Beauty & Wellness Product Trends

Part
01
of three
Part
01

Beauty and Wellness Product Trends

Clean beauty, eco-friendly packaging, and personalization are trends that focus on companies in the beauty industry that are expanding their products to include wellness.

TRENDS THAT FOCUS ON THE EXPANSION OF BEAUTY PRODUCTS TO INCLUDE WELLNESS

1. CLEAN/NATURAL BEAUTY

OVERVIEW
  • Consumers of beauty products are becoming increasingly concerned with the health implications of the chemicals used by beauty brands. As such, there is a growing demand for natural/clean/safe products.
  • New beauty brands and retailers are also promoting natural products based on the messaging that regular products are dangerous.
  • Companies such as Johnson & Johnson and Wen faced lawsuits regarding the health impacts of their products. This development and many others led to the rise of clean brands, while significant/established brands are seeking oversight on the topic.
IMPACT ON THE BEAUTY INDUSTRY
  • The beauty industry has seen the launch of "dedicated e-boutiques and brick-and-mortars; entire product lines designed by and for eco-conscious product lovers yearning for performance without compromise; and even designated, green-leaf-decked shelves at major retailers like Target and Sephora."
  • Traditional beauty companies are becoming more transparent regarding their ingredients.
COMPANIES THAT ARE FOLLOWING THIS TREND
  • CVS stated that it would eradicate the use of harmful ingredients such as parabens from 600 of its products by 2019.
  • Target increased its natural beauty offerings in 2017.
  • In February 2018, "Unilever announced it was voluntarily disclosing the fragrance ingredients in its beauty and personal care brands like Dove, Axe, and Suave. Johnson & Johnson is doing the same for its baby care products."
  • 2. ECO-FRIENDLY PACKAGING

    OVERVIEW
    • With the rising awareness of the negative impact of waste on climate change, the ecosystem, and environment, consumers are paying more attention to product packaging when making purchase decisions.
    • "More than 120 billion units of packaging are produced every year by the global cosmetics industry, most of which are not recyclable."
    • A survey of UK and US consumers by Globalwebindex showed that the percentage of people willing to pay more for eco-friendly packaged products increased from 47% to 59% in seven years.
    • Some 42% disclosed that products packaged with recyclable and eco-friendly materials are essential to their shopping.
    IMPACT ON THE BEAUTY INDUSTRY
    COMPANIES THAT ARE FOLLOWING THIS TREND
    • Lush Cosmetics launched naked shops in Milan, Berlin, and Manchester, featuring "haircare, skincare, bath bombs, shower gels, and other beauty products without packaging in an effort to reduce plastic waste in the cosmetic industry."
    • Aether Beauty produced a vegan skincare palette using recyclable and zero-waste materials.
    • "Elate Cosmetics has been making refillable vegan and cruelty-free makeup."

    3. PERSONALIZATION

    OVERVIEW
    • Recently, consumers have shown a growing interest to be in control of their health and wellbeing. As such, they demand customized products and experiences that are tailored to their needs.
    • In the UK, "45% of adults indicated that they were interested in individualized skincare products created in a laboratory."
    IMPACT ON THE BEAUTY INDUSTRY
    • The production of customized skincare products increased global consumption by 22%.
    • Beauty companies are venturing into the tech/science industry to personalize their products to customers. They are personalizing advanced scientific methods.
    COMPANIES THAT ARE FOLLOWING THIS TREND
    • Clinique released a personalization technology called CliniqueiD which allows it to treat primary skin concerns of customers however they want.
    • Nectar allows consumers to produce soaps with their preferred fragrance in its stores.

