Sức khỏe và Làm đẹp trong Thời kỳ Covid Corona Health and Beauty in the Coronavirus Era

Health and Beauty in the Coronavirus Era Irina Barbalova, Global Lead Health and Beauty Matthew Oster, Global Head Consumer Health 22 This PowerPoint presentation includes proprietary information from Euromonitor International and cannot be used or stored with the intent of republishing, reprinting, repurposing or redistributing in any form without explicit consent from Euromonitor International For usage requests and permission, please contact us http://www.euromonitor.com/locations The data included in this document is accurate according to Passport, Euromonitor International’s market research database, at time of publication: July 2020 © Euromonitor International 33 OVERVIEW The context Industry impact Key themes redefined Conclusion © Euromonitor International THE CONTEXT Four areas impacting the world of Health and Beauty in light of COVID-19 Macro-environment • Negative macro-economic impact (↑ unemployment, closure of sectors of the economy) • Enforced lockdowns © Euromonitor International Supply Chain • Raw material supply, production, logistics disrupted • ↑ capacity for sanitizer production • E-com pressures • Onshoring production Channel • Selective retail and salon closures • ↑ E-commerce, Private label • Retailers innovating to reach consumers Consumer Trends • ↑ Hygiene/immunity • Further uptake in digital activity • Self-care and DIY • Non-essentials side-lined 65% of global consumers consider mental wellbeing as a key factor in perceptions of health “How you think consumers will change their shopping and spending behaviour as a result of the COVID-19 pandemic?”: Buying more health and wellness-related products Permanent change Mid-term change, but will eventually return to pre-crisis norms 34% of global consumers take measures to manage stress, anxiety and mental health Short-term change only (Q1 and Q2 2020) No change Not sure 0% 5% 10% 15% 20% 25% 30% 35% 40% % of respondents Source: Euromonitor International COVID-19 Voice of the Industry Survey, April 2020 Trust in health information sources, 2020 In- person doctor or medical professional Pharmacist Health Accessibility Nutritionist/dietician Government or non-g ov ernment expert organizations Friends and family Pharmaceutical industry Product label/information shown on packaging Fitness trainer or coach Virtual doctor or medical prof essional § Tailored assistance § Demand for trust and expertise § Virtual medicine and telehealth Healthcare related websites Alternative healthcare practitioner Advertisement from a company or brand Online community or chatroom Blogg er/social media inf luencer Celebrity endorsement 0% 50% % of respondents Source: Euromonitor International’s Health and Nutrition Survey 100% Industry Impact INDUSTRY IMPACT Beauty among top negatively impacted industries, health shows resilience 2019 4.6% Global Beauty & Personal Care Value 4.2% Global Consumer Health Value Source: Euromonitor International Industry Forecast Model: Quarterly update May, 2020 © Euromonitor International INDUSTRY IMPACT Demand for immunity and prevention drive vitamin growth Retail Value Sales Growth in Select Consumer Health Categories 2019/2020 Wei ght Management and Wellbeing OTC Drugs Vitamins 2.1% Retail Value RSP CAGR 2020-2025 Dietary Supplements Digestive Remedies 2.8% Dermatologi cals Retail Value RSP CAGR 2020-2025 Sports Nutrition Vitamins and Dietary Supplements Cough, Cold and Allergy Remedies Sleep Aids Sports Nutrition Analgesics -8 -3 12 4.8% Retail Value RSP CAGR 2020-2025 % growth 2019 © Euromonitor International 2020 Source: Euromonitor International Consumer Health 2021 preliminary estimates INDUSTRY IMPACT 10 Premium beauty enters another bumpy phase Retail Value Sales Growth in Premium vs Mass Beauty 2016-2020 8% Forecast 7% 6% DIY routines/product alternatives/devices Streamlining routines and products Boost to mass/masstige Functional beauty over aesthetic beauty Less is more; quality over quantity Subscription models Y-o-Y Growth 5% 4% 3% 2% 1% 0% -1% 2016 -2% 2017 Premi um 2018 2019 Mass Source: Euromonitor International Industry Forecast Model: Quarterly update May, 2020 © Euromonitor International 2020 INDUSTRY IMPACT 11 Impact on categories to underpin category blurring Retail Value Sales Growth in Select Beauty Categories 2019/2020 Skin Care Skin Care Hair Care Fragrances 1.6% Deodorants Retail Value RSP CAGR 2019-2024 Fragrances -8 -6 -4 -2 Retail Value RSP CAGR 2019-2024 Colour Cosmetics Colour Cosmetics Bath and Shower 4.1% 0.1% Retail