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Beauty Roundup: June 12, 2009

According to NACDS, Marketplace represents more than 90 percent of the mass industry and brings together more than 270 retail companies.

Going to Marketplace?

At press time, there are beauty companies not registered for the National Association of Chain Drug Store’s Marketplace meeting. One of the biggest is Revlon. Others who have exited over the past few years include Ardell and Prestige. And, some firms, such as Coty, have smaller exhibits this year. In this economic environment, it is not surprising there are cutbacks in travel. And with so few major retail players left, manufacturers can make personal visits to get their messages across. At the annual meeting, attendance was still strong — but many did indicate worry over Marketplace.

The meeting is in Boston this year, at least a locale easily accessible for East Coast firms. However, there are those who love the San Diego setting and make that trip a combination of business and pleasure. A few of those not attending this year noted that it is expensive and that there aren’t enough retailers in the universe.

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Still, the numbers do paint a powerful picture and there are many downsides to not making the trip. According to NACDS, Marketplace represents more than 90 percent of the mass industry and brings together more than 270 retail companies, representing over 145,000 retail outlets with 700 manufacturing companies across 12 major categories. The annual buying power of those attending represents more than $500 billion.

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One reason to be there is the classic situation of where you are talked about if not there. In fact, e-mails have already started flying about Revlon missing. Also, there are many retailers coming that some marketers haven’t tapped yet. In fact, WWD’s BeautyBiz magazine will shortly publish its “It” list on more than 30 important mass merchants in the beauty business. Here are a few that might not be on the tip of the tongue but are building beauty businesses — Pharmaca, Navarro and London Drug.

NACDS said the opportunities presented by Meet the Market are more important than ever in today’s business climate. This is where vendors and buyers get to sit together on one meetings. New this year at Marketplace are some big picture presentations from market experts to get business-building ideas flowing.

Love it or hate it, the NACDS Marketplace has always been a viable meeting for the beauty business. The trip to Boston will tell the story for 2009.

NEXT: People, Places and Things >>

People, Places and Things

A few words with Kim Grustas, co-founder of Good For You Girls, a line of natural skin care for preteen and teen girls. Grustas created the line when she and her colleague couldn’t find natural skin care for young girls.

WWDBeautyNews: What was wrong with the items you found in stores?

Kim Grustas: I’m a purist. And though items said they were natural, they had ingredients that are actually harmful to young girls. We wanted to create a line that wasn’t only natural, but also one they’d love…they’d love the box, the smell. Why can’t natural skin care be pretty and effective?

WWDBeautyNews: Is there a big market?

Grustas: Girls eight to 12 spend more than $40 million a month on beauty products, according to NPD. This is also a great age to introduce skin care. If girls take preventative measures to take care of their skin, they can ward off the common bacteria that contributes to unhappy skin.

WWDBeautyNews: Do you want to sell to mass marketers?

Grustas: Yes, we think there are mass marketers with a natural setting that can sell it. Retailers such as Von Mar — they really get it. We also hope to expand to other items maybe even yoga apparel!


What’s in Store:

Pantene: Retailers said Pantene is undergoing its third relaunch. This time many think P&G has it right.

L’Oréal’s Breakthrough Hair Color: No more ammonia smell thanks to L’Oréal’s Inoa, which is a launch in salons. Could the technology eventually make it to retail? Smells like a success.