Hooking consumers from birth is every cosmetics company’s dream - and in the baby care market there is a real opportunity to reach tots early on. However, as global fertility rates plummet and the naturals trend really takes hold, can the baby care market grow up with the infants it serves? Jo Allen reports
When it comes to toiletries, little people are big business. The global baby and children’s toiletry market reached $3.9bn in 2004 (Euromonitor), with the majority of countries recording growth. In 2005, the US baby and toddler market swelled to $680m (Kimberly-Clark), while the UK grew 4% over 2004 and has leapt 21% since 2000, despite the number of 0-9 year olds actually falling 5% between the millennium and 2004 (Mintel).
Pampering parents is also big business. A Mintel report found that 21% of its panel of consumers could be classed as pampering parents, which Mintel translates as being: “Most receptive to innovative and value-added toiletries as they’re willing to pay more in order to get better quality products for their children.” Many parents are looking for products that save time and products that put the fun into functional to make bathtime less of a challenge. But they are also increasingly on high alert about the safety of baby toiletry products, a factor which is driving growth in the natural and organic baby care market.
This market is one of the fastest growing subcategories within the entire naturals category. Alexander Barani, European brand manager for the Jason company says: “Pregnancy and parenthood often drive shoppers to switch from mass market brands to companies with natural and organic offerings. Even when parents aren’t purchasing natural for themselves, they are for their child. Parents want the purest, safest ingredients possible for their child, even more so than for themselves.” According to organic hair care and body care expert Daniel Galvin Junior, the natural baby toiletries market “will continue to rise and be on par with the adult market due to parents caring more not about just what they put in their babies bodies but also what they put on them”.
Natural selection
Media coverage of studies on certain ingredients used in baby formulations – such as parabens, sodium lauryl sulfate (SLS), sodium laureth sulfate (SLES), phthalates, MIT, triclosan and propylene glycol – has led to a boom in the number of natural baby brands who exclude these ingredients from their formulations, some of which are keen to point out the market leading baby brands who do not. Lisa Thorne, ethics director, Institute of Dermapaedics and consultant to children’s C&T brand Halos n Horns comments: “Mums simply assume that the massive baby brands are kind, simple and gentle because of their packaging and good family names. However, most in fact contain SLS and SLES. Our research suggests that this is why up to 50% of children, especially toddlers, present to GPs with eczema, contact dermatitis or worse. In other words, it’s just a marketing ploy to con mums into believing products are trustworthy.” Galvin Jnr agrees. “Consumers are conned and misled by mass manufacturers that have endless funds to promote on the shop shelf and through advertising, therefore people perceive them as being market leaders,” he says.
Halos n Horns, a company which was established and filmed last year in UK TV documentary Make Me A Million, set out to offer an alternative to what it calls the ‘kind in name only brands’ that dominate supermarket shelves while being no more expensive. Leila Wilcox, md comments: “Johnson & Johnson owns the kids market, and P&G is second, but after that there’s no-one else. Buyers realised they needed to offer more choice.” In under a year, Halos n Horns has become the number three children’s toiletry brand in the UK and generated £80k in its first month of sales at Tesco. The range includes hair and body wash, baby bath, shampoo and conditioner, shampoo and detangler and is next month launching Toothy Fruity, an SLS and SLES-free toothpaste. Halos n Horns has 25 new products in the pipeline, is looking to develop an adult range and has now launched in Germany.
Another successful range, Daniel Galvin Junior Hair Juice is extending its upmarket baby care line with Bath & Body Wash and Baby Body Moisturiser, each available in three varieties – camomile, cucumber & melon and lavender. The range uses only naturally derived and organic ingredients which, for inclusion in baby care formulations, presented challenges in “finding the balance between being mild enough and natural enough while cleansing without stripping the natural oils from the scalp and the body.”
