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Voice Assistants Used by 20% Of EU Consumers, Set To Grow Strongly

June 4, 2018: 12:00 AM EST
Mastercard Inc. reports that one in five customers in the European Union used voice aides such as Amazon.com Inc.’s Alexa and similar chatbots. Conversational commerce is expected to rise strongly and Mastercard projects that by 2022 it will make up 6 percent ($40 billion) of all online expenditure in the US. Additional research says that 16 percent of EU residents made payments using voice assistants and 7 percent performed banking using the same technology. Voice-powered commerce poses an additional threat to physical stores that are already struggling because of online shopping. But for consumers, voice provides an opportunity for “faster, easier, and more convenient [shopping] experiences,” said Ann Cairns, vice chairman of payments company Mastercard. [Image Credit: © Andres Urena]
Joe Mayes, "Voice Aides Like Alexa Used by 20% of EU Shoppers, Survey Says", Bloomberg, June 04, 2018, © Bloomberg LP
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Chinese Companies Lure Aussie Consumers With Beauty Tech

June 1, 2018: 12:00 AM EST

Chinese cosmetic conglomerate Jala Group is touring Australian cities, in partnership with Alibaba’s e-commerce arm Tmall, to promote its products, including a smart mirror. The augmented reality (AR) tool allows users to take a selfie using an in-built webcam and then shows them how they look with different make-up choices. Users can scan and buy their preferred choices through QR codes that appear onscreen. Jala has built four key brands (Maysu, Chando, Botanical Wisdom and Insea ) over the last 17 years to develop its presence in technology, innovation and design, in partnership with firms in Japan, France and the US.[Image Credit: © JALA Corporation]

Natasha Spencer , "Hi-tech Chinese cosmetics retailer hits Australia", Cosmetics Design Asia, June 01, 2018, © William Reed Business Media Ltd
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NARS And Shiseido Look To Data And AI To Meet Rising Customer Expectations

May 30, 2018: 12:00 AM EST
NARS, and its Japan-based parent company Shiseido, see data and AI-driven personalization as key in their efforts to cater to the needs of an increasingly digital customer base. Benjamin Lord, NARS executive director of omnichannel of global eCommerce, sees the use of data and AI and critical to stand out in an "oversaturated" beauty market that is cluttered with new players (Glossier, Beautycounter) and established brands (Clinique, Estee Lauder). In 2017, Shiseido acquired AI and AR developer Giran, and more recently, artificial skin tech startup Olivo Labs, and personalization solution provider MATCHCo, in order to help NARS and its other brands (bareMinerals, Dolce & Gabbana…) create new personalized products and seamless experiences for their customers. Shiseido looks to be ahead of most companies: mobile and online sales account for 25 percent of its revenue compared to just over 6 percent for the entire beauty industry as a whole. [Image Credit: © NARS Cosmetics]
"NARS Cosmetics Puts Its Best Face Forward With AI, Data", PYMNTS, May 30, 2018, © What’s Next Media and Analytics
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Beauty Brands Should Consider AI, Personalization, To Adapt To Industry Changes

May 29, 2018: 12:00 AM EST
Beauty brands should take advantage of developments such as artificial intelligence, personalization, and the rise of indie brands in order to adapt to a changing market. According to Terry Young of Sparks & Honey, beauty brands should try to emulate the success of Instagram, Amazon, and Netflix by thinking “exponentially" rather than incrementally to create a competitive edge in the industry. Young, who is the CEO of the cultural consultancy company, said brands can achieve a 10X status by offering more personalized experiences, customized products, and actively engaging smaller brands in the fragmented, yet rapidly growing, marketplace. [Image Credit: © Sparks & Honey]
Faye Brookman, "Beauty Needs to Keep Up With the Speed of Change", Women’s Wear Daily, May 29, 2018, © Penske Media Corporation
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Saks Fifth Avenue Uses Magic Mirrors To Attract Instore Customers

May 29, 2018: 12:00 AM EST
As part of its efforts to lure buyers into its physical stores and compete with other retailers like Ulta and Sephora, Saks Fifth Avenue overhauled its beauty department and installed "magic mirrors”. Customers can opt to have the virtual look emailed to them. Magic mirrors are just one part of the store’s efforts to upgrade its beauty customer experience, which now includes a concierge to assist shoppers and space for treatment rooms and events, such as tutorials and presentations. A move to the second floor has allowed more space for the cosmetics department.[Image Credit: © Saks Fifth Avenue]
Charisse Jones, "Saks Fifth Avenue bets 'magic mirrors,' face workouts to beat Sephora and Ulta", USA TODAY , May 29, 2018, © USA TODAY, a division of Gannett Satellite Information Network, LLC.
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Facebook, Instagram Invest To Help Beauty Companies Reach Consumers

May 29, 2018: 12:00 AM EST
Facebook and Instagram are emerging as powerful platforms for sellers of beauty products. Both platforms are rich with beauty content and Facebook (which owns Instagram) is investing to help beauty companies reach beauty consumers. AI, and especially its face recognition software, is enabling Facebook to better target user interests. It is also letting businesses have “real-time, one-to-one conversations with their customers over Messenger” (Karin Tracy, head of industry for beauty, fashion, luxury and retail, Facebook). Instagram Stories proved an effective way to deliver fun and behind-the-scenes content to young, mobile users. The number of followers on IS has grown rapidly, now standing at 300 million with more than a third of the most viewed stories provided by businesses. Facebook is also beta testing and trialing with Sephora an AR-enabled camera effects for use in Messenger. [Image Credit: © Facebook, Inc.]
Faye Brookman , "Facebook Builds Beauty Without Boundaries", Women’s Wear Daily, May 29, 2018, © Penske Media Corporation
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Bourjois' Magic Mirror May Turn Facebook Into A Shopping Experience

