Niq Global Intelligence Plc · NYSE:NIQ
Niq Global Intelligence — NIQ Webinar: Unveiling Success Secrets of Celebrity Beauty Brands (June 2024)
47 slides from Niq Global Intelligence's conference presentation, June 2024
Slide 1: Unveiling Success Secrets of Celebrity Beauty Brands
Unveiling Success Secrets of Celebrity Beauty Brands June 2024 © 2023 Nielsen Consumer LLC. All Rights Reserv ed. © 2023 Nielsen Consumer LLC. All Rights Reserv ed.
Slide 2: Your presenters today
Your presenters Anna Mayo Vice President Quinn Yung Customer Insights Manager NielsenIQ Beauty Vertical Dash Hudson today Conor Begley Yarden Horwitz Chief Strategy Officer Co-Founder CreatorIQ Spate © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 2
Slide 3: Celebrity beauty remains a growth engine
Celebrity beauty remains a growth engine $1B in sales and outpacing the growth rate of total beauty 2024 welcomes 'A-List' celebrity founders Easier to gain trial, but there are no shortcuts when it comes to product performance Social performance is a strong predictor of sales © 2023 Nielsen Consume
Slide 4: The State of Celebrity Beauty
The State of Celebrity Beauty © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 4
Slide 5: NIQ delivers the Full View of beauty buying
DTC/pure play Amazon Instacart & Shipt Health Specialty Beauty specialty NIQ delivers the Club Full View of Social beauty buying behavior Department Store 90+ Dollar Global • The industry's most trusted DIY Markets consumer data—more Grocery channels, sources, Discount consumers, and regions Drug •
Slide 6: Celebrity brand launches slowed in 2023, in 2024 the industry welcomes A list founders
Celebrity brand launches slowed in 2023, in 2024 the industry welcomes A list founders Up to 2020 2021 2022 2023 2024 33 launches 19 launches 18 launches 6 launches 12 launches as of June © 2023 Nielsen Consumer LLC. All Rights Reserv ed.
Slide 7: Celebrity beauty is worth over one billion dollars in the U.S.
Celebrity beauty is worth over one billion dollars in the U.S. Celebrity Beauty Brands Dollar Sales $1.1B +12.0% $1.0B +60.5% $0.6B 2 YA YA L52 Source: NielsenIQ Omnishopper Panel | 52 w eek ending 4/20/2024 vs YA. © 2023 Nielsen Consumer LLC. All Rights Reserv ed.
Slide 8: Highest sales concentration in the Cosmetics & Nail and Fragrance categories
Highest sales concentration in the Cosmetics & Nail and Fragrance categories Category $ share of celebrity categories 2.7% 2.6% 2.5% 2.4% YA L52 1.0% 0.7% 0.6% 0.6% 0.3% 0.3% 0.4% 0.3% 0.3% 0.2% 0.2% 0.1% Bath & Shower Cosmetics & Nail Deodorant Facial Skin Care Fragrance Hair Care Hand and Body Lot
Slide 9: Cosmetics represent the biggest portion of Celebrity beauty sales
Cosmetics represent the biggest portion of Celebrity beauty sales, but struggling to see growth like the total category Category $ Sales (M), $ % chg $8 , -9% $29 , 32% $5 , -63% $64 , 76% Cosmetics & Nail Grooming $80 , 11% Fragrances Facial Skin Care $110 , 47% Hair Care $561 , 0% Hand & Body Loti
Slide 10: Mass retailers have largest assortment, Sephora drives highest revenue per brand
While Mass retailers have the largest assortment of celebrity beauty brands, Sephora is driving the highest revenue per brand # of celebrity brands carried 14 9 31 17 24 $ Sales $261.9M $430.2M $82.5M $94.4M $44.2M Source: NielsenIQ Omnishopper Panel | 12 months through 12/30/2023 | Health & Beauty
Slide 11: Celebrity Founders find success by living their brand values
Celebrity Founders find success by living their brand values Key Attributes: Involvement Passion Commitment Relatability Presence Priority Authenticity © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 11
