Traditionally cosmetics are rarely discounted on major department stores and specialty stores.  Estee Lauder, Clinique and Lancome may offer free gifts with purchase but brands usually don’t leave additional money on the table. However, I was surprised to find several offers in the Bloomingdale’s catalog I received last week. One side of the catalog was dedicated to beauty and featured several brands with discounted sets. At Bloomingdales.com the bonus offers are even more prominent. Fragrance sets are offering the largest value. For example, Marc Jacobs’s Lola Holiday Gift Set is $70 ($105 value) and Prada L’eau Ambre Set is  $76 ($108 value). 

On the specialty end, similar values are available at both Sephora and Bliss. Sephora has even deeper value offers, with Tarte offering a Crown Jewels Lipgloss Multi-Gift Set for $39 ($165 value). By the way, almost every holiday gift reco comes with an offer. Bliss’ catalog announced "over $450 in savings on these pages" and their website is offering 15% off plus free shipping on all Bliss and Remede purchases (expires today 12/14). Despite the discounts, some gift offers may still be pricey for many shoppers, and therefore there is a risk of alienating them for other goods. Cell phones and other durable goods are priced at similar levels and may steal the beauty industry’s Christmas lunch. If this is proves to be another tough holiday season, many companies will need to rethink their product development, pricing and marketing strategies in order to stay relevant until the economy recovers.

After Facebook, iPhone apps seem to be getting traction in the beauty industry. This past October, Lancome launched an app to promote its Declaring Indigo Fall 09 Color collection by make up artist Aaron De Mey (one of the most talented make-up artists of his generation according to the app intro and brandall77 a Total Beauty community member). The app received only 2 starts out of 336 ratings. Users mentioned that it crashed often. I downloaded the app and didn’t experience any technical difficulties. However, I found it a bit limiting when it came to creating looks. It only allowed me to use one color at the time for eye shadow, lipstick and nail polish. Overall it is a nice looking app but extremely basic and it doesn’t have enough content to bring users back on a regular basis (news section is buried). Apps are a great opportunity to keep customers engaged. Brands should make sure to take advantage of the captive audience that already downloaded it and avoid treating it as a seasonal ad. On another note, I wonder how many people shared their looks. Mine is below.

Additional reviews:

Mail Movement

Hahayue

Total Beauty

Mobi Ad News

Insight by Leah

Lancome is again releasing The Pout a Porter lipstick – the brand has in the past teamed up with rising designers to create a lipstick that reflects their own personal style signature.  In the past, Lancome has teamed up with Behnaz Sarafpour, Proenza Schouler, Peter Som and Thakoon, much to the delight of both the brand’s and designer’s fans.  Lancome is now working with Chris Benz on a new lipstick that will be featured on all the models in his September 2009 runway show – but this time, the beauty brand reached out to consumers to help name the lipstick.  The contest was open to anyone, and Lancome and Chris Benz accepted submissions on the Chris Benz Facebook page and received over 1,000 entries.  This is an excellent example (and initial first step for Lancome) of engaging stakeholders – no doubt both Lancome fans and Chris Benz fans will feel a connection to the lipstick, and Lancome is banking on this collaboration with its consumers to drive sales of the latest Pout a Porter release.  As well, using the Facebook fan page provides an easy venue for Lancome to communicate with a younger, diverse audience than may typically purchase some its products.  All in all, a great first step for Lancome in opening up the process.  It will be interesting to see if more companies (and Lancome) continue to engage consumers in additional product development steps – brand stakeholders (and that includes everyone from company employees to consumers) are invaluable resources for feedback on everything from packaging to ingredients to advertisements, and more companies would be wise to engage them before product releases.

Excerpt from Second City Style Blog:

Big news! The Pout a Porter lipstick series by Lancome is back! The skincare and cosmetics brand has already teamed up four times with some of the most influential emerging designers to create a lipstick that embodies their particular style. The previous four lipsticks in this collection were collaborations with designers Behnaz Sarafpour, Proenza Schouler, Peter Som, and Thakoon. So far the limited edition lipsticks have been a huge success with all four selling out quickly once they hit stores. One Proenza Pink lipstick even sold for $122 on eBay!

Link to blog post

Link to Chris Benz Facebook Fan Page

Insight by Leah

Lancome recently launched a a new skin serum called "Genefique" that is based on genes identified in "young skin," and Olay recently released "Pro-X," a product based on researchers’ work in identifying gene activity in young and aging skin.  Other beauty and consumer goods companies, looking for the next big thing, are exploring genetics to include remedies in new products.  However, the science community is correctly concerned that companies are promising miracles while not fully exploring or investigating claims and remedies.

Bostonglobe.com Excerpt:

Whether it is a new skin care product that promises to "reactivate" the youth in your genes or tests that offer nutrition advice tailored to your DNA, the age of consumer genetics is here. Lancome is selling "Genifique," a skin serum developed by identifying genes more active in young skin. Procter & Gamble, the world’s largest consumer products company, has been investigating the genetics of everything from dandruff to the common cold. Startups are offering consumers full-genome scans and more targeted genetic tests to customize advice on weight loss or heart health. Read the complete article on Bostonglobe.com.