May 25, 2018: 12:00 AM EST
British technology agency Holition is working on a new Facebook mobile app feature that will allow beauty enthusiasts to try on makeup products virtually with special camera filters. For this project, Holition will utilize the technology behind the magic mirror of French beauty brand Bourjois in its Paris flagship store. Bourjois's magic mirror uses 3D sensing smart camera technology to show shoppers how cosmetics would look like on their faces when they touch select a product in the store. The mirror can also suggest makeup products applicable to the shoppers’ skin tones. Holition plans to produce similar results with its Facebook filter which will take advantage of the social media app's AR mesh software. The filter will eventually be connected to Facebook's deep linking feature that will help users know where to buy the makeup products.[Image Credit: © Coty Inc]
Katie Baron, "Bourjois' AR Magic Mirror Eyes An Extra Prize: Facebook's Deep Links Tool", Forbes.com, May 25, 2018, © Forbes Media LLC
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Meitu Working On Selfie App That Addresses Skin Concerns

May 21, 2018: 12:00 AM EST

After going viral, an app developed by Chinese software firm Meitu that altered the user’s selfie image hit up against privacy concerns. The company is now trying to commercialize its software by employing its various selfie apps and virtual reality to offer real-world benefits.  Meitu is partnering with a hospital to develop MeituBeauty, an app that assesses skin condition through a selfie to recommend products. It also allows users to try virtual makeup and then buy it.[Image Credit: © Meitu]

Xinmei Shen , "Selfie app Meitu wants to build an empire around beauty", Abacus News, May 21, 2018, © South China Morning Post Publishers Ltd
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AI Reshaping And Redefining Beauty Marketing

May 18, 2018: 12:00 AM EST

AI is redefining how beauty brands can engage and interact with consumers. According to Automat CEO and co-founder Andy Muaro, concern over online monitoring means brands must invest in new methods of customer engagement that allow them to reach consumers in a more transparent and direct way. Companies such as Estée Lauder, Coty, and L’Oréal are investing in new marketing and AI technologies such as bots and digital "consultants" capable of analyzing face shape and complexion to make personalized product recommendations and offering consumers virtual try-ons. Automat helps companies use AI to better engage customers, and revealed its own bot, modeled after American TV personality Kalani Hilliker, generated 1400% more conversions than the real Kalani's posts. Mauro will be talking about the subject in-depth in the upcoming Innocos 2018 event in Flore, Italy on June 13-15.

Lucy Whitehouse , "Conversational marketing & AI: the new way to talk directly to beauty consumers", Cosmetics Design Europe, May 18, 2018, © William Reed Business Media Ltd
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eSalon Expands Distribution Beyond The Direct Channel

May 17, 2018: 12:00 AM EST
Hair color brand eSalon is expanding beyond the direct-to-consumer channel by introducing its products on the QVC home shopping channel and in 1,500 CVS stores. The rationale is new customer acquisition, according to CEO and co-founder, Francisco Giminez. The brand used to rely on paid promotion on social media, but Giminez believes that a move into mass retail could double the 15,000 new customers it currently acquires each month. The company has been growing fast and recently relocated to a new and larger headquarters in in El Segundo, Calif., which includes office space and production facilities.[Image Credit: © eSalon ] 
Ellen Thomas , "D2C Hair Color Brand eSalon Moves Into Retail", Women’s Wear Daily, May 17, 2018, © Penske Media Corporation
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Kroger Taps Ocado Robot Warehouses In US To Combat Amazon

May 17, 2018: 12:00 AM EST

U.S. supermarket chain Kroger is partnering with U.K. Internet supermarket Ocado to build around 20 automated warehouses or “sheds” to improve its home delivery service after Amazon's recent buyout of Whole Foods shook up the retail industry. Ocado’s robot tech to process and pack orders is expected to give Kroger an advantage over Amazon. The move is in response to Amazon’s expected transformation of existing Whole Foods stores into a grocery delivery network using gig workers. However, experts believe Amazon is still looking at other options since it still operates mostly human-staffed warehouses for its Fresh grocery delivery service.

Paul Sandle, Lisa Baertlein, "Kroger inks Ocado grocery delivery deal to battle Amazon threat", Reuters, May 17, 2018, © Thomson Reuters
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Cosmania Turns To AI, Machine Learning In Personalized Beauty Shopping Initiative

May 16, 2018: 12:00 AM EST
Dutch beauty online retailer Cosmania now offers customers a more personalized shopping experience through a new digital consultant. It has partnered with Finnish startup Revieve and its Digital Beauty Advisor platform to provide users with personalized skincare advice, skin analysis and product recommendations, using a selfie. Cosmania said the partnership is a response to growing consumer demand for a more interactive, personalized shopping experience. Revieve's technology is just one of many applications trying to replicate the work of in-store consultants by machine-learning and AI. [Image Credit: © COSMANIA BV.]
Lucy Whitehouse , "Netherlands beauty retailer offers personalized beauty experience", Cosmetics Design Europe, May 16, 2018, © William Reed Business Media Ltd
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Walmart Drops ‘Scan & Go’ As Rivals Expand Cashier-Less Services

May 15, 2018: 12:00 AM EST

Customer apathy has led Walmart to drop Its ‘Scan & Go’ smartphone app just as U.S. rivals Amazon and Kroger are expanding and rolling out their own versions of cashier-less checkouts. The move is indicative of its struggles to encourage its core clientele to shift to digital shopping. However, Walmart still offers online shopping and is extending a click and collect service to 2,000 stores, in which Walmart employees load the groceries in the shoppers’ cars. Walmart said it will use the ‘Scan & Go’ experience to enhance future services like ‘Check Out With Me’.

