Hand and Nail Care and Color - US - June 2009

Table of Contents

• Scope and Themes
• What you need to know
• Definition
• Data sources
• Sales data
• Consumer survey data
• Advertising clips
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• Market at a glance
• Category sales concentrated among three players
• Drug stores dominate retail channels
• Subtle demographic shifts will affect market for hand and nail care
• One brand controls nail polish segment
• Usage, attitudes and motivations
• Market Size and Forecast
• Key points
• Category faces potential challenges to growth
• Sales and forecast
  • Figure 1: U.S. FDMx sales and forecast of hand and nail care, at current prices, 2003-13
  • Figure 2: U.S. FDMx sales of hand and nail care, at inflation-adjusted prices, 2003-13
• Walmart sales
• Competitive Context
• Impact of nail salons is unclear
• DIY still a challenge
• At-home products mirror those at salons
• Segment Performance--Overview
• Key points
• Nail polish leads the category
• Hand and nail care sales, by segment
  • Figure 3: FDMx sales of hand and nail care, by segment, 2006 and 2008
• Segment Performance--Nail Polish
• Key point
• Nail polish struggles to retain relevance
• Nail polish sales and forecast
  • Figure 4: U.S. FDMx sales and forecast of nail polish, at current prices, 2003-13
• Segment Performance--Nail Implements
• Key point
• A limited audience curbing growth
• Nail implements sales and forecast
  • Figure 5: U.S. FDMx sales and forecast of nail implements, at current prices, 2003-13
• Segment Performance--Artificial Nails
• Key point
• Teens driving the market
• Artificial nails sales and forecast
  • Figure 6: U.S. FDMx sales and forecast of artificial nails, at current prices, 2003-13
• Segment Performance--Nail Treatment
• Key point
• Steady growth a result of DIY treatment
• Explaining the surge in 2007
• Nail treatment sales and forecast
  • Figure 7: U.S. FDMx sales and forecast of nail treatment, at current prices, 2003-13
• Segment Performance--Nail Polish Removers
• Key point
• Various factors curbing growth
• Nail polish removers sales and forecast
  • Figure 8: U.S. FDMx sales and forecast of nail polish removers, at current prices, 2003-13
• Segment Performance--Nail Polish Accessories
• Key point
• Nail polish accessories lost in the shuffle
• Nail polish accessories sales and forecast
  • Figure 9: FDMx sales and forecast of nail polish accessories, at current prices, 2003-13
• Retail Channels
• Key points
• Drug stores continue to dominate as other channels falter
  • Figure 10: U.S. FDMx sales of hand and nail care, by retail channel, 2006 and 2008
• Retail Channels--Drug Stores
• Key points
• Drug stores making gains after stagnation
  • Figure 11: Drug store sales of hand and nail care, 2003-08
• Retail Channels--Supermarkets and Mass
• Key point
• Supermarkets and mass merchandisers unable to capitalize on economic woes
  • Figure 12: Supermarkets and mass merchandisers' * sales of hand and nail care, 2003-08
• Market Drivers
• Key points
• Population growth of women in key demographic groups will be variable
  • Figure 13: Female population, by age, 2004-14
• Teen population will have a negative impact
  • Figure 14: U.S. teen population aged 12-17, projected growth trends, 2000-30
• Flagging economy enables personal care trade-downs
• Need for thrift means more time for DIY
• Industry cutbacks
• Leading Companies
• Key points
• Coty strengthening its position in the nail care category
  • Figure 15: FDMx sales of nail care, by leading manufacturers, 2006 and 2008
• Brand Share--Nail Polish
• Key points
• New products reeling consumers in
  • Figure 16: FDMx manufacturer and brand sales of nail polish in the U.S., 2006 and 2008
• Brand Share--Nail Implements
• Key point
• Private label posts gains amidst overall decline
  • Figure 17: FDMx manufacturer and brand sales of nail implements in the U.S., 2006 and 2008
• Brand Share--Artificial Nails
• Key point
• A niche segment
  • Figure 18: FDMx manufacturer and brand sales of artificial nails in the U.S., 2006 and 2008
• Brand Share--Nail Treatment
• Key point
• Coty dominates the nail treatment segment
  • Figure 19: FDMx manufacturer and brand sales of nail treatment in the U.S., 2006 and 2008
