Daniela Ferreira, Correspondent01.06.21
Outside of the US, Latin America has some of the highest COVID-19 rates in the world, yet the pandemic has shown that the beauty sector has the ability to pivot even in times of crisis. The industry’s ability to innovate under uncertain market conditions is linked to the pandemic’s impact on people’s well-being at a time of crisis. Beauty routines are strongly evolving toward self-care, including other categories such as hair color and color cosmetics, as consumers search for accessible ways to feel good and regain their self-esteem during the most difficult of times, note analysts.
The crisis has triggered some new consumer attitudes and also has intensified beliefs and practices that were already entrenched. According to Beautystreams, a global beauty industry research group, the key takeaway is that science, well-being and ecology will drive the industry forward for the foreseeable future. Keeping this over-arching theme in mind, here’s a look at what to expect in the major beauty categories in the new year.
Skin & Personal Care
Personal care, a cornerstone of well-being and self-care, has proven to be resilient during the crisis. Yet, in contrast, premium skin care sales are declining due to cautious consumer spending habits during the pandemic. For this reason, Beautystreams forecasts a sizable opportunity for companies that successfully take a premium approach to personal care, applying the “masstige” principle. For example, one can envision a personal care line with everyday products that also includes premium versions that are meant to inspire beauty rituals and moments of indulgence.
Sustainability, already a common denominator in all categories, will assume even greater importance as a result of the crisis. Segmenta, a Latin American marketing intelligence and research company, hig lights waste reduction solutions, excessive consumption and environment and oceans protection. As some examples, the company mentions B.O.B. (Bars Over Bottles) a Brazilian brand which has only solid cosmetics without plastics or so-called harmful ingredients in its formula, for preserving rivers and oceans. Another brand is Australian Gold, which is part of the Boticario Group in Brazil, whose sunscreen formulas promise to not harm marine corals. The brand is first in Brazil to tout “Safe for Corals” and packaging made from vegetable plastic.
Fragrance
The fine fragrance sector is evolving from its role as a status symbol and tool of self-expression, toward functional fragrances that impart emotional benefits and enhance physical wellbeing. Some of the newest developments have been inspired by new avenues of innovation. For example, scents that balance hormone levels, and trigger the production of endorphins or oxytocin, offer exciting paths of exploration, according to speakers at last year’s Openstreams Global Beauty Industry Summit.
The startup Amyi is a Brazilian native digital perfumery brand that integrates an olfactory journey toward a constructive content that expands consumers’ self-knowledge. According to company executives, the Amyi experience is really a process that leads to understanding the emotions aroused by the scent, providing a more conscious and true choice for a new perfume.
“It is not just about selling perfumes, but helping people to know themselves better and live a unique experience through the sense that most awakens memories,” explains Luciana Guidi, co-founder and chief marketing officer, Amyi.
Hair Care & Color
Inclusivity and diversity is more important in the hair category. However, with the increase of mixed-race populations, the point of entry should be about individual needs rather than ethnicity, as a person may be of multi-ethnic origin. An additional challenge for the hair care industry is to offer less invasive, yet effective, colorants for dark and/or textured hair.
Beautystreams notes that, as in all categories, clean and more sustainable alternatives are in demand. Consumers want efficiency and safety, as well as sustainability. This can be particularly challenging in hair care. While 100%-natural straighteners and bleach are not yet available, transparency concerning a product’s level of sustainability is paramount.
Unilever’s Seda is a leading hair care brand in Brazil. Just a few months ago, Seda launched Joias do Sertão (Jewels of Hinterlands) in northeastern Brazil. Developed with the help of consumers and local residents, the formula was inspired by the plurality, culture and richness of the region’s ingredients. Joias do Sertão consists of three lines: Raiz Limpa, Ponta Sedosa (Clean Root, Silky Ends), which is formulated with coconut oil and aloe vera; Hidrata Muito (Moisturizes a Lot), which is formulated with mandacaru and caja; and Cresce Forte (Grow Strong), which is formulated with castor oil and coffee.
