The private label cosmetics sector is putting pressure on branded goods by following key market trends for natural and cruelty-free products. Patricia Mansfield-Devine reports
The private label cosmetics market is undergoing consolidation and last year saw a marked dearth of new entrants into the market. Instead, the sector was marked by jockeying for position among existing players and brands, and new product development saw brands following market trends, including trends towards cruelty-free and natural.
However, the most important trend seen in 2018 was the continued pressure exerted by mass retailers and discounters to capture a greater share of the beauty and cosmetics sector, according to Brian Sharoff, President of the Private Label Manufacturers Association.
“We are seeing more aggressive marketing by retailers like CVS, Walgreens and Walmart in this category, as Aldi and Lidl strengthen their assortments,” he says.
He also notes that there are few signs of major new retailers coming into the market.
“At this point, it appears that most retailers who are interested in the category are involved,” he says, “but one must keep an eye on . . .
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