Ethnic Hair, Skin, and Cosmetics Products in the U.S., 8th Edition
There is good reason to be optimistic about ethnic hair, skin, and cosmetics products in the United States, and for marketers to be ramping up in new products and marketing campaigns now rather than later. With the rapid expansion of racial and ethnic minorities in the U.S. over the next ten years, ethnic health and beauty care product (EHBC) marketers have a fast growing target market. Hispanic, African-American, and Asian population growth is far outpacing that of whites, with minorities expected to collectively be the majority of the U.S. population as soon as 2042.
Compared to many consumer packaged goods categories, EHBC did remarkably well during the recession, continuing to chart steady growth even though U.S. minorities were especially hard hit by the economic downturn, including in terms of high unemployment rates. The loyalty of the minority populations to their HBC products kept the market on track to resume impressive growth as soon as economic conditions began to improve.
During 2010, the EHBC market posted growth of nearly 13%, and during 2011 the market continued to advance at a healthy pace to reach almost $3 billion.
As more and more EHBC products are introduced, they are meeting the needs of people of color that had previously been either ignored or mis-marketed to. As of 2012, market drivers include a desire for more natural products; greater participation in HBC categories on the part of men overall, but especially men of color; and the surge of innovative, better quality products entering the market. At the same time, ethnic consumers still spend vastly more on general market HBC products than they do on targeted ones, a discrepancy that highlights the opportunity for EHBC marketers to dramatically expand their reach.
This completely updated Packaged Facts report examines the market for EHBC products within the context of broader HBC trends in new product development and marketing, segmenting EHBC into three categories: hair care, skin care, and color cosmetics. Fully exposing the driving forces behind this market, the report analyzes market size and drivers, new product introductions, and competitive strategies, as well as the social and lifestyle patterns shaping the fortunes of ethnic health and beauty care products. Marketer and brand profiles specific to each of the three categories help to define the relationship between consumer attitudes and new product development and marketing strategy.
Compared to many consumer packaged goods categories, EHBC did remarkably well during the recession, continuing to chart steady growth even though U.S. minorities were especially hard hit by the economic downturn, including in terms of high unemployment rates. The loyalty of the minority populations to their HBC products kept the market on track to resume impressive growth as soon as economic conditions began to improve.
During 2010, the EHBC market posted growth of nearly 13%, and during 2011 the market continued to advance at a healthy pace to reach almost $3 billion.
As more and more EHBC products are introduced, they are meeting the needs of people of color that had previously been either ignored or mis-marketed to. As of 2012, market drivers include a desire for more natural products; greater participation in HBC categories on the part of men overall, but especially men of color; and the surge of innovative, better quality products entering the market. At the same time, ethnic consumers still spend vastly more on general market HBC products than they do on targeted ones, a discrepancy that highlights the opportunity for EHBC marketers to dramatically expand their reach.
This completely updated Packaged Facts report examines the market for EHBC products within the context of broader HBC trends in new product development and marketing, segmenting EHBC into three categories: hair care, skin care, and color cosmetics. Fully exposing the driving forces behind this market, the report analyzes market size and drivers, new product introductions, and competitive strategies, as well as the social and lifestyle patterns shaping the fortunes of ethnic health and beauty care products. Marketer and brand profiles specific to each of the three categories help to define the relationship between consumer attitudes and new product development and marketing strategy.
CHAPTER 1: EXECUTIVE SUMMARY
Scope of Report
The African-American Tilt
Terminology
Three Product Categories: Hair Care, Color Cosmetics, and Skin Care
Overlap of EHBC and General-Market HBC Use
A Note on Sales Data
Report Methodology
Ethnic HBC Sales Near $3 Billion in 2011
Hair Care Category Leads at Retail
Table 1-1: U.S. Retail Sales of Ethnic HBC Products by Category, 2010 vs. 2011 (in millions of dollars)
B&Bs, Mass Retailers Account for 75% of Sales
Figure 1-1: Share of U.S. Retail Sales of Ethnic HBC Products by Retail Channel, 2011 (percent)
Ethnic Population Boom = Opportunity for EHBC Marketers
Table 1-2: Projection of U.S. Population by Race and Hispanic Origin, 2010 vs. 2020 (in millions)
Varied Groups a Challenge to EHBC Marketing
Ethnic Hair Care Marketers
Ethnic Color Cosmetics Marketers
Ethnic Skin Care Marketers
Hispanic, African-American Populations Retain Youthful Vigor
Tech Usage High Among Ethnic Minorities
Natural and Organic Hold Promise
Environmental Concerns a Top Priority
EHBC Products in the “Mansome” Era
Minorities Hopeful About Financial Conditions
Table 1-3: Selected Economy-Related Psychographics: U.S.
