Nail art maintains its momentum

Chain Drug Review, Sept 26, 2005

NEW YORK -- Nail art and decorations are a segment of the nail care market that has continued to drive sales in recent years.

Popular with teens and tweens, nail art and decorations give users the ability to replicate a nail salon technique at home. In addition, nail art provides many young girls with their introduction to nail care, making it a popular item for suppliers eager to get new customers who will, as they get older, continue to use their products.

Among the selections of nail art products is Kiss Nail Design Stickers, which let users peel off the backing, affix the designs to their nails and cover with a top coat. A similar product--Kiss Nail Jewels--includes loose rhinestones for more creative control and easy-to-apply jeweled stickers.

Meanwhile, Pacific World offers several nail art options under its Nailene brand, including Jewels & Gems, 3D Nail Art with jeweled and hologram designs, and the Glam Girl nail art kit.

NAIL POLISH

Dollar Sales

Total *         $238.7 mil.     (-2.1%)
Drug stores     $151.9 mil.     (-1.9%)

                                                              Dollar
                                                    Market     sales
Leading brands **               Manufacturer         share     (000)

Revlon                          Revlon                8.7%   $13,262
Sally Hansen Hard as Nails      Del Laboratories      6.1%     9,257
Milani                          Jordana Cosmetics     4.4%     6,716
Sally Hansen Advanced Hard      Del Laboratories      4.4%     6,700
  as Nails
Sally Hansen Diamond Strength   Del Laboratories      4.3%     6,480
Sally Hansen Maximum Growth     Del Laboratories      4.3%     6,459
Express Finish                  Maybelline            3.9%     5,881
Jet Set Shine                   L'Oreal               3.4%     5,216
Steel Colour                    L'Oreal               3.2%     4,812
N.Y.C. New York Color           Del Laboratories      3.0%     4,506

Unit Sales

Total *         86.9 mil.      (-2.5%)
Drug stores     54.1 mil.      (-3.8%)

                                                                Unit
                                                    Market     sales
Leading brands **               Manufacturer         share     (000)

Sally Hansen Hard as Nails      Del Laboratories      8.5%     4,605
N.Y.C. New York Color           Del Laboratories      7.6%     4,100
Revlon                          Revlon                6.3%     3,405
Milani                          Jordana Cosmetics     5.2%     2,835
Sally Hansen Advanced Hard      Del Laboratories      4.6%     2,483
  as Nails
Express Finish                  Maybelline            3.8%     2,048
Colorama                        Maybelline            3.6%     1,946
Sally Hansen Maximum Growth     Del Laboratories      3.3%     1,796
Sally Hansen Diamond Strength   Del Laboratories      3.1%     1,671
CoverGirl Continuous Color      Procter & Gamble      2.7%     1,479

For the 52 weeks through August 7, 2005.

Source: Information Resources Inc.

* Total of drug stores, supermarkets and discount stores excluding
Wal-Mart Stores Inc.

** In drug stores only.