Customized Personal Care Product Insights from The Young Group

Customization is top-of-mind for many beauty brands, but challenges remain, according to Karen Young, founder and CEO, The Young Group, New York.

“Estimates abound, but the most mentioned number of beauty brands in the US is about 4,300,” Young pointed out. “I think that’s low…nonetheless, it’s hard to imagine there isn’t already a product on the shelf for every need and preference.”

A Brief History of Customized Beauty

In her eNewsletter, Young recalled Procter & Gamble’s Reflect. The six-year, $80 million investment created customized makeup, skincare, haircare and perfume that were shipped to customers within five days. Reflect closed in 2005. At the time, P&G called it an exploratory project to gain insights into consumer preferences.

“Were they ahead of their time?” asks Young. “Or is customization too challenging to make profitable?”

More recent customization examples include:

Function of Beauty launched in 2015. FOB offers tailor-made, naturally-derived hair care formulas. Since launch, FOB created over 15 million  customized products with the capability of creating a unique formula every 15 seconds. This customization includes fragrance, color, size and package. Formulations can change as needs change.

Prose launched in 2018 with an AI-powered algorithm to personalize skincare and haircare products, selecting from 185+ clean ingredients. Building progress into every formula, designed to evolve over time, products are freshly bottled in a Brooklyn factory and customized to the consumer’s life, zip code and the changing seasons, explained Young.

Pure Beauty Culture launched in 2020 via an at-home skin test and questionnaire. The company creates custom formulas that consider everything from the consumer’s diet and environment to their genes and skin priorities. Pure Beauty Culture make it easy to build a routine that fits each consumer’s lifestyle, according to Young. “They flipped the industry’s approach. Instead of starting with one-size-fits-all, they start with each client. ‘You’re more than just your skin type,’” said Young.

Finnish Tech company Revieve launched in 2022. Its proprietary technology is a digital health-beauty-wellness platform, which features easy-to-use self-diagnostic modules. Revieve can personalize search and shopping experiences to deliver targeted products, services and treatments to clients. “Their true to life AI and AR try-on platform proves ‘Beauty is Personal. Unleash the Power to Be Unique,'” said Young.

Strands is a science-driven, premium, direct-to-consumer brand that launched in 2020, using results of scalp and hair testing to individualize haircare. The Hair Lab, a mass-market offshoot, entered Walmart in 2022. Its latest offspring, The Body Lab, launching shortly in Walmart, is anticipated to do $10 million in its first year, according to Young.

“As technology progresses and supply chains become more flexible, customization in every category may be table stakes,” Young observed. “What’s your experience with customized personal care products? Please share your thoughts, we’d love to start a conversation.”

More info: The Young Group, click here.