Minority Consumers, 2011 (index)
Market Projection: Sales to Near $4 Billion in 2016
Table 1-4: Projected U.S. Retail Sales of Ethnic HBC Products, 2011-2016 (in millions of dollars)
CHAPTER 2: MARKET OVERVIEW
Scope of Report
The African-American Tilt
Terminology
Three Product Categories: Hair Care, Color Cosmetics, and Skin Care
Overlap of EHBC and General-Market HBC Use
A Note on Sales Data
Market Size, Growth, & Composition
Ethnic HBC Sales Near $3 Billion in 2011
Hair Care Category Leads at Retail
Table 2-1: U.S. Retail Sales of Ethnic HBC Products, 2007-2011 (in millions of dollars)
Table 2-2: U.S. Retail Sales of Ethnic HBC Products byCategory, 2010 vs. 2011 (in millions of dollars)
B&Bs, Mass Retailers Account for 75% of Sales
Figure 2-1: Share of U.S. Retail Sales of Ethnic HBC Productsby Retail Channel, 2011 (percent)
Natural/Organic and E-tailing/Mobile Sales Channels Hold BigPotential
Spending on General HBC Products Eclipses EHBC Sales
Table 2-3: U.S. Minority Purchases of General-Market HBCProducts vs. EHBC Products, 2007-2011 (in millions ofdollars)
Market Outlook
Ethnic Population Boom = Opportunity for EHBC Marketers
Hispanics
African-Americans
Asians
Other Groups
Table 2-4: Projection of U.S. Population by Race and Hispanic Origin, 2010 vs. 2020 (in millions)
Varied Groups a Challenge to EHBC Marketing
Assimilation Not a Given Amidst “Cultural Melting Pot” Ideals
Concepts of Halal Have Cross-over Potential
U.S. Ethnic Spending Power Rivals That of Small Nations
Personal Care Prices Defy Inflation
Table 2-5: Consumer Price Index for All Items vs. Personal Care Items: 2001-2011
Rise in Cosmetic Surgeries Among Ethnic Consumers A Positive Signal for HBC Spending
Hispanic, African-American Populations Retain Youthful Vigor
Tech Usage High Among Ethnic Minorities
Table 2-6: Opinions on Internet and Mobile Technology by Race or Ethnicity, 2011 (percent)
Natural and Organic Hold Promise
What Is Natural?
More Retailers Carrying Natural EHBC Products
Illustration 2-1: Target Announcement for CARA B Naturally
Environmental Concerns a Top Priority
Sustainability Crucial to Consumer Good Will
“Green” Packaging
EHBC Products in the “Mansome” Era
Illustration 2-2: Still from the movie Mansome
Latinos, Asian Men Drive Growth in Men’s Grooming
Illustration 2-3: Andrés Guardado Degree Ad
EHBC Market to Hit $3.9 Billion in 2016
Table 2-7: Projected U.S. Retail Sales of Ethnic HBC Products, 2011-2016 (in millions of dollars)
Minority HBC Consumer Overview
Experian Simmons Consumer Survey Data
U.S. Minorities to Number 146 Million in 2020
Hispanics Will Number 66 Million by 2020
African-American, Asian Populations Continue to Grow
The Overall Gauge
Minorities Skew as Green—or Greener—Than Whites
Minorities Seek Organic/Natural HBC Products
Minorities Hopeful About Financial Conditions
Sparing No Expense to Look Younger
Women of Color Shop JC Penney, Discount Stores
Minority Shoppers Favor Sav-On, Osco
Table 2-8: U.S. Population Projections by Race, Gender, and Hispanic Origin, 2010-2020 (in millions)
Table 2-9: U.S. Population by Race or Ethnicity, 2011 (in millions of adults)
Table 2-10: Selected Sustainability Related Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-11: Level of Agreement with Statement, “When I shop for health and beauty care products, I look for organic/natural items,” by Race/Ethnicity: 2011 (index)
Table 2-12: Selected Economy-Related Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-13: Selected Health & Beauty Shopping Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-14: Cosmetics Purchasing Patterns at Selected Department Stores and Discount Stores: U.S. Women Minority Consumers, 2011 (index)
Table 2-15a: Drugstore Chains Shopped During Past Four Weeks: U.S. Consumers by Race or Ethnicity, 2011 (index)
Table 2-15b: Drugstore Chains Shopped During Past Four Weeks: U.S. Consumers by Race or Ethnicity, 2011 (index)
CHAPTER 3: ETHNIC HAIR CARE
The Products
Category Definition
Five Product Segments
Characteristics of Ethnic Hair
African-American Hair
Hispanic Hair
Asian Hair
Market Size, Growth, and Composition
Ethnic Hair Care Sales Near $1.6 Billion in 2011
Styling Products Account for Largest Category Share
Table 3-1: U.S. Retail Sales of Ethnic Hair Care Products by Segment, 2010 vs. 2011 (in millions of dollars)
Growth Driven by Innovation, Expansion
Sales by Retail Channel
Table 3-2: Share of U.S. Retail Sales of Ethnic Hair Care Products: By Retail Channel, 2009 vs. 2011 (percent and in millions of dollars)
The Marketers
Company Types and Mass-Market Leaders
Marketer and Brand Leaders by Segment
“Ethnic-Appropriate” Products an Important Market Component
B&Bs Offer Variety, Pop Prestige Positions on Function
