Judy Galloway and Karen Young

Online Beauty Shoppers are Experimental
by Allan Mottus

Women will experiment and buy skin care on the Internet, which is a trend that many in the beauty business had not anticipated. Generally speaking, most industry executives believe that while women would replenish favorite skin care items, they would not experiment with new products.

According to a recent online research study called the Beauty Brain Trust, which polled 1,500 women who shop in all distribution, there is a sizable number of women who are, in fact, shopping online and experimenting with product. While the industry perceives women need to see and feel the texture of treatment products in store, or checkout fashion colors in makeup before purchasing, the report learned that a different reality exists. Karen Young, CEO of The Young Group, said, "the research confirmed many things we knew and some things, particularly about women who shop for beauty products online, that were counter intuitive and really surprised us."

How often does our Internet shopper shop? She's more likely than other channel shoppers to regularly shop for skin care. 93 percent shop regularly, daily or almost every day, which is well above the shopping regularity of prestige, mass and direct shoppers. How much does she spend? A lot, she's more likely to say her current financial situation is "splurging on myself these days" and on average, she spends more monthly on skin care, $38.41, than any other channel shopper spends. Internet shoppers are also much more likely than other channel shoppers to spend more than $50 per month on skin care.

According to the Beauty Brain Trust, online women shoppers for skin care use more individual skin care products daily than other channel shoppers, including: cleanser, toner, day moisturizer, night and eye cream, serum, acne products, oil-absorbing products, wrinkle and hand cream. Her reasons for using skin care are different from other channel users. For example, she's more likely than others to use skin care to protect her from the harmful effects of the environment and to enhance her health.

The online skin care shopper is also more product benefit driven. She is significantly more likely to look for the latest scientific break through as well as products that slow down the signs of aging. She's guided by package copy, print advertising, print editorial, recommendations from Dermatologists and friends and Beauty Advisors. She is also interested in products featured in an in-store display. The Beauty Brain Trust team believes this last factor indicates that our online skin care shoppers visit stores. With all this, she does not appear to be price conscious. In fact, she's more likely to consider products that are expensive and worth it and is less influenced by excellent value and low price than other channel shoppers.

Exactly what brands does the online shopper say she has purchased in the last six months? For mass brands, she is more likely to have bought Nivea, Neutrogena, L'Oréal, Olay and Roc than other channel shoppers. For prestige brands, she is more likely to have bought Origins, L'Occitane, Clarins, Philosophy and Shiseido.

Not surprisingly, one of the first brands sold exclusively on the Internet, Reflect, significantly outpaces others brands. Interestingly, the online shopper is more likely to change brands all the time than other channel shoppers.

When online shoppers were asked how beauty brands could best communicate with them, they were more likely to be very interested in home delivery, spa services, branded specialty stores, e-mail communications, direct mail and cosmeceuticals. Not surprisingly, Beauty Brain Trust found that online shoppers are more likely to find ideas to improve their personal look through the Internet.

Judy Galloway, President of The Young Group, a beauty marketing company, says this finding is consistent with what consumers tell her as well. "More and more women are using the Internet to research brands that they buy and brands that they are interested in buying." In addition to the Internet, these online shoppers are more likely than other channel shoppers to find ideas to improve their look through mimicking celebrities and what they see and learn from the street scene and club scene.

Where else does she shop? Other than on the Internet, the online shopper is more likely to be a prestige shopper. She's also more likely than any other channel shoppers to prefer Sephora and brand stores such as Origins and L'Occitane. Most, 57 percent, of Internet shoppers are under 40, and a third of those are under 30. That leaves 43 percent, who are 40 to 52, not a number to ignore. Her average age is 36. The older the online shopper, the more likely she is also a prestige brand shopper. The online shopper is also more likely to be working hard at a job, kicking back and relaxing a little and dating for fun than other channel shoppers who are more involved with marriage and children.

The online shopper is beauty oriented and her appearance is more important to her than to other women. She's also more likely to say her best asset is her style. The online shopper wants to project a vibrant daytime look rather than the casual look preferred by most women. For nighttime, she prefers a glamorous look rather than the sexy look preferred by most. It's no surprise, the online shopper is more likely to say, "I am constantly searching for products to improve my look," than other channel shoppers.

Phil Levine former head of research for Ogilvy & Mather and now Managing Director of RYSA Online, says, "the Internet can now not only generate significant sales but also can provide a laboratory for a brand's most experimental customers. Beauty customers are on the Internet and they are definitely worth watching."

The YGroup Beauty Brain Trust™ is a syndicated quantitative online research study that was created by The Young Group and RYSA Online, research specialists. The study polled 1,500 American women from 15 to 52 across the USA and covered four categories: skin care, color cosmetics, hair care and bath products. For more information: contact Judy Galloway at Judy@ygroup.com, Karen Young at Karen@ygroup.com or Phil Levine at Plevine@theRYSAgroup.com.

The Informationist Volume 24 - Number 11 & 12
Allan Mottus
212-982-9294
Copyright © 2004 by Mottus & Associates ltd.