BUSINESS. 24 Skincare 30 Young people 38 Carers rights. 1.1bn. Non-medicated skincare total market value
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1 C+D p24 skin June 11 CPD 7/6/11 14:06 Page Fungal skin 22 Warfarin 24 Skincare 30 Young people 38 Carers rights CATEGORY FOCUS Skincare Skincare is the largest health and beauty market at well over 1bn so make sure your customers are getting the advice they need, says Fran Robinsonx 1.1bn Non-medicated skincare total market value 50% Pharmacy share of the nonmedicated skincare market 93m Medicated skincare total market value Source: Kantar Worldpanel, 52 weeks to March 20, Chemist+Druggist S kincare is a large and growing market, with over three quarters of the British population buying some form of nonmedicated skincare during the year and spending on average 30 each, according to Kantar Worldpanel data (see Market Insight, p27). 550 million of that spend each year goes into pharmacy, whose share is showing 1 per cent growth compared to stasis in the overall market. Thankfully, the majority of presented skin problems are not serious and can be treated without prescription. This drives patients into pharmacies rather than doctors surgeries for advice and product recommendations, says Richard Anderson, chief executive of Crawford Pharmaceuticals, which distributes the QV emollient range. As skincare products are needed throughout the year, this demand facilitates consistent sales in the skincare area and provides pharmacies with a steady income, he adds. A Lloydspharmacy spokesperson says new product development always drives growth in the skincare category, along with price promotions. Increased awareness due to marketing and education is also helping to increase sales, she adds. Cosmetic brands such as L Oréal have introduced some significant technology to the market with the Derm Source range launched under the Vichy brand name, which aims to fight the ageing effects of the skin. And it s not just the multiples who are benefiting. Numark marketing manager Lynne Henshaw says the skincare category continues to grow within independent pharmacy too, with more customers asking for advice than ever before. Community pharmacy should concentrate on skin conditions to underpin their competitive advantage sales that are driven by sound advice. Although I would not recommend stocking a huge range, don t forget beauty. Her advice is backed by the numbers, as Kantar Worldpanel data shows customers spend nearly 95m on medicated products and splash out 308m on prestige health and beauty skincare every year. Ms Henshaw also recommends devoting some space to baby skincare, where Kantar Worldpanel says pharmacy has been losing out to grocery over the past year. The multinational pharmaceutical and cosmetics group Pierre Fabre recently conducted a survey on sensitive skin and discovered that people with skin issues would prefer to speak to a pharmacist than to any other retailer. This is not only because they trust their advice, but also they feel more confident that the issue will not be dismissed, says Bao Tam Phan, the company s UK marketing and training manager-pharmacist. People may expect their pharmacist to be more compassionate and recommend the products they see best for the customer.
2 Product Watch QV Distributor: Crawford Pharmaceuticals For: Skincare throughout the year What s new? The QV emollient range is relaunching with a new look and increased marketing spend after an online campaign targeting mums in 2010 boosted sales by 47 per cent year on year, the company says. A recent survey found 89 per cent of people with dry skin felt QV was different to their previous dry skin products Tel: alison.whittaker@crawfordpharma.com Format/pack size: Cream 100g, 500g; bath oil 200ml, 500ml; wash 200ml; lotion 250ml Pip codes: , ; , ; ; RRP: 3.52, 10.08; 3.96, 8.10; 4.50; 5.40 Uvistat Medicated Lipscreen SPF50 Manufacturer: LPC Pharmaceuticals Classification: GSL For: Sun protection Active ingredients: Sunscreens USP: The combination of tea tree oil, moisturising properties, five-star UVA protection and UVB SPF50 help prevent cold sore development in the sun. The