Showing posts with label us beauty products market. Show all posts
Showing posts with label us beauty products market. Show all posts

Tuesday, November 7, 2023

How L’Oreal & Colgate-Palmolive Dominate US Beauty & Personal Care in 2023

 L’Oreal has invested $140 million towards developing a research & development center in the United States. Colgate-Palmolive isn’t behind when it comes to developing innovative products & services.

Both the companies are utilizing everything which is demanded of a beauty & personal care brand today- innovation while keeping sustainability in mind, providing organic & eco-friendly products & using modern-day marketing methods like social & influencer marketing to leverage sales.

Story Outline

  • According to Ken Research, the revenue generated in the US beauty & personal care is $92 billion in 2023, with the largest segment being the personal care market & the largest revenue is being generated by US, because of increasing incomes & awareness in people about their personal appearance.
  • L’Oreal and Colgate Palmolive demonstrate a strong commitment to eco-friendly practices & natural ingredients. They also excel in reaching out to their end users via social media & influencer marketing.
  • Both companies provide personalized beauty & oral care solutions. L’Oreal’s AI-powered Perso offers on-the-spot skincare & cosmetic formulas tailored to individual preferences, while Colgate+YOU allow customers to customize their own toothpaste, aiming to merge oral-care with beauty & wellbeing.
  • L’Oreal has invested in research & development centres across the United States, while Colgate-Palmolive has earned recognition for its groundbreaking recyclable tube & innovative Overnight Teeth Whitening Pen.

1. L’Oreal & Colgate Palmolive Lead the Charge in Innovation & Sustainable Technology

USA personal care leading playersDownload a Sample Report of USA personal care leading players

L’Oreal has been actively investing on innovative technology & its development in the United States & across the world. In 2022, they invested about $140 million towards developing a research & development centre (R&D) in Newark area. Apart from Newark, L’oreal has different R&D centres at San Francisco, Clark & Redmond.

On the other side, Colgate-Palmolive has been named in Fast Companies’ list of World’s Most Innovative Companies in 2021 for developing a first-of-a-kind recyclable plastic tube & openly sharing these technologies with third parties. In 2023, they got recognized for developing an Overnight Teeth Whitening Pen which is applied at night & teeth gets cleaned overnight.

They’re also focused on the digitization of their business which has helped in building out augmented factories, clean data rooms & digital shelf innovation to drive growth in United States.

2. Personalized Beauty & Oral Care Innovations with Perso & Colgate+YOU

Personalized Beauty & Oral Care InnovationsIn order to serve their customers in the best way possible, companies make efforts to provide a customized product plan for their customers’ individual preferences. In 2020, L’oreal launched Perso, an AI-powered at-home system for skincare & cosmetics. The device is 6.5 inches long & provides a four-step process to deliver on-the-spot skincare & cosmetic formulas that optimize for increasing level of personalization over time.

Colgate-Palmolive had been assessing the potential of customization in oral care with a test-and-learn exercise in 2022. Colgate+YOU is a customizable toothpaste displayed on Colgate’s consumer website, priced at $12 per tube with the tagline ‘uniquely yours’.

Post pandemic, the company aims to merge the oral care category with the beauty & wellbeing-based attributes, making it appealing to the younger population by quirkier packaging of products or the overnight whitening pen, mentioned above.

3. L’Oreal & Colgate Palmolive’s Eco-Friendly Commitment to Safe & Natural Beauty Products

us organic skincare MarketDownload a Custom Report of us organic skincare Market

People often want to buy from products which are made from organically safe & eco-friendly material, which does not harm their skin or physical appearance. L’oreal has showcased constant commitment towards providing skincare & beauty products, according to their user’s needs.

From 2021 onwards, they aim to integrate 95% of the ingredients across all brands & ranges will come from plants & flowers that can be renewed & repaired & minerals that can be adequately found.

Colgate-Palmolive is equally committed to making products which contain natural ingredients. For instance, Colgate offers a toothpaste made of charcoal to ensure deep cleansing & fresh breath.

They even make products like a toothpaste like Kids 2-in-1 Watermelon Burst Toothpaste. Moreover, Palmolive provides dish soaps which contains 100% biodegradable ingredients, so that the users don’t experience harm on their skin while using their products.

4. L’Oreal & Colgate-Palmolive’s Success with Authentic Social Media Partnerships

[caption id="attachment_90565" align="aligncenter" width="595"]top funded health & beauty us companies top funded health & beauty us companies[/caption]

Influencer marketing plays a crucial role when it comes to reaching the target audience in an authentic & relatable way. Both these players have been utilizing social media & influencer marketing to a large extent.

XOMAD’s Influencer Research & Insights collaborated with L’Oreal USA to host 4 focus groups, moderated sessions, conducted 80+ influencer surveys to tell a brand story.

