© kantar retail 2015 merchandising deck battling the beauty barrage presented by: tiffany hogan,...

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© Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

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Page 1: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Merchandising Deck

Battling the Beauty Barrage

Presented By:Tiffany Hogan, Analyst

Brian Owens, Director

April 2015

Page 2: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

2

Beauty at Drug StoresBuilding baskets and loyalty with beauty

Source: Kantar Retail analysis

Drug stores will always have an edge when it comes to convenience, but with elevated brands and experiences, they continue to attract prestige shoppers as they rationalize their store sets

CVS, Walgreens Boots Alliance, and Rite Aid each attract these shoppers by focusing on three core areas.

–Expanding Formats–Personalized Services–Adding Exclusive Brands

Page 3: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

Expanded Formats

Page 4: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Walgreens “LOOK Boutique”

New, engaging, high-end beauty shopper experience and approximately 4,500 sq. feet allocated in its flag ship stores

Source: Kantar Retail analysis and store visits

Page 5: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Walgreens “LOOK Boutique”

More space for exclusive brands and high end fashion accessories

Source: Kantar Retail analysis

Page 6: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Rite Aid’s Genuine Well-Being Format

Improved signage and incremental space for cosmetics

Source: Kantar Retail analysis and store visits

Page 7: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Rite Aid’s Genuine Well-Being Format More Display Allocated for Beauty & Personal Care

Source: Kantar Retail analysis and store visits

Page 8: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

Personalized Services

Page 9: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Walgreens “LOOK Boutique On site beauty ambassadors to help personalize regimens and make selections

Source: www.retail-week.com

Page 10: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

CVS MinuteClinic

New healthy beauty personalized consultations

Source: Kantar Retail analysis and retailer website

Page 11: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

CVS Healthy Skincare Center

New category signage, products and clinical consultations

Source: Kantar Retail analysis and store visits

Page 12: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

CVS Beauty

More category education and product benefits for health beauty conscious shoppers

Source: Kantar Retail analysis and store visits

Page 13: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

CVS Beauty Club

17 million CVS beauty club members enable the retailer to offer personalized discounts to its loyalty members

Source: Kantar Retail analysis

Page 14: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

Exclusive Brands

Page 15: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Walgreens

New broader assortment and displays for Boots No 7 global store brand

Source: Kantar Retail analysis and store visits

Page 16: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

Rite Aid

Exclusive brands enable Rite Aid to delight the shopper with a quality beauty solution at an affordable price

Source: Kantar Retail analysis and store visits

Page 17: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

CVS Health

CVS’ exclusive store brand, Nuance Salma Hayek, promotes the retailer’s prestige category and appeals to Hispanic shoppers

Source: Kantar Retail analysis and store visits

Page 18: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Beauty at Department StoresGetting progressive with prestige

Source: Kantar Retail analysis

Prestige beauty has its roots in department stores, a channel facing steep competition from beauty specialists that offer a wider variety of prestigious brands, and drug and discounters who are starting to play in the prestige branding game.

To keep up and get ahead with shoppers in this trending category, department stores are chaning their game with three core strategies:

–Improving Brand Assortment–Enhancing the Shopping Experience–Expanding Specialized Services

Page 19: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

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Improving Brand Assortment

Page 20: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Kohl’s Store-wide campaign to increase national brands takes a strong focus in beauty

Source: Kantar Retail analysis and store photos

Page 21: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Sephora Inside JCPenneyThe shop-in-shop concept imports brand equity from both Sephora and its assortment of prestige beauty brands into the JCPenney assortment

Source: Kantar Retail analysis and store visits

Page 22: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

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Enhancing the Experience

Page 23: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Kohl’sA revamped and expanded beauty department highlights key brands and products with more prominent lighting and displays

Source: Kantar Retail analysis and store visits

Page 24: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

24

Kohl’sA revamped and expanded beauty department highlights key brands and products with more prominent lighting and displays

Source: Kantar Retail analysis and store visits

Page 25: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

25

Kohl’sA revamped and expanded beauty department highlights key brands and products with more prominent lighting and displays

Source: Kantar Retail analysis and store visits

Page 26: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Macy’sThe open-sell Impulse department encourages new brand exploration and product interaction

Source: Kantar Retail analysis and store visits

Page 27: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015© Kantar Retail 2015

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Expanding Specialized Services

Page 28: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Macy’sAdding branded interaction with “experts” draws shoppers in for an experience, not just a purchase

Source: Kantar Retail analysis and store visits

Page 29: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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JCPenneyWeekly beauty “happy hours” draw shoppers back to stores regularly

Source: Kantar Retail analysis and store visits

Page 30: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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BluemercuryA look inside Macy’s newly-acquired beauty specialist retailer

Source: Kantar Retail analysis and store visits

Page 31: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Bluemercury: A look insideWood floors, marble counters elevate the experience and blur the line between retailer and spa; Easy access displays allow for maximum exposure to product interaction

Source: Kantar Retail analysis and store visits

Floor décor helps create

easy/inviting atmosphere

Page 32: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Bluemercury: A look insideStrong brand messaging draws shoppers in; Once inside, packaging takes a focus over signage, encouraging interaction.

Source: Kantar Retail analysis and store visits

Page 33: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015

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Bluemercury: A look insideTesters available for high-end products; Branded events and services entice shoppers to interact with both brand and retailer.

Source: Kantar Retail analysis and store visits

Page 34: © Kantar Retail 2015 Merchandising Deck Battling the Beauty Barrage Presented By: Tiffany Hogan, Analyst Brian Owens, Director April 2015

© Kantar Retail 2015