product is available on prescription Contraindications: Sensitivity to any of the ingredients Tel: campbell.douglas@lpcpharma.com Format/pack size: 5g Pip code: RRP: 4.99 Eurax Manufacturer: Novartis Consumer Health Classification: Eurax Cream and Eurax Lotion GSL, Eurax Hc Cream P For: Relief of itching and skin irritation associated with 10 different skin conditions: allergic rashes, eczema, hives, nettle rash, insect bites and stings, heat rash, sunburn, chicken pox, dermatitis and personal itching. Hc Cream provides relief from inflammation and pruritus associated with irritant contact dermatitis, allergic contact dermatitis, insect bite reactions and mild to moderate eczema Active ingredients: Eurax Cream and Eurax Lotion: crotamiton. Eurax Hc Cream: crotamiton and hydrocortisone Contraindications: Eurax Cream and Eurax Lotion: acute exudative dermatoses; hypersensitivity to any of the ingredients; Eurax Cream should not be used in or around the eyes since contact with the eyelids may give rise to conjunctival inflammation. Eurax Hc Cream: hypersensitivity to any component of the formulation; bacterial, viral or fungal infections of the skin; acute exudative dermatoses; application to ulcerated areas; use on the eyes/face, ano-genital region, broken or infected skin including cold sores, acne and athlete's foot Tel: Format/pack size: Eurax Cream 30g, 100g; Eurax Lotion 100ml; Eurax HC Cream 15g Pip codes: , ; ; RRP: 3.80, 6.53; 5.02; 3.31
3 CPD 18 Fungal skin 22 Warfarin 24 Skincare 30 Young people 38 Carers rights Market Insight: Skincare Over three quarters of the British population buy some form of non-medicated skincare in the year, spending on average more than 30 each and this is why it is such a large and important market, valued at over 1.1 billion. Add to that 93 million spent on medicated products (down 2 per cent year on year) and 308m on prestige skincare (up 2 per cent) and we see the largest health and beauty market. After the leap in value of Boots No7, when Protect & Perfect shook the market in 2009, we have seen a levelling out in performance, with baby, body and odd as it may seem petroleum jelly all performing well year on year. Vaseline becoming a fashionable lipcare accessory has helped the latter category. However, the largest subcategory, facial moisturisers, dictates the total market trend and price promotions in this area and shoppers trading down have led to a 2 per cent decline in value. Indeed, anti-ageing (at 250m within facial moisturisers), is seeing a 5 per cent decline as cheaper products claim to perform a similar function to more expensive brands. Boots No7 is still far and away the biggest brand, with the Oil of Olay range in second place. Notable growing brands include The Sanctuary, Dove, Soap & Glory and the offerings from Aldi at the budget end of the Market changes : non-medicated skincare Total market value 1.1 billion 0% Pharmacy market value million +1% Medicated skincare Total market value 93.2 million -2% Pharmacy market value 23.4 million -10% shopper spectrum. Aveeno and Jergens have also performed well. Boots share of the total market is growing and, in an area where they can stock a large range, they dominate, with nearly half of all skincare sales by value. Tesco is the biggest grocery multiple, with Superdrug in third place. Unsurprisingly, this means Boots also dominates the pharmacy sector, with the added advantage of its own labels, No7, Time Delay and other ranges. This is why own label makes up 52 per cent of value sales in pharmacy, compared with 36 per cent of all GB sales. We also see a difference in subcategory trends when comparing pharmacy versus the total market trends: hand and nail does much better in pharmacy, as do cleansers. However, pharmacy has lost out in the growth of baby skincare, where grocery does better. Over a quarter of all medicated skincare sales go through pharmacy and an argument could be made that this should be higher given the nature of the products. Pharmacy has performed better with some more specialised products such as Bio-Oil. For smaller pharmacies, the number of items to stock will always be an issue. Care should