Private label brands get creative to land loyal consumers

“Consumers are no longer as loyal as in the past, but are addicted to innovation in search of their solution,”​ says Laureen Schroeder, global director of health, beauty & baby at Daymon Worldwide.

Accordingly, “there is constant change in the beauty space: new brands, new line extensions, new ingredients, new technologies complicated by multiple channels of trade from prestige to mass, direct to consumer to online, and more,” ​she observes.

International ideas​
Exclusive, private label brands in the US are paying attention to how UK companies approach brand loyalty.

Retailers in Europe have established a collection of recognizable exclusive brands. Schroeder points to Boots and Superdrug in the UK, Migros in Switzerland, Carrefour in France, and Mercadona in Spain as examples. “These exclusive lines create excitement because they can be first to market with technology at a more affordable price,”​ she says.

Six strategies ​
Exclusive brands in the US address brand loyalty from several directions. From her vantage point at Daymon, a global brand development company, Schroeder notes the shrewdest ways US drug retailers gain loyal consumers.

One. “Utilizing an International Proven Performer”​
In late 2014 Walgreen and Alliance Boots joined forces as an international enterprise. In the states, Walgreens has since launched “the Boots No 7 brand in all their flagship stores…[with] full merchandising and beauty advisor support,”​ explains Schroeder by way of example.

Two. “Line Extension or Restage of a Beauty Brand into Current Categories”​
Nuance hair and skin care from CVS includes 23 line extensions, and the brand will introduce new products this year. “These provide an opportunity for new beauty consumers to discover the brand or for current users to try new formulations,” ​according to Schroeder.  ​

Three. “Extending a Beauty Brand into New Categories”​
Retailers open to experimenting with new beauty brands and concepts will find loyal consumers ready to connect with something fresh. Target sets a good example here: “Sonia Kashuk who arrived to Target in 1999, has been a successful makeup artist brand,” notes ​Schroeder.   ​

Four. “Building an Exclusive Beauty Brand on an Ingredient Trend”​
The consumer trends for natural personal care products and botanical oils provide retailers with an opportunity to do just that. Case in point: “Launched exclusively at Rite Aid this June, the Oil Essentials brand from Emilia Personal Care, is a total solution product line of 6 luxurious multi-purpose beauty oil s for hair, face and body.”​  

Five. “Mainstreaming Prestige Beauty Brands as a Portfolio to Reach Diversified Beauty Consumers”​
Adding a brand with an existing loyal consumer base works too. Again here, Schroeder calls attention to Target. “Target will be the exclusive retailer to carry the Carol’s Daughter Sacred Tiare Collection.”​

Six. “Support with Influencer Marketing”  ​
For private label retailers, consumer outreach and education matters: “Ongoing marketing is pivotal for exclusive beauty brands to drive awareness and trial to new and current users, ” ​confirms Schroeder. ​