Home Hair Color - US - April 2003

SUMMARY

This incisive profile of the hair coloring market pays particular attention to specific demographics of the market, and the major players withinthe market - the consumer, manufacturers and retailers. In addition, consumer purchasing decisions are analyzed, as well as the effects that fashiontrends and marketing and promotion have on the industry as a whole.

Mintel's analysis further considers market size and other key data trends. Briefsummaries restate and clarify major issues confronting the industry including: consumer attitudes towards personal appearance, demographic changes,and new product development.

Key players in the hair coloring market are examined along with statistics documenting each manufacturer's marketshare. Outlines of advertising strategies for major manufactures are also provided.

Mintel's exclusive consumer research examines the followingquestions and issues:

• Consumer attitudes towards hair coloring products
• Frequency and usage of hair coloring products
• Consumer preferences for different types of hair color products

TABLE OF CONTENTS

INTRODUCTION & ABBREVIATIONS

INTRODUCTION

OTHER RELEVANT REPORTS

DEFINITION

ABBREVIATIONS & TERMS

Abbreviations

Terms

EXECUTIVE SUMMARY

A $1.54 BILLION MARKET

THREE SEGMENTS

HISPANICS MOST LIKELY TO USE HOME HAIR COLOR

TARGETING TEENS

TARGETING MEN

L'ORÉAL AND CLAIROL BATTLE FOR TOP SPOT

ADVERTISING ACTIVITY

DRUG STORES HOLD ONTO LEAD IN RETAIL DISTRIBUTION

SALON COMPETITION

THE CONSUMER

POSITIVE FACTORS CONTRIBUTE TO FUTURE GROWTH

MARKET DRIVERS

APPEAL OF HAIR COLOR-DEMOGRAPHIC SEGMENTATION

The women's market

Figure 1 Female population projections, by age, 2000-2010

Men covering gray for the workforce

Figure 2 Male population projections, by age, 2000-2010

Teenagers

Figure 3 Total U.S. teen spending, at current and constant prices, 1996-2001

GROWING MINORITY POPULATION

Figure 4 Hispanic female population trends, by age, 2000-2010

Figure 5 Black female population trends, by age, 2000-2010

Minority teenagers and young adults

Figure 6 Female teen and young adult population trends, by age, 2000-2010

DIVERSE DISTRIBUTION CHANNELS

MARKET SIZE & TRENDS

Figure 7 Total U.S. retail sales of home hair color products, at current and constant prices, 1997-2002

MARKET SEGMENTATION

OVERVIEW

Figure 8 FDM sales of home hair color, by type of product, 2000 & 2002

Graph 1 FDM sales of home hair color, by type of product, 1997-2002

ALL-OVER HAIR COLOR

Figure 9 FDM sales of all-over hair color, 1997-2002

MEN'S HAIR COLOR

Figure 10 FDM sales of men's hair color, 1997-2002

HIGHLIGHTING HAIR COLOR

Figure 11 FDM sales of highlighting hair color, 1997-2002

SUPPLY STRUCTURE

COMPANIES AND BRANDS

Figure 12 FDM sales of home hair color products, by manufacturer, 2000 & 2002

ALL-OVER HAIR COLOR

Figure 13 FDM sales of all-over hair color products in the U.S., by manufacturer, 2000 & 2002

MEN'S HAIR COLOR

Figure 14 FDM sales of men's hair color products in the U.S., by manufacturer, 2000 & 2002

HIGHLIGHTING HAIR COLOR

Figure 15 FDM sales of highlighting hair color products in the U.S., by manufacturer, 2000 & 2002

LEADING COMPANIES

L'Oréal

Procter & Gamble

Combe, Inc.

Revlon, Inc.

ADVERTISING & PROMOTION

INTRODUCTION

CLAIROL (PROCTER & GAMBLE)

L'ORÉAL

COMBE INC.

REVLON, INC.

RETAIL DISTRIBUTION

OVERVIEW

Figure 16 U.S. retail sales of home hair color products, by channel, 2000 & 2002

Graph 2 FDM sales of home hair color products, by outlet type, 1997-2002

DRUG STORES

Figure 17 U.S. drug store sales of home hair color products, 1997-2002

MASS MERCHANDISERS

Figure 18 U.S. mass merchandisers sales of home hair color products, 1997-2002

SUPERMARKETS

Figure 19 U.S. supermarket sales of home hair color products, 1997-2002

THE CONSUMER

INTRODUCTION

HOME HAIR COLOR PRODUCT USAGE AMONG ADULTS

Overview

Figure 20 Usage of home hair coloring products, January-September 2002

Figure 21 Usage of home hair coloring products, by gender, January-September 2002

Women's usage of home hair coloring products

Figure 22 Women's usage of home hair coloring products, by age, January-September 2002

Figure 23 Women's usage of home hair coloring products, by household income, January-September 2002

Figure 24 Women's usage of home hair coloring products, by race/ethnicity, January-September 2002

Figure 25 Women's home hair color product repertoire, January-September 2002

Men's usage of home hair coloring products

Figure 26 Men's usage of home hair coloring products, by age, January-September 2002

