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Hispanic Marketing: A growing trend

June 1, 2009 by fragranceinsights

The U.S. Hispanic market is growing in size and in influence due to its predicted purchasing power and enthusiasm for buying products advertised on TV!   Marketers are now taking greater notice of this growing market, and reaching it successfully by “speaking its own language”!

FAST FACTS:  U.S. HISPANIC MARKET

  • There are nearly 46 million Hispanics in the U.S.
  • Many are multiple-income families
  • Are less likely to carry large mortgage or credit card debt
  • Eagerly buy products and services advertised on TV
  • On average, Hispanics spend a far higher percentage of their disposable income than the non-Hispanic U.S. population

Source:  Experian Simmons research

 While ratings at the “big 4” English-language TV networks (CBS, NBC, FOX, ABC) are flat, the top 3 Spanish-language stations (Univision, Telemundo, TeleFutura) are up by almost 22% for the coveted 18-49 demographic.  (Source:  Business Week 4/9/09).

Crema Pond's

“According to Nielsen’s projections, the top CPG growth categories in 2020 will include ethnic health and beauty products, medications and remedies, health aids, vitamins and cooking essentials…What’s driving the changes? According to Nielsen, the category shifts are directly tied to the changing face of American consumers.”  (Source:  Nielsen.com  5/12/09).

Not surprisingly, many of the top U.S. consumer products companies are putting much of their Hispanic marketing budgets into Spanish TV ads, with good results.

What’s next?…Fragrance products specifically designed for the U.S. Hispanic market?  Typically, in Latin American markets, fragrance preferences have gravitated toward very bold, recognizable “signature” scents, in both fine fragrance and household products.  

But with the current trend in the U.S. evolving around greener, fresher and more natural scents, we must not neglect the tastes and preferences of nearly 1/6 of our country’s population…particularly when that sizeable group likes to shop!

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The Nose Knows: Spending for a Cause

May 26, 2009 by fragranceinsights

An interesting by-product of the economic meltdown that our country is living through is the shifting of priorities that is slowly – and surprisingly – becoming evident.  Yes, we have all adopted the “recessionista / frugalista” code of conduct whereby we pledge not to spend on unnecessary items for ourselves.   However, consumers are demonstrating a willingness to spend, if it is “for a greater good”.

50% of profits go to help African women & children affected by AIDS

50% of profits go to help African women & children affected by AIDS

On a personal note, I was recently the chairperson of a fund-raising event to benefit a foundation for a specific life-threatening illness.  Although I had already set a fund-raising goal for this year’s event based on the donations raised at the same event last year, I had already prepared myself mentally to be content if we so much as reached last year’s goal.  In my mind, there was very little chance that people would be overly generous this year, with all the financial turmoil that people were experiencing.    To my surprise, not only did we meet this year’s seemingly impossible goal, but we surpassed it by a substantial amount!   

Bringing relief to disaster victims

Bringing relief to disaster victims

 

Consumer products with tie-ins to charitable foundations that benefit worthy causes are evidently performing well.  And CPG companies are taking notice!  P&G’s yellow-label Tide will be available for a limited time only, but under its Loads of Hope initiative, is committed to contributing 10% of its sales to families affected by disasters.   In the meantime, Loads of Hope teams visit affected areas and do laundry for citizens who have been displaced by events that have affected their region. 

Shop pink & help end breast cancer

Shop pink & help end breast cancer

 

Other similary civic-minded and high profile “retail” campaigns are the “Pink for the Cure” items sold whereby a portion of sales benefits breast cancer research, as well as Gap’s “(PRODUCT) RED” campaign where half the profits from product sales go to the Global Fund and benefit women and children in Africa affected with AIDS.

 

So next time you’re looking for a fragrance, shampoo, body wash or lotion seek out those whose sale will benefit a greater good, and get double the enjoyment from your purchase!

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The Nose Knows: Boomers = “booming” sales

May 18, 2009 by fragranceinsights

Although the 18-39 demographic has always been the most pursued by marketers, baby boomers – those born between 1946 and 1964  – are a consumer group 78 million strong to whom advertisers are now paying more attention.Jane Fonda for L'Oreal

The older boomers are now approaching 63 years; an age at which many have fully paid off their mortgages, are now enjoying grand parenthood, and are more willing & able to spend money on their grandchildren and themselves.  This makes them doubly attractive to marketers because they are making purchases for more than one demographic group; i.e., they are just as likely to buy baby & children’s products as they are to buy travel services, or anti-aging skin care products. 