Value RSP CAGR 2019-2024 % growth 2019 © Euromonitor International 2020 Source: Euromonitor International Industry Forecast Model: Quarterly update May, 2020 Key themes redefined KEY THEMES REDEFINED 13 COVID-19 disrupting key health and beauty themes WELLNESS PERSONALISATION DISRUPTIVE INNOVATION DIGITALISATION CLEAN TO CONSCIOUS SUSTAINABILITY COVID-19 Disruptors Channel Shifts © Euromonitor International Home Seclusion Preventative Health Wellness Redefined Immunity boost Wellness beauty § Health at the core Digital health Back to basics Home leisure Emotional support § Safety and efficacy § Accessibility and inclusivity 15 Back to basics § Simplicity and minimalism § Herbal ingredients § Traditional and trustworthy Science backing § Result-driven solutions § Substantiated claims Đ Transparency â Euromonitor International Leading clean label claims in beauty and personal care and consumer health, 2019 Beauty and Personal Care Consumer Health #1 Claim Natural Natural #2 Claim No Parabens No GMO #3 Claim Fragrance Free No Artificial Preservatives #4 Claim No Silicone No Artificial Flavours #5 Claim No Sulphates No Artificial Colours Source: Euromonitor Product Claims and Positioning Leading claims determined by # of SKUs tagged with clean label claim 50% Asian share of global immunity Growth of Dietary Supplements and ImmunityPositioned Supplements, 2010-2020 supplement sales 33% US share of global immunity supplement sales Popular ingredients: elderberry, echinacea, zinc, probiotics, turmeric 18% 16% Y-on-y growth % Popular ingredients: ginseng, probiotics, ginkgo biloba, TCM, ayurveda 20% 14% 12% 10% 8% 6% 4% 2% 0% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Immune Health All Other Dietary Supplements Source: Euromonitor International Consumer Health 2021 preliminary estimates KEY THEMES REDEFINED 17 COVID-19 accelerates movement to digital health Trends Impacting Consumer Health Sales during the COVID-19 Pandemic Increased focu s on lifestyle condition s Natural alternatives to trad itional products in… Blurring lines between health an d nutritional… Digital en gagemen t and social media Rise of private label and competition aroun d… Nestlé Wellness Ambassador, Japan Ethical p roducts and brands Personalised prod ucts Digital health devices 0% 20% 40% Not at all influential A little influential Very influential Extremely influential Source: Euromonitor International Voice of the Industry © Euromonitor International 60% 80% 100% Somewhat influential Sanofi’s digital health platform, Italy Image source: www.nestle.co.jp, www.sanofi.it KEY THEMES REDEFINED 18 Shift to digital reinforces focus on virtual experiences in beauty Top Digital Purchase Influencers 2019 Sale/discount offer online Online user reviews, communities or forums Social networking site (e.g Facebook, Weibo, Instagram, Pinterest) Beauty blog post or expert review Bleach London Official brand websites Brand or retailer advertising on social media Social media posts from a brand or company Endorsement from social media personality/ influencer 0% Colour Cosmetics Source: Euromonitor International Beauty Survey © Euromonitor International 5% Skin Care 10% 15% Hair Care Dermalogica Image source: www.bleachlondon.co.uk, www.Dermalogica.com KEY THEMES REDEFINED 19 Beauty convergence with wellness intensifies Top Trends Expected to Impact Beauty and Personal Care Digital engagement Natural and organic Health-inspired Immunity positioning/ ingredients Clean and safe formulations Emotional wellness, indulgence, happiness Anti-viral, protection, therapeutic benefits Gut-skin health axis Dermatologist/Doctor endorsement Wel lness beauty Personalized products Ethical products Independent brand inspiration Alternative distribution models Inclusivity Anti-taboo health and beauty 0% 15% Influence on sales in next five years 30% 45% 75% 90% Influence on sales in past year Source: Euromonitor Voice of the Industry, Beauty and Personal Care © Euromonitor International 60% Conclusion Transparency Purpose Trust TheSephora Sephora Body Shop ‘Clean at Sephora’ partnership with Novi Image source: www.sephora.com, www.wwd.com © Euromonitor International Emotion Indie Lee Instagram ‘Mndful Instagram ‘Mindful Mondays’ Mondays’ platform platform Relevance CVS CVS’s new ‘Calm and comfort’ section Key takeaways Redefine Prevention Value At the core Quality Digital Accessible Over quantity Activation Health Thank you Irina Barbalova, Global Lead Health & Beauty irina.barbalova@euromonitor.com Matthew Oster, Global Head Consumer Health matthew.oster@euromonitor.com