Specialization the Norm for Ethnic Hair Marketers
Few Products Specifically Target Hispanics or Asians
Table of Ethnic Hair Care Marketers and Brands
Table 3-3: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Hair Care Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 3-4: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Hair Care Products by Segment, 2010-2011 (in thousands of dollars)
Table 3-5: Selected Ethnic Hair Care Marketers and Their Brands, 2012
Marketing and New Product Trends
Going Natural
Michelle Obama and the Natural Wave
Sesame Street Encourages Children to Love Their Natural Hair
Quest for Natural Ingredients a Related Trend
Keratin Treatments
Illustration 3-1: Joico RevitaLuxe Bio-Advanced Restorative Treatment
At-Home Straightening Systems: An Alternative to Relaxers
Illustration 3-2: John Frieda Frizz-Ease 3-Day Straight
Illustration 3-3: Suave Professionals Keratin Infusion Line
Illustration 3-4: SoftSheen-Carson Optimum Advanced Keratin Relaxer
Botanical Oils
Argan Oil
Illustration 3-5: Organix Moroccan Argan Oil Line
Other Oils
Antioxidant Content: Omega 3 and 6
Illustration 3-6: L’Oréal EverCrème Line
Encouraging Hair Growth
Illustration 3-7: DOO GRO Mega Thick and Mega Long
Men’s Hair Care
Illustration 3-8: Moco de Gorila
Table 3-6: Hair Product Usage Among U.S. Men by Product Segment and by Race/Ethnicity, 2011 (index)
Cross-over Brands
Illustration 3-9: Laila Ali Professional Repairing Hair & Scalp Conditioner
Illustration 3-10: The Faces of Carol's Daughter’s Diversity Campaign
Marketer and Brand Profiles
Marketer Profile: Unilever
Motions: Filling a Crucial Need
Illustration 3-11: Motions Naturally You! Product Line
Brand Profile: Ojon
Mainstreaming Relaunch
Illustration 3-12: Ojon Damage Reverse Ritual
Brand Profile: Mixed Chicks
Illustration 3-13: Mixed Chicks Deep Conditioner
Battling Sally Beauty Supply’s “Mixed Silk”
Consumers of Ethnic Hair Care Products
Experian Simmons Consumer Survey Data
Hair Regrowth, Removal Products Popular Among Minorities
Shampoo Use Nearly Universal Among Minority Consumers
Asians, African-Americans Use Conditioner
Hispanics Choose Hair Styling Gel, Mousse
Hispanics, Asians Color Hair; African-Americans Favor Relaxers
Minority Use of Hair Removers, Hair Growth Products High
Shampoo Use Remains Steady, Styling Product Use Drops
Table 3-7: U.S. Consumer Use of Hair Care Products by Race or Ethnicity, 2011 (index)
Table 3-8: U.S. Consumer Use of Shampoo by Race or Ethnicity, 2011 (percent)
Table 3-9: U.S. Consumer Use of Hair Conditioning Products by Race or Ethnicity, 2011 (percent)
Table 3-10: U.S. Consumer Use of Hair Styling Products by Race or Ethnicity, 2011 (percent)
Table 3-11: U.S. Consumer Use of Hair Coloring Products by Race or Ethnicity, 2011 (percent)
Table 3-12: U.S. Consumer Use of Home Permanents and Relaxers by Race or Ethnicity, 2011 (percent)
Table 3-13: U.S. Consumer Use of Hair Removal Products by Race or Ethnicity, 2011 (percent)
Table 3-14: U.S. Consumer Use of Hair Regrowth Products by Race or Ethnicity, 2011 (percent)
Table 3-15: U.S. Minority Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-16: U.S. Hispanic Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-17: U.S. African-American Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-18: U.S. Asian Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
CHAPTER 4: ETHNIC COLOR COSMETICS
The Products
Category Definition
Four Ethnic Makeup Segments: Eye, Lip, Face and Nail
Eye Makeup
Lip Color
Facial Makeup
Nail Products
Color Balance, Undertones Important in Makeup Choice
Ethnic Skin Has Other Special Needs
Ethnic Makeup a Recent Phenomenon
Hispanic Market Holds Great Promise
Asian-Specific Makeup Still Rare
Market Size, Growth, and Composition
Ethnic Color Cosmetics Sales Surpass $1 Billion in 2011
Table 4-1: U.S. Retail Sales of Ethnic Color Cosmetics by Segment, 2010 vs. 2011 (in millions)
Eye Color the Largest Segment
Table 4-2: Share of U.S. Retail Sales of Ethnic Color Cosmetics by Segment, 2010 vs. 2011 (percent)
Table 4-3: Mass-Market Share of Ethnic Makeup Product Sales by Segment and Sub-segment, 2011 (percent)
Ethnic Makeup Sales by Channel
Table 4-4: Share of U.S. Retail Sales of Ethnic Color Cosmetics by Retail Channel, 2009 vs. 2011 (in millions of dollars)
Financial Worries Have Minimal Impact on Sales
Table 4-5a: Cosmetics Use Among U.S. Minority Women Indexed by Financial Event: Past Twelve Months, 2011
Table 4-5b: Cosmetics Use Among U.S. Minority Women Indexed by Financial Event: Past Twelve Months, 2011
Ethnic-Specific vs. Ethnic-Appropriate Makeup
Both Upscale and Value-Positioning Drive Sales
The Marketers
Six Major Players in Mass Channels
