Ahead of her live talks at the In-Cosmetics Global show in April, we spoke to Euromonitor International’s consultant for beauty and consumer health Emilie Hood about whether innovation is slowing, the needs of Gen Z beauty shoppers and whether TikTok-driven beauty is here to stay.
Cosmetics Design-Europe (CDE): You’ll be speaking about innovation in beauty and personal care at In-Cosmetics Global this year. What kinds of things will you discuss?
Emilie Hood (EH): We will be going through the state of innovation in beauty and personal care through the lenses of renovation, innovation and disruption. We will be using Euromonitor’s Innovation tool to look at the themes in new launches and contextualising why they are the focus areas for companies.
In addition, we will look at companies and products that are changing the industry through innovation and give predictions as to what to expect in the coming years.
CDE: Do you think there is a lack of innovation in recent years in the EU market because of tighter regulations?
EH: There has been a slowdown in the amount of innovation in the EU and I think tighter regulations are a contributing factor for that.
It goes without saying that making it more difficult to enter markets (whether inside or outside of the EU) will deter companies from launching new products at increased costs, which is made even more of an issue when the global economy is so unstable.
Companies have been risk-adverse while they try to find their footing again post Covid-19, and we are only just seeing the impacts of that starting to wear off. In the next couple of years, I think we will start to see companies focusing on innovation and M&A again as their updated efforts start to take shape.
CDE: You will also talk about the Gen Z beauty consumer. What’s different about them in comparison to previous generations?
EH: Gen-Z are a lot more spontaneous than older generations, favouring instant gratification and taking part in trends as opposed to being loyal to brands they have previously used.
They are willing to experiment with channels and will shop around to find a good deal rather than reverting to ‘traditional’ retailers. They are more experimental, enjoying new formats and styles of products, while still favouring natural colours and looks. They are socially motivated and want to buy from brands they agree with morally.
CDE: What categories do you think this generation is most interested in and why?
EH: Beauty categories are performing very well with Gen-Z consumers. They are very conscious of how they are perceived, with the reach of social media making them ever more self-aware. Skin care, hair care and colour cosmetics remain a focus as they chase aspirational goals.
Cream blushes and bronzers, lip stains and multipurpose products like balms, are performing well with Gen-Z as preferences are driven by TikTok trends and new product launches. They are enjoying colour-based trends eg cherry, strawberry, mocha makeup looks, often buying products whose packaging/scent/formulation matches their chosen aesthetic. For example, choosing a cherry scented fragrance and a cherry-coloured lip tint.
They are also investing in indie brands to stay ahead of the trend, while maintaining a loyalty to tried-and-true products especially in ‘essential’ categories like mascara when they don’t see the value for money in experimenting.
CDE: Do you think TikTok-driven beauty is here to stay?
EH: The impact of social media can’t be understated; for many Gen-Z consumers in Europe it is a key source of information and inspiration. TikTok has been particularly influential on the beauty industry, enabling consumers to find communities and influencers that align with their values, boosting brands that will resonate with them through the algorithm.
The platform has sped up the trend cycle in beauty with brands struggling to keep up with demand when products go viral, leading consumers to look for the next best thing. It has gamified the experience of finding dupes, boosting their popularity on top of the practical value-for-money appeal.
For those visiting the In-Cosmetics Global show in Amsterdam this April, Hood will give two live talks. One in the Marketing Trends Theatre at 10am on 8 April entitled Beauty Outlook: Innovation in Personal Care and in a second at 12.30om on 10 April entitled: Snapshot Europe: The Gen Z Beauty Consumer.