 

Companies such as Target, P&G, Kraft & L’Oreal are taking notice and increasingly targeting this age group:

Target's Aged in Advertising

 Boomers Life

Fifty today is very different than it was in the past.   Boomers today are vibrant, active and “plugged in”, comfortably embracing the digital information age; exactly what you want in a “dream consumer”!

Although in the past there was much debate about whether a “one size fits all” marketing approach effectively targeted consumers of all ages and lifestages, it has become more apparent that marketers are realizing the importance of customizing their messages to make a product truly relevant to a particular consumer group. 

Bearing this in mind, if the fragrance world were to follow in the footsteps of other product categories – say anti-aging skin care – some relevant messages (and fragrance positioning statements) that would appeal to the maturing consumer would be:  pampering, nourishing, luxurious, glowing, smoothing, firming, caring; attributes that can be creatively interpreted in fragrance notes that convey those characteristics.   Soft florals, light woods and creaminess effectively convey pampering & nourishing qualities, while fruity and botanical notes help connote a glowing and wellness aspect.  Tweaking of the notes can further enhance either the luxurious or caring aspects of a scent, depending on which fragrance ingredients are highlighted.

As I’ve stated before, fragrance is a breathing, living and continuously evolving art in which anything is possible.  All it takes is a little bit of imagination, creativity…and masterful perfumery!

Posted in advertising trends, Fragrance Marketing, Fragrance Trends, Marketing Consulting, Marketing Trends, Product Trends | Tagged , , , , , | Leave a Comment »

The Nose Knows: Products for Babies & Toddlers Going Strong

May 17, 2009 by fragranceinsights

While parents might think twice about unnecessary spending on themselves, they don’t hesitate on paying a premium price on quality products for their children.

Baby Care

Recent reports by NPD Beauty Trends and IRI data indicate that although the mass market has remained stable during this economic downturn, the prestige market for fragrances and cosmetics has suffered.  The baby & toddler personal care products market is proving to be a rare exception to this trend, fueled by the movement toward organic and natural products for their perceived superiority over traditional mass market products.

As reported by CosmeticsDesign.com, Datamonitor’s Matthey Taylor states that “in recent years the association of personal care with well-being has increased and is further amplified in the baby and toddler sector.”    Parental concerns over protecting their young childrens’ health and over providing the very best start for them, trigger their willingness to purchase these premium specialty products. 

Another evident shift in that market is the move away from products positioned as “disposable”,  and a move toward earth-friendly claims such as biodegradability.    Although this trend is not unique to the baby & toddler personal care market, it is in that demographic sector that marketers are seeing the most evidence of sales remaining strong thanks to parents who are unwilling to sacrifice the quality of products purchased for their children.

Toddler Shampoo Time

In line with the trends that are driving growth in this market, look for fragrance trends for baby & toddler personal care products to evolve as well.  Traditionally, scents for this target market revolved around baby powder-like notes, creaminess, herbals (particularly chamomile & lavender), and fruity berry notes.   However, wellness and eco-friendly messages are dominating the market, and helping to inspire many more fragrance directions in new product development.  Expect to see more botanical fragrance notes used in products for the younger set; green and more natural-smelling interpretations, fruitiness inspired by super fruits and wellness ingredients, creaminess from soy & oatmeal, plus soft sheer woodiness for the comfort aspect.

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The Nose Knows: The Color of “Coping”

May 15, 2009 by fragranceinsights

In its April 2009 issue, Home Accents Today featured color marketers’ forecasts for 2010, which all point to a year where color will be an instrumental vehicle that will help consumers cope with the challenges posed by the economic climate and its effects on our lifestyles and psyches.   Four broadly-categorized upcoming color trends have been identified:

A Neutral Palette – In times of great flux, few things are more reassuring than a serene, calming color palette.  In 2010, neutrals receive an updated interpretation beyond the expected creams, tans, khakis and earth tones.  Gray is heavily featured as a “new neutral”, and is interpreted with varying tonalities of olive green, silver, taupe, deep charcoal, brown, blue and pinkish beige with shimmer-like finishes.

The Color of Escapism– Global Destinations inspire luxurious and exotic colors that invite us to take a mental or physical break from the here and now as an alternative coping mechanism.    Some countries/cultures that are expected to contribute significantly to this trend are:  Russia, Dubai & Africa.  The colors represented will be luxurious and rich with sophisticated depth.   Metals, shimmer and translucency will dominate the color schemes represented by tones of gold, umber, plum, teal blue, royal purple and crimson reds.    Spicy hues inspired by exotic flavors such as masala & curry mix with nature-inspired colors of the wild African desert and savannah.