Jason Natural Products partnered US organic baby food company Earth’s Best to develop Earth’s Best Organic Baby Care by Jason last April, a 70% organic and 100% natural range of six products that all contain natural oat extract beta-glucan and oat oil to moisturise. As well as a shampoo and body wash, calming lotion and baby oil, the line features problem-solving products: Extra Rich Therapy Crème for dry skin, eczema or cradle cap, Diaper Relief Ointment and Chemical-Free Sunblock, which claims SPF30+ protection. The baby line uses sodium benzoate, potassium sorbate and grapefruit seed extract and Jason is currently removing parabens from the rest of its toiletries. “We have been using these three food grade preservatives to replace parabens in a great portion of our line for over two years now,” says Barani.
The demand for organic baby
Products was also targeted by Baby Organics, an Australian range of nine products for baby and a stretch mark cream for mums featuring ingredients that come from renewable plant sources and herbs and oils selected to protect baby skin. Essential Care for Baby, launched at the end of 2005, is Soil Association certified and free from the synthetics also avoided by its competitors. The range includes Organic Calming Spritz, Gentle Wash & Shampoo, which it claims is the first Soil Association certified baby wash, Organic Repair Lotion, Organic Baby Oil and Organic Soothing Salve. At the premium end, The Organic Pharmacy is adding a new Apricot & Chamomile Baby Care range with shampoo, conditioner, lotion and wash to its existing baby products, featuring gentle sugar-based detergents and apricot extract to leave hair and skin soft without irritation. Aloe, marigold and camomile are also included for their smoothing and softening properties.
Popular mass market range Little Me Baby Organics launched a new Moisture Babies collection, targeting the one in four babies who suffer from dry skin. The bath soak, body wash, hair wash and body cream are formulated with shea butter, aloe vera and glycerine, as well as organic lavender and camomile to comfort and hydrate skin.
The trend for travel sized products has also reached the baby market, with Little Me Baby Organics Minis being launched last June in 100ml bottles, while Simple Baby opted to launch a travel pack of wipes. The brand reformulated its wipes to be more effective at cleansing and moisturising and to feel softer on the skin and launched an innovative Softening Liquid Talc, which is applied as a liquid and dries into a soft powder to create a friction-free layer that keeps skin smooth and dry.
Addressing the market for environmentally friendly, natural baby products is Healthquest’s Earth Friendly Baby, which added Eco Baby Wipes to its range. The 100% biodegradable wipes replace the plastic in the material with corn-based Ingeo fibre, while the rest is derived from wood pulp. They are also blended with organic camomile and organic calendula to soothe baby skin.
With the number of new alternative brands being launched, there is no doubt that the natural baby toiletries market is quickly developing. But how big could it become? Could we reach a point where all baby products are being reformulated in line with natural market offerings? “The Women’s Institute, Friends of the Earth and the World Wildlife Fund are all campaigning to have these formulations changed,” says Wilcox. “The US is banning a lot of chemicals in its ?toiletries. If the UK government comes under pressure I think (formulations) will change. I think all products should be free of these chemicals and I hope larger manufacturers will get rid of them. I hope in five years’ time there isn’t one product on the shelves that has these chemicals in.” Galvin Jnr believes that consumer preference will out: “Organics and naturals will become more available to us and therefore
consumers will know the significant
benefits and gains in the results”.
A word of caution
But far from everyone in the industry is in agreement on this. Consultant formulator John Woodruff says that while all companies are affected by market trends, and many supermarkets and C&T retailers will follow a product if it is successful, he doesn’t “go along with the idea that because it’s natural it has to be good and because it’s chemical-based it has to be bad”. There can be hazards with natural shampoo formulations, for example. “The problem with some natural shampoo formulations is that they are often runny and could possibly run into the baby’s eyes. However mild it is, you don’t want that,” says Woodruff.
There have also been papers published which express doubts over the effectiveness of grapefruit seed extract as a preservative in cosmetics and other reports over its safety when used in anti-fungal health food supplements. Woodruff says: “I’m sure that parabens are about the safest preservatives there are. Benzoic acid is a good alternative provided it is used properly at the correct pH.
