One could easily deduce that at least a portion of those young people who have become increasingly active by exercising and working out are doing so purely out of selfish reasons, meaning at the end of the day, they just want to look good and attract the opposite sex. Really, it's that simple for most. With this audience, it's not that they're always looking for the easy way out (I think that more on Gen X's back), but perhaps looking for a less intensive alternative. So we go back to physical appearance...you're all on board that appearance and self image is just about the most important thing the audience thinks about...Ok, so the notion that along with a some kind of healthy diet and a regular exercises schedule one could consume a beverage or pop a pill that would ultimately make them look better is wildly appealing for this audience. There is a whole new category that's being referred to as drinkable beauty or cosmeceuticals that is almost sure to stir up the pot. One initial challenge we see for the early entrants is their target audiences. A product we're watching that is due to hit the market this quarter comes from a partnership between beverage king Coca-Cola and beauty queen L'Oreal. Their tea based nutraceutical, which is called Luma, helps improve women's skin, but the new brand will be targeting women 25+ which we think is an early misstep. Luma is just one of many cosmeceutical and nutraceutical products launches that will hit the market over the next two years. We can already envision specialty retailers like Sephora and Bath & Body Works becoming key purchase points, at least among the young women's market.
Comments