At the recent in-cosmetics Global event in London, GlobalData presented its insights into how beauty innovation can help companies target younger consumers, and why brands should be getting wise to these opportunities.
Presenting the data, analyst Lia Neophytou said: “There are 2.4bn millennials globally, which is close to one third of the global population.”
This, the analyst asserted, makes them an important age cohort within several major economies across the world, including the US, the UK, Russia, China, India, Brazil, South Africa and Australia.
Neophytou noted that digital is key when it comes to millennials: according to GlobalData, 64% find it important to be active on social media.
As a consumer group, the majority of millennials are image conscious and seek out novel experiences: 87% think looks/appearance in general is important, 60% prefer to be unique and stand out from the crowd, and 59% find trying new experiences more exciting than trying new products.
Four key innovation opportunities
Neophytou explained that GlobalData has identified four key innovation opportunities that brands within beauty could explore for tackling millennials.
- Community influence
- Healthy lifestyles
- ‘Make it smart’
- Male beauty
Community: digital influence
In terms of community influence, the firm notes that 63% of millennial consumers globally are more likely to trust blogger/user reviews over brand reviews.
The firm also found that the percentage of millennials who are often/always influenced by social media and video blogs when purchasing beauty/grooming products is well above average: 39% are influenced by social media compared with an average of 27%, and 36% are influenced by video blogs compared with 25% on average.
GlobalData recommends that brands take note of the high numbers of millennials engaged in healthy living and wellbeing activities: 89% of millennials consider eating healthily to be important in creating a feeling of wellbeing, while 34% say they exercise several times a week.
In practice, the firm suggests brands can respond to this with product launches tapping into the trend for makeup that stays put and protects from the elements.
Make it smart
“Inspired by digitally native millennials, the beauty industry is embracing the internet of things,” Neophytou asserted.
With 69% of millennials are interested in smartphone connected electronic tools and beauty devices, the firm notes, smart beauty is a big opportunity for the industry.
Finally, the firm believes that men are a key target group within millennials to focus on. It notes that 72% of millennial men believe their looks and appearance are important or very important to them, with 44% believing that social media has made them more self-conscious of their appearance.
The industry is responding with ever more sophisticated male beauty items, the firm says. It highlights Sulwhasoo’s inner charging serum, and YesTo’s Natural Man Charcoal Mask as examples.