ISSUE# 47 A Publication of WWD

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ISSUE# 47 A Publication of WWD
ISSUE
                                                #47
                                            MARCH 26, 2021

                          A Publication of WWD

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ISSUE# 47 A Publication of WWD
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
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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.”
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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.
ISSUE# 47 A Publication of WWD
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
           platform and shifting marketplace values
       l   A future-focused mindset and clear vision to advance the industry

                                 DOES THIS SOUND LIKE YOUR BUSINESS?

                                      A P P LY N OW !

                                                  Applications must be submitted by 04/30 and will be reviewed by a full panel
                                                  of industry experts including FMG President Amanda Smith and EVP of Unilever
Powered by                                        Prestige Vasiliki Petrou. All interested in applying for the “Project Connect –
                                                  Bridging the Digital Divide” grant are encouraged to visit the link above.
               P R E S T I G E
ANALYZE 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 
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