“The creation of these lines was an incredible experience, which allowed us to travel, literally, to a universe rich in diversity and culture. To arrive at the best formulations, valuing the natural elements of the Northeast region of the country, we did research and had several conversations with the consumers in that region, to understand their consumption habits and routines, allowing us to create exclusive and personalized lines,” said Rafael Turziani, Seda manager.
A Rebound for Color?
The color cosmetics category has been most impacted by the crisis. This is due to reduced makeup usage during lockdowns, social distancing and, of course, mask-wearing. Despite all of this, Beautystreams predicts that escapism through makeup application will become an important consumer need. At the same time, however, forward-thinking companies will re-evaluate the non-sustainable, seasonal aspect of color trends, as consumers seek selective, quality purchases. Eco-friendly packaging solutions will continue to be in high demand, as consumers make the decision to move away from extraneous waste.
Regarding application techniques, Segmenta points out that the focus remains on the eyes, but that focus may shift as masks come off post-pandemic. Analysts predict that color may flourish, as pandemic-weary consumers seek new ways to express themselves.
As a strategy for the category, the digital transformation, accelerated by the pandemic, highlights the increasing need for an active brand positioning on social networks in order to increase transparency in communication with consumers. It was no coincidence that L’Oréal launched in October 2020 the first virtual store in the luxury segment, Meu Mundo Lancôme (My Lancôme World), in partnership with several Brazilian influencers. The site includes personalization tips, videos and tutorials, all of which have been well-received. Segmenta predicts that more brands will develop similar sites.
Finally, the fight for equality and representation marked 2020, too. Besides expecting a comprehensive product line that reflects diversity, consumers are questioning a brand’s position in society. In November, many brands such as Avon and MAC signed commitments in an effort to position themselves as companies that generate opportunities for people of color. According to Segmenta, when making purchasing decisions, consumers are considering accessibility to products, price positioning and the influencers selected for products and promotions, too.
Daniela Ferreira
Correspondent
danief@uol.com.br
55-11-993880867
Daniela Ferreira is a marketing and communication professional in the cosmetic market. She has a master’s degree in fashion from the University of São Paulo (USP). The study presented in the thesis, integrated product launching in fashion and perfume, mainly comprising marketing studies related to brand, product and consumer behavior. At present, she is lecturer on marketing issues. Her expertise comprises managing and launching products, communication planning and market studies for identifying new business opportunities.
The crisis has triggered some new consumer attitudes and also has intensified beliefs and practices that were already entrenched. According to Beautystreams, a global beauty industry research group, the key takeaway is that science, well-being and ecology will drive the industry forward for the foreseeable future. Keeping this over-arching theme in mind, here’s a look at what to expect in the major beauty categories in the new year.
Skin & Personal Care
Personal care, a cornerstone of well-being and self-care, has proven to be resilient during the crisis. Yet, in contrast, premium skin care sales are declining due to cautious consumer spending habits during the pandemic. For this reason, Beautystreams forecasts a sizable opportunity for companies that successfully take a premium approach to personal care, applying the “masstige” principle. For example, one can envision a personal care line with everyday products that also includes premium versions that are meant to inspire beauty rituals and moments of indulgence.
Sustainability, already a common denominator in all categories, will assume even greater importance as a result of the crisis. Segmenta, a Latin American marketing intelligence and research company, hig lights waste reduction solutions, excessive consumption and environment and oceans protection. As some examples, the company mentions B.O.B. (Bars Over Bottles) a Brazilian brand which has only solid cosmetics without plastics or so-called harmful ingredients in its formula, for preserving rivers and oceans. Another brand is Australian Gold, which is part of the Boticario Group in Brazil, whose sunscreen formulas promise to not harm marine corals. The brand is first in Brazil to tout “Safe for Corals” and packaging made from vegetable plastic.
Fragrance
The fine fragrance sector is evolving from its role as a status symbol and tool of self-expression, toward functional fragrances that impart emotional benefits and enhance physical wellbeing. Some of the newest developments have been inspired by new avenues of innovation. For example, scents that balance hormone levels, and trigger the production of endorphins or oxytocin, offer exciting paths of exploration, according to speakers at last year’s Openstreams Global Beauty Industry Summit.