Blissfully Young & Radical–  A more vibrant collection of colors that – although radically contradictory to the other color trends – will coexist with them to provide  a visual distraction and enticement for consumers to buy, and get out of their “frugalista” funk!   Colors in this arena will be passionate, ingenious, manic, fun and portrayed in wild graphic designs and textures.  

Mother Earth’s Embrace – Not surprisingly, the rise in eco-friendly consumer behavior, increased consumption of organic and “whole” foods has also given rise to a new color palette that will dominate in the 2010 product season.  Organic colors will not be limited to earthy tones, but rather will be inspired by vibrant, fragrant and delicious-tasting treats found at the local farmer’s market.

So, get ready to enjoy a parade of product colors, textures and patterns aimed at lifting our spirits, and getting us back on the “shopping block”!

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The Nose Knows: What drives YOUR purchase?

May 11, 2009 by fragranceinsights

While hosting a handful of family members at a Mother’s Day barbecue, the subject of this “fragrance marketing” blog came up, and gave rise to an unexpected debate: What exactly drives the purchase of fragrance products, namely fine fragrance, personal care or household products?

My years of experience in the fragrance industry have conditioned me to always expect – if not assume – that product scent will be the key defining attribute that will drive the purchase…but yesterday’s conversation shed new light on other attributes that are given as much consideration and that also weigh heavily on the purchase decision: mainly price and packaging.

My sister heartily agreed that product scent is what drives her purchase of one product over another competing one, regardless of price. My brother-in-law argued that price and perception of value is what determines which product he buys, while yet another relative stated that the aesthetic appeal of the product packaging is what prompts him to buy a particular product.  

Prior to my entree into the “world of fragrance”, my classical marketing background had taught me the importance of the “4 P’s”: product, pricing, packaging, promotion.  How have I allowed myself to become so seduced by the fragrance appeal of a product that I have discounted the importance and relevance of the other facets of a product’s identity?

The wide-ranging considerations given to the purchase decision by this group of consumers who share similar socio-economic profiles was very revealing to me.   

Are the days of grouping consumers (with shared demographics) into narrowly-defined classifications over?   Have the current economic conditions created a new “template” that will change the dynamics of product purchase and consumption?  And most importantly, how is new product development being modified so  that it acknowledges and satisfies this shift in consumer trends?

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The Nose Knows: Finding “value” in fragrance

May 7, 2009 by fragranceinsights

More than ever before, people are focused on getting the most use out of their belongings.  Drivers are opting to repair vs. replace their cars, while fashionistas are now “shopping their closets”; reaching for pieces that they haven’t worn in a long time, or combining them in creative ways to produce a “new outfit” that didn’t cost a dime!   The key is to get extended use and/or incremental value out of what we already have.

So how can we apply this to fragrance?  One way is by putting the scents we already own to new uses.   I like to use  fresh, clean, fruity or citrusy scents as closet and drawer refreshers, while voluptuous florals make a nice fragrance statement when used to scent bedrooms and bathrooms.    Lightly spray on a light bulb, and the scent will be dispersed throughout the room as the bulb warms up.  

For a really special indulgence, I spray my bed linens with those fragrances that I find truly luxurious; those that I would normally reserve for a special night out.  I am particularly fond of sensual florals with woody and spicy back notes, and love their scent on my pillow…heavenly!

Get more value out of your fragrance purchase!

Get more value out of your fragrance purchase!

Being value-conscious doesn’t have to mean foregoing a new purchase, though.  You can get much value out of a new fragrance by selecting one that:  a) you absolutely love,  b) is season-appropriate,  c) is “easy” enough to be worn daily and  d) that also lends itself for some of the additional uses described above.  You’ll feel better about your purchase, as you’ll be getting a lot of value for your money! 

So, start viewing your fragrance collection in a whole new light, and see how many different ways you can make your own scent-sational – yet value-conscious – statement!

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The Nose Knows: Don’t just shampoo…Protect your hair!

May 5, 2009 by fragranceinsights

The hair care market has been energized by a flurry of new product launches.   Although product aesthetics continue to be important, hair protection seems to be the featured product attribute shared by the most recent hair care launches.aveeno-nourish2Aveeno Nourish+ hair care

Formulas that claimed hair strengthening, color protection and heat protection benefits represented nearly 64% of the 1,155 hair care products introduced in 2007 and early 2008.   In 2009, the “protection” trend doesn’t appear to be slowing down.   With greater numbers of consumers cutting back on expenses and opting to perform some salon treatments at home, hair protection becomes a real issue of importance.  

Aveda Sun Care

 Protection takes on many different forms.  It might refer to color protection, UV protection, to imparting added moisture or conditioning ingredients to the hair shaft, or it can also refer to environmental responsibility. 