Colgate-Palmolive is also active by promoting through influencers. Recently, they used Traackr, a system of record for influencer marketing uniting regions, brands & agencies on one platform for discovery, campaign management & measurement. Colgate-Palmolive’s personal care brand including Sanex have delivered significantly better results while reducing campaign costs by 40%

Conclusion

L’Oreal & Colgate-Palmolive stand out as industry leaders in innovation, sustainability & customer centric approaches. Their investment in research & development, use of cutting-edge technology & focus on eco-friendly practices showcases their commitment to meeting consumer demands for safe, natural & personalized oral & beauty care products. Additionally, their effective utilization of influencer marketing has helped them connect with their target audience in an authentic & relatable manner, solidifying their positions as trailblazers in the competitive world of skincare & beauty.

Friday, November 3, 2023

US Beauty & Personal Care Market worth $92 Bn in 2022, Will it sustain?

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US Beauty & Personal Care market is set to grow in double digit CAGR in the next 5 years, reaching upto a market size of $113 Bn by 2028

Increasing population & focus on grooming & self-care demands innovative products & services which provide an attractive physical appearance & personality. Additionally, the major players in the market are utilizing social media & influencer marketing to the fullest, makes it the most sought-after industry in the United States.

Story Outline

  • The United States is experiencing a rapid transition with increasing income & decreasing wealth inequality, empowering consumers to afford innovative beauty products.
  • Beauty giants like Loreal are investing significantly in research & development to create cutting-edge products, enhancing consumer experience & benefits.
  • Beauty & personal care industry is booming through ecommerce platforms, with web sales generating billions in revenue. Social media & influencer marketing playing a crucial role in advertising expenditures. Additionally, emerging segments like men’s grooming products are contributing to industry’s expansion & growth.
  • According to Ken Research, the revenue generated in the US beauty & personal care is $92 billion in 2023, with the largest segment being the personal care market, because of increasing incomes & awareness in people about their personal appearance.

1. Rapid transitions to reduced inequalities Increases Premium Purchases

US Cosmetics & Personal Care market

Download a Sample Report of US Cosmetics & Personal Care market

 United States has been undergoing a rapid transition with increasing income & decreasing wealth inequality. In 2021, the average income of Americans was at $70,784 per year, which decreased a little as it came under $61,900 per year in 2022.

It has reached to $74,738 in 2023. Between February 2020 & September 2022, average income for the lowest earning 50 per cent of Americans had increased more than 50%, faster than every population group, except the top 1 per cent of the population.

In a population where everyone’s income is increasing steadily, everyone gets the power to buy premium products & innovative products which were offered in the market.

2. Beauty Giants like Loreal Boost R&D Investments in the US for Cutting-Edge Products

L’Oreal Research & Development Centers in United States, 2022

expenditure of L'Oréal worldwide

In 2022, Loreal, one of the leading players in the beauty market across the world, invested around 1 billion euros towards research & development as they earned about 38.26 billion euros globally that year.

Additionally, they have also invested towards $140 million towards developing a research & development centre in Newark area in the United States. Loreal & other companies like Estee Lauder invest money into different countries so that they can create new & improved products to offer enhanced benefits & excellent consumer experience for their users.

According to Ken Research, the US beauty & personal care market size reached $92 billion in 2023, with the largest segment being the personal care market, majorly because of increasing incomes & awareness in people about their personal appearance.

3. Digital Beauty Boom as E-commerce Drives $54 billion sales in the US

US Cosmetics & Personal Care market Growth

In United States, the websites which are known for selling beauty & personal care products include Sephora, Glossier, Ulta, Purplle etc. to name a few. Having these many e-commerce websites helps the consumer browse through various shopping websites & order items at the comfort of their homes.

In 2021, personal care sales in the retail market generated nearly $54 billion in ecommerce revenue & accounted for over 11 percent of total retail ecommerce sales that year. Given the widespread digital connectivity & internet penetration, web sales are becoming a reliable source of revenue for beauty & personal care industry.

4. Social Media & Influencers Reign: Beauty Industry’s $373 Million Ad Spend in 2023

[caption id="attachment_90534" align="aligncenter" width="581"]us skincare products market 

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Beauty industry is one of the leading avenues which is heavily exploring marketing through social media & influencer marketing. 42 per cent of people between the age of 18-24 years are inspired by social media when it comes to make up.

In January, 2023 beauty advertisers in the United States invested about $373 millions to promote their products. Ad expenditures in the cosmetics & personal care industry had crossed four billion dollars in 2021.

5. Emerging Segments like Men’s Grooming Spark Boom in US Beauty & Personal Care

There are numerous segments which are emerging in the beauty & personal care in the United States. One of them includes men’s grooming. In 2022, the male grooming market in the country had reached to $16 Bn in 2022 & the demand for male grooming products is likely to accelerate with top marketing players holding prominent shares.

Several influential male celebrities, athletes, and social media personalities have also impacted the men's grooming products and routines like Chris Pratt, NBA superstar LeBron James, musician Pharrell Williams, and entrepreneur and social media influencer Jeffree Star. Their public endorsements and discussions about grooming have significantly contributed to the growing popularity of men's grooming in the U.S.

Conclusion

Reduced income inequalities have led to empowered consumers to invest in premium & innovative products, bolstered by e-commerce platforms. Social media & influencer marketing have become powerful tools of promotion, driving substantial advertising expenditures. Emerging segments like men’s grooming & organic products are contributing to industry’s expansion. With increased awareness & consumer demand, future looks promising for the US market.