be taken to offer some old favourites while stocking brands for dry, baby and teenage skin. How the subcategories compare: non-medicated skincare, pharmacy Market share Branded v own label: Non-medicated skincare Total market share Subcategory growth Facial moisturiser 49.6% -4% Body 24.6% +9% Cleansers 16.0% +6% Hand and nail 4.7% +13 % Lip products 2.1% -6% Toners 1.9% -3% Baby 1.0% -2% Petroleum jelly 0.2% +/-0% Pharmacy market share 5 tips to boost your skincare sales 1. When it comes to merchandising, E45 should be the beacon brand for the skincare category this is the one customers use to identify the section. Lynne Henshaw, marketing manager, Numark 2. Explain the skincare routine in detail and split it into three simple steps: cleanse, exfoliate, moisturise, and treat when needed. Spokesperson, Freederm 3. Try the products yourself or be trained by the brand about the efficacy of the products. Bao Tam Phan, UK marketing and training manager-pharmacist, Pierre Fabre 4. Many skincare enquiries are seasonal. During the winter months there are more enquiries relating to chaffed skin and summer months see an increase in conditions such as prickly heat. It s important to establish what the customer s condition is so suitable recommendations can be made. Spokesperson, Lloydspharmacy 5. Make sure your team understands that any item that the customer wants that you don t have in can usually be obtained the next day. Lynne Henshaw, marketing manager, Numark Best selling nonmedicated skincare brands Total market 1. Boots No7 2. Oil of Olay 3. Simple 4. L Oréal Demo Expertise 5. Nivea Visage 6. Garnier Skin Naturals 7. Nivea 8. The Sanctuary 9. Vaseline 10. E45 Pharmacy 1. Boots No7 2. The Sanctuary 3. Oil of Olay 4. L Oréal Demo Expertise 5. Boots Time Delay 6. Soap & Glory 7. Nivea Visage 8. Garnier Skin Naturals 9. Simple 10. Bio-Oil Branded 64.1% +2% Branded 48.5% +7% Source: Kantar Worldpanel, 52 weeks to March 20, 2011 Own label 35.9% - 3% Own label 51.5% -4% How staff training has benefitted one pharmacy s skincare sales Source: Kantar Worldpanel, 52 weeks to March 20, Data and analysis provided for C+D by Kantar Worldpanel (Strategic insight director Tim Nancholas) Case study: co.uk/pharmacy-business Chemist+Druggist 27
4 CPD 18 Fungal skin 22 Warfarin 24 Skincare 30 Young people 38 Carers rights Product Watch SOS Rescue Me Manufacturer: First Natural For: Extremely dry, sensitive, irritated or uncomfortable skin, for all ages. It may also be suitable for those prone to eczema and psoriasis Key ingredients: Stellaria (chickweed) and burdock botanical extracts, macadamia and evening primrose oils, organic sulphur (MSM), neroli and chamomile pure essential oils USP: A natural therapeutic formula using a combination of ethically sourced botanical extracts, pure natural moisturisers and essential oils Tel: sales@barefoot-botanicals.com Format/pack size: 50ml, 100ml RRP: 9.95, Care ViraSoothe Manufacturer: Thornton & Ross Classification: Medical device For: Relief of the irritating symptoms of chicken pox, by cooling the skin and relieving the itching. Can be used all over the face and body for adults and children over six months Key ingredients: Care ViraSoothe uses technology that works through osmosis to cool and hydrate the skin What s new? The current Spot and Soothe campaign aims to encourage parents to be prepared with ViraSoothe if there is an outbreak at school. The brand is working with the Netmums website to host a one-month chicken pox Q&A forum Tel: chickenpoxenquiries@thorntonross.com Format/pack size: 50g, 75g Pip code: , RRP: 5.73, 8.33 Exorex Manufacturer: Forest Laboratories Classification: GSL For: Treatment of psoriasis Active ingredients: Cutaneous emulsion prepared coal tar 5 per cent v/w USP: A range of Exorex wash and moisturising products formulated with the psoriasis sufferer in mind complement the treatment lotion, including Exorex Hair and Body Shampoo and Exorex Moisturising Cream Contraindications: Sensitivity to coal tar or any of the ingredients; presence of folliculitis and acne vulgaris; conditions characterised by photosensitivity; inflamed or broken skin (open exuding wounds