Table 4-6: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Color Cosmetics Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 4-7: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Color Cosmetics Products by Segment, 2010-2011 (in thousands of dollars)
Majority of Ethnic Makeup Marketers Are Specialists
Table of Marketers and Brands
Table 4-8: Selected Ethnic Makeup Marketers and Their Representative Brands, 2012
Marketing and New Product Trends
Finding the Right Shade
Illustration 4-1: KISS New York Second Skin Moisturizing Foundation
Illustration 4-2: CoverGirl Queen Lasting Matte Pressed Powder
Color, Color and More Color
Illustration 4-3: NARS Cosmetics Thakoon-Inspired Nail Color
Illustration 4-4: Milani Eye Shadow Palette
Illustration 4-5: Milani Shadow Eyez
Botanical Oils
Illustration 4-6: KISS New York Maxi Shine Lipstick
Exotic Ingredients
Illustration 4-7: BABOR Deluxe Foundation
Mineral Makeup
Illustration 4-8: Black Opal Mineral Brilliance Eyeshadow Mosaic
Marketer and Brand Profiles
Fashion Fair, LLC
Illustration 4-9: Fashion Fair's 'Chocolate Seduction' Line
Ada Cosmetics
“No One Left Out”
Makeup That’s Good For You
Shiseido/Bare Escentuals
Acquisition of Bare Escentuals
A Challenging Partnership
Consumers of Ethnic Color Cosmetics
Experian Simmons Consumer Survey Data
Minorities Skew Low for Blusher/Bronzer, Foundation Use Lip Color Most Popular Makeup Choice
Fewer Minority Women Use Eye Makeup
Facial Makeup Worn by Fewer Minority Women
Lipstick Use Falters, Eye Makeup Use Soars
Table 4-9: Makeup Usage Among U.S. Women by Race or Ethnicity, 2011 (index)
Table 4-10: U.S. Women’s Use of Lip Color by Race or Ethnicity, 2011 (percent)
Table 4-11: U.S. Women’s Use of Nail Products by Race or Ethnicity, 2011 (percent)
Table 4-12: U.S. Women’s Use of Eye Makeup by Race or Ethnicity, 2011 (percent)
Table 4-13: U.S. Women’s Use of Facial Makeup by Race or Ethnicity, 2011 (percent)
Table 4-14: Makeup Usage Trends Among U.S. Minority Women by Product Type, 2006-2011 (percent)
Table 4-15: Makeup Usage Trends Among U.S. Hispanic Women by Product Type, 2006-2011 (percent)
Table 4-16: Makeup Usage Trends Among U.S. African- American Women by Product Type, 2006-2011 (percent)
Table 4-17: Makeup Usage Trends Among U.S. Asian Women by Product Type, 2006-2011 (percent)
CHAPTER 5: ETHNIC SKIN CARE
The Products
Category Definition
Four Ethnic Skin Care Segments
African-Americans’ Skin Care Needs
Acne Keloidalis Nuchae
Ashiness
Keloid
Melanin Imbalances
Oiliness
Razor Bumps
Vitiligo
Asian Skin “Delicacy”
Cosmetics vs. Drugs
Is It Really Safe?
Industry Representation
Ten Controversial Ingredients
Artificial Color
Diazolidinyl Urea
Diethanolamine (DEA)
Hydroquinone
Imidazolidinyl Urea
Parabens
Petroleum, Petrolatum
Phthalates
Propylene Glycol
Sodium Lauryl/Laureth Sulfate
Market Size, Growth, and Composition
Ethnic Skin Care Sales Rise to $232 Million in 2011
Table 5-1: U.S. Retail Sales of Ethnic Skin Care Products by Segment, 2010 vs. 2011 (in millions of dollars)
Hand & Body Lotion Is Largest Segment
Table 5-2: Share of U.S. Retail Sales of Ethnic Skin Care Products by Segment, 2010 vs. 2011 (percent)
Share of Sales by Retail Channel
Table 5-3: Share of U.S. Retail Sales of Ethnic Skin Care Products by Retail Channel, 2009 vs. 2011 (in millions of dollars)
Ethnic Consumers Struggle to Find Products That Fit
Skin Care Category Affected by Overall HBC Trends
The Dark/Light Divide
Many Still Seek Lighter Skin
The Marketers
Hundreds of Participants, Few Majors
Segment Leaders
Table 5-4: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Skin Care Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 5-5: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Skin Care Products by Segment, 2010-2011 (in thousands of dollars)
“Ethnic-Appropriate” Products an Important Market Component
Specialists the Norm in Ethnic Skin Care Market
Hispanic-Focused Marketers and Brands
Asian Consumer-Focused Marketers and Brands
Table of Ethnic Skin Care Marketers and Brands
Table 5-6: Selected Ethnic Skin Care Marketers and Their Brands, 2012
Marketing and New Product Trends
Shea Butter: Tried and True
Illustration 5-1: Dr. Miracle's Tingling Facial Toner
General HBC Marketers Expand Lines with Shea Butter Formulations
Illustration 5-2: Olay In-shower Body Lotion
Illustration 5-3: Curel Skin Nourishing Deep-Conditioning Lotion
Reinventing Skin Lighteners
Illustration 5-4: Dr. Jart+ BB Creams
Natural and Organic Products
Plant Power
Illustration 5-5: Habibi Body Balm
The More Exotic the Better
Illustration 5-6: Josie Maran Argan Day + Night Eye Cream
Bumps Be Gone
Illustration 5-7: Barc Cutting Up (Skin Saving) Shave Cream
Just for Children
Illustration 5-8: Cara B Body Lotion
Marketer and Brand Profiles
Carol’s Daughter, Inc.
