XVIII Smart Business Meeting new trends challenges in the cosmetics and beauty sector - under the title New trends and challenges in the cosmetics and beauty sector, the XVIII Smart Business Meeting organized took place on September 22. The event brought together leading experts and managers in the sector to analyze trends, but also the challenge posed by the pandemic or digitalization will help an increasingly educated consumer.

The meeting was moderated by the CEO of Axel Springer Spain —editor —, Manuel del Campo, and was sponsored by Havas Media Group and news aggregator Upday. Interventions were made by the following participants:

• Ana Guerra, Head of Sales and New Business at Foreo in Western Europe
• Teba Lorenzo, Director of Brand Relations at TikTok Spain
• Camila Redondo (@nobodisugly), beauty and makeup content creator
• Miguel Gallastegui, Director of Marketing at Elizabeth Arden
• Ferran Juaní Solans, Managing director of Havas Media Group International

The outbreak of the pandemic drew a social reality devoid of any social event, before this, the beauty sector focused its efforts on products focused on personal care, but also had to adapt to a consumer more aware than ever.

Before all that is to come, personalization is positioned as the main ally, but also digitalization and social networks, which have become the best showcase for brands.

XVIII Smart Business Meeting new trends challenges

The meeting focused, precisely, on addressing the new habits and preferences of consumers or how technology and digitalization have transformed and will transform aesthetic care.

In the first block of the XVIII Smart Business Meeting, the moment that the beauty sector is going through was addressed with 2 great exponents of the industry, such as the emblematic firm Elizabeth Arden and the one focused on Foreo technology.

This first block was started by Miguel Gallastegui, Marketing Director of Elizabeth Arden. The director pointed out that the outbreak of the pandemic has completely conditioned personal care.

"The pandemic has changed everything. The lack of social events associated with the use of the mask has made categories such as makeup have decreased and, on the contrary, the treatment has experienced a boost," he said.

Faced with this new reality, Ana Guerra, Director of Sales and New Business of Foreo in Western Europe, points to 2 key factors: ultrapersonalization and new technologies focused such as products that self-detect the need of the skin.

XVIII Smart Business Meeting new trends challenges

"Every time we are using devices with artificial intelligence that allow us to learn more and more from consumers and at the same time they can adapt these uses to their needs," he stressed.

When asked how a company with more than 100 years of history such as Elizabeth Arden innovates, its manager is clear: "Innovation has always been in the DNA of the company".

Derived from the pandemic, but as part of this innovative appetite, the company started with a strategy of personalized services through Instagram where they resolved doubts. They already have about 3,000 diagnoses that demonstrate the correctness of the proposal.

The condition in the supply chain as a consequence of COVID-19 was part of the roundtable. Both managers agree in this sense that the most immediate future is what will happen on Black Friday or the increasingly settled bachelor's day.

However, in his predictions there are nuances: "We are working in advance and we hope to close a better year than expected. We are reluctant about what is going to happen in the face of Black Friday and Christmas, because there have been so many unforeseen events that we are already alert".

XVIII Smart Business Meeting new trends challenges

The second block of the event, presented by Manuel del Campo, CEO of Axel Springer Spain, addressed the future of the sector by the hand of who has a lot to say about it: content creators.

Camila Redondo is one of those voices and her incontestable influence: under the user @nobodisugly brings together almost 3 million followers on the social network TikTok, while her beauty and makeup contents accumulate more than 47 million likes.

"I want to share my passion and what I like," explained the influencer. "Especially," he adds,"at such a difficult time for everyone." It does not matter the average week, which takes to make each video.

Faced with what is to come, the creator is clear who to listen to: "Generation Z is an audience that we can not ignore".

The public demands inclusion, diversity and sustainability, Redondo points out. Three ideas that, in turn, mark the road map for the entire sector.

XVIII Smart Business Meeting new trends challenges

In the last block, Manuel del Campo spoke with Teba Lorenzo, director of Brand Relations at TikTok Spain and Ferran Juaní Solans, general director of Havas Media Group International, about the role that brands will play in the face of the new paradigm of the sector and the allies they will find.

Although Instagram is the social network par excellence for cosmetics and beauty, TikTok has begun to claim its place. This brightness has caused the main players in the industry to look for a showcase in it.

"Our job is to accompany brands to find their voice, their tone within TikTok", says the board.

As for beauty, Lorenzo adds that the platform provides an extra component: the didactic one. The directive thus tries to explain that the social network is far from the field of followers.

"We are in the world of creating inspirational and educational content. That's the world where we move, " he added.

XVIII Smart Business Meeting new trends challenges

As for the role that teachers can play, Lorenzo is clear:"They are always told not to make advertisements, but TikToks". "It is important to adapt to the medium, do it with authenticity and hand in hand with creators".

Proof of this above materializes in the boom hashtag "TikTok made me buy it" (TikTok made me buy, in Spanish), which explains the directive that already goes for 800 million views.

For his part, Solans added that all firms are in the battle for relevance. In this sense, he explains that if they all disappeared today, 75% of them would not matter their sunset. The struggle thus lies in being in that other 25%.

And in this struggle positioning a brand in a medium that is relevant or not changes everything completely. Also that the teachings show themselves as an active part of the community.

"The consumer demands that brands be agents that directly invest time in improving society, people and the planet," he explained.

Faced with the way forward, both managers agree that brands increasingly tend to approach a network strategy with a holistic vision. "There are brands that in less than 30 seconds, generate brand awareness until purchase".

In this sense Solans points out that Chinese platforms lead us in this aspect. Something that could gain speed if, as Lorenzo advances, TikTok Shopping-functionality that allows shopping from the platform-becomes a reality in Spain.