Hayley Peterson, "Walmart just abandoned cashierless checkout, and it reveals a huge challenge in its battle with Amazon", Business Insider, May 15, 2018, © Insider Inc
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Hyundai Launches AR Virtual Make Up Try-On Service

May 14, 2018: 12:00 AM EST

Hyundai Department Store launched an upgrade to its online mall in the form of a virtual make up try-on service powered by augmented reality (AR). The virtual service, offered via Meitu's Makeup Plus app, allows customers to try on more than 20 products across eight beauty brands without visiting a physical store, with plans to extend it to 20 brands. Hyundai said the AR approach is their way of differentiating themselves from other online retailers, which they said still focus on prices and delivery speed. Meitu's app has been downloaded more than 200-million times since its 2015 launch. 

"Beauty shopping gets AR upgrade", Korea JoongAng Daily, May 14, 2018, © Korea JoongAng Daily
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China A Focus For Automated Store Innovation

May 14, 2018: 12:00 AM EST

China has become the focus for companies looking to automate the physical shopping experience. Alibaba, Tencent and JD.com have all opened automated stores in the last few months, at the start of what they believe will be a large-scale rollout of personnel-free shops. The Chinese consumer's openness to high tech and willingness to try something new is expected to drive unprecedented growth of the retail industry in China as the country's 724 million mobile phone users increasingly accept mobile transactions. Improving internet connectivity and smartphone penetration are expected to boost sales even further, and retailers are also having to deal with labor pressures due to an aging population and the trend of millennials leaving retail to seek higher-paid work.

Ralph Jennings, "Why Unmanned Stores Are About To Take Off In China's Retail Market", Forbes.com, May 14, 2018, © Forbes Media LLC
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Diptyque Goes Direct To Consumer

May 11, 2018: 12:00 AM EST

Diptyque CEO Fabienne Mauny recently disclosed on its 50th anniversary the unisex fragrance and skincare brand is focusing on direct-to-consumer selling, offline with pop-ups, and online on its website and social media aimed at younger buyers. The shift responds to increasing consumer preference for niche/indie brands with a strong identity and buying online. The focus will also allow Dipytyque to address varied consumer preferences in its main markets in the U.S., Europe, Asia and the Middle East, like younger buyers who prefer its gender-less fragrances and the 60-70 percent consumer demographic who surf before they buy.[Image Credit: © Diptyque]
Mickey Alam Khan, "Diptyque CEO on pop-ups, expansion and state of the fragrance market", Luxury Daily, May 11, 2018, © Napean LLC
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AI Hype And Reality Differs In Marketing

May 11, 2018: 12:00 AM EST
Artificial intelligence holds great potential for understanding and attracting consumers yet many marketers are still unable to capitalize on it. Some 85% of executives say AI could give their company a competitive edge yet only 5% of companies have extensively integrated AI into their processes. The gap between the hope and the reality is due the lack of clarity about what AI can do for their business, underlined by the fact that 61% of companies say they do not have an AI strategy in place. Some of the uncertainty surrounding AI can be attributed to AI vendors who, instead of delivering ready-to-action insights, are developing products to solve problems.[Image Credit: © Gerd Altmann]
Alain Stephan, "How AI is Turning the Voice of the Consumer into Marketing Analytics Gold", MarTech Advisor, May 11, 2018, © MarTech Advisor
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Traditional Retailers Fine It Necessary To Partner With Amazon

May 11, 2018: 12:00 AM EST

Retailers with an offline heritage are choosing to explore partnerships with the one retailer they fear, Amazon. Sears and Amazon have agreed that shoppers that buy tires on Amazon can be delivered to and fitted at Sears Auto Centers. Kohl’s is running a pilot in Chicago and Los Angeles to take Amazon returns and has made space to sell Amazon products. Other companies trying out deals with Amazon include Best Buy and Chicos. Although early signs are encouraging, previous tie-ups between Amazon and other retailers, including Toys R Us and Borders, proved unsuccessful. There are clear pros and cons: an alliance with the fast-growing internet retailer should help boost the retailers’ sales, for example, but some believe it might also make them even more vulnerable to Amazon.    

Samantha Bomkamp, "Retailers bring the wolf, Amazon, into the henhouse", Chicago Tribune, May 11, 2018, © Chicago Tribune
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Virtue Labs Expands Its Multichannel Distribution Model

May 10, 2018: 12:00 AM EST
Just over a year since its launch, hair care brand Virtue Labs continues to expand its multichannel distribution model. It has extended its direct-to-consumer reach beyond its website by debuting on HSN at the end of last year. Offline, it aims to quadruple the number of salons it’s in, from 100 today, and expects to launch in 30 Bluemercury locations by the end of May, with more planned for the rest of the year. Virtue Labs founder and CEO, Melisse Shaban, said that DTC was perfect for first communicating the hair care benefits of its key technology, Alpha Keratin 60ku.[Image Credit: © Virtue Labs]
Faye Brookman, "Virtue Labs Expands on Strength of Its Brand Story", Women’s Wear Daily, May 10, 2018, © Penske Media Corporation
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New Dior Backstage Line Gives Glimpse Into Makeup Secrets