Wide Selection of Bath and Body Products
Reentry into Facial Care
Illustration 5-9: Carol's Daughter Acai Hydrating Face Butter
Illustration 5-10: Carol's Daughter Açai Product Line Ad Featuring Cassie
Newhall Labs: La Bella
Illustration 5-11: La Bella Cosmetic Gel with Snail Extract
Courting Hispanic Youth
Laila Ali
Organic and Sustainable
Illustration 5-12: Laila Ali Derm Essentials Line
Consumers of Ethnic Skin Care Products
Experian Simmons Consumer Survey Data
Minority Skew High in Skin Care Product Usage
Use of Skin Cleansing Products High Among Minorities
Minorities More Likely to Use Moisturizers, Baby Oil
Minorities Less Likely to Use Shaving Cream/Gel
Use of Sunscreen Weak Among Hispanics, African-Americans
Hand Soap, Body Wash Use Grows Among Minorities
Table 5-7: U.S. Consumer Use of Skin Care Products by Race or Ethnicity, 2011 (percent)
Table 5-8: U.S. Consumer Use of Skin Cleansing Products by Race or Ethnicity, 2011 (percent)
Table 5-9: U.S. Consumer Use of Deodorant/Antiperspirant by Race or Ethnicity, 2011 (percent)
Table 5-10: U.S. Consumer Use of Skin/Lip Moisturizers by Race or Ethnicity, 2011 (percent)
Table 5-11: U.S. Consumer Use of Body/Baby Powder by Race or Ethnicity, 2011 (percent)
Table 5-12: U.S. Consumer Use of Shaving Products by Race or Ethnicity, 2011 (percent)
Table 5-13: U.S. Consumer Use of Sunscreen/Tanning Products by Race or Ethnicity, 2011 (percent)
Table 5-14: U.S. Minority Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-15: U.S. Hispanic Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-16: U.S. African-American Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-17: U.S. Asian Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
CHAPTER 6: LOOKING AHEAD
EHBC Products Target a Growing Population
Ethnic Spending on General-Market Products
Opportunities in Those Who Resist Assimilation
“Green” Concerns Continue to Take Priority
Natural and Organic Products Continue to Pique Consumer Interest
Growth of EHBC Products at Mass to Include Private Label
Men’s Grooming Products on the Rise
Growth in Online Shopping
E-Marketing EHBC Products
Individualized Marketing
QR Codes Allow High-Tech Purchasing
Social Networking: Facebook, Twitter, Then…
User-Driven Content: Pinterest
International Opportunities
Growth in Developing Markets
Different Standards Lead to Confusion
International Expansion—Both Ways
Free Trade Legislation Encourages Global HBC Market
Scope of Report
The African-American Tilt
Terminology
Three Product Categories: Hair Care, Color Cosmetics, and Skin Care
Overlap of EHBC and General-Market HBC Use
A Note on Sales Data
Report Methodology
Ethnic HBC Sales Near $3 Billion in 2011
Hair Care Category Leads at Retail
Table 1-1: U.S. Retail Sales of Ethnic HBC Products by Category, 2010 vs. 2011 (in millions of dollars)
B&Bs, Mass Retailers Account for 75% of Sales
Figure 1-1: Share of U.S. Retail Sales of Ethnic HBC Products by Retail Channel, 2011 (percent)
Ethnic Population Boom = Opportunity for EHBC Marketers
Table 1-2: Projection of U.S. Population by Race and Hispanic Origin, 2010 vs. 2020 (in millions)
Varied Groups a Challenge to EHBC Marketing
Ethnic Hair Care Marketers
Ethnic Color Cosmetics Marketers
Ethnic Skin Care Marketers
Hispanic, African-American Populations Retain Youthful Vigor
Tech Usage High Among Ethnic Minorities
Natural and Organic Hold Promise
Environmental Concerns a Top Priority
EHBC Products in the “Mansome” Era
Minorities Hopeful About Financial Conditions
Table 1-3: Selected Economy-Related Psychographics: U.S.
Minority Consumers, 2011 (index)
Market Projection: Sales to Near $4 Billion in 2016
Table 1-4: Projected U.S. Retail Sales of Ethnic HBC Products, 2011-2016 (in millions of dollars)
CHAPTER 2: MARKET OVERVIEW
Scope of Report
The African-American Tilt
Terminology
Three Product Categories: Hair Care, Color Cosmetics, and Skin Care
Overlap of EHBC and General-Market HBC Use
A Note on Sales Data
Market Size, Growth, & Composition
Ethnic HBC Sales Near $3 Billion in 2011
Hair Care Category Leads at Retail
Table 2-1: U.S. Retail Sales of Ethnic HBC Products, 2007-2011 (in millions of dollars)
Table 2-2: U.S. Retail Sales of Ethnic HBC Products byCategory, 2010 vs. 2011 (in millions of dollars)
B&Bs, Mass Retailers Account for 75% of Sales
Figure 2-1: Share of U.S. Retail Sales of Ethnic HBC Productsby Retail Channel, 2011 (percent)
Natural/Organic and E-tailing/Mobile Sales Channels Hold BigPotential
Spending on General HBC Products Eclipses EHBC Sales
Table 2-3: U.S. Minority Purchases of General-Market HBCProducts vs. EHBC Products, 2007-2011 (in millions ofdollars)
Market Outlook
Ethnic Population Boom = Opportunity for EHBC Marketers
Hispanics
African-Americans
Asians
Other Groups
Table 2-4: Projection of U.S. Population by Race and Hispanic Origin, 2010 vs. 2020 (in millions)
Varied Groups a Challenge to EHBC Marketing
Assimilation Not a Given Amidst “Cultural Melting Pot” Ideals
Concepts of Halal Have Cross-over Potential
U.S. Ethnic Spending Power Rivals That of Small Nations
Personal Care Prices Defy Inflation
Table 2-5: Consumer Price Index for All Items vs. Personal Care Items: 2001-2011
Rise in Cosmetic Surgeries Among Ethnic Consumers A Positive Signal for HBC Spending
Hispanic, African-American Populations Retain Youthful Vigor
Tech Usage High Among Ethnic Minorities
Table 2-6: Opinions on Internet and Mobile Technology by Race or Ethnicity, 2011 (percent)
Natural and Organic Hold Promise
What Is Natural?