The startup Amyi is a Brazilian native digital perfumery brand that integrates an olfactory journey toward a constructive content that expands consumers’ self-knowledge. According to company executives, the Amyi experience is really a process that leads to understanding the emotions aroused by the scent, providing a more conscious and true choice for a new perfume.
“It is not just about selling perfumes, but helping people to know themselves better and live a unique experience through the sense that most awakens memories,” explains Luciana Guidi, co-founder and chief marketing officer, Amyi.
Hair Care & Color
Inclusivity and diversity is more important in the hair category. However, with the increase of mixed-race populations, the point of entry should be about individual needs rather than ethnicity, as a person may be of multi-ethnic origin. An additional challenge for the hair care industry is to offer less invasive, yet effective, colorants for dark and/or textured hair.
Beautystreams notes that, as in all categories, clean and more sustainable alternatives are in demand. Consumers want efficiency and safety, as well as sustainability. This can be particularly challenging in hair care. While 100%-natural straighteners and bleach are not yet available, transparency concerning a product’s level of sustainability is paramount.
Unilever’s Seda is a leading hair care brand in Brazil. Just a few months ago, Seda launched Joias do Sertão (Jewels of Hinterlands) in northeastern Brazil. Developed with the help of consumers and local residents, the formula was inspired by the plurality, culture and richness of the region’s ingredients. Joias do Sertão consists of three lines: Raiz Limpa, Ponta Sedosa (Clean Root, Silky Ends), which is formulated with coconut oil and aloe vera; Hidrata Muito (Moisturizes a Lot), which is formulated with mandacaru and caja; and Cresce Forte (Grow Strong), which is formulated with castor oil and coffee.
“The creation of these lines was an incredible experience, which allowed us to travel, literally, to a universe rich in diversity and culture. To arrive at the best formulations, valuing the natural elements of the Northeast region of the country, we did research and had several conversations with the consumers in that region, to understand their consumption habits and routines, allowing us to create exclusive and personalized lines,” said Rafael Turziani, Seda manager.
A Rebound for Color?
The color cosmetics category has been most impacted by the crisis. This is due to reduced makeup usage during lockdowns, social distancing and, of course, mask-wearing. Despite all of this, Beautystreams predicts that escapism through makeup application will become an important consumer need. At the same time, however, forward-thinking companies will re-evaluate the non-sustainable, seasonal aspect of color trends, as consumers seek selective, quality purchases. Eco-friendly packaging solutions will continue to be in high demand, as consumers make the decision to move away from extraneous waste.
Regarding application techniques, Segmenta points out that the focus remains on the eyes, but that focus may shift as masks come off post-pandemic. Analysts predict that color may flourish, as pandemic-weary consumers seek new ways to express themselves.
As a strategy for the category, the digital transformation, accelerated by the pandemic, highlights the increasing need for an active brand positioning on social networks in order to increase transparency in communication with consumers. It was no coincidence that L’Oréal launched in October 2020 the first virtual store in the luxury segment, Meu Mundo Lancôme (My Lancôme World), in partnership with several Brazilian influencers. The site includes personalization tips, videos and tutorials, all of which have been well-received. Segmenta predicts that more brands will develop similar sites.
Finally, the fight for equality and representation marked 2020, too. Besides expecting a comprehensive product line that reflects diversity, consumers are questioning a brand’s position in society. In November, many brands such as Avon and MAC signed commitments in an effort to position themselves as companies that generate opportunities for people of color. According to Segmenta, when making purchasing decisions, consumers are considering accessibility to products, price positioning and the influencers selected for products and promotions, too.
Daniela Ferreira
Correspondent
danief@uol.com.br
55-11-993880867
Daniela Ferreira is a marketing and communication professional in the cosmetic market. She has a master’s degree in fashion from the University of São Paulo (USP). The study presented in the thesis, integrated product launching in fashion and perfume, mainly comprising marketing studies related to brand, product and consumer behavior. At present, she is lecturer on marketing issues. Her expertise comprises managing and launching products, communication planning and market studies for identifying new business opportunities.