    RESEARCH STRATEGY

    To provide trends of companies in the beauty industry that are expanding their products to include wellness, we researched news and media sites such as Forbes and Vox, among others, and found some useful information. We also looked at beauty and fashion sites and magazines such as Bazaar, Allure, The Good Trade, and Adweek. Since the requested trends are centered around wellness and green beauty, we searched for the same and found a precompiled list of green beauty trends from Allure. We then cross-referenced our findings with the trends provided by other sources and selected the ones that fulfilled all the criteria requested. We did not include a trend for the development of wellness centers because there was no information that highlighted it as a product expansion for beauty companies. As that is the primary focus of this report, we only included trends that fulfilled the same.
    Part
    02
    of three
    Part
    02

    Beauty and Wellness Corporate Product Trends

    Some trends involving beauty corporations offering wellness initiatives include the promotion of beauty from the inside, the use of green (healthy) ingredients in beauty products, etc. Other trends include partnership to provide wellness products and centers, health and wellness in non-conventional locations. These trends all base on “Responsible Beauty Initiative.” L’Oréal and several top players in the beauty industry are focused on accelerating and furthering ethical, social, and environmental issues. They intend to make significant progress in the entire beauty supply chain.

    BEAUTY FROM THE INSIDE

    • Some beauty corporations are offering wellness initiatives that promote beauty from the inside. These companies believe that beauty starts from inside the human body.
    • Industry players understand that the conversation on beauty is changing, and attentive organizations are already adjusting the way hey approach beauty the marketing of beauty products.
    • Many companies have decided to focus on the real stuff that matters and engage in “no manipulation.” Their corporate responsibility policies are resoled to get rid of touched up imagery and want to promote what is genuine.
    • In 2019, AmorePacific Group launched a beauty supplement brand known as CUBEME. CUBEME is the short form for Cube Managed by Eating Solution. It is a chewable medicine designed to infuse the dermis (i.e., the inner layers of the skin) with hyaluronic acid, collagen, as well as other plumping and skin-hydrating ingredients. CUBEME influences beauty by an initiative which fixes skin-health/dehydration issues.
    • AmorePacific Group is a corporation with a beauty sales revenue of $5.6 billion.
    • Unilever focuses on nutrition as well as mental resilience among its employee for their health and well-being. Through its Lamplighter program, Unilever has maintained a global employee mental health program since 2013. Unilever has an annual beauty sales revenue of $21.3 billion.
    • Unilever has a well-being zone at its office locations that stock free healthy snacks to boost the nutrition and health of workers.

    USE OF GREEN (HEALTHY) INGREDIENTS

    • Several beauty corporations are offering wellness initiatives by using only green ingredients to enhance health (wellness) and beauty of consumers at the same time.
    • Products such as parabens and sodium lauryl sulfate are chemicals often used in the beauty industry. However, green-beauty advocates believe they are unsafe and possibly carcinogenic (cancer-causing). Responsible companies have decided to promote green ingredients that do not pose any harm to their consumers.
    • L’Oréal, a French beauty brand, recently announced its acquisition of Logocos Naturkosmetik, a beauty brand known for vegan and organic (green) beauty products.
    • The Logocos Naturkosmetik partnership helps L’Oréal to benefit from two certified and authentic natural products with unique expertise relevant to the organic beauty market.
    • Procter & Gamble Co., has decided to commence the use of green products that contain natural ingredients to fight anti-aging.
    • In 2018, Procter & Gamble Co., a beauty product, went all-natural to depend on formulas that have roots in the intersection between nature and science.