May 10, 2018: 12:00 AM EST
Dior claims its new line, Backstage, is easy-to-use and basic cosmetics, and gives women, particularly Millennials, a glimpse into professional makeup secrets. It is to be launched in late May on Dior.com in France and the Middle East, before a rollout in those markets in stores. It will be available on the Dior site in other European markets from June 1, with a broader online rollout, including Asia, the US and Canada, from mid-June. It is a 40-product range of face and body products that appear to be in the same space as Kylie Cosmetics and Fenty Beauty, which are also positioned to appeal to Millennials.[Image Credit: © Christian Dior Couture S.A.]
Jennifer Weil , "EXCLUSIVE: Dior Backstage Makeup Line Set to Launch", Women’s Wear Daily, May 10, 2018, © Penske Media Corporation
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Skincare In 2018: A Focus On Natural and DIY Beauty

May 9, 2018: 12:00 AM EST
A number of consumer trends are driving innovation in beauty, including demand for natural products, as well as personalization and customization. Brands and retailers are offering consumers the opportunity to mix their own products, and with a more natural ingredient list. Follain, an online beauty retailer, offers a personalized skincare regimen. Beauty brand LOLI Beauty focuses on ingredient transparency and education. Ktchn Apothecary, a skincare brand, Oleum Vera and Brandless all sell DIY beauty kits that allow consumers to mix ingredients to create their own products at home.[Image Credit: © Follain Launch, Inc] 
"How Brands Are Delivering DIY Beauty", PSFK, May 09, 2018, © PSFK LLC
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Panera Rolls Out Delivery Program Nationwide

May 8, 2018: 12:00 AM EST
Panera Bread is expanding its food delivery service nationally to 897 cities and 43 states via the Panera app or website. The company said its products will be available for lunch and dinner to officers, hospitals, college campuses and, in participating markets, to homes.According to CEO Blaine Hurst, "Delivery is fueling our next phase of growth.”Panera is using its own delivery drivers in the expansion – it has hired 10,000 so far – and says it has already created 13,000 jobs. Digital sales at Panera comprise online, app and kiosk orders and represent 30 percent of total company sales. Deliveries are possible with orders as small as $5 menu purchase plus tax and a $3 delivery fee in most markets. The company operates 2,076 bakery-cafes in 46 states and in Ontario, Canada.
"Panera Bread Unveils National Delivery Service", GlobeNewswire, May 08, 2018, © GlobeNewswire, Inc.
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Billie Unveils New Campaign To Help Customers See "Magic In The Mundane"

May 8, 2018: 12:00 AM EST
US-based direct-to-consumer female personal care brand Billie launched its "Magic in the Mundane" campaign, inspired by a user comment on the firm's Instagram page. The brand offers a subscription service for razors, shaving cream and lotion, as well as other body care products for women. Co-founder Georgina Gooley said the new campaign aims to celebrate women and their everyday routines and follows its #RethinkPink message, which tackles the issue of a pink tax on women's products, during the brand launch in November. Billie recently completed a $6 million seed funding round which will help it expand its team and boost its inventory.[Image Credit: © Billie Inc.]
Shirley Brady , "Making Mundane Magic: 5 Questions With Billie Co-Founder Georgina Gooley", Brandchannel, May 08, 2018, © Interbrand
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Birchbox Revolutionizes Online Beauty Shopping With Personalized Subscription Boxes

May 8, 2018: 12:00 AM EST
Personalization is the name of the game for beauty startup Birchbox, which offers curated subscription boxes that suit the customers' beauty profile. Customers sign up on Birchbox’s online platform and complete their beauty profile by answering questions about their skin and hair type and other beauty preferences. Birchbox uses the customers' profile to personalize monthly subscription boxes, which contain five cosmetic sample products from 800 brands. Customers can buy the full-sized products on Birchbox's website if they liked the samples sent to them. Roughly 65% of Birchbox's revenue comes from monthly customer subscriptions.[Image Credit: © Birchbox, Inc.]
Stephanie Crets , "How Birchbox personalizes beyond its subscription boxes", Digital Commerce 360, May 08, 2018, © Vertical Web Media LLC
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Revieve Launches White-Label AR Personalized Cosmetics Tool

May 7, 2018: 12:00 AM EST

Finnish beauty tech firm Revieve is introducing a tool for brands and retailers to allow their customers to try on the full range of their products. Revieve AR Virtual Try-on is part of the company’s Digital Beauty Advisor integrated suite of white-label tools. It uses selfies to analyze faces to provide personalized product recommendations and advice. It will be available in e-commerce, in-store and social media channels. [Image Credit: © Revieve Inc.]

Natasha Spencer, "Seamless Asia eCommerce features AR beauty solution", Cosmetics Design Asia, May 07, 2018, © William Reed Business Media Ltd
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Study Concludes Brands Should Use Original Digital Video To Connect With Millennials

May 7, 2018: 12:00 AM EST

According to a recent Interactive Advertising Bureau report, brands should use original digital video (ODV) to engage with the more diverse and technology-aware younger consumers. The report also says that ODV viewers report higher levels of brand engagement and have a stronger affinity and awareness off some of the new direct-to-consumer brands, like Birchbox and Bonobos. Almost half of ODV viewers are “Brand Seekers”, who are more receptive to new brands and see the benefit in ads.

