Designer Diffusion

Recession can bring opportunities if brands know how to step up to meet the challenges.

By Jonathan Ford, Pearlfisher

I spoke about “credit crunching beauty” in my last column, as there is, of course, a lot to say about the effects of the recession on the brand community. Rather than being another voice of doom and gloom, I would like to build on my last column and actually look at the opportunities that recession can bring and the challenge brands are facing and–indeed–stepping up to meet.

When it comes to beauty, we know that supermarket brands have been leading the way in combining great products with low prices, while at the premium end of the market, many high-end brands have been counting on a loyal consumer base to pull them through. But, although there are occasional hard times—and maybe because these are harder times—we still want a treat. Some savvy “designer” brands are now being proactive and looking at ways to give the complete fan base a treat and maybe attract new audiences with the introduction of diffusion lines. Is this diluting the offer—or creating a new future for beauty brands?

We’re all very aware of what we’re spending, and recession has inevitably brought about a life style shift. We don’t want to lose quality, but can no longer justify pampering splurges. Diffusion lines are acceptable as they are seen as widening brands and accommodating this new life style shift. Although these brands are meeting the consumer’s goal they are also positioning themselves to survive hard times and meet their own goals. But although new diffusion lines have the credentials of the core brand, is this enough? Does the look and feel measure up on shelf?

Jo Wood cleverly extended her brand without cannibalizing her core offer.

Jo Wood has been as much feted for her dedication to organics as for being the supermodel wife of rock legend Ronnie Wood, and is vociferous about leading an organic and holistic life style. Her Jo Wood Organics Bath & Body range has been immensely successful on both sides of the Atlantic, and Jo has recently brought out Jo Wood Everyday. This is being positioned as a diffusion line but, in actual fact, there is not a great price differential from the core line; it’s more about grouping and marketing select Jo Wood products that we would use on an everyday basis. The illustrated “J” brand logo is carried over into the new line, but the products are packaged in more simple structures and materials (recycled plastics rather than glass). Even if not a true diffusion line with a new look and new retail route, we cannot knock Jo for cleverly extending—and making some more noise about—her brand without cannibalizing her core offer.

Another interesting beauty businesswoman to watch is Marcia Kilgore. Famed for her premium Bliss spa brand, Kilgore didn’t create a diffusion line as such, but did diversify her beauty know-how into creating Soap & Glory. Following its launch in 2006, the philosophy that beauty needn’t cost an arm and a leg spoke straight to Target’s groovy clientele who bought into the fun design, but were clever enough not to want to spend a lot to get it. And the brand was soon quite rightly calling Target’s shelves “home” (source: www.teenvogue.com). The brand has recently gone into high street beauty retailers—such as Boots in the UK—and is proving popular with women perhaps drawn to the “Benefit-esque” design but maybe not able to pay the higher price. Furthermore, it has been well reported that Kilgore has walked away from Bliss to invest all her energies into Soap & Glory. And this begs the question: Is mainstream now the way to go?

Louise Galvin has successfully met the diffusion range challenge.

High-end or the High Street?

Very recently, beauty brands would either be in one camp or the other: high end or low end. They were split between being too mainstream to be considered for say Space NK, or not willing to devalue their brand by trading down to volume sales in supermarkets and high street beauty retailers. But what we are just starting to see is experts not choosing one or the other, but bridging the gap between premium and mainstream by creating new lines to target both with a value being placed on the mainstream that we have never seen before.

Louise Galvin, daughter of the eponymous Daniel and a celebrity colorist in her own right, has her Sacred Locks range on sale in Space NK (retailing at £22). In addition, she has also recently brought out a new diffusion range called Natural Locks—for less than £10—which has been snapped up by UK supermarkets Waitrose and Tesco. The challenge for any diffusion range, which is being successfully borne out by Louise Galvin, is trading down the price tag while keeping up the quality.

Diffusion by Design

Louise’s product philosophy is carbon neutral and this applies to both Sacred Locks and Natural Locks. The brands share integrity but look very different—and, most importantly, both are beautifully designed. Sacred Locks is quite futuristic looking and the silver closures and illustration speak of premium values, but it is not traditionally feminine or colorful. Generally, we are seeing beauty brands move away from the feminine, gentle and soothing to a new design aesthetic. It’s ironic actually that at a time when we were the most pampered (say a year or two ago), a feminine and gentle look was prevalent, whereas a new and more razor sharp look is maybe reflecting the state of the world today.

Soap & Glory has recently gone into high street beauty retailers—such as Boots in the UK.

Natural Locks is monotone and sleek, subtly branded but striking and, maybe, because it is more mainstream, equally attractive to a male or female consumer. Whereas Jo Wood has translated her existing brand design for Jo Wood Everyday, Louise Galvin has chosen not to make Natural Locks a more simplified version of Sacred Locks but treat them as two well-designed brands from the same family. And she is right in her approach. She has maintained product philosophy and brand essence and not made one design look more premium than the other, but invested in two equally strong and visually expressive routes.

The Shock of the New

Diffusion lines have come and gone throughout fashion’s history—and are starting to appear again—but this is a relatively new breakthrough for the beauty market. Recession will radically change what we’ve known. But what we also need to realize and embrace is that recession actually gives us good reason to radically change the aesthetic of our brands and for this to be accepted. There is no status quo and brands need to embrace this mindset.

Even if they do not go down the diffusion route, beauty brands should potentially look at visual changes they can make to their brand. Creativity breeds inspiration and, in an uncertain future, the best way for brands to express new thoughts and create futures for their brands is through design. And these are not just our sentiments. This is a message that has been echoed and reinforced by the brand powerhouse that is Miuccia Prada, and as recently quoted in WWD: “The designer is feeling inspired by the downturn…Crisis always pushes you to do better.”

It’s about influencing through the shock of the new and using design as a catalyst for change and future commercial effectiveness.

About the Author
Jonathan Ford is creative partner of Pearlfisher, a future-focused design
consultancy in New York and London. [email protected].