More Retailers Carrying Natural EHBC Products
Illustration 2-1: Target Announcement for CARA B Naturally
Environmental Concerns a Top Priority
Sustainability Crucial to Consumer Good Will
“Green” Packaging
EHBC Products in the “Mansome” Era
Illustration 2-2: Still from the movie Mansome
Latinos, Asian Men Drive Growth in Men’s Grooming
Illustration 2-3: Andrés Guardado Degree Ad
EHBC Market to Hit $3.9 Billion in 2016
Table 2-7: Projected U.S. Retail Sales of Ethnic HBC Products, 2011-2016 (in millions of dollars)
Minority HBC Consumer Overview
Experian Simmons Consumer Survey Data
U.S. Minorities to Number 146 Million in 2020
Hispanics Will Number 66 Million by 2020
African-American, Asian Populations Continue to Grow
The Overall Gauge
Minorities Skew as Green—or Greener—Than Whites
Minorities Seek Organic/Natural HBC Products
Minorities Hopeful About Financial Conditions
Sparing No Expense to Look Younger
Women of Color Shop JC Penney, Discount Stores
Minority Shoppers Favor Sav-On, Osco
Table 2-8: U.S. Population Projections by Race, Gender, and Hispanic Origin, 2010-2020 (in millions)
Table 2-9: U.S. Population by Race or Ethnicity, 2011 (in millions of adults)
Table 2-10: Selected Sustainability Related Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-11: Level of Agreement with Statement, “When I shop for health and beauty care products, I look for organic/natural items,” by Race/Ethnicity: 2011 (index)
Table 2-12: Selected Economy-Related Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-13: Selected Health & Beauty Shopping Psychographics: U.S. Minority Consumers, 2011 (index)
Table 2-14: Cosmetics Purchasing Patterns at Selected Department Stores and Discount Stores: U.S. Women Minority Consumers, 2011 (index)
Table 2-15a: Drugstore Chains Shopped During Past Four Weeks: U.S. Consumers by Race or Ethnicity, 2011 (index)
Table 2-15b: Drugstore Chains Shopped During Past Four Weeks: U.S. Consumers by Race or Ethnicity, 2011 (index)
CHAPTER 3: ETHNIC HAIR CARE
The Products
Category Definition
Five Product Segments
Characteristics of Ethnic Hair
African-American Hair
Hispanic Hair
Asian Hair
Market Size, Growth, and Composition
Ethnic Hair Care Sales Near $1.6 Billion in 2011
Styling Products Account for Largest Category Share
Table 3-1: U.S. Retail Sales of Ethnic Hair Care Products by Segment, 2010 vs. 2011 (in millions of dollars)
Growth Driven by Innovation, Expansion
Sales by Retail Channel
Table 3-2: Share of U.S. Retail Sales of Ethnic Hair Care Products: By Retail Channel, 2009 vs. 2011 (percent and in millions of dollars)
The Marketers
Company Types and Mass-Market Leaders
Marketer and Brand Leaders by Segment
“Ethnic-Appropriate” Products an Important Market Component
B&Bs Offer Variety, Pop Prestige Positions on Function
Specialization the Norm for Ethnic Hair Marketers
Few Products Specifically Target Hispanics or Asians
Table of Ethnic Hair Care Marketers and Brands
Table 3-3: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Hair Care Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 3-4: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Hair Care Products by Segment, 2010-2011 (in thousands of dollars)
Table 3-5: Selected Ethnic Hair Care Marketers and Their Brands, 2012
Marketing and New Product Trends
Going Natural
Michelle Obama and the Natural Wave
Sesame Street Encourages Children to Love Their Natural Hair
Quest for Natural Ingredients a Related Trend
Keratin Treatments
Illustration 3-1: Joico RevitaLuxe Bio-Advanced Restorative Treatment
At-Home Straightening Systems: An Alternative to Relaxers
Illustration 3-2: John Frieda Frizz-Ease 3-Day Straight
Illustration 3-3: Suave Professionals Keratin Infusion Line
Illustration 3-4: SoftSheen-Carson Optimum Advanced Keratin Relaxer
Botanical Oils
Argan Oil
Illustration 3-5: Organix Moroccan Argan Oil Line
Other Oils
Antioxidant Content: Omega 3 and 6
Illustration 3-6: L’Oréal EverCrème Line
Encouraging Hair Growth
Illustration 3-7: DOO GRO Mega Thick and Mega Long
Men’s Hair Care
Illustration 3-8: Moco de Gorila
Table 3-6: Hair Product Usage Among U.S. Men by Product Segment and by Race/Ethnicity, 2011 (index)
Cross-over Brands
Illustration 3-9: Laila Ali Professional Repairing Hair & Scalp Conditioner
Illustration 3-10: The Faces of Carol's Daughter’s Diversity Campaign
Marketer and Brand Profiles
Marketer Profile: Unilever
Motions: Filling a Crucial Need
Illustration 3-11: Motions Naturally You! Product Line
Brand Profile: Ojon
Mainstreaming Relaunch
Illustration 3-12: Ojon Damage Reverse Ritual
Brand Profile: Mixed Chicks
Illustration 3-13: Mixed Chicks Deep Conditioner
Battling Sally Beauty Supply’s “Mixed Silk”
Consumers of Ethnic Hair Care Products
Experian Simmons Consumer Survey Data
Hair Regrowth, Removal Products Popular Among Minorities
Shampoo Use Nearly Universal Among Minority Consumers
Asians, African-Americans Use Conditioner
Hispanics Choose Hair Styling Gel, Mousse
Hispanics, Asians Color Hair; African-Americans Favor Relaxers