“All cosmetics must be safe. All preservatives have a recognised safe level of use controlled by legislation provided they are used properly. In some ways I’m more suspicious of niche products because they may not have been developed by people with a solid background in formulating.”
So the real issue here is safety and this is what concerns parents most. Whether natural or synthetic, surely parents simply want to use the product that is safest? Will natural-based products always be able to claim that they are safer? Is it possible that they might be on the receiving end of ingredient scare stories too? Whichever way different parts of the industry strive to achieve greater safety in children’s products, the fact that this is the goal can only be a good thing.
Boots, for example, notes that baby skin is 30% thinner than adult skin and needs extra care, particularly newborn skin and those babies who suffer rashes and eczema, so products need to be as mild as possible. “The Boots Baby Sensitive Skin preparations have been tested using the latest technologies developed in conjunction with dermatologists,” says Steve Barton, Boots’ skin care scientific adviser. “We also confirm these mildness figures by thorough testing in adults and babies so that performance in real-use conditions are assessed. All these results are reviewed by a dermatologist and paediatrician who, once they are happy with the result, give the products their seal of approval.” Joining the Boots Baby Sensitive range this year are new products Foaming Mousse, Ultra Moisturising Body Wash and Protecting Bottom Balm.
The quest for ever improved safety was also behind the US boom for disposable baby products last year. As Gwenael Quéré-Joseph, industry analyst at Euromonitor, finds: “A growing number of disposable baby bath products were launched in 2005 in response to the worry about bacteria breeding inside a bath sponge that is used for the baby.” Disposable washcloths from brands including Johnson’s (Easy-Foam Bathtime Buddies Face and Body Washcloths) and Huggies (Disposable Washcloths with Lavender & Chamomile) were among the product launches.
Sun specifics
And safety is the single most important factor when it comes to sun care for babies and children, with 80% of skin damage from the sun occurring during childhood (British Skin Foundation). Many leading sun care manufacturers have striven to achieve new levels of safety with their new formulations for 2006. Nivea Sun has launched Baby Sun Lotion SPF50+ and Children’s Sun Spray SPF50+. “When it comes to children, parents buy the highest available SPF. The attractiveness is high for high SPFs because parents are concerned and want to use the best protection available,” says Nivea Sun’s head of R&D Martin Sugar. However, SPF factors will not continue to rise, says Sugar. “We’ll stop at SPF50+, this is designed for extremely sensitive skin.” Nivea has also incorporated immediate protection technology into its children’s sprays and lotions and offers longer-lasting (two hours’ worth) water resistance. Sugar explains: “When we asked consumers about water resistance in products, satisfaction had previously been very low because the water resistance wasn’t long lasting.”
Boots has also added an SPF50+ variant to its successful Soltan Kids take-away pouch formats and updated its designs on-pack, while Garnier Ambre Solaire has focused on extending its choice of protective products for kids with SPF40 Spray, SPF40 Milk and SPF25 Spray: light, non-sticky formulas that are said to be quick and easy to apply.
And an interesting product promotion from Kimberly-Clark and SunHealth Solutions in the US in April includes SunSignals UV Sensors in packets of Huggies Little Swimmers disposable swimpants. The sensors are self-adhesive patches that can be applied to a child’s skin or clothing to help parents monitor their child’s exposure to UVB radiation. As exposure increases, the sensor changes colour, from yellow to deep orange, and the sun designs within the sensor disappear, signalling that it’s time to seek shade or apply more sunscreen.
For the fun of it
Elsewhere in the children’s market, fun rules. Whether through TV or movie licensed toiletries, bright packaging and fruity scents or formats that encourage the child to use the products themselves, fun is an important product benefit, particularly for toddlers and children under 12. Dendron, which is behind the new Disney license of Winnie The Pooh toiletry products for children aged two and up, tried to introduce fun and product interaction into the range. Brand manager Karly Sadler says: “We have added little stories on pack, which is appealing to mum and child. The packaging is user friendly and fun; you press the button and the top flips up which amuses young children.” Another product, Magic Bubbles colour changing bath bubbles is coloured green but changes to blue once run into the bath.
