’s Choice – something that From Begoun, Poseley said she felt a dedicated to their work and they create
opinion to be altered. Putting this into the team has embraced and has led to a new confidence that she in turn shares with magic on a daily basis.”
DEEP DIVE COVID's Long-Term Impact 8
MARCH 26, 2021
shift in buying online, he also noted
the “general feeling of 'support local'
when business opens up.”
Romano Brida, founder and chief
executive officer of men’s grooming
brand and barber shop chain Bullfrog,
also witnessed the trend, as the
turnover his company generated
through “small, neighborhood shops”
and independent retailers — including
barber shops, perfumeries and its
franchising network — grew and
exceeded sales registered in its direct
stores, usually located in bigger cities.
For instance, the Bullfrog barber shop
in Monza — a 40-minute drive from
Milan — tripled its turnover in 2020,
despite the restrictions.
The new attention to local stores
and shift to online platforms enabled
customers to discover niche brands,
formerly hampered by not being
distributed by traditional channels.
Hervé Bouvier, global brand
director of Comfort Zone,
underscored that the “market
fragmentation and the emergence
A Bullfrog barber shop of niche or indie brands” has been a
in Bergamo, Italy. growing trend for the last five years
but forecast that local labels will grow
Italian Beauty
players that saw a surge of online quicker than imported ones in the
sales, up 48 percent. Throughout respective markets. Adding to their
2020, the company also adjusted appeal, local labels are perceived as
Executives Adapt
its product launches according to more sustainable for the reduced
consumers' changing preferences, environmental impact caused by
which veered toward skin care and self transportation, for instance.
To New Times
care products, nail care, as manicure As all companies agreed that
shifted from salons to homes, and sustainability will be the only way
lastly, no transfer cosmetics. forward, for the packaging industry
“Beauty, including color cosmetics, this will have to be combined with
Digitalization and flexibility were the immediate solutions, continues to play an important role heightened expectations in hygiene.
while regionalization and customization are set to shape in consumers’ life.” said Linnemann, “Many of the new behaviors and
the future of the beauty scene. BY SANDRA SALIBIAN confirming that makeup's use was needs emerged in recent months, such
driven also by the frequent video as the attention to hygiene, safety and
MILAN — The pandemic pushed “Like everyone else, we had to calls — although that wasn't enough prevention, will continue to be part
Italian cosmetics companies’ manage the consequences of the to combat sluggish sales. of our daily life. This also includes
boundaries further in terms of agility pandemic on customers' demand, Yet for Ferrari, color cosmetics the increased popularity of packaging
and flexibility, not only accelerating which led to calendar shifts and will regain traction when the that keep the product sterile, such
their digitalization significantly, revisions of order's quantity, also in restrictions to social life will cease, as pump applicators, airless options,
but also creating seismic shifts in relation to the different countries positively forecasting a comeback sprays that are anti-bacterial and
their approach to business — which of distribution and [our clients' in the second half of the year. sometimes even self-cleaning, as
veered from global to local — and in own] business model, with a greater Overall, the slowdown in makeup well as sustainable products,” said
drawing attention to niche brands, penalization for the less online- demand hampered Italian suppliers' Romualdo Priore, marketing director
sustainability and customization. oriented ones,” said Cecilia Schena, performance, as local manufacturers at packaging specialist Lumson.
Even if it imparted valuable senior vice president of marketing and are specialists of color cosmetics. In light of their increased
lessons, COVID-19 inevitably came business development of Chromavis. A diversified production helped awareness on sustainable matters,
with a negative impact sales-wise. “The context of uncertainty and poor Intercos to counterbalance the consumers will demand a return
According to preliminary data visibility on the future turned into an performance of makeup with those of to essentiality and ask for product
released by Cosmetica Italia, in inevitable challenge to become more the skin care and hair care categories. novelties “not to be launched just for
2020 total sales of Italian beauty flexible and commit to increasingly Intercos' global scale also played the sake of it but to actually bring
companies were down 12.8 percent to adopt a start-up approach.” in Ferrari's favor, securing the added value,” Priore said.