Bulldog Reporter, "Original digital video connects brands with young, diverse, techie consumers", Agility PR Solutions, May 07, 2018, © Agility PR Solutions LLC
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Toothpaste Inventor Comes Back After 100 Years In AR App

May 3, 2018: 12:00 AM EST
The Dr. Sheffield’s Naturals brand its launching its first direct-to-consumer brand in modern times. The launch of Dr. Sheffield's Naturals Toothpaste, from Sheffield Pharmaceuticals, includes the Sheffield AR app, which allows users to see company founder, Dr. Washington W. Sheffield, via augmented reality when they are stood next to the packaging on store shelves in chains including CVS and Bed Bath & Beyond. The range is free of sweeteners, flavors, artificial colors, foaming agents and flouride. The brand claims that Sheffield was the first to sell a crème dentifrice instead of tooth powder.[Image Credit: © Sheffield Pharmaceuticals]
"Technology That Brings to Life a 168-Year-Old Legend? There's an App for That", PRNewswire, May 03, 2018, © PR Newswire Association LLC
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Clairol, Snapchat Makes Hair Color Try-On Tech For Shoppers

May 2, 2018: 12:00 AM EST

Clairol is using Snapchat’s shoppable augmented reality platform, Lens, to allow users to “try-on” the brand’s Color Crave hair color products. The lenses will run through June 30, and users can also share and buy the products from the app. Clairol, a Coty brand, said the initiative is part of its effort to merge beauty and technology by creating a seamless shopping experience that bridges the gap between content and commerce.[Image Credit: © Coty, Inc.]

Gisselle Gaitan, "Clairol, Snapchat join forces to make shopping easy", Drug Store News, May 02, 2018, © Drug Store News
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Walgreens Unveils Online Skin Care Advisor Tool For Acne-Prone People

May 3, 2018: 12:00 AM EST

To help customers determine the appropriate skin care regimen to treat acne, US beauty and personal care retailer Walgreens has launched an online skin care analysis tool called SkinID. The tool, hosted on Walgreens' website, utilizes Johnson & Johnson Consumer Inc.'s SkinID technology and evaluates customers' skincare needs through a series of questions about their skin types and acne breakout experiences. It then recommends a personalized, three-step daily routine of cleansing, treatment, and moisturizing using products from Walgreens' pool of skin care brands. Walgreens’ Beauty Enthusiast club members can save their results on their online profiles. The tool is also available in select Walgreens stores.[Image Credit: © Walgreen Co.]

"Walgreens Launches Online Skincare Advisor SkinID™ to Provide Acne Sufferers with Personalized Skincare Regimens", Business Wire, May 03, 2018, © Business Wire, Inc.
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Israel’s Coca-Cola Bottler Targets Online Retailer Selling Lookalike Cola

May 1, 2018: 12:00 AM EST
Super-Sol, Israel’s biggest supermarket chain, has been selling a cheaper private-label brand of cola whose packaging resembles Coca-Cola’s. To counter that tactic, Coke’s bottler in the country, Central Bottling Company, has acquired a 25 percent stake in BringBring, a new online food retailer. Though the founders and majority owners of BringBring say Coca-Cola’s investment does not amount to a declaration of war against Super-Sol, it does represent a major challenge to Super-Sol, which controls 70 percent of the online grocery market. BringBring promises grocery deliveries within four hours of ordering with no charge for orders over $56. It’s a big improvement over Super-Sol’s service, which promises only same-day service and charges $8 for orders less than $207.
Gabriela Davidovich-Weisberg , "Coca Cola Israel to Battle With Israel's Largest Supermarket Chain With New Online Retailer", Haaretz, May 01, 2018, © Haaretz Daily Newspaper Ltd
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Viking Global Snaps Up Major Stake In Birchbox

May 1, 2018: 12:00 AM EST

Direct-to-consumer subscription beauty business, Birchbox is heavily in debt and has been seeking a buyer since last summer. After talks with QVC failed to reach an agreement, Birchbox has sold the majority of its shares to Viking Global, a hedge fund investor that has committed $15 million investment. Other venture capital investors, including Accel Partners and First Round Capital, agreed the deal but will likely exit empty-handed. Birchbox CEO and co-founder Katia Beauchamp will keep her position post-acquisition. Birchbox assured that there will be no layoffs associated with the deal. With over 2.5 million customers across six countries, Birchbox has been a forerunner in subscription commerce since its founding in 2010. [Image Credit: © Birchbox]

Jason Del Rey, "Birchbox has sold majority ownership to one of its hedge fund investors after sale talks with QVC fell through", Recode, May 01, 2018, © Vox Media, Inc.
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Cosmetic Giants Turn To AR Tech To Lure Customers

May 1, 2018: 12:00 AM EST

Some of the biggest names in the cosmetic industry are seeing the value of augmented reality (AR) to boost customer reach and improve sales. MAC Cosmetics used AR to develop a mirror to show customers how they would look with makeup. According to the firm, this will help avoid "buyer's remorse" when shopping for makeup. Benefit Cosmetics launched a mobile app called Brow Try-On, which helps customers visualize their face with different eyebrow shapes and sizes. The app also has a tutorial that features Benefit products.

Romany Reagan, "Why AR Access Is Important for Retailers", Exchange Wire, May 01, 2018, © RETAILTECHNEWS
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Coty Magic Mirror Is World's First Blended Reality Makeup Try-On Service

April 20, 2018: 12:00 AM EST


Coty seeks to provide the "next generation" of personal consumer experience with its new Magic Mirror, which combines virtual reality and physical products in a blended reality makeup try-on service. The new technology was unveiled during the relaunch of Coty's Borjois Paris boutique. Shoppers can pick a makeup product and watch the Magic Mirror "apply" it to their reflection. Visitors can use the Magic Mirror with lipsticks, eye makeup, and brushes that the Mirror "matches" with their skin tones thanks to computer vision and augmented reality technology. Magic Mirror can also take selfies of customers with the virtual makeup, which it can then e-mail to its users or print in-store.[Image Credit: © Coty, Inc.]

