February in review: Sustainable ingredient innovation, environmental regulations and bottom line boosts
04 Mar 2024 --- February saw a host of companies launch innovative ingredients for skin care and the household with an eye to efficacy and the environment.
Personal Care Insights also reported on businesses seeking to boost their bottom line by cutting jobs to become leaner and more capable of adopting trends quickly, while others closed doors permanently.
China remained a huge focus with expansion goals to capture a massive, often untapped market despite threats of a slowdown in the world’s second-biggest economy.
Learn more about the significant stories in February that made headlines in the personal care and beauty sector.
February
Nouryon launches surfactant as sustainable alternative to sodium xylene sulfonate
Estee Lauder shares soar after earnings beat and plans to lay off thousands of workers.Nouryon’s latest multifunctional innovation, Berol Nexus surfactant, was touted as a strong alternative for household and industrial cleaning applications. Unveiled at the 2024 American Cleaning Institute Annual Meeting and Industry Convention in Orlando, Florida, US, the specialty chemicals provider said the multifunctional hydrotrope was developed for the North American cleaning market and low-temperature laundry settings since it is a 70% concentrated aqueous liquid with a low-color and low-viscosity profile.
Henkel: Vidal Sassoon acquisition from P&G to boost core hair business in China
Henkel purchased Vidal Sassoon from Proctor and Gamble (P&G) to boost its presence in China. The German consumer goods company told us its latest acquisition would enhance its Consumer Brands business in a lucrative region. “Vidal Sassoon is a well-known Salon-inspired brand with a strong presence in the Premium Consumer space. With this acquisition, Henkel will strengthen the core Consumer Brands Hair business in China and substantially increase its size.”
Evonik debuts biotech-based “skin-identical” vegan collagen
Evonik tapped into biotechnology to create Vecollage Fortify L, a vegan collagen designed for skin care solutions. The specialty chemicals company said the formulation mimics the structure of collagen found in the skin and offers “superior performance” in anti-aging and hydrating creams. Working with Modern Meadow, a company specializing in fermentation-based protein development, Evonik said it fulfilled consumer demand as “the future of skin care is all about biotech-based collagen.
Estée Lauder shares soar after earnings beat and plans to lay off thousands of workers
Estée Lauder’s restructuring plans boosted its stock after the cosmetics giant said it would retrain and redeploy some employees while cutting up to 3,000 jobs, representing 3% to 5% of its workforce. The owner of brands such as Clinique, MAC and Tom Ford promised to become a “leaner” company that could better adapt to the latest beauty trends, often from social media. While reporting a 43% drop in adjusted earnings for the fiscal second quarter, the earnings release was better than analysts expected, but the CEO said he was keeping an eye on China.
Givaudan presents medicinal gotu kola as promising stretch mark eraser.
Pods are Plastic Bill: NYC lawmakers propose ban on laundry products containing PVA
New York City, US, lawmakers proposed the Pods Are Plastic Bill, which would make it unlawful to sell or distribute any laundry or dishwasher detergent pods and sheets containing polyvinyl alcohol (PVA). The bill was brought forward by NYC Council Member James Gennaro and then referred to the Environmental Protection, Resiliency, and Waterfronts Committee — which Gennaro chairs. Opponents of the bill argue that prohibiting PVA could reduce the progress of sustainable fabric care innovation. If approved, the bill would take effect January 1, 2025.
Givaudan presents medicinal gotu kola as promising stretch mark eraser
Givaudan Active Beauty evaluated the efficacy of Centella Asiatica (CAST) extract to erase stretch marks and improve skin tone. Also known as Indian pennywort or gotu kola, the beauty supplier believes CAST can stimulate cell growth and reduce extracellular matrix degradation to help repair skin. Millions worldwide carry stretch marks, a common skin condition linked to rapid growth or weight fluctuations. Researchers say stretch marks can occur in both sexes during adolescence and adulthood and are often misinterpreted as exclusively due to pregnancy.
Italian cosmetics industry surges: €15B turnover revealed in economic survey
The latest economic data from the Cosmetica Italia Study Center showed an upswing for the sector in 2023 “despite difficulties linked to costs and availability of raw materials.” The 46th Economic Survey provides a comprehensive overview of Italy’s cosmetics sector and is a barometer for market dynamics and trends. President Benedetto Lavino said the Italian cosmetics industry recorded positive trends in domestic and international markets and is equally optimistic about industry performance this year.
EU announces guidelines for companies seeking to validate green claims.
EU announces guidelines for companies seeking to validate green claims
The European Parliament released guidelines for businesses looking to comply with the new Directive on Empowering Consumers for the Green Transition (ECGT). Member states are expected to transpose it into national law within two years. ECGT aims to regulate and restrict deceptive claims regarding products’ environmental sustainability. Dimitri Vergne of the European Consumer Organisation told Personal Care Insights, “There are two aspects of products that will be covered by the ECGT: voluntary labels and voluntary claims.”
The Body Shop Belgium declared bankrupt, UK arm loses trademark lawsuit with Rituals
The Body Shop saga continued, with the retailer declared bankrupt in Belgium after its UK operations collapsed into administration, with FRP Advisory managing the ordeal. The Court of Appeal in The Hague, Netherlands, also ordered The Body Shop in the UK to compensate Dutch competitor Rituals after losing a lawsuit over using the word “ritual” in its spa products. Meanwhile, reports emerged that UK high street giant Next might make a rescue bid for the troubled company while management in India said its stores continued to show “consistent growth.”
UK launches “Choose Safe not Fake” campaign to combat counterfeit beauty and hygiene products
The UK’s Intellectual Property Office (IPO) tackled counterfeit beauty and hygiene products with its “Choose Safe Not Fake” campaign. The project aims to raise public awareness of intellectual property rights and provide consumer safety. “We are delivering a very clear message — that the serious health risks these counterfeit goods pose can never amount to a ‘good deal’ for shoppers,” said Adam Williams, IPO chief executive and comptroller. The IPO claims many people assume counterfeit goods are made the same way as genuine ones.
By Anita Sharma
