Home Blog Customization is the Expectation
Apr 6, 2017

Customization is the Expectation

Subscribe to our blog

I like my things a certain way. I order a Grande Iced Caramel Latte with extra caramel at Starbucks; I jump at the opportunity to choose products that I’ll receive in my FabFitFun subscription box; and I appreciate that my social media platforms keep me informed of events happening around me. Customization influences my shopping decisions, and I’m not alone in this. Today’s consumers demand the ability to control the types of products they purchase, and how they interact with them.

While customization is not particularly new to the makeup category, recent initiatives have proven that this trend is ramping up. Customization is core to Bite Beauty’s Lip Lab, which offers customers the ability to make a custom lipstick or lip gloss in store and experience the production firsthand. While the first Lab opened in New York City in 2013 as a temporary establishment, its popularity with consumers resulted in the Lip Lab becoming permanent. Bite Beauty’s Lip Lab has since expanded to two locations in California (Santa Clara and San Francisco) and Toronto as well – a testament to the consumer desire for customized product offerings.

Another testament to the trend is Shiseido’s recent acquisition of MatchCo, a California-based startup that developed a mobile app that scans users’ skin and creates individualized shades of foundation. Customization capabilities factored into the acquisition, according to a Fortune article, as Shiseido CEO Masahiko Uotani remarked that the acquisition would enable the company to “offer more value to its customers through accelerated innovation in rapidly evolving digital tools and customized products.”* As another example, Lancôme recently launched their Le Teint Particulier foundation in select Nordstrom stores, allowing customers the ability to purchase a personalized and custom-blended foundation in the shade that matches their skin perfectly and retails for $80. This custom foundation is packaged in a bottle with the customer’s name on it, as well as a unique complexion ID that allows for easy replenishment. A search on YouTube for reviews on the foundation returns over 1,800 reviews, including those done by influencers Jeffree Star and Jackie Aina.

While makeup continues to lead the pack as the fastest growing prestige beauty category, slowed growth in dollar volume and average price indicate an opportunity for innovation.** Brands can leverage capabilities to offer consumers customized product offerings that fit perfectly into their makeup routines and lifestyles. Coupling this offering with an in-store experience further strengthens the appeal of brick-and-mortar to consumers as well. Overall, pursuing a customization strategy would enable brands to capture part of the innovation pie while remaining relevant with consumer expectations.


*Fortune, “Shiseido Just Bought a Makeup App That Scans Your Skin and Creates Custom Foundation”
**The NPD Group, Inc. / U.S. Prestige Beauty Total Measured Market, February 2017



Stay current in your industry
SUBSCRIBE

Related Blog Posts

Tagged: Beauty


VSCO Girls: How A Consumer Group Born on Social Media Has Cross-Industry Implications
VSCO Girls: How A Consumer Group Born on Social Media Has Cross-Industry Implications

The VSCO girl subculture took hold this summer and has created opportunities for products and brands in a variety of industries including apparel, beauty, fashion accessories, footwear, sporting goods and technology. We asked our industry analysts to weigh in regarding the implications and opportunities for their industries.

The Price of Perception
The Price of Perception

As we enter the holiday season, beauty products will likely be a gift of choice for many people. While hot deals have become a holiday shopping staple, prestige brands and retailers must strike a balance between offering value and staying true to their heritage.

The New Clean-ical
The New Clean-ical

As consumers voice concerns over ingredient safety, clinical brands that are making public statements on clean ingredients are growing by a combined +100 percent. Such brands are creating products that forgo harmful synthetics, while maintaining their clinical ethos.

The Beauty of Sustainability
The Beauty of Sustainability

Beauty brands are incorporating sustainability through ingredient sourcing and reusable packaging, and through their business practices. Brands that use their voice to bring consumer attention to industry issues like sustainability are experiencing double digit growth in a softening market.

Newsletter

Subscribe and get key market trends and insights relevant to your industry each month.

We will not sell your information. View privacy notice.

Follow Us

© The NPD Group, Inc.