10.47 billion euros compared to 2019. To this end, the company turned its continuity of the corporate activity. For Fabio Franchina, president
Exports decreased 16.5 percent to “one-to-one relationship with clients The executive believes its spread-out of professional hair care company
4.1 billion euros, with the cosmetics into an opportunity” with the Atelier presence across three continents will Framesi, today’s consumer no longer
suppliers being the most affected project enabling clients to create further be strategic as regionalization seeks the lowest price but “the most
by the contraction in international small batches of customized products gained importance compared to correct one for a certain standard of
demand as their sales were down 17.5 and take them to the market in just globalization throughout 2020, and product and service.” In addition to
percent to 1.37 billion euros last year. three weeks. will remain central for the future. the eco-friendly trend, he cited time
Intercos Group's founder and “Consumers are looking for “We have a very large global as key driver in the future.
president Dario Ferrari confirmed that personalization and in this context footprint which helped us to try “Hair salons have learned to optimize
one of the company's key changes was suppliers are being asked to become and anticipate the effect of the their schedules out of necessity, but
“the management of the volatility of more consumer-oriented,” confirmed pandemic from the learnings we had they will continue to do so to guarantee
demand and of a large number of new Kiko's general brand manager Heike from addressing the East,” said the a top service. Those who will offer
projects of smaller scale compared Linnemann. general manager of Davines' hair high-quality services in less time will
to the past, which is attributable to With its physical units closed for care division Mark Giannandrea. be decidedly more competitive and
client's greater attention on stocks.” months, Kiko is among the beauty While confirming the consumers' winning,” said Franchina.
DEEP DIVE COVID's Long-Term Impact 9
MARCH 26, 2021
Chinese shoppers trying on beauty products Tourism Investment Development to
in a duty-free shop on Hainan Island, China. open the second-largest downtown
duty-free store in Sanya.
Driven by attractive discounts
and the warm weather, over the
Chinese New Year holiday, which ran
from Feb. 11 to 17, duty-free stores
on Hainan Island saw sales exceed
1.5 billion yuan, or $231.2 million,
doubling the amount recorded in the
same period for 2019.
Building on this momentum,
Haikou will also host the first China
International Consumer Products
Expo from May 7 to 10. Confirmed
participants include Galeries
Lafayette, DFS Group, Tapestry
Inc., Swatch Group, L’Oréal Group,
Shiseido and Kao.
While international beauty
companies fight to enter the market
and go after China's affluent
shoppers, some of the largest Chinese
beauty groups were dealing with a
different set of challenges.
Shanghai Jahwa, which relies heavily
on traditional sales channels, saw its
revenue down by 7.43 percent in 2020
due to the pandemic. But Jahwa's
premium and specialist offerings like
Vive, Gaofu, Dr. Yu and Herborist
Derma, still managed to achieve
China's Beauty
to open its first store in Shanghai in healthy growth in the second half.
the fourth quarter of 2021, and The In the third quarter, the company
Body Shop’s first store in China is set also adjusted its e-commerce business
Market Reconfigures
to open in 2022. structure, optimizing livestreaming
No brand will probably say no to and cultivating streaming talents to
duty-free shops in China nowadays, improve profitability.
as this sector has seen exponential For the more digitally savvy Proya
Highlights in the past year include livestreaming, clean and
growth since China's tightened its Cosmetic, its 2020 beauty sales
cruelty-free beauty, domestic duty-free shopping and niche broader control. are estimated to increase by more
brand acquisitions. BY TIANWEI ZHANG Cities such as Shenzhen, Shanghai, than 10 percent. The company cited
Beijing and Hainan Island's capital e-commerce as the main driver of
LONDON — While the world is still was among the first to sell via Haikou and tourist hotspot Sanya that growth. Its gross merchandise
disrupted by the virus, China has livestreaming in an attempt to save have all made strategic moves in value on Alibaba's platforms alone
been largely COVID-19 free for almost the company from bankruptcy, as order to take a bigger share of this grew 40 percent and surpassed 1.89
a year. With global traveling a no-go, half of its points of sales across lucrative market, where beauty and billion renminbi, or $292 million. The
and mask-wearing here to stay, the China were shut due to government fragrances are the biggest sellers. In company also set up an incubation
nation's beauty market has adjusted regulations and safety concerns. fact, both L’Oréal and Estée Lauder program with Alibaba's Tmall to
to this new reality with major Its best-known organic camellia oil cited spectacular growth in China forester start-ups in the beauty sector.
developments in sales-driven online was later marketed as a product that during their latest earning calls. The newly listed Yatsen Holding
initiatives, clean and cruelty-free can repair the damage to nurse’s skin Not long after the central Ltd., the parent company of cosmetics
beauty, domestic duty-free shopping after they wear masks for a long period government loosened regulations on and skin care brands Perfect Diary,
and niche brand acquisitions. of time. The brand is now one of the this lucrative sector last June, DFS Little Ondine, Abby’s Choice and
“Because of the wearing of masks, the bestselling skin care brands on Tmall. Group, the Moët Hennessy Louis Galénic, posted an increase of 72.6
demand for clean beauty has grown, Another hot topic that has emerged Vuitton-owned travel retail operator, percent on revenue in 2020. A
and the need for facial cleansing and during 2020 was the revision to acquired a 22 percent stake in pioneer of the direct-to-consumer
maintenance has also increased,” said China’s cosmetics animal testing rules. Shenzhen Duty Free Ecommerce Co., model in China, Perfect Diary was
Mao Geping, one of China's most Earlier this month, China's National which is majority-owned by Shenzhen also the bestselling Chinese beauty
celebrated makeup artists. Medical Products Administration Duty Free Group. The two recently brand during last year’s Singles’ Day
During the pandemic, like many announced that imported ordinary unveiled the first phase of their shopping festival on Tmall.