Figure 27 Men's usage of home hair coloring products, by race/ethnicity, January-September 2002

TEENAGERS' USAGE OF HOME HAIR COLOR PRODUCTS

Figure 28 Teen usage of home hair color products, January-September 2002

Usage of home hair color products by teenage girls

Figure 29 Teen usage of home hair color products, January-September 2002

Figure 30 Teen usage of home hair color products, by race/ethnicity, January-September 2002

FREQUENCY OF USAGE OF HOME HAIR COLOR PRODUCTS

Overview

Figure 31 Frequency of usage of home hair coloring products in past year, by gender, January-September 2002

Women's home hair color product usage patterns

Figure 32 Frequency of women's usage of home hair coloring products in past year, by age, January-September 2002

Figure 33 Frequency of women's usage of home hair coloring products in past year, by race/ethnicity, January-September 2002

Figure 34 Frequency of women's usage of home hair coloring products in past year, by type of product used, January-September 2002

Teens' home hair color product usage patterns

Figure 35 Frequency of teen usage of home hair coloring products in the past year, January-September 2002

WHERE HOME HAIR COLOR PRODUCTS ARE PURCHASED

Figure 36 Where home hair color products are purchased, March 2003

Figure 37 Where home hair color products are purchased, by age, March 2003

Figure 38 Where home hair color products are purchased, by household income, March 2003

Teenagers

Figure 39 Where teens purchase home hair color products, March 2003

Figure 40 Where teens purchase home hair color products, by gender, March 2003

LOOKING FOR ADVICE ON HOME HAIR COLOR PRODUCTS

Figure 41 Factors influencing choice of hair color product, March 2003

Figure 42 Factors influencing choice of hair color product, by gender, March 2003

Figure 43 Factors influencing choice of hair color product, by age, March 2003

ATTITUDES TOWARDS HOME HAIR COLOR PRODUCTS

Figure 44 Attitudes towards hair color products, March 2003

Figure 45 Attitudes towards home hair color products, by age, March 2003

Loyal brand users' purchasing habits

Figure 46 Brand loyalty of home hair color purchasers cross-tabulated with purchase venue, March 2003

How loyal brand users choose their products

Figure 47 Brand loyalty of home hair color purchasers cross-tabulated with factors influencing purchase, March 2003

SUMMARY

Women

Men

Teenagers

Purchase Patterns

FUTURE & FORECAST

FUTURE TRENDS

Targeting teenagers

Figure 48 U.S. population projections, by age, 2000-2010

Targeting men

Growing minority populations

Salon color vs. home color

MARKET FORECAST

Overview

Figure 49 Forecast of U.S. retail sales of home hair color products, at current and constant prices, 2002-2007

Graph 3 Forecast of U.S. retail sales of home hair color products, at current and constant prices, 2002-2007

Graph 4 Forecast of U.S. FDM sales of home hair color products, by segment, 2002-2007

All-over hair color

Figure 50 Forecast of U.S. FDM sales of all-over hair color, at current and constant prices, 2002-2007

Men's hair color

Figure 51 Forecast of U.S. FDM sales of men's hair color, at current and constant prices, 2002-2007

Highlighting hair color

Figure 52 Forecast of U.S. FDM sales of highlighting hair color, at current and constant prices, 2002-2007

Forecast Factors

APPENDIX: TRADE ASSOCIATIONS

APPENDIX: NEW PRODUCT DEVELOPMENTS

CATEGORY REVIEW

Introduction

Summary

Definitions

Launch Activity

Figure 53 Number of haircare products introductions in the U.S., by type, 2000-2002

Graph 5 Number of new haircare launches, 2000-2002

Figure 54 Number of global haircare products introductions, by region, 2000-2002, Q1 2003

Product Trends

Product Launches by Company/Brand

Ingredients/Fragrances

Packaging

Forecast/Predictions

NEW PRODUCT BRIEFS

Natural Desires: Sungirl Lethally Blonde Sun/Heat Activated Highlighter

Combe: Maxim Magazine Haircare from Just for Men Haircolor

Surya Nature: Surya Henna Hair Coloring & Treatment Products

Wella: Johnson Products Gentle Treatment Semi-Permanent Haircolor

L'Oréal USA: L'Oréal Excellence HiColor Permanent Hair Color for Dark Hair

L'Oréal USA: Féria Colour Strands Highlighting Kit Shade Extensions

Revlon: Revlon High Dimension Bleach Blonde Lightening Kit

L'Oréal USA: Matrix Essentials Redlights Color Highlighting System

Color Direct: Funky Stick Semi-Permanent Hair Color

APPENDIX: RESEARCH METHODOLOGY

CONSUMER RESEARCH

Sampling & Weighting

Presentation & Definition

Further Analysis

TRADE RESEARCH

Informal trade research

Formal trade research

DESK & INTERNET RESEARCH

SOURCES

DEFINITIONS

FORECASTS

APPENDIX: WHAT IS Mintel?

Mintel PUBLICATIONS

Mintel Services

Product retrieval

Retail audits

Tailored research

Global New Products Database

RESEARCH SUPPORT/CONSULTANCY/MIC

The Mintel Information Centre (MiC)

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