Consumers are ever more vigilant about:  companies’ manufacturing practices and sustainability initiatives, biodegradability of product packaging materials, and product ingredients’ ultimate effect on the environment.   This has given rise to an increasing number of launches of sulfate-free shampoos and conditioners, which are perceived as healthier for the hair as well as the environment.

L'Oreal EverPure sulfate free hair care

Last – but not least – aesthetics, particularly consumers’ desire for their hair care products to deliver an overall “sensory experience”, continues to be a valuable enhancement to product performance attributes.  Texture, product-feel during application and visual impact are also important product features. 

The scent, meanwhile, must convey freshness, purity, naturalness and promote  a feeling of well-being, while also incorporating fragrance notes that communicate the protective, healing and nourishing product characteristics.

shampoo-bottles

 

Posted in Fragrance Marketing, Fragrance Trends, Hair Care, Marketing Consulting, Product Trends, Scented Products | Tagged , , , | Leave a Comment »

The Nose Knows: Nostalgia makes a comeback

May 1, 2009 by fragranceinsights

The advertising industry is banking on nostalgia themes to get consumers out of their spending slump. 

Consumer good giants are reaching back into their archives and reintroducing earlier jingles or packaging designs used for their products in earlier decades, in hopes that consumers’ nostalgia about the past will help fuel some  optimism about life today.

Pepsi Throwback and Mountain Dew ThrowbackPepsi Cola and Mountain Dew have reintroduced “throwback versions” of their popular sodas that are evocative of the ’60s and ’70s, and sweetened with real sugar instead of with high fructose corn syrup.  Meanwhile, Diet Coke has gone back to its 1982 tag line, “Just for the taste of it”.              

Cotton Inc’s. 1981 advertising campaign reassured us that “The touch, the feel of cotton”  was “The fabric of our lives”; a theme that is revisited in 2009, as they pursue a marketing strategy of going back “to the brand’s rich heritage”.   View campaign at: http://www.thefabricofourlives.com.              Source:  Marketing Daily 4/22/09.

General Mills cereals are also being sold in throwback boxes at select Target stores, while I Can’t Believe It’s Not Butter launches a new campaign with a 1950’s visual style, but with a very contemporary message about current health & nutrition trends.   

The Buttertons

The Buttertons

Trix: Retro and Current 

Watch The Buttertons’ transformation from 1950’s cheeky to 2009 hip & healthy by clicking on the link to the left.  

 

 Woman enjoying music, listening to old-fashioned record playerIn fragrance, nostalgia themes are interpreted with gourmand notes such as vanilla & chocolate, popular for their intrinsic feel-good qualities.  Soft woods, musk and nutty notes also wrap you in their sweet, warm and creamy comfort. 

Expect to see many of these nostalgic notes incorporated into the green fresh floral and botanical fragrance characters that have been the common denominator in recent scent development as consumers look for an antidote to life’s uncertainties and stresses!

Have a fragrance or product category you’d like to read more about?…Send me a note and you’ll find it in a future post!

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The Nose Knows: The Scent of Color

April 28, 2009 by fragranceinsights

On a recent shopping trip, I leisurely strolled along our local mega-mall, admiring the vibrant colors and patterns of the latest Spring / Summer collections on display.  One the one hand were the eye-popping turquoises, tangerines and sunny yellows overflowing with floral patterns.  In contrast to those were ethnic-inspired designs interpreted in warm terracottas, earthy olive greens, taupe and chocolate browns evocative of an exotic safari or lush tropical adventure!Water-rose tunic

The vast array of colors and themes immediately got my “creative marketing”  juices flowing, and I found myself wondering… “if that combination of colors were a fragrance, what would it smell like?”    Some of the fragrance concepts that came to mind…

A feminine silk organza dress with a delicate turquoise and olive floral print got me thinking about sea-inspired aquatic top notes enhanced with a white floral heart and a hint of botanical freshness.  Floral-print silk organza dress 

A scent inspired by a casual chino dress printed with bold chocolate-and-lime-colored Moroccan flowers would open up with an effervescent citrus burst, offset by a creamy floral heart containing delicate nuances of ethnic woods and spices, but kept fresh and casual by a leafy green clarity throughout.   Moroccan floral luxe chino dress

 All this creativity…inspired by color!  But that is exactly the point.   Scents are living, breathing art, and their source of inspiration should know no limits!   We should look EVERYWHERE for inspiration, as it might be found in the most unlikely places.   This time we found inspiration in color and fashion; next time…who knows?

 (Photo credits:  Talbots)

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