• Brand Share--Nail Polish Remover
• Key point
• Private label the big winner
  • Figure 20: FDMx manufacturer and brand sales of nail polish remover in the U.S., 2006 and 2008
• Brand Share--Nail Polish Accessories
• Key point
• Nail accessories continue to play a role
  • Figure 21: FDMx manufacturer and brand sales of nail polish accessories in the U.S., 2006 and 2008
• Brand Qualities
• Sally Hansen
• Kiss Products
• OPI
• Revlon
• W.E. Bassett
• Innovation and Innovators
• Overview
• Improved products
• Capturing trends in color
• Advertising and Promotion
• Key points
• Brand focus: Fungi Nail
  • Figure 22: Fungi Nail TV ad, 2008
• Brand focus: Nails AR New
  • Figure 23: Nails AR New TV Ad, 2008
• Brand focus: Natural 10 Beauty Nail Care
  • Figure 24: Natural 10 Beauty Nail Care TV ad, 2009
• Brand focus: Nutra Nail Growth Formula
  • Figure 25: Nutra Nail Growth Formula TV ad, 2008
• Brand focus: Sure Clip
  • Figure 26: Sure Clip TV ad, 2009
• Usage of Hand and Nail Care Products/Services
• Percentage of women using nail polish unchanged
  • Figure 27: Use of nail polish among adult women, July 2007-September 2008
• Usage of nail polish decreases with age
  • Figure 28: Use of nail polish among adult women, by age, July 2007-September 2008
• Incidence of usage decreases with lower income
  • Figure 29: Use of nail polish among adult women, by household income, July 2007-September 2008
• Higher turnover of nail care products more likely among younger women
  • Figure 30: Use of nail polish remover and other nail care products among adult women, by age, February 2009
• Nail strengthening most frequently tried nail care option
  • Figure 31: Use of other nail products/services among adult women, by age, February 2009
• Brand Usage
• Sally Hansen retains a slight lead over other brands
  • Figure 32: Nail polish brands used, July 2007-September 2008
• Brands reaching their target demographics
  • Figure 33: Nail polish brands used, by age, July 2007-September 2008
• Nail Care Routines
• Salon usage decreases with age
  • Figure 34: Where nails are taken care of among adult women, by age, February 2009
• Income related to salon usage
  • Figure 35: Where nails are taken care of among adult women, by household income, February 2009
• Painted toenails more popular among younger women
  • Figure 36: Nail care routine among adult women, by age, February 2009
• Income related to salon usage
  • Figure 37: Nail care routine among adult women, by household income, February 2009
• Purchase Patterns/Behavior
• Walmart the channel of choice across age groups
  • Figure 38: Preferred retail locations for nail polish purchases, by age, February 2009
• Income not strongly correlated with shopping venue
  • Figure 39: Preferred retail locations for nail polish purchases, by household income, February 2009
• Choice is still guided by color
  • Figure 40: Purchase patterns for nail polish, by age, February 2009
• Teen Usage
• Nail polish usage increases with age
  • Figure 41: Brands of nail polish used by teens, by age, April 2007-June 2008
• Older teens use nail polish more frequently
  • Figure 42: Frequency of nail polish usage by teens, by age, April 2007-June 2008
• Impact of Race/Hispanic Origin
• Asians less likely to use nail polish
  • Figure 43: Use of nail polish among adult women, by race/Hispanic origin, July 2007-September 2008
• Black respondents most likely to use all nail products
  • Figure 44: Use of nail polish and other nail care products among adult women, by race/Hispanic origin, February 2009
• Hispanic respondents less enthusiastic about artificial nails
  • Figure 45: Use of other nail products/services among adult women, by race/Hispanic origin, February 2009
• Brand preferences exist based on race/Hispanic origin
  • Figure 46: Nail polish brands used, by race/Hispanic origin, July 2007-September 2008
• Importance of a polished appearance evident
  • Figure 47: Nail care routine among adult women, by race/Hispanic origin, February 2009
• Asian women more likely to stick to the tried and true
  • Figure 48: Purchase patterns for nail polish, by race/Hispanic origin, February 2009
• Appendix: Trade Associations