    NON-CONVENTIONAL BEAUTY & WELLNESS LOCATIONS

    • Several beauty corporations are promoting wellness by initiating wellness activities and promoting beauty in non-conventional locations.
    • The annual beauty sales revenue of the Unilever corporation is $21.3 billion. Unilever promotes employee engagement in wellness activities by providing a “wellbeing zone” (a quiet room) where employees can rest and meditate to improve mindfulness, and recovery at the workplace.
    • Unilever’s well-being zone has four sections which serve to promote various components of health. The “Connection Bridge” is a location where employees go to get comfortable and engage in conversations.
    • Another section of the well-being zone has healthy snacks for workers. Unilever also maintains a “Movement Zone” where activities such as yoga, massages, and stretching take place. The well-being zone also has an entirely quiet area for employees who need to take a break and rest.
    • In 2014, Unilever created its four-pillar well-being framework to solve the physical, mental, and emotional challenges of its employees and improve their well-being (health).
    • Lamplighter is a comprehensive program to improve Unilever employee health. In 2018, the program covered 84 countries and 65,000 employees.
    • Since 2009, Kiehl’s a business organization owned by L’Oréal has provided beauty and fitness products in locker rooms for athletes.
    • A recent study conducted by the L’Oréal Foundation, covering 1,166 people affected by cancer revealed the positive effect of beauty and wellness therapies on patients’ quality of life. L’Oréal is a corporation with a beauty sales of $27.2 billion.
    • L’Oréal Foundation has taken action to introduce its “beauty and wellness therapies” to healthcare facilities and various city center facilities. Many people will have access to these products.
    • Statistics reveal that between 2004 and 2017, cancer-related incidence caused by cosmetics accounted for 41% of all reported adverse cases related to cosmetics. There were 4427 individual instances of cancer caused by a cosmetic product. Several cosmetic companies, including L’Oréal, are being responsible by reaching out to many cancer patients with therapies.
    • As of 2017, the L’Oréal Foundation offered wellness products and services at hospital facilities and associations, including Unicancer, and the Rose Association. L’Oreal has facilitated beauty and wellness therapies within hospitals and other facilities at no charge to over 13 500 people affected with cancer in France.

    PARTNERSHIP TO OFFER WELLNESS SHOPS, PRODUCTS & CENTERS

    • In 2018, the Los Angeles Times reported that fitness, wellness, and beauty brands are partnering together “in new ways” and providing solutions beyond basic workouts.
    • For Equinox, the decision to fuse fitness and beauty started taking shape about a decade ago. The club went into partnership with Kiehl’s in 2009 (a business organization owned by L’Oréal-owned) to provide its products in locker rooms.
    • Beauty corporations are partnering with wellness shops and stores to offer/promote initiatives that enhance both beauty and wellness in their consumers.
    • In 2018, L’Oreal, a beauty product, went into partnership with Group Casino to provide beauty products, food, etc., in healthcare/medicine stores. L’Oréal is known for skincare beauty products.
    • Procter & Gamble Co., which owns skincare brands including Olay and SK-II, is going all-natural, by acquiring Snowberry, a New Zealand skincare company. Snowberry specializes in products that contain natural ingredients to fight anti-aging.
    • In 2018, Procter & Gamble Co., a beauty product, decided to go all-natural and acquired/partnered with Snowberry. Snowberry is a New Zealand skincare organization that specializes in natural ingredients used to fight anti-aging.
    • The spokeswoman of Procter & Gamble Co., Kelly Vanasse, revealed that Snowberry would bring some unique formulas to its collection of skincare brands. These formulas have roots in the intersection between nature and science. The products of Snowberry are currently sold mainly in New Zealand, China, and the United States.
    • As of 2017, the L’Oréal Foundation developed a partnership with several hospital facilities and associations, including Unicancer, and the Rose Association. With the help of L’Oreal, 48 cancer facilities gave access to beauty and wellness therapies at no charge, helping over 13 500 people affected with cancer in France.

    RESEARCH STRATEGY

    The research included resources of the Los Angeles Times, Resound Marketing, etc. We investigated beauty corporations offering wellness initiatives. We also reviewed how companies are shifting from traditional beauty/bath/body care towards “green beauty” and the rise of unexpected beauty retailers and wellness centers. The Los Angeles Times, Resound Marketing, and other publications revealed trends relevant to beauty corporations offering wellness initiatives. For inclusion, we selected trends that appeared across a plethora of resources. We have verified that two to three corporations have made the identified moves.