others, he began to work with cosmetics will not be required to new downtown duty-free shopping The company recently doubled
influencers and vloggers to share undergo animal testing from May 1, complex in Haikou Mission Hills. down on niche brand investments to
makeup skills or promote his label opening the way for a wave of new China Duty Free Group, the largest future-proof its profitability. In March,
via livestreaming. A video of him beauty brands to enter the country duty-free operator in China, also it announced plans to acquire the
Photograph by Imaginechina via AP Images
transforming the face of China's that had previously avoided the world’s announced expansion plans with London-based beauty brand Eve Lom.
most-followed fashion vlogger second-largest beauty market — the Sanya Phoenix International Airport to Omnichannel brand partner
Teacher Xu has near 1 million views U.S. is the largest — over ethical values. open duty-free shops in the airport to Ushopal, which announced the close
on China streaming site Bilibili and For example, Brazilian beauty further capture the influx of tourists. of a $100 million round of funding
half million on YouTube so far. conglomerate and cruelty-free beauty In January, Dufry unveiled a in early March, is another Chinese
Also benefiting from the leader, Natura & Co., the parent cooperative agreement with Hainan player that has been active in niche
livestreaming trend is the Shanghai- company of Aesop and The Body Shop Development Holdings and opened beauty brand acquisitions.
based clean beauty brand Forest announced days later that both brands its first shop on Jan. 31, at the Global The group has already invested in
Cabin, or Lin Qin Xuan in Chinese. are eyeing for China market entry. Duty Free Plaza at the Mova Mall in several of its brand partners, such as
During the pandemic, the Roberto Marques, chairman of Haikou. At the same time, Lagardère Natura Bissé from Spain and perfume
company's cofounder Sun Fuchun Natura & Co., said Aesop is expected formed a partnership with the Hainan label Juliette Has a Gun.
B R I D G I N G TH E
D I G ITAL D I V I D E
A GRANT PROGRAM
TO CONNECT
TECHNOLOGY & HUMANITY
WWD and Unilever Prestige announce a pioneering grant initiative, designed to
showcase the next generation of business leaders and entrepreneurs, whose
products, services and solutions provide industry advancements that focus on the
connection between technology and the human touch.
Project Connect is calling on eligible entrepreneurs to apply for a chance to receive grant
funding and access to a robust package of resources that include: mentorship, opportunities
to help scale your business and exposure of your brand to new industries and audiences.
Applicants should have:
l A scalable business model that serves to humanize technology for the future
l Innovative products & services that demonstrate a human connection between
technology and virtual communication
l Social Impact at the core of the business with efforts that promote an inclusive
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l A future-focused mindset and clear vision to advance the industry
DOES THIS SOUND LIKE YOUR BUSINESS?
A P P LY N OW !
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Powered by Prestige Vasiliki Petrou. All interested in applying for the “Project Connect –
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P R E S T I G EANALYZE THIS 11
MARCH 26, 2021
women earn 98.2 percent of what
men earn. The intention is to close
that gap by 2023, the company said.
As companies look to progress
toward parity, they will need to address
systemic issues, including ensuring
women are hired and promoted across
different lines of business.
“Women have tended to end up in
less of the line functions and more
on the staff functions like HR and
marketing and general counsel,” said
Hariton. “There’s bias through the
whole chain of processes.”
Women are affected by the
“Goldilocks syndrome,” Hariton said,
which often lands them in “caring
roles” rather than leadership positions.
And too often, men hire and promote
“within their own image,” Hariton said,
drawing from groups that lead to the
hiring and promotion of more men.
Beauty companies should implement
inclusive hiring and promoting
practices, but also consider mentorship
Are Women Moving Up Beauty’s programs for women starting at the
entry level, Hariton said, as well as
provide training for managers. “You
Corporate Ladder? need to build an inclusive culture at
every level,” she said.
The lack of women in leadership
In the top 20 beauty manufacturers, women hold only 15 percent of CEO titles. positions is slightly less pronounced
BY ALLISON COLLINS with smaller and mid-sized beauty
companies.
