Beauty Retailing - Italy - January 2015

EXECUTIVE SUMMARY
Spending and inflation
Figure 1: Italy: Consumer spending on all personal care as a % of all consumer spending, 2009-14
Figure 2: Italy: Consumer price inflation on beauty products and services, annual % change, 2012-Nov 2014
Channels of distribution
Sector size and forecast
Leading retailers
Figure 3: Italy: Leading beauty specialists’ share of consumer spending on appliances for personal care; other appliances, articles and products for personal care, 2011-14
Online
The consumer – Where people shop
Figure 4: Italy: Any purchase of beauty products, by total and gender, November 2014
Figure 5: Italy: Any purchase of beauty products, by types of stores, November 2014
Figure 6: Italy: Those that have purchased health and beauty goods online, by age, November 2014
The consumer – Attitudes to social media and mobile shopping
Figure 7: Consumer attitudes to social media, Italy, November 2014
Figure 8: Consumer attitudes to technology, Italy, November 2014
What we think
ISSUES AND INSIGHTS
The impact of discounters
The facts
The implications
Will a lack of online presence hurt the market leaders?
The facts
The implications
SPENDING AND INFLATION
Key points
Figure 9: Italy: Consumer spending on personal care (incl. VAT), 2009-14
Product market breakdown
Figure 10: Italy: Main beauty and personal care markets, incl. VAT, 2009-13
Figure 11: Italy: Main beauty and personal care markets, forecasts, incl. VAT, 2014-17
Inflation
Figure 12: Italy: Consumer price inflation on beauty products and services: Annual % change, 2010-Nov 2014
CHANNELS OF DISTRIBUTION
Key points
Figure 13: Italy: Channels of distribution for personal care products, 2011-13
SECTOR SIZE AND FORECAST
Key points
Figure 14: Italy: Health and beauty retailers sales, excl VAT, 2009-14
Prospects
Figure 15: Italy: Health and beauty retailers sales, forecasts, excl VAT, 2014-19
THE RETAILERS – FINANCIALS AND OUTLETS
Key points
Figure 16: Italy: Leading beauty specialists’ net sales, 2011-14
Figure 17: Italy: Leading beauty specialists’ outlet numbers, 2011-14
Figure 18: Italy: Leading beauty specialists’ sales per outlet, 2011-14
THE RETAILERS – MARKET SHARES
Figure 19: Italy: Leading beauty specialists’ share of consumer spending on appliances for personal care; other appliances, articles and products for personal care, 2011-14
ONLINE
Key points
Figure 20: Italy: Online buyers in last 3 months in key sectors, 2005-14
Figure 21: Italy: Beauty retailers: Transactional websites, December 2014
Figure 22: Beauty specialists websites’ Italian visitor numbers, ranked by total unique visitors, September 2014.
THE CONSUMER – WHERE PEOPLE SHOP
Key points
What we asked
Where they shop
Figure 23: Italy: Any purchase of beauty products, by type of store, November 2014
Online v in-store
Figure 24: Italy: Where consumers bought beauty products, in-store and online, November 2014
Customer profiles
Figure 25: Italy: Profile of beauty product consumers of particular stores, by age and affluence, November 2014
THE CONSUMER – ATTITUDES TO MOBILE SHOPPING AND SOCIAL MEDIA
Key points
What we asked
Figure 26: Italy: Consumer attitudes to social media, November 2014
Figure 27: Italy: Consumer attitude to technology, November 2014
Figure 28: Italy: Profile of holders of attitudes, by age and affluence, November 2014
ACQUA E SAPONE
What we think
Market leader in Italy
Fragmented trading environment
Still no online presence
Company background
Company performance
Figure 29: Acqua e Sapone: Group sales performance, 2010-14
Figure 30: Acqua e Sapone: Estimated outlet data, 2010-14
Retail offering
A. S. WATSON (EUROPE)
What we think
A strong business, in the main
Marionnaud the weakest link
Company background
Figure 31: A. S. Watson: European health and beauty operations, 2014
Rossmann joint venture
Company performance
Western Europe
Eastern Europe
Figure 32: A. S. Watson (Europe): Group financial performance (excluding Marionnaud), 2012-14
Figure 33: A. S. Watson (Europe): Group financial performance, 2010-12 (including Marionnaud)
Interim results 2014
Sales by chain
Figure 34: A. S. Watson (Europe), Main retail chains, Sales (excl. VAT), 2009-14
Figure 35: Marionnaud: Estimated sales, 2009-14
Figure 36: A. S. Watson (Europe): Outlet data, 2009-14
Figure 37: A. S. Watson (Europe): Main retail chains: Outlet data, by country (part estimated), 2009-14
Figure 38: Marionnaud: Outlet data, 2009-14
Retail offering
Superdrug
The Perfume Shop
Savers
THE BODY SHOP
What we think
Store refits update its image
Values remain at its core
Better off alone?
Company background
Company performance
Figure 39: The Body Shop: Like-for-like retail sales growth, 2011-14
Figure 40: The Body Shop: Group financial performance, 2009-14
Figure 41: The Body Shop: Estimated UK sales performance, 2009-13
Figure 42: The Body Shop: Outlet data, 2009-14
Figure 43: The Body Shop: Outlet breakdown, 2009-13
Retail offering
DOUGLAS GROUP
What we think
A year of change
Hello…
…and goodbye
Young and beautiful
Company background: Douglas
Company background: Nocibé
Company performance
Figure 44: Douglas Group: Group financial performance, 2010-14
Figure 45: Douglas Group: Outlet data, 2010-14
Figure 46: Douglas: European outlet data, 2014
Figure 47: Nocibé: Group financial performance and outlet data, 2010-14
Retail offering: Douglas
Retail offering: Nocibé
LUSH RETAIL
What we think
Steady good growth
A loyal following
Website revamp
Company background
Company performance
Figure 48: Lush Retail Ltd: Group financial performance, 2008/9-2013/14
Figure 49: Lush Retail Ltd: Outlet data, 2008/9-2013/14
Retail offering
SEPHORA
What we think
Transforming the beauty store shopping experience
100 new stores per year
Capitalising on user-generated content to drive sales
Challenging the beauty giants with its own-branded range of designer tie-ins
Company background
Company performance
Figure 50: LVMH Selective Retail: Financial performance, 2009-14
Retail offering
YVES ROCHER GROUPE
What we think
Purity and efficacy USP
Targeting regions where the middle classes are growing more affluent
Airport distribution channel
Company background
Company performance
Figure 51: Yves Rocher Groupe: Estimated group financial performance, 2011-14
Figure 52: Yves Rocher Groupe: Outlet data, 2010-14
Retail offering