or infection of the skin) Tel: exorex@forest-labs.co.uk Format/pack size: 100ml, 250ml Pip code: , RRP: 15.27, Chemist+Druggist Freederm Manufacturer: Diomed Developments Classification: Freederm Gel GSL, rest of range non-medicinal For: Spot-prone skin Active ingredients: Nicotinamide (Freederm Gel only) What s new? In the past year, Freederm has launched Deep Pore Cleansing Wipes and Oil-free Perfecting Moisturiser. The brand is currently on TV Formats/pack sizes, pip codes and RRPs: See C+D Monthly Price List or E45 Endless Moisture Derma Restore Manufacturer: Reckitt Benckiser For: Skin hydration What s new? E45 Endless Moisture Derma Restore launched last month with 1 million support, promising to grow the mature body skincare market Format/pack size: 200ml Pip code: RRP: 4.59 Zero AQS Manufacturer: Thornton & Ross Classification: Medical device class 1 For: Use as an emollient and skin cleanser in management of dry skin conditions Ingredients: Macrogol cetostearyl ether, cetostearyl alcohol, chlorocresol, liquid paraffin, paraffin white soft and purified water What s new: Launched on June 1, ZeroAQS is an SLS (sodium lauryl sulphate)-free alternative to aqueous cream Contraindications: For external use only. Seek medical advice before use if the skin is broken Tel: Format/pack size: 500g, 100g RRP: 3.09, 6.17 Pip code: , Veet Hair Minimising Body Moisturiser Manufacturer: Reckitt Benckiser For: Reducing the appearance of hair re-growth and softening stubble Key ingredients: Trade-marked Prominimise inhibits hair follicle activity What s new? Veet Hair Minimising Body Moisturiser launched in February this year with 2 million support including TV advertising Format/pack size: 250ml RRP: 4.99
5 C+D p24 skin June 11 8/6/11 14:50 Page 29 How Dead Sea skincare brand Ahava is stimulating growth Case study Co-operative Pharmacy, Gilfach Goch, Mid Glamorgan Elen Jones Elen Jones, pharmacist at the Glifach Goch Pharmacy in Mid Glamorgan, keeps herself up to date on skin conditions and all the new products coming onto the market in order to deliver the best possible care for her customers. Skincare is a very important for her busy pharmacy, which is attached to the village s health centre. Ms Jones receives regular queries about dry skin, dermatitis, eczema and acne and spends a lot of time counselling mothers concerned about skincare for babies and young children. Ms Jones has done a distance learning course on skincare with the Wales Centre for Pharmacy Professional Education, she studies pictures of skin conditions in text books and regularly signs herself and her staff up for training modules provided by pharmaceutical companies. It s a priority for me to keep myself up to date: [there s] nothing worse than someone coming in and saying, I saw this on TV, and you haven t a clue what they are talking about, she says. Anthelios XL Manufacturer: La Roche-Posay For: Sun protection against UVA and UVB rays Key ingredients: Patented filters Mexoryl SX and Mexoryl XL What s new? Research by Anthelios reveals that over a third of the general public still aren t applying sunscreen while in the UK, despite a quarter of the nation burning themselves last year. The survey also shows that the majority of Brits would seek advice on sun protection from a healthcare professional (pharmacist, dermatologist or GP). In response to these results, La Roche-Posay has developed an A4 reference sheet to guide pharmacists and GPs on the latest information regarding UVA and UVB protection Tel: info@laroche-posay.co.uk Format/pack size: 50ml. Available for normal/dry skin, oily/combination skin, acne-prone skin and in tinted SPF50+ versions. Anthelios XL Melt-InCream is also available on prescription Pip code: RRP: 15 CPD Reflect Plan Act Evaluate Tips for your CPD entry on skincare REFLECT Do my patients get the most out of skincare products? PLAN Review my and my staff s knowledge and sales protocols. ACT Revise common skin conditions, review available products and recent innovations in the market and arrange training as necessary. EVALUATE Do my patients get better skincare advice?
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