Beauty Industry News
North America
Target CEO Boosts Sales with Fancier
In-Store Presentation
CEO David Holl said in a press release, “After several
years of double-digit growth, our investment in a new
manufacturing and R&D facility comes at a critical
time and allows Mary Kay to continue production on
the highest quality skincare and color cosmetics for
our more than 3.5 million independent sales force
members worldwide.” He later continued, “For more
than 50 years, we have
been committed to ensuring
that Mary Kay® products
consistently meet or exceed
consumer expectations… A
new facility for our global
manufacturing and R&D
operations will enable us to
continue to provide bestin-the-industry products to
our Mary Kay brand lovers
worldwide.”
Avon Sees Third
Quarter Sales Drop
The great recession and increased competition from
other retail stores that are pioneered to the “cheap side”
caused Target to overhaul its approach to merchandising. Brian Cornell, Target’s CEO, made an in-store presentation a major prong in its turnaround strategy. To
achieve this, Cornell borrowed some strategies from
department stores. “We realized we were making them
[customers] work too hard,” Cornell told the WWD Apparel and Retail CEO Summit in New York on Tuesday.
“When you walked into our stores to browse, all you
saw were a sea of racks or a string of search results.
So we owed our customer a better presentation.” Target added beauty consultants to respective sections, and
mannequins showcasing their items. Cornell was happy
to report that sales of items worn by mannequins have
increased by 30%. To make more improvements, Target
is hiring 1,400 visual merchandising experts by the end
of the year. “There is an insatiable need to surprise our
guests,” Cornell said. “We had to elevate our assortment and the shopping experience.”
Mary Kay Commits to New
Manufacturing Facility
Mary Kay has announced a new, large scale
manufacturing facility to be built in the Dallas-Fort
Worth area. The exact location is yet to be announced, but
the decision is expected to be made by the end of 2015.
The site will be used for both research and development.
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COSMOBIZ SALON DECEMBER 2015
Once again Avon has seen
a significant drop in sales;
this quarter revenue slid by
about 22%. In the past two
years the company has seen a series of decreases but
not to this extent. CEO Cheri McCoy said, “This was a
difficult quarter impacted by currency and other macro
pressures, and our financial results were not where we
would like them to be,” before continuing, “Given the
challenging environment, I’m proud of the progress our
teams are making, driving solid top-line performance at
the local level and continuing to make improvements in
Representative engagement.”
Europe
Crabtree and Evelyn have announced a series
of holiday pop up stores in time
for Christmas
The move is intended as part of a larger plan to help
expand the company’s presence and reputation while
taking advantage of the holiday income. Retail Director
Alan Dodsworth said, “Opening just in time for
Christmas, this will be an ideal time for customers to
discover and enjoy our Crabtree & Evelyn Made with
Magic seasonal collection.’’ The stores will have the
same format as the stand alone locations, providing the
full range of products.