Minority Use of Hair Removers, Hair Growth Products High
Shampoo Use Remains Steady, Styling Product Use Drops
Table 3-7: U.S. Consumer Use of Hair Care Products by Race or Ethnicity, 2011 (index)
Table 3-8: U.S. Consumer Use of Shampoo by Race or Ethnicity, 2011 (percent)
Table 3-9: U.S. Consumer Use of Hair Conditioning Products by Race or Ethnicity, 2011 (percent)
Table 3-10: U.S. Consumer Use of Hair Styling Products by Race or Ethnicity, 2011 (percent)
Table 3-11: U.S. Consumer Use of Hair Coloring Products by Race or Ethnicity, 2011 (percent)
Table 3-12: U.S. Consumer Use of Home Permanents and Relaxers by Race or Ethnicity, 2011 (percent)
Table 3-13: U.S. Consumer Use of Hair Removal Products by Race or Ethnicity, 2011 (percent)
Table 3-14: U.S. Consumer Use of Hair Regrowth Products by Race or Ethnicity, 2011 (percent)
Table 3-15: U.S. Minority Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-16: U.S. Hispanic Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-17: U.S. African-American Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 3-18: U.S. Asian Hair Care Product Usage Trends by Product Type, 2006-2011 (percent)
CHAPTER 4: ETHNIC COLOR COSMETICS
The Products
Category Definition
Four Ethnic Makeup Segments: Eye, Lip, Face and Nail
Eye Makeup
Lip Color
Facial Makeup
Nail Products
Color Balance, Undertones Important in Makeup Choice
Ethnic Skin Has Other Special Needs
Ethnic Makeup a Recent Phenomenon
Hispanic Market Holds Great Promise
Asian-Specific Makeup Still Rare
Market Size, Growth, and Composition
Ethnic Color Cosmetics Sales Surpass $1 Billion in 2011
Table 4-1: U.S. Retail Sales of Ethnic Color Cosmetics by Segment, 2010 vs. 2011 (in millions)
Eye Color the Largest Segment
Table 4-2: Share of U.S. Retail Sales of Ethnic Color Cosmetics by Segment, 2010 vs. 2011 (percent)
Table 4-3: Mass-Market Share of Ethnic Makeup Product Sales by Segment and Sub-segment, 2011 (percent)
Ethnic Makeup Sales by Channel
Table 4-4: Share of U.S. Retail Sales of Ethnic Color Cosmetics by Retail Channel, 2009 vs. 2011 (in millions of dollars)
Financial Worries Have Minimal Impact on Sales
Table 4-5a: Cosmetics Use Among U.S. Minority Women Indexed by Financial Event: Past Twelve Months, 2011
Table 4-5b: Cosmetics Use Among U.S. Minority Women Indexed by Financial Event: Past Twelve Months, 2011
Ethnic-Specific vs. Ethnic-Appropriate Makeup
Both Upscale and Value-Positioning Drive Sales
The Marketers
Six Major Players in Mass Channels
Table 4-6: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Color Cosmetics Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 4-7: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Color Cosmetics Products by Segment, 2010-2011 (in thousands of dollars)
Majority of Ethnic Makeup Marketers Are Specialists
Table of Marketers and Brands
Table 4-8: Selected Ethnic Makeup Marketers and Their Representative Brands, 2012
Marketing and New Product Trends
Finding the Right Shade
Illustration 4-1: KISS New York Second Skin Moisturizing Foundation
Illustration 4-2: CoverGirl Queen Lasting Matte Pressed Powder
Color, Color and More Color
Illustration 4-3: NARS Cosmetics Thakoon-Inspired Nail Color
Illustration 4-4: Milani Eye Shadow Palette
Illustration 4-5: Milani Shadow Eyez
Botanical Oils
Illustration 4-6: KISS New York Maxi Shine Lipstick
Exotic Ingredients
Illustration 4-7: BABOR Deluxe Foundation
Mineral Makeup
Illustration 4-8: Black Opal Mineral Brilliance Eyeshadow Mosaic
Marketer and Brand Profiles
Fashion Fair, LLC
Illustration 4-9: Fashion Fair's 'Chocolate Seduction' Line
Ada Cosmetics
“No One Left Out”
Makeup That’s Good For You
Shiseido/Bare Escentuals
Acquisition of Bare Escentuals
A Challenging Partnership
Consumers of Ethnic Color Cosmetics
Experian Simmons Consumer Survey Data
Minorities Skew Low for Blusher/Bronzer, Foundation Use Lip Color Most Popular Makeup Choice
Fewer Minority Women Use Eye Makeup
Facial Makeup Worn by Fewer Minority Women
Lipstick Use Falters, Eye Makeup Use Soars
Table 4-9: Makeup Usage Among U.S. Women by Race or Ethnicity, 2011 (index)
Table 4-10: U.S. Women’s Use of Lip Color by Race or Ethnicity, 2011 (percent)
Table 4-11: U.S. Women’s Use of Nail Products by Race or Ethnicity, 2011 (percent)
Table 4-12: U.S. Women’s Use of Eye Makeup by Race or Ethnicity, 2011 (percent)
Table 4-13: U.S. Women’s Use of Facial Makeup by Race or Ethnicity, 2011 (percent)
Table 4-14: Makeup Usage Trends Among U.S. Minority Women by Product Type, 2006-2011 (percent)
Table 4-15: Makeup Usage Trends Among U.S. Hispanic Women by Product Type, 2006-2011 (percent)
Table 4-16: Makeup Usage Trends Among U.S. African- American Women by Product Type, 2006-2011 (percent)
Table 4-17: Makeup Usage Trends Among U.S. Asian Women by Product Type, 2006-2011 (percent)
CHAPTER 5: ETHNIC SKIN CARE
The Products
Category Definition
Four Ethnic Skin Care Segments
African-Americans’ Skin Care Needs
Acne Keloidalis Nuchae
Ashiness
Keloid
Melanin Imbalances
Oiliness
Razor Bumps
Vitiligo
Asian Skin “Delicacy”
Cosmetics vs. Drugs
Is It Really Safe?