Gelli Buff is a powdered bath product for children that turns to a thick, coloured, creamy gel once it is added to water. There are four different coloured products in the range – green Magic Swamp, Orange Gloop, red Lava Blast and Blue Lagoon – which are all fruit scented and include a no-tears formulation.
And Superdrug’s new Kids Extra Gentle hair care range features labels on the bottles which when rubbed release a fruity fragrance. The brightly coloured bottles include fruit scented products with no-tears and no-tangle formulations.
Sadler notes a theme which has developed in children’s toiletries. “There is a trend towards identifying segments of the children’s market,” she says. “Children have very different needs at different ages and the product opportunities within these are far reaching. The market will continue to fragment.”
Independence is one of these needs. Paediatrician and member of the Pampers Parenting Institute Board Loraine Stern says: “Growing children really want their independence and are very eager to learn simple tasks such as washing themselves.” This is where Kandoo (P&G) and Huggies (Kimberly-Clark) have pressed the right, oversized buttons. Lee Raftery, sales & marketing director for toiletry licensing company Grosvenor, explains their success: “Kandoo and Huggies are good at creating a need from strong TV advertising, and the category benefits from this.” Kandoo has just expanded its range in the US to include 2-in-1 Instant Foam Shampoo and Foaming Body Wash, each in three fragrances. The packaging is designed for children to use and features easy to understand graphics where the Kandoo frog shows children how to wash themselves. Huggies in the US has launched a whole new toddler line based around this concept. Huggies Cleanteam is designed to help parents teach children the importance of being clean while having fun in the process. The range includes tear-free products such as Sammy the Snake Shampoo, Billy the Bison Body Wash and Molly the Mule Wash Mitts.
Character building
The successful children’s licensed toiletries market continues to record significant growth, and in the UK alone is worth £52m from npd. Raftery explains the success of this sector: “Kids respond to what they see and what is being talked about in the playground and TV and movies are the most important forces in the children’s market. We are about to launch Dr Who, which from a TV and viewing point of view is very successful. We expect this to translate into toiletry sales.” A key driver in Grosvenor’s Dr Who range includes the Dalek 3D Bath & Shower Gel, while other products include Sonic Screwdriver Bath Set, where the end of the screwdriver is pressed to release four bath fizzer tablets. For pre-schoolers, Grosvenor is launching a Pocoyo set on the back of the popular TV series which aired again in March, including wash mitts, stacking soaps, bath and shower gel and a Bath Fountain which floats on top of the bath and squirts water. And girl’s programme Trollz is being joined by a range that includes make-up sets for tweens and a Crazy Hair Salon with accessories such as hair mascara.
With this market it is the format that is vital to getting it right. Raftery comments: “Kids have a short attention span so it’s about creating new, fun and innovative ideas.” Tried and tested formats such as the 3D bubble bath format have been popular for 20 years, while lots of other things come and go, says Raftery. “We have to anticipate and create those demands, as well as know when to get out.” Licensed products are also big sellers in the growing children’s birthday party market; not only as presents for the birthday girl or boy, but as take home gifts for the partygoers. “Children of five or six go to an enormous number of birthday parties each year and this means a lot of gift purchasing. We do well in this area. Lower priced gifts are often bought by the dozen,” he notes.
But how does the sector for fun children’s toiletries fit alongside the demand for products to be natural? “Natural is a growing trend in the market, but the character side is much bigger at the moment,” says Raftery. “However, I suspect natural formulations will become increasingly important and it’s something we are certainly working on for the future.” It looks likely that the licensing and naturals market will merge to a degree.
What is good news for the industry is that one product no longer fits all sizes. Children have completely different needs in a short space of time; the age factor is incredibly important. Whether manufacturers choose to target products that claim to be safest for the youngest, most delicate skin or that captivate the interest of an older child, the most unique and attractive attribute of this market is the many opportunities that it opens up.