Slide 12: Not every celebrity brand is a success story
Not every celebrity brand is a success story Happy Dance by Kristin Bell closed after JLO Beauty was removed from Sephora Twentynine Palms by Jared Leto was in 2 and a half years. stores in March 2024. the market for close to a year before he severed ties with the brand. Lessons Learned: - Authentic
Slide 13: Celeb beauty buyers are beauty enthusiasts
Celeb beauty buyers are beauty enthusiasts Beauty enthusiasts Celeb beauty buyers spend $1,003.64 per year on beauty, 1.25X the average buyer Growing segment 20.7MM households are purchasing celeb beauty, up +21.9% vs. year ago Source: NielsenIQ Omnishopper Panel; Total U.S., Total Beauty & Personal
Slide 14: Current Celebrity Beauty buyers demographics
Current Celebrity Beauty buyers are comprised of high income, mid-large size households with older children; represent a younger and diverse shopper base Celebrity Beauty Buyer Demographics Younger, Middle-Aged Diverse Households Consumers (Ages 18-44) (Black/African American, Hispanic, Asian) $ Hig
Slide 15: Evaluating Success in Celebrity Beauty: Brand Case Studies
Evaluating Success in Celebrity Beauty: Brand Case Studies © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 15
Slide 16: Outsmart Social
Outsmart Social A social media management platform that delivers sophisticated insights and workflow tools, keeping you in the know and saving you time — so you and your team can get back to marketing. TRUSTED BY BRANDS OF ALL SIZES
Slide 17: Dash Hudson's Entertainment Score
Dash Hudson’s Entertainment Score Dash Hudson provided brands' TikTok and Instagram Reels Entertainment Score based on content from 2023. The Entertainment Score is measured on a scale from 0–10 0 10 Instagram TikTok Reels Engagements Reach Engagement Rate Retention Rate How are users engaging How m
Slide 18: TikTok Is an Outlet for Authenticity Among Celebrity Beauty Brands
Top Performers on TikTok by Entertainment Score Florence by Mills 6.0 Millie Bobbie Brown R.E.M. Beauty 6.0 Ariana Grande Rare Beauty 5.5 Selena Gomez TikTok Is an Outlet about-face 5.0 Halsey for Authenticity Kylie Cosmetics 4.8 Among Celebrity Kylie Jenner Beauty Brands Fenty Beauty Rihanna 4.7 Ha
Slide 19: How Authenticity and Fun Created the Most Entertaining Brand on TikTok
How Authenticity and Fun Created the Most Entertaining Brand on TikTok 6.0 Average Entertainment Score on TikTok +60% higher than the celeb beauty average Entertainment Score: 9.9 Entertainment Score: 9.3 Video Views: 2.6M Video Views: 206K
Slide 20: Instagram Enables Celebrity Brands to Build Trust Through Engaging Content
Top Performers on Instagram by Entertainment Score Rare Beauty 8.9 Selena Gomez Florence by Mills 8.9 Millie Bobby Brown AF94 8.0 Halsey Instagram Enables about-face 7.9 Halsey Celebrity Brands to R.E.M. Beauty 7.9 Build Trust Through Ariana Grande Engaging Content Fenty Beauty Rihanna 7.4 Fenty Ski
Slide 21: Embracing Trends to Lead the Beauty Industry on Instagram
Embracing Trends to Lead the Beauty Industry on Instagram 6.5 Average Entertainment Score on Instagram +25% higher than the celeb beauty average Entertainment Score: 9.9 Entertainment Score: 9.6 Video Views: 7.1M Video Views: 1.8M
Slide 22: Evaluating Success in Celebrity Beauty: Brand Case Studies
Evaluating Success in Celebrity Beauty: Brand Case Studies © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 22
Slide 23: CreatorIQ is
CreatorIQ is The engine powering creator- led marketing for the world’s most innovative, iconic brands & agencies. Our industry-leading data and robust technology help marketers manage, Measure and maximize their impact in the creator economy.