"Coty Introduces Blended Reality Beauty Magic Mirror Powered by Physical Products", Coty, April 20, 2018, © Coty Inc.
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Coca-Cola Unveils New Cans In Celebration of 23 Chinese Cities

April 19, 2018: 12:00 AM EST

Coca-Cola China has unveiled limited edition Coke can designs that celebrate the diversity of 23 Chinese cities.  The “visually captivating” packaging, created by McCann Shanghai and illustrator Noma Bar, is being promoted with a film celebrating city cultures, as well as print, billboards and a partnership with Chinese technology firm Baidu. The firm developed an augmented reality (AR) experience in which consumers may interact with the 23 city cans. According to a Coca-Cola design executive, the idea behind the city can is to capture the “essence” of each metropolis through its culture, food, “idiosyncrasies,” and landmarks.

"Coca-Cola China celebrates city cultures through ‘Faces of the cities’", Marketing-Interactive.com, April 19, 2018, © Marketing-Interactive.com. Lighthouse Independent Media Pte Ltd
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Macy's Beauty Launches New Services To Improve The Shopper Experience

April 17, 2018: 12:00 AM EST

Macy's Beauty is aiming to provide customers with an enhanced shopping experience online and in physical stores. For example, customers in some stores can use the YouCam Makeup magic mirror kiosks to try on makeup virtually, using selfies. Other aspects of the retailer’s drive include Beauty Playground, a program to keep its beauty advisors up to date on tips and products, and Macy’s Beauty Box, a $15 per month subscription service that provides samples and freebies. This is complemented by Macy’s Beauty’s new online campaign, the “Deeper Beauty”, aimed at helping women feel empowered and more confident. [Image Credit: © Macys.com, LLC]

"Find Your Beautiful at Macy’s This Spring", Business Wire , April 17, 2018, © Business Wire, Inc.
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Dr Pepper Uses Sponsorships To Penetrate The eSports Gaming World

April 10, 2018: 12:00 AM EST
Multi-player video game competition – known as eSports – is increasingly supported at the professional level by corporate sponsorships. About 60 percent of the revenue generated in 2018 will come from sponsorships, some of which are more successful than others. Team SoloMid recently announced that Dr Pepper Snapple Group has become a sponsor for all its competitive teams, joining other non-endemic (i.e., non-gaming related) brands Gillette and Geico. Another team, FlyQuest, recently announced that its squad would wear the logos of Snickers and 5-Hour Energy. The idea behind the sponsorships is target marketing. Dr Pepper’s media VP recently said the company has a clear goal: to reach a younger audience in a way that “felt authentic.” Blaise D’Sylva said. “We want fans to be exposed to Dr Pepper in an environment that’s relevant to them.”
"What Brands can Learn From the Dr Pepper/Team SoloMid Sponsorship", Esports Business Solutions UG , April 10, 2018, © Esports Business Solutions UG
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Henkel Seeks To Leverage Big Data To Identify Efficient Opportunities, Sets Ambition Goal

March 28, 2018: 12:00 AM EST
Henkel seeks to leverage big data to reach ambitious efficiency goals. By 2030 it aims to triple its efficiency and reduce its carbon footprint globally by 75 percent. Critical to its efforts is an Environmental Management System (EMS) that it implemented in 2014 in collaboration with Schneider Electric. The EMS captures over 3,000 data points across a wide range of the company’s global production network, including metrics on consumption of electricity, fossil fuels, compressed air and water. Through capturing data centrally the company is able to identify best practice. The company estimates its Laundry & Home Care unit could reduce energy use by 24 percent.[Image Credit: © Henkel AG & Co. KGaA]
"Reducing the environ­mental foot­print through Big Data", Henkel, March 28, 2018, © Henkel AG & Co. KGaA
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Consumers, Workers Give Amazon.com High Marks In Several Categories

March 22, 2018: 12:00 AM EST
A Harris Poll customer satisfaction survey of more than 25,000 adults put Amazon.com in the top spot across several. Another survey by LinkedIn recognized Amazon as the most desirable workplace in the U.S., based on data about where job seekers want to work and how long employees stay with companies. The Harris survey asked consumers to evaluate companies on six categories:  workplace and leadership, and products and services. Amazon has been ranked at the top for four of the last five years. The company also topped the ACSI Retail Report Internet retail category for the eighth year in a row. To thank customers for the strong ratings, Amazon announced a 20 percent discount on some Alexa-enabled devices. [Image Credit: © Amazon.com]
"Amazon Thanks Customers for Third-Straight #1 Ranking in 25,800-Person Harris Poll on Corporate Reputation", News release, Amazon, March 22, 2018, © Amazon.com, Inc.
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Some Of U.K.’s Fashion Retail Centers, Outlets, Doing Fine Against Online Competition