Industry Representation
Ten Controversial Ingredients
Artificial Color
Diazolidinyl Urea
Diethanolamine (DEA)
Hydroquinone
Imidazolidinyl Urea
Parabens
Petroleum, Petrolatum
Phthalates
Propylene Glycol
Sodium Lauryl/Laureth Sulfate
Market Size, Growth, and Composition
Ethnic Skin Care Sales Rise to $232 Million in 2011
Table 5-1: U.S. Retail Sales of Ethnic Skin Care Products by Segment, 2010 vs. 2011 (in millions of dollars)
Hand & Body Lotion Is Largest Segment
Table 5-2: Share of U.S. Retail Sales of Ethnic Skin Care Products by Segment, 2010 vs. 2011 (percent)
Share of Sales by Retail Channel
Table 5-3: Share of U.S. Retail Sales of Ethnic Skin Care Products by Retail Channel, 2009 vs. 2011 (in millions of dollars)
Ethnic Consumers Struggle to Find Products That Fit
Skin Care Category Affected by Overall HBC Trends
The Dark/Light Divide
Many Still Seek Lighter Skin
The Marketers
Hundreds of Participants, Few Majors
Segment Leaders
Table 5-4: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Skin Care Marketers and Brands, 2010-2011 (in thousands of dollars)
Table 5-5: SymphonyIRI-Tracked Retail Sales of Leading Ethnic Skin Care Products by Segment, 2010-2011 (in thousands of dollars)
“Ethnic-Appropriate” Products an Important Market Component
Specialists the Norm in Ethnic Skin Care Market
Hispanic-Focused Marketers and Brands
Asian Consumer-Focused Marketers and Brands
Table of Ethnic Skin Care Marketers and Brands
Table 5-6: Selected Ethnic Skin Care Marketers and Their Brands, 2012
Marketing and New Product Trends
Shea Butter: Tried and True
Illustration 5-1: Dr. Miracle's Tingling Facial Toner
General HBC Marketers Expand Lines with Shea Butter Formulations
Illustration 5-2: Olay In-shower Body Lotion
Illustration 5-3: Curel Skin Nourishing Deep-Conditioning Lotion
Reinventing Skin Lighteners
Illustration 5-4: Dr. Jart+ BB Creams
Natural and Organic Products
Plant Power
Illustration 5-5: Habibi Body Balm
The More Exotic the Better
Illustration 5-6: Josie Maran Argan Day + Night Eye Cream
Bumps Be Gone
Illustration 5-7: Barc Cutting Up (Skin Saving) Shave Cream
Just for Children
Illustration 5-8: Cara B Body Lotion
Marketer and Brand Profiles
Carol’s Daughter, Inc.
Wide Selection of Bath and Body Products
Reentry into Facial Care
Illustration 5-9: Carol's Daughter Acai Hydrating Face Butter
Illustration 5-10: Carol's Daughter Açai Product Line Ad Featuring Cassie
Newhall Labs: La Bella
Illustration 5-11: La Bella Cosmetic Gel with Snail Extract
Courting Hispanic Youth
Laila Ali
Organic and Sustainable
Illustration 5-12: Laila Ali Derm Essentials Line
Consumers of Ethnic Skin Care Products
Experian Simmons Consumer Survey Data
Minority Skew High in Skin Care Product Usage
Use of Skin Cleansing Products High Among Minorities
Minorities More Likely to Use Moisturizers, Baby Oil
Minorities Less Likely to Use Shaving Cream/Gel
Use of Sunscreen Weak Among Hispanics, African-Americans
Hand Soap, Body Wash Use Grows Among Minorities
Table 5-7: U.S. Consumer Use of Skin Care Products by Race or Ethnicity, 2011 (percent)
Table 5-8: U.S. Consumer Use of Skin Cleansing Products by Race or Ethnicity, 2011 (percent)
Table 5-9: U.S. Consumer Use of Deodorant/Antiperspirant by Race or Ethnicity, 2011 (percent)
Table 5-10: U.S. Consumer Use of Skin/Lip Moisturizers by Race or Ethnicity, 2011 (percent)
Table 5-11: U.S. Consumer Use of Body/Baby Powder by Race or Ethnicity, 2011 (percent)
Table 5-12: U.S. Consumer Use of Shaving Products by Race or Ethnicity, 2011 (percent)
Table 5-13: U.S. Consumer Use of Sunscreen/Tanning Products by Race or Ethnicity, 2011 (percent)
Table 5-14: U.S. Minority Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-15: U.S. Hispanic Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-16: U.S. African-American Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
Table 5-17: U.S. Asian Skin Care Product Usage Trends by Product Type, 2006-2011 (percent)
CHAPTER 6: LOOKING AHEAD
EHBC Products Target a Growing Population
Ethnic Spending on General-Market Products
Opportunities in Those Who Resist Assimilation
“Green” Concerns Continue to Take Priority
Natural and Organic Products Continue to Pique Consumer Interest
Growth of EHBC Products at Mass to Include Private Label
Men’s Grooming Products on the Rise
Growth in Online Shopping
E-Marketing EHBC Products
Individualized Marketing
QR Codes Allow High-Tech Purchasing
Social Networking: Facebook, Twitter, Then…
User-Driven Content: Pinterest
International Opportunities
Growth in Developing Markets
Different Standards Lead to Confusion
International Expansion—Both Ways
Free Trade Legislation Encourages Global HBC Market