Slide 24: Super Bowl Ad
54 1/2 Years Super Bowl Ad $7M Cost $150k EMV 24
Slide 25: Digital Margin and Predicting Performance
Digital Margin and Predicting Performance Out Performance → +Market Share Utilizing market share data from NPD and client data, we were able to predict shifts in market share the following year. ○ Digital Margin = (Share of Voice - Share of Revenue) ○ Out-performance led to growth in market share. ○
Slide 26: Amazon vs Key Competitors
Amazon vs Key Competitors 2019 2020 2021 2022 Share of Voice 69% Market Share $ 30%
Slide 27: Amazon vs Key Competitors
Amazon vs Key Competitors 2019 2020 2021 2022 Share of Voice 69% 70% 69% 71% Market Share $ 30% 36% 39% 40%
Slide 28: Since 2019: creators, EMV, impressions, engagements
SINCE 2019 188k $21B Creators EMV 5.4M 364B Content Impressions 11.4B Engagements
Slide 29: Rare Beauty and Fenty Beauty top the earned media value rankings
Rare Beauty and Fenty Beauty top the earned media value rankings, far ahead of competitors 4 Earned Media Value ($MM) Rare Beauty i $618.3 Fenty Beauty + Skin TT $464.0 Kylie Cosmetics + Skin MN $127.2 Rhode Skin ME $119.3 KVD Beauty ME $92.9 About Face MM $91.5 R.E.M. Beauty Hi $58.7 GXVE Beauty Ml
Slide 30: Rhode 2024 YTD EMV — US
EMV — US 2021–2024 2024 YTD #4 US Skincare EMV Ranking +287% 2024 US EMV +114% Revenue Growth 2021 2022 2023 2024 $181M EMV Last 12 Months
Slide 31: When We Think About RHODE, We Think About…
When We Think About RHODE, We Think About… Image Credit: RHODE Skin on Instagram Image Credit: CIQ Image Credit: CNN 31
Slide 32: Skincare Has Everything To Do With Food
Skincare Has Everything To Do With Food ● RHODE Skin launched limited-edition Strawberry Glaze Lip, inspired by Krispy Kreme’s Strawberry Glazed donuts. ○ Launch event at Krispy Kreme’s Times Square. ○ PR package w/ box of Strawberry Glazed donuts. ● 08/23, RHODE claims first No. 1 slot. Krispy Krem
Slide 33: 2024 YTD EMV — US Makeup
EMV — US 2022–2024 2024 YTD +101% US Makeup EMV +66% 2024 Revenue $158M EMV Last 12 Months 05/2022 05/2024
Slide 34: 2024 YTD EMV — US Makeup
EMV — US 2020–2022 2024 YTD +101% US Makeup EMV +66% 2024 Revenue $158M 10/2020 03/2022 EMV Last 12 Months
Slide 35: Competitive Benchmarking and Intelligence
Competitive Benchmarking and Intelligence Connection Connect “Influence” to Core KPIs Enterprise leaders overlay “Share of Influence” data to core website KPIs. ● Google search data ● Website conversion rate ● Fan count growth Google search data and EMV over a 24 month period Once connected, this sh
Slide 36: Google Search and EMV Connection
Google Search and EMV Connection
Slide 37: Google Search and EMV Connection
Google Search and EMV Connection
Slide 38: Google Search and EMV Connection
Google Search and EMV Connection
Slide 39: Evaluating Success in Celebrity Beauty: Brand Case Studies
Evaluating Success in Celebrity Beauty: Brand Case Studies © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 39
Slide 40: Methodology
METHODOLOGY Spate is an innovative data platform that allows users to discover and detect trends across Google search and TikTok. The Spate dashboard analyzes over 20 billion search signals and over 60 million TikTok videos across the globe to answer three crucial questions for the consumer goods in
Slide 41: Pre-sales data to stay ahead of consumer trends
AWARENESS + CONSIDERATION Spate Data Pre-sales data to INTENT stay ahead of Spate Data consumer trends Sales, PURCHASE Credit Card Transactions 41
Slide 42: Fenty and Rare lead in search as well
Fenty and Rare lead in search as well Rare holds top spot in search growth Top 10 total search volume (MM) Search volume growth vs YA* Fenty Beauty + Skin 10.5 Rare Beauty 63.7% Rare Beauty 10.0 Pattern Beauty 47.8% Ariana Grande 5.1 Hey Humans 33.6% Kylie Cosmetics + Skin 3.6 Victoria Beckham Beaut
Slide 43: Fenty Beauty vs Rare Beauty Growth
FENTY BEAUTY VS RARE BEAUTY GROWTH SUPERBOWL SAVAGE X FENTY SHOW LIP OIL LAUNCH 43
Slide 44: Fenty Beauty vs Rare Top Product Associations
FENTY BEAUTY VS RARE TOP PRODUCT ASSOCIATIONS foundation, foundation, foundation, lip gloss, powder, lipstick, lip gloss, powder lip gloss, highlighter, stick, highlighter powder blush, foundation, mascara, blush, lip, foundation, blush, lip, lip oil, highlighter, lip, concealer, liquid blush, highl
Slide 45: Product vs Celeb-driven approach
Product vs Celeb- driven approach 45
Slide 46: Final Thoughts
Final Thoughts NIQ: In the pursuit of trial, don’t neglect your repeat customers that will become your base Dash Hudson: Engage with authentic, entertaining content and prioritize community CIQ: Don’t underestimate the power of creators to build audiences and launch brands Spate: Stay relevant by al
Slide 47: Thank you for joining us!
Thank you for Anna Mayo Vice President Quinn Yung Customer Insights Manager NielsenIQ Beauty Vertical Dash Hudson joining us! Conor Begley Yarden Horwitz Chief Strategy Officer Co-Founder CreatorIQ Spate © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 47