In the report drawn up in 2010 for Eurostaf ("Private Label Beauty Brands": see details in the left column of BrandWatch), I identified four strategies among beauty private labels - one of which seemed to me the most promising: creating exclusive brands. Two recent launches in the U.S. show that this strategy is forging ahead.
- Walmart launched geoGirl in February - a makeup brand designed for the 9 to 12-year age group (!!): this exclusive brand (69 references) has two major characteristics:
- It presents itself like a "Green Living" brand: packaging that is recyclable, natural ingredients, free of parabens, phthalates, artificial colours and synthetic perfumes (is this really possible??!!).
- GeoGirl is owned by Pacific World Corp. - a company that manufactures beauty products (mostly artificial nails) for the mass-market, either under its own brand name (Nailene) or for international brands (Revlon). Walmart will distribute this brand exclusively for at least a year.
- Walgreens has launched Borba (which was distributed exclusively by Sephora for a while) - a brand of cosmeceuticals and food supplements ("Inside-Out Beauty Solutions"), created by Scott Vincent Borba in 2004 and built around "superfruits". Banking on the acquisition of Duane Reade in 2010 (that referenced Borba), Walgreens seeks to penetrate the premium beauty segment: one may wonder if it is not Borba too that is repositioning itself as more "mass-market": Crystalline (a 'beauty' drink) was sold at $100 for 60 (or $ 1.67 each) by Sephora, and $ 7.19 for 7 (or $ 1.03 each) at Walgreens – a whopping 38% less! (the packaging has also changed – definitely less premium).