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Hair care industry in Canada
1.
HAIR CARE IN
CANADA 27 Jun 2011 HEADLINES In 2010 hair care grows by modest 2% in current value terms to reach C$1.5 billion Emphasis on product development and marketing is on salon-quality care Push for salon-quality hair care in retail represents challenge for salon products and sales, forcing salon products to reconsider choice to emphasise exclusive image and quality Unit prices edged up on the wave of product development, but consumers’ cautious attitude and search for discounts limits extent of price increases L’Oréal Canada and Procter & Gamble together account for over half of all hair care sales in Canada in 2010 Hair care sales projected to see modest 1% constant value CAGR over forecast period to achieve C$1.6 billion in 2010 COMPETITIVE LANDSCAPE L’Oréal Canada and Procter & Gamble remained the two leading marketers of hair care products in Canada, at the end of the review period with a combined value share of 56%. L’Oréal had a slight edge over Procter & Gamble, which is chiefly due to L’Oréal’s strength in colourants, salon hair care and styling aids. Although Procter & Gamble ranked second in hair care, its Pantene brand ranked first in Canadian hair care sales in 2010 with a value share of 8%, registering a gain over 2009. The brand is particularly strong in standard shampoo, conditioners and 2-in-1 products. It is also among the top- ranked in styling aids. The brand receives strong support from the company, with continuing product development (most recently the Pantene Curly line of hair care products for curly hair) and strong investment into marketing and advertising to maintain a high degree of brand awareness. In fact, in 2010 the Pantene brand was officially “re-launched” with a new look and emphasis on a customised approach to hair care. The revamp reportedly led a simplified approach to hair care identifying four major hair care requirements – fine, medium-thick, curly and colour. This led to a reduction in the number of SKUs, making it easier for customers to find products according to their needs. The company called it “problem solution merchandising”. The brand re-launch was accompanied by an © Euromonitor International 2011 www.euromonitor.com
2.
innovative advertising campaign
featuring real female customers as opposed to celebrities and models, thereby bringing Pantene products more in touch with the average user. © Euromonitor International 2011 www.euromonitor.com
3.
NATIONAL BRAND OWNERS
AND THEIR BRANDS Company Name (NBO) Brand (GBO) Alberto European (Alberto-Culver Co), Alberto VO5 (Alberto-Culver Alberto-Culver Canada Inc Co), Nexxus (Alberto-Culver Co), TRESemmé (Alberto-Culver Co) Amway of Canada Ltd Satinique (Amway Corp) Avon Canada Inc Avon (Avon Products Inc) Down Under Naturals (Belvedere International Inc), European Belvedere International Inc Formula (Belvedere International Inc), Nature's Organics (Belvedere International Inc) Chattem (Canada) Inc Selsun (Sanofi-Aventis) Combe Inc Grecian 2000 (Combe Inc), Just for Men (Combe Inc) Diamond Products Inc Toni (Diamond Products Inc) Innovative Brands LLC Pert Plus (Helen of Troy Ltd) John Paul Mitchell Systems Inc Paul Mitchell (John Paul Mitchell Systems Inc) Joico Laboratories Inc Joico (Shiseido Co Ltd) Kao Brands Canada Inc John Frieda (Kao Corp), KMS (Kao Corp) Garnier (L'Oréal Groupe), Garnier Fructis (L'Oréal Groupe), L'Oréal Couleur Experte (L'Oréal Groupe), L'Oréal Excellence (L'Oréal Groupe), L'Oréal Féria (L'Oréal Groupe), L'Oréal Préférence (L'Oréal L'Oréal Canada Inc Groupe), L'Oréal Professional (L'Oréal Groupe), L'Oréal Studio Line (L'Oréal Groupe), Matrix (L'Oréal Groupe), Redken (L'Oréal Groupe), Vive (L'Oréal Groupe) Lush Handmade Cosmetics Ltd Lush (Lush Ltd) McCaughey Consumer Products Finesse (Lornamead Group) Management Inc McNeil Consumer Healthcare Nizoral (Johnson & Johnson Inc), Rogaine (Johnson & Johnson Inc) Other Private Label Other Private Label (Private Label) Prestige Brands International Inc Denorex (Prestige Brands Holdings Inc) Aussie (Procter & Gamble Co, The), Clairol Herbal Essences (Procter & Gamble Co, The), Clairol Hydrience (Procter & Gamble Co, The), Clairol Men's Choice (Procter & Gamble Co, The), Clairol Natural Instincts (Procter & Gamble Co, The), Clairol Nice 'n' Easy (Procter & Procter & Gamble Inc Gamble Co, The), Clairol Professional (Procter & Gamble Co, The), Head & Shoulders (Procter & Gamble Co, The), Image (Procter & Gamble Co, The), Infusium 23 (Procter & Gamble Co, The), Pantene (Procter & Gamble Co, The) ColorStay (Revlon Inc), Flex (Revlon Inc), Frost & Glow (Revlon Inc), Revlon Canada Inc Outrageous (Revlon Inc) Shoppers Drug Mart Inc Life (Private Label) Stiefel Canada Inc Polytar (GlaxoSmithKline Plc) Dove (Unilever Group), Suave (Unilever Group), Sunsilk (Unilever Unilever Canada Inc Group), Thermasilk (Unilever Group) Wella Canada Inc Wella System Professional (Procter & Gamble Co, The) Source: Passport by Euromonitor International © Euromonitor International 2011 www.euromonitor.com
4.
FORECAST DEFINITIONS AND METHODOLOGY Hair
Care This is the aggregation of shampoos, styling agents, 2in1 products, perms and relaxants, colourants and salon hair care. Ethnic hair care products, such as conditioning relaxers for Afro-Caribbean hair, are included across all subsectors. Excluded are hair accessories such as hair extensions, hair clips, combs and brushes. Methodology This report is derived from Euromonitor International’s Passport information system. Industry research is carried out by a global team of more than 600 in-country analysts and is based on a core set of research techniques: National-level desk research, company research and analysis, store checking, trade interviewing with national players and market analysis International-level desk research, multinational company research and analysis, trade interviewing with international players and market analysis © Euromonitor International 2011 www.euromonitor.com
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