March 22, 2018: 12:00 AM EST
Data from Kantar Worldpanel confirm that online shopping hasn’t wiped out the U.K.’s bricks-and-mortar fashion retail segment, though it has been a challenging sales and growth environment. Store sales overall have fallen 2.4 percent since 2017, but not every sector is suffering. Retail centers and outlets are outpacing the fashion market, growing as much as 3.5 percent. One reason is that fashion stores at retail parks are only competing with each another for spend rather than with restaurants, cinemas and home furnishing shops. Also, retail parks and outlets cater to value-sensitive shoppers looking for bargains, while the high street or shopping centers may not. The fastest-growing retailers in the top 10 fashion retailers in the U.K. are the value-based fashion retailers. The discounted market is growing at 5.1 percent compared to full-price sales growing 3.3 percent. [Image Credit: © VisitLondon.com]
"The Thread: The Silver Lining in bricks and mortar", News release, Kantar Worldpanel, March 22, 2018, © Kantar Worldpanel
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Amazon’s Powerful Data Resources Helped Drive Bai’s Skyrocketing Sales

March 13, 2018: 12:00 AM EST
Amazon.com marketing gurus helped antioxidant water brand Bai target their online advertising in a way that sent sales skyrocketing. Bai had invested heavily in online marketing since it was founded in 2009. It then began to work with Amazon to create an end-to-end marketing strategy. Amazon analyzed Bai’s shopper data and merged it with its own, shedding light on the appropriate Bai customer demographics. Amazon then deployed native, search, and targeted display ads to ensure the right message was being served to the right customer, according to Tamir Bar-Haim of Amazon’s Canadian advertising unit. The program was so successful that sales soared, eventually leading to a 2017 Super Bowl TV ad featuring Justin Timberlake and Christopher Walken.
Kristin Laird, "How Amazon Helped Give Bai a Boost", Canadian Grocer, March 13, 2018, © EnsembleIQ
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Voice-Assisted Devices Remain Largely Unused For Purchases, Study Finds

March 13, 2018: 12:00 AM EST
A survey of 4,000 online shoppers over four global markets found that smartwatches and other voice-assisted devices remain largely untapped for purchases. In its "Reimagining Commerce: Global Findings" report, software company Episerver noted that 35% of the consumers already own smartwatches, but 66% do not use the device’s browsing function and 70% do not purchase through it. Likewise, two in five consumers own voice-assisted devices, but 60% do not browse on them and even fewer use it for purchases. Consumers, however, reported using more established technology devices, with 75% of the survey participants saying they use smartphones for browsing and 57% of this segment use the phones for purchases. The survey also found that consumers remain open to more diverse and technology-driven types of brand interaction such as chat windows, smart mirrors and augmented or virtual reality.[Image Credit: © Andres Urena on Unsplash]
"STUDY: Two-Thirds of Voice-Assisted Device Owners Never Purchase Through Them", Episerver, March 13, 2018, © Episerver
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Mutual Fund Company Hopes To Force Amazon To Issue A Food Waste Report

March 2, 2018: 12:00 AM EST
A mutual fund company with an environmental conscience has petitioned the U.S. Securities and Exchange Commission (SEC) to compel Amazon.com’s shareholders to vote on a proposed food waste report. Boston-based Green Century Capital Management says it has worked with Kroger, Costco and other retailers on food waste; Safeway, Publix, Ahold USA, and Target have all addressed the issue. According to the company, which had begun talking about the issue with Whole Foods Market management before last year, it sent a letter to Amazon’s management and board outlining its concerns. But when Amazon said it did not want to issue a food waste report, Green Century filed a shareholder resolution asking that the proposal be voted on by shareholders. Amazon has challenged the shareholder request to the SEC. [Image Credit: ©   Green Century]
Richard Turcsik, "Amazon Latest Retailer Being Prodded on Food Waste", Supermarket News, March 02, 2018, © Informa USA, Inc.
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Despite Hiccup In 4th Q Online Sales, Analysts Don’t See Walmart Losing To Amazon

February 20, 2018: 12:00 AM EST
Investors are nervous that a dip in Walmart’s 4th quarter e-commerce sales – the announcement triggered a nine percent stock price drop – could portend an online future in which the mega-retailer plays second fiddle to Amazon. Online sales grew only 23 percent during the holiday quarter. Yet the company continues to forecast 40 percent growth for the current fiscal year, and analysts and industry experts seem to be on board with that. The company’s investments in its website and overall e-commerce operations will begin to pay off later in the year. Walmart also has a substantial brick-and-mortar retail base, something Amazon lacks. A Cowen & Co. analyst said “the future of e-commerce is physical + digital,” a strategy that “will drive a 'productivity loop.'" [Image Credit: © Walmart ]
Lauren Thomas, "Walmart Has Big Year of E-Commerce Investments Planned to Bring Growth Back to 40 Percent", CNBC, February 20, 2018, © CNBC LLC
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Amazon Rewards Whole Foods Shoppers With Access To Prime Visa Benefits

February 20, 2018: 12:00 AM EST

Amazon has extended the benefits of Amazon Prime membership to shoppers at Whole Foods Market, its newly-acquired grocery retail chain. Amazon Prime Rewards Visa Cardmembers who shop at Whole Foods Market and use the card to purchase animal welfare-rated meat, sustainably caught wild and responsibly farmed seafood, or any local, Whole Trade, or organic produce will earn five percent bac. The discount is in addition to any other rewards they receive, including five percent back on Amazon.com purchases, two percent back at restaurants, gas stations and drugstores, and one percent back on all other purchases. The rewards never expire and are redeemable, as long as the account is open, on millions of products at Amazon.com. [Image Credit: ©   Amazon.com]

"Prime Members Now Earn 5% Back When Shopping at Whole Foods Market Using the Amazon Prime Rewards Visa Card", News release, Amazon, February 20, 2018, © Amazon.com
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Nestlé Deploys Coffee-Serving Robots In Battle Against Starbucks For Chinese Customers

