At the ADF&PCD conference in Manhattan, Henry Renella, Senior VP Global Package Development for The Estée Lauder Companies (and a member of Beauty Packaging’s Board of Advisors), commented on how the industry is changing very rapidly. “Never before have we seen anything like it,” he said.

In Prestige, Renella noted: “The whole category is turning upside down.” He explained that it used to be that if a brand couldn’t get into a department store, “that was it.” Fast forward and he says, “Now you need basically just a dollar and a dream. You need an idea, a game plan and a supplier to get into the business.” 

A look into our Top 20 Global Beauty Companies (page 44) provides insight into how the industry is handling the disruption. Leading players are backing up their tried-and-true portfolio holdings with indie brands that have been catapulted into the spotlight, especially those with thousands of social media followers or cult status. The trend has created a flurry of discussion and analysis to determine what the next “big brand” and perhaps, coveted acquisition, will be.

Arushi Thakur, a cosmetics and toiletry researcher at Technavio, says, “The three major players, namely, P&G, L’Oréal, and Unilever, dominate the mass beauty care market in the U.S. in terms of the wide range of product lines and top-ranked beauty brands.”

However, says Thakur, “these three players are gradually losing market share to the rising niche brands and small players of the mass beauty category, particularly as the demand for organic and herbal beauty products grows.”

With the simultaneous rise in prestige sales there’s also evidence that many consumers are choosing to exchange more for better, quantity for quality.

Inside Indies

In addition to the Top 20 rundown and an update on the latest acquisitions, this issue sparks further interest in up-and-comers with a feature story on Indie Brands in the limelight (please see page 22), along with a discussion and prediction by industry leaders as to where this path may lead.

As we commence the voting for our annual feature “Beauty Company of the Year: Excellence in Packaging,” please give us a shout as to your favorite iconic and indie brands.

We hope you enjoy this issue,