Outline, upscale, and formalize are the trends that drive prestige hair care JuE Wong, chief executive officer of Olaplex said.
“Women these days always ask – if I can take care of my skin so much, why can’t I? [for hair], especially considering the scalp as the next part of the skin,” says Wong, discussing the dermal process – referring to the proliferation of complex formulations used in hair care products commonly used in skin care.
“The other thing is, when you’re willing to consider the shine of your hair, you’re also willing to pay a little more,” she added, chatting with WWD senior editor Allison Collins.
She told the crowd that consumers are willing to pay a heavy price for technology, quality and results-oriented products. And, similar to skin care, there is an element of ritual applied to hair care, allowing consumers to return.
Founded by Dean Christal in 2014, Olaplex – a patented bond-building hair brand – dominated the headlines this year after listing on Nasdaq, raising capital in an IPO 1.8 billion USD at a valuation of about 16 billion USD. The company predicts that it will end the fiscal year with at least $580 million in net sales.
“Much of that growth is due to our core customers and core growth products,” said Wong.
A key key to the brand’s success – now 120 people (all working remotely since 2014) – is linked to its initial popularity among the professional hair community, who have use Olaplex on their clients to repair color and bleach damaged hair. In fact, 35% of Olaplex customers are referred by professionals, Wong revealed.
“They are more than willing to refer their customers to us whether online or offline, and 50% of our in-person customers actually tell us that they also shop at specialist and specialty retailers. career,” she said. “So that composite multi-channel is really powerful.”
The professional world gives brands “courtesy and credibility,” Wong added, while specialty retailers like Sephora create brand awareness and direct-to-consumer channels provide information. consumer details.
The company is looking to promote its hero product as well as launch a steady stream of new products. “We will continue to review two to four products per year, and one specifically for professionals,” Wong said of the product development process – a process that takes one to two years. “But it has to be incremental for our business. It can’t eat what we’ve got. And in the event that there is a product that you think is cannibalistic, we want to make sure that product also attracts a new customer.”
The CEO lists North America, Italy, Germany, Spain and Asia – especially China – as the top prestige hair care markets today and moving forward. “China is a $9 billion market,” she said. “The total prestigious hair care market is 77 billion. China already accounts for more than 10% of that total prestige. “
Discussing the differences between markets, Wong said: “North America and Europe see it as more damaged hair…because they are doing things to damage the hair. The Asian community doesn’t realize that there is damage, but what they do realize is that they can stop the damage. “
https://wwd.com/beauty-industry-news/hair/success-olaplex-prestige-hair-care-trends-1235005865/ The Success of Olaplex and the Prestige Hair Care Trends Driving the Industry – WWD