February 18, 2018: 12:00 AM EST
Nestlé has launched a marketing campaign targeting Chinese tourists in Tokyo that features the deployment of a Chinese-speaking humanoid robot with a tablet offering a variety of types, sizes, and strengths of coffee. When the selection is made, the humanoid places the order with another robot that makes the coffee. The cash-free, cashier-free system in the city’s Asakusa shopping district uses Alipay, Alibaba Group Holding's mobile payment system. The experiment is an attempt by Nestlé to expand sales of its instant coffee among the traditionally tea-drinking Chinese as it fights increasing competition from U.S. rival Starbucks.
Mitsuru Obe, "Nestle Serves up Robots in Japan to Woo Chinese Customers", Nikkei Asian Review, February 18, 2018, © Nikkei Inc.
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iFresh Adopts Alipay Mobile Payment Platform For Online, Store Purchases

February 15, 2018: 12:00 AM EST
Asian-American supermarket chain and online grocer iFresh announced it is partnering with Alipay and CITCON to provide customers with access to the Alipay mobile wallet function to make purchases at stores and online. Digital payment platform Alipay, operated by Ant Financial, is popular among Chinese consumers.  iFresh will provide Alipay services online and in stores in the U.S. through CITCON, a cross-border mobile payment and marketing solutions provider that helps connect merchants with Chinese mobile wallet users. [Image Credit: © iFresh ]
"iFresh Announces the Acceptance of Alipay Online and in Stores Nationwide", News release, iFresh, February 15, 2018, © iFresh
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Steam Oven/Meal Kit Start-Up Gets Cash Infusion From Tyson Foods

February 7, 2018: 12:00 AM EST
The Tyson Foods investment unit has purchased a stake in a start-up subscription meal kit company that also sells an steam-based "smart" oven. Tyson Ventures will also collaborate with Chicago-based Tovala on Tyson-branded meals. Tovala began three-and-a-half years ago when the founder connected with an engineer with an idea for a modern version of the steam oven that looks like a microwave oven. The concept attracted the attention of Origin Ventures, which led the company’s $9.2 million round late last year, along with the Chicago-based Pritzker Group Venture Capital; Morningstar founder Joe Mansueto; restaurant and real estate entrepreneur Larry Levy; and Y Combinator. Tovala’s oven retails for $399, but the price drops when customers subscribe to the meal kits service.. [Image Credit: © Kickstarter.com ]
Jonathan Shieber, "Tyson Foods Invests in Tovala’s New Oven and Meal Kit Business", TechCrunch, February 07, 2018, © Oath Tech Network
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Amazon.com Posts $3B Profit For 2017; Cites Success Of Alexa Platform

February 1, 2018: 12:00 AM EST
Amazon.com posted a full-year profit of $3 billion ($6.15 per share) for 2017 on net sales of $177.9 billion, a sales increase of $41 billion year-over-year. Profit was up $600,000 over 2016. Fourth quarter profit was $1.9 billion ($3.75 a share) on $60.5 billion in sales, compared with a profit of $749 million ($1.54 a share) in the same period in 2016. The company also reported: five billion items shipped with Prime worldwide in 2017; Fire TV Stick and Echo Dot were the best-selling products in 2017; the Alexa Skills store now offers more than 30,000 skills; Alexa Voice Service (AVS) adoption among device makers continues to grow; and new tools and developer kits were introduced. “Our 2017 projections for Alexa were very optimistic, and we far exceeded them,” CEO Jeff Bezos said. [Image Credit: © Amazon.com ]
"Amazon.com Announces Fourth Quarter Sales up 38% to $60.5 Billion", Earnings release, Amazon.com, February 01, 2018, © Amazon.com, Inc.
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Walmart’s Wrestling Match With Amazon.com Now Moves To India

January 31, 2018: 12:00 AM EST
Walmart’s strategy in its game of catch-up versus Amazon.com is to acquire companies with the talent and technological expertise it needs to become an e-commerce behemoth. The company recently closed a $3 billion acquisition of Jet.com, after a five-year shopping spree in the world of young e-commerce companies, filling its shopping cart with 15 startups. It is now eyeing an investment in another, this time India’s Flipkart. Industry observers speculate that Walmart is looking to buy a 20 percent stake in the company, which sells a variety of consumer goods online, including electronics and appliances. Flipkart is looking to move into the food and grocery business, and an investment by Walmart could make that happen. Amazon.com, meanwhile, has pledged to invest $5 billion in India. [Image Credit: ©   Flipkart ]
Arun Kumar & Chaitali Chakravarty, "Walmart in talks to buy a significant minority stake in Flipkart", The Economic Times, January 31, 2018, © Bennett, Coleman & Co. Ltd
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Kroger’s Scan, Bag, Go Digital Shopping Service To Expand Nationwide This Year

January 31, 2018: 12:00 AM EST
Kroger said it will introduce its Scan, Bag, Go shopping technology this year in 18 operating divisions and 400 stores. The company said it tested the service in several locations and decided to expand its availability across the U.S. through Restock Kroger. Scan, Bag, Go allows customers to use a wireless handheld scanner or the smartphone app to scan and bag products as they shop. Shoppers can view and download digital coupons, keep a running total of their order, and view the current week's sales ad. They can then provide payment directly through the app so they can exit the store quickly.  [Image Credit: © Kroger ]
"Kroger Announces Divisions for Scan, Bag, Go Expansion", News release, Kroger Co. , January 31, 2018, © The Kroger Co.
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