THERE ARE MORE women chief is leading fast-growing hair care Hariton said, speaking about bias in “When you get to some of the
executive officers in beauty today business Olaplex. Founder Vicky the workplace. smaller brands and mid-sized brands,
than there ever have been, but at the Tsai is back in the CEO seat at skin The beauty industry should have some of the VC and private equity-
world’s biggest beauty companies, care business Tatcha, following the a minimum of 50 percent women backed businesses, you certainly will
men remain in charge. departure of former CEO Jean-Marc leaders, given the numbers of women see a lot more women at the helm
The incoming CEO of L’Oréal, the Plisson. And Nicola Kilner is CEO at in the workforce and the female as CEO than you’re going to at the
world’s biggest beauty company by Lauder-owned Deciem. dominant consumer base, Hariton bigger companies,” said Lisa Marie
sales, Nicolas Hieronimus, is male; While Mary Dillon has been CEO of said. “In the beauty industry, we should Ringus, executive vice president for
Alan Jope, CEO of the second-largest Ulta Beauty since 2014 and will remain be at parity, because there’s certainly global client strategy and growth at
beauty manufacturer, Unilever, is in the position until June, her successor enough women at the bottom and the recruitment agency 24 Seven. “That’s
male; the CEO of the third-largest is a man — Dave Kimbell, who is consumers are women,” she said. because there’s been more opportunity
beauty manufacturer, the Estée currently president of Ulta. There's also “[Women] are the mass consumers extended. Someone might have to wait
Lauder Cos., Fabrizio Freda, is male. Roz Brewer, who started as Walgreens of beauty products, and I don't think for the right timing to step into the
Of the top 20 beauty Boots Alliance CEO earlier this month, consumers understand and know CEO position at a large company.”
manufacturers, only three — 15 becoming one of two Black women who's actually at the top of these Some of those jobs may not open
percent — are led by women CEOs. leading a Fortune 500 company. corporations,” said Nicole Mason, up for a while. Hieronimus at L'Oréal
None are women of color. Beauty's indie brand landscape is president and CEO of the Institute for was just recently appointed, for
In 2020, Sue Nabi, a trans woman, also host to countless female founder- Women's Policy Research. example. He is in his mid-fifties, and
was appointed CEO at Coty Inc., CEO hybrids. “Externally facing, many beauty will have years to lead the L'Oréal
the sixth largest beauty company, But at the highest levels of the companies go above and beyond to business before mandated retirement
and Angela Cretu was named CEO industry, more progress needs to be relate to women, to pull them in, at age 65. His predecessor, Jean-Paul
of Avon Products, the 18th largest made for women to reach parity. telegraphing messages of women's Agon, has been CEO since 2006.
beauty manufacturer. Alex Keith has According to Lorraine Hariton, empowerment,” Mason continued. Shella Abe, co-head of the CEO/
been CEO of P&G Beauty, the fourth president and CEO of Catalyst, the “There's a gap between what we as Board of Directors practice for beauty,
largest beauty company, since 2019. upper echelons of the beauty industry consumers understand and who is fashion and retail at TrueSearch, has
That 15 percent figure represents mimic the Fortune 500. leading the companies.” started to see demand for women
progress from a few years ago. In Pre-pandemic, women had reached Some companies have outlined leaders from mid-sized beauty brands.
2018, when Beauty Inc looked into parity in the entry-level workforce plans to increase representation and “In the past year, year and a half,
women CEO figures, only one of the in the U.S., but the coronavirus has equity for women, including Lauder. there is a huge mandate,” she said. “I've
top 20 beauty manufacturers was run disproportionately affected women and The company said it will reach parity never had founders or investors or
by a woman — Debbie Perelman at set them back. In middle management for Black women at all levels of the owner-entrepreneurs be so aggressive
Revlon. She still holds that position, positions, women represent around business in the U.S. by 2025, and about hiring female leaders.”
though Revlon is no longer a top 25 percent to 30 percent of workers, that it will achieve gender parity on But historically, women have not
20 beauty manufacturer. Hariton said, and in the CEO seat at the board and in senior leadership always been given those types of
There are women CEOs at smaller Fortune 500 companies, women make positions globally by 2025. Currently, leadership opportunities, and the
beauty companies, and at beauty up 8 percent of leaders, up from 4.5 women make up 44 percent of pool of women with the experience to
retailers, too. percent from when Hariton started the Lauder's board, and 55 percent of the step into the CEO role isn't as big as
Annie Young-Scrivner was Catalyst job two and a half years ago. executives at the vice president level it should be, Abe noted.
appointed CEO at newly formed “There are a lot of systemic and above are women. “It makes sense — they weren't
Wella Co. in 2020. Cara Sabin is issues that are still challenges for Lauder also conducted a gender given the opportunities way back when.
CEO of Sundial Brands. JuE Wong corporations to get closer to parity,” pay-gap analysis and found that But if you and I are having this same You can also read
