Editorial

The Pulse of the Industry

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By: Jamie Matusow

Editor-in-Chief

As this issue goes into production, mid-year data on the beauty industry has been flooding in, and it’s been quite positive. Here’s a quick rundown:

• According to The NPD Group, in the second quarter of 2014, sales of U.S. prestige beauty products hit $2.5 billion, a 5% increase from Q2 2013, with sales growth across each of the three primary categories: Makeup, led by lip and eye products, was the greatest achiever, up 8% to $1 billion; Skincare rose 2% to $844 million; and Fragrance grew 5%, reaching over $632 million.

• In the first six months of this year, Mintel says it has seen a tremendous increase in new product launches in the whole of beauty care categories globally. Almost 60% of the launches are totally new products followed by range extensions (25%). The top three categories leading the new launches are color cosmetics, skincare and hair care.

• Honing in on the makeup category, research from Mintel says the lip cosmetics market in the U.S. will reach $1.4 billion this year—and has posted gains of nearly 9%. This is a “comeback” story, because between 2011 and 2013, the lip segment declined 2%.

• Hair care and skincare were also cited as bright spots by Euromonitor International, which reported global sales of the skincare market at over $107 billion in 2013 and the hair care market at $77 billion. Both categories are expected to grow more than 20% between 2014 and 2018.

In many cases, increased beauty sales can be attributed to the growing influence of sample size products, which allow consumers to try before they buy full sizes—or allow for single- or double-dose applications. There are many other uses and benefits provided by mini products as well, as you’ll see in this issue, and online at BeautyPackaging.com.

With speed-to-market ever more critical in launching beauty products, many brands are choosing to manufacture close to market in the USA. On page 18, we look into some of the advantages domestic suppliers offer.

No doubt about it. The pulse of the beauty industry is strong—and with Beauty Packaging’s staff-written articles and in-depth coverage, you won’t miss a beat.

We hope you enjoy this issue.

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