    Part
    03
    of three
    Part
    03

    Beauty and Wellness Trends

    Some trends that are impacting the wellness/beauty space globally are clean beauty products, cannabinoids, spiritual-based products and services, personalized beauty and wellness care, and microbiome.

    CLEAN BEAUTY PRODUCTS

    • According to Square, one of the 2018 trends to watch is clean beauty products.
    • In 2015, it was estimated that by 2017, 35% of consumers would show interest in natural and green beauty products.
    • According to a 2017 survey conducted by Green Beauty Barometer, out of 1,293 American female respondents, those aged 35-54 were increasingly going green and 69% of this particular group stated that buying clean beauty products is essential, which represented a 10% rise over the previous year.
    • As stated by Kari Gran, "skin care and hair care are the most in-demand, with more women who use skincare, haircare, makeup, sunscreen, fragrance, and nail care claiming it is important that they purchase all-natural skincare and hair care products."
    • Companies such as Goop, BeautyCounter, and Follain are among the industry players in clean beauty products. Goop already earned between $15-$20 million in revenue during its product expansion in 2016, marketing clean vitamins to nontoxic lipstick.
    • Both the Canadian and European governments are some of the governments promoting clean beauty products.
    • In 2018, it was reported that beauty brands are beginning to produce products without sulfates, PEG, and parabens. It is expected that in 2019, more and more brands will take part in this trend.
    • One of the most notable trends within the beauty space is skincare from the earth. Industry consultant Jennifer Hessel states, "The skin category continues to explode with more natural, clean and even food-standard products. There is a perception that skin and mind are linked and there's a connection between skin care and wellness. It’s the opposite direction from where makeup is going."

    CANNABINOIDS

    • As reported by Well and Good, the adoption of CBD began in 2018 within the beauty and wellness industry, as well as the food industry.
    • With the passage of the Farm Bill in the United States, hemp-based CBD cultivation is anticipated to become legal throughout the nation.
    • According to industry experts, this trend will allow scientist, retailers, and manufacturers to work comfortably with the plant.
    • The CBD industry in the region is projected to reach a market value of approximately $22 billion by the year 2022.
    • As listed by Greatist, CBD oil is being considered as a cure for many ailments. Evidence indicates that it can assist with treating pain, depression, PTSD, and anxiety.
    • Miss Grass and Prima are two of beauty and wellness entities offering CDB products in the market.
    • In the United Kingdom, CBD and THC are recognized by industry experts as it is utilized not only in the beauty and wellness industry but also in fashion, bags, packaging, paper, etc. There are numerous companies driving the trend in the United Kingdom like Living Planet, Cannabidiol, CBD One, Nature's Plus, and Charlotte's Web.

    SPIRITUAL-BASED PRODUCT/SERVICES

    PERSONALIZED BEAUTY AND WELLNESS CARE

    MICROBIOME


    Research Strategy:

    To identify some examples of trends that are impacting the wellness/beauty space, we first searched for pre-compiled information from various, relevant sources. Since this topic is scarcely popular across the globe, the information we came across was mostly available publicly. We applied some metrics/basis as to why we considered them as a trend in the global beauty and wellness industry, which goes as follows:
    • The trends should be a change/development that is newly adopted globally by the industry.
    • There should be numerous companies participating in this trend.
    • It should be acknowledged, predicted, and estimated by industry experts worldwide.

    After determining some trends, we provided an overview of what the trend consists of, how the trend is impacting and changing both the beauty and wellness industries, and examples of companies that are driving the trend.
    Sources
    Sources

    From Part 02
    Quotes
    • "In response to this finding, the L’Oréal Foundation is taking action to bring its beauty and wellness therapies to hospitals and to different city center facilities, in order to enable as many people as possible (in France, for the moment) to access them. In 2017, thanks to the partnerships developed by the L’Oréal Foundation with hospital facilities, such as Unicancer, and associations, like the Rose Association, 48 cancer facilities offered beauty and wellness therapy free of charge, helping 13 500 people suffering from cancer in France."