Our retail beauty industry is being challenged from all sides. Greater scrutiny of ingredients. Technological disruptions. Increased consumer expectations and greater diversification of expectations across generations. Challenges to institutional and brand loyalty. The growth of influencers outside of traditional supply chains. These are just a few of the pressures that may strike a chord with your business.
Accord’s recent conference was all about the Cosmetic and Personal Care sector taking control as speakers examined the threats and looked at opportunities created by a dynamic, ever-changing global environment.
Tracey Raso, Chair of Accord and Regional Managing Director of Revlon/Elizabeth Arden Pacific opened the Conference. Her address acknowledged the unprecedented disruption facing our industry, but also highlighted that “not all disruption is a bad thing…harvesting opportunities from disruption requires shifts in thinking, changes in the way we go about business, and ideally rules and regulations that have the necessary flexibility and adaptability in order to handle this disruption.” In this vein, Ms Raso unveiled Accord’s new 2019-21 Strategic Plan:“I am pleased to inform you that, in these times of unprecedented change and disruption, we have just finalised a new Strategic Plan so that the association can further strengthen its advocacy and representation for our industry.”
Attendees included key personnel from the cosmetic and personal care and related industries. Some came for networking, some to learn about the latest developments, some for predictions about future trends – and some for all the above. This highly engaging event was ably emceed by Accord Public Affairs Director, Craig Brock.
So, to the Conference presentations
Cosmetic Europe’s John Chave presented on The State of the Global Cosmetic and Personal Care Industry – where we are now and where we are likely to be in 2020. He urged the global industry to be more proactive in promoting the many benefits of cosmetics – not just relating to hygiene but also the very positive impacts on self-esteem, personal confidence and social interactions.
Michele Levine, CEO of Roy Morgan Research presented Are Australian Consumers Different? Amongst her many fascinating insights on what Australians value, including experiences being more important than things, Michele highlighted the vital importance of trust. “Truth made simple” was her take-away message to help our industry build and retain trust.
PCPC’s Lisa Powers spoke on Scanning the horizon to identify emerging issues, identifying hot topics of animal testing, the Hawaiian sunscreen ingredients ban, microbeads and the attack on preservatives. Lisa emphasised the importance of collaborative approaches, holding all accountable for their respective statements relating to our industry’s products and ingredients, and communicating with one voice boldly and with transparency.
Peter Le Guay, Partner with Thomson Geer provided information on the updated Australian Consumer Law – getting ready for business, product safety and product claims. Peter used case studies to help demonstrate what actions/information could be classified as misleading or deceptive and how businesses can avoid false or misleading representations. He concluded on mandatory reporting requirements of product safety incidents and current – greatly increased! – penalties.
Mark Daniels, Executive Director of Social Traders spoke on Delivering Social Impact Through Your Supply Chains. Mark proposed that procurement spend can also be used to deliver social impact, using two case studies where contracting social enterprise delivered benefits to both the contracting business and the community. Mark also advocated that businesses consider the new ISO 20400 Sustainable Procurement guidance standard as a helpful framework for best practice procurement.
Fran Deighton, Strategic Solutions Manager at Junkee Media told us that “Youth: they’re not who you think they are” – What personal care and cosmetic brands can learn about the new youth consumer. Fran addressed misconceptions about millennials: rather than rebellious, carefree and uninhibited, they are conservative, ambitious and morally-driven, with increased focus on health and wellness, and increasing concern over company/brand ethics and integrity – providing plenty of opportunities for our industry!
Sharon Kwek Si Ling, Senior Innovation and Insights Analyst of Beauty and Personal Care at Mintel presented Moving Forward – the influence of mega trends on cosmetics and personal care. Sharon identified three mega-trends that will impact our industry: sub-zero waste – requiring a paradigm shift in sustainability approaches; beauty with a brain – using science to prove credibility; and, You 2.0 – the increasing importance of the single consumer market.
As part of the conference were two Panel Discussions comprising local industry experts: Terry Little, Managing Director of Estée Lauder, Ken Lee, Regulatory Affairs & Quality Manager at Beiersdorf and Michele Levine, Roy Morgan discussed Strategies to future proof your brands; and David Johnston, Managing Director of Weleda, Clint Piper, Brand General Manager at Aveda and Kiera Flynn, Corporate Social & Communications Director at L’Oréal Australia shared insights on Meeting consumer needs and wants.
In her closing remarks, Bronwyn Capanna, Executive Director of Accord, summed up the common theme arising from the excellent presentations and panel discussions – that critical to the industry’s success was maintaining credibility and reputation. She urged the industry to “Be proud, be transparent and be authentic in what we do and how we contribute. Be proud, be transparent and be authentic in our passion and commitment to society and our consumers. So that, together, we can embrace disruption and harness emerging trends, to truly future proof our industry.”
On December 7, Accord Regulatory and Technical Manager Catherine Oh delivered her excellent Regulatory Basics Training course to a full room of industry professionals.
Hope to see you at the next Accord event in 2019!
Accord would like to thank the generous sponsors for the conference.
ESTÉE LAUDER COMPANIES
REVLON and ELIZABETH ARDEN
ONE IN BEAUTY
ESPRIT MAGAZINE AUSTRALIA
Accord Australasia is the peak body representing companies operating in the cosmetic, fragrance, personal care and toiletries sector – from multinationals to small Australian-owned businesses, importers to local manufacturers. www.accord.asn.au
Accord would like to thank all the member companies who donated product for the conference
Delegates Bags: Beiersdorf, Clorox, Colgate-Palmolive, Heritage Brands, La Prairie, L’Oréal, Revlon, Weleda
Lucky Door Prize: Procter & Gamble
Gift Bags: Aesop