Relaxers No.1 thanks to niche opportunity

Drug Store News, April 7, 1997 by Liz Parks

The relaxer category dominates the ethnic products category, accounting for some $69 million in sales and a 22 percent market share in sales through food, drug and mass outlets for the 52 weeks ending Dec. 1, 1996. The children's relaxer segment has been one of the fastest growing categories in ethnic beauty care, up 13 percent in dollar sales.

The combined sales of adult and children's relaxer kits amounted to almost $70 million in 1996, according to Chicago-based Information Resources Inc. Despite the segment's high market penetration and dollar volume, manufacturers have been able to continue to grow the category by identifying new niche opportunities like the children's market, consumers with sensitive scalps and consumers who are responsive to all-natural ingredients, consumers who favor products that emphasize their Afrocentric heritage.

Savannah, Ga-based Carson Products is continuing with that tradition, emerging as the first manufacturer to introduce a relaxer targeted to the youth market of preteens aged 11 to 15.

Its new Beautiful Beginnings Straight & Healthy relaxer is formulated for girls just approaching or entering their teen years. This is a demographic niche that is old enough to need relaxers that are stronger than the ones formulated for girls 6 to 10, but is still young enough to need relaxers milder than the brands targeted to adults.

One buyer said the item has "potential, but Carson will really have to do a good job with their advertising to convince mothers that teens need to use a different product."

Last year, Carson contributed to the growth in the relaxer segment by its relaunch of its Excelle relaxer kits and the introduction of a line of maintenance products under the Excelle brand. Buyer reaction to the three-SKU maintenance line has been positive, particularly for the five-minute reconstructor, the first styling aid in the Excelle line.

Strong ad support

Carson has always been a major spender on advertising and promotions to support its brands. Last fall, it broke a new print and TV campaign for Dark & Lovely that will continue to run throughout 1997.

Early in 1996, New York-based Revlon responded to the growing competition within the relaxer category by rolling back the prices on its Fabulaxer relaxers by 35 percent and on Realistic relaxers by 25 percent.

The strategy had a major impact with Revlon's relaxer brands up 7 percent in unit sales for the 52 weeks ended Dec. 29, 1996, according to A.C. Nielsen.

In early 1996, Revlon extended its premium priced relaxer brand, Creme of Nature, with Creme of Nature HerbaRich, a line of relaxers and maintenance products made with botanicals and other natural ingredients including imported African herbs and oils.

African ingredients sell well

Traditionally, products made with ingredients imported from Africa, or products that stress their African heritage, have tended to do very well in the ethnic products category. In consumer research on the HerbaRich line, Revlon found that this consumer preference remains very compelling. The research showed that "African American consumers have a special interest in ingredients that are African-oriented," said Elayne McClaine, director of marketing for Revlon's professional products division.

Later in 1997, Revlon plans to put that same natural ingredient concept into other products under the Creme of Nature HerbaRich brand. Currently there are 23 SKUs in the Creme of Nature line, including eight women's hair color shades and three men's hair color shades. The nine SKUs in the HerbaRich line include four relaxers, three shampoos and two conditioners.

One ethnic product buyer called the Creme of Nature HerbaRich line "a very exciting new line in the ethnic products category. Their relaxers and their maintenance products are doing very well."

New Rochelle, N.Y.-based A.P. Products has always done very well with natural ingredients and an Afrocentric positioning. That approach made a star out of its line of African Pride products launched several years ago.

Last year, A.P. Products took its natural ingredient story into the children's relaxer segment with its launch of Dream Kids, a relaxer plus several maintenance items.

The brand, one buyer said, has done exceptionally well in the market.

In another initiative last year, A.P. Products relaunched its Always Natural line of beauty care products which as far as Drug Store News can determine, was the first natural ingredient line introduced into the ethnic products market.

To introduce Dream Kids and gain trial for Always Natural, the company implemented a direct mail campaign to over 1 million households. Recipients could mail back a coupon and receive either a free Dream Kids relaxer, a $6 value, or free trial samples of Always Natural maintenance and styling products, a $3 value.

A good response rate to direct mail is 3 percent. The response to the A. P. Products offer was huge in comparison: 7 percent of the recipients mailed back their coupons to get the Dream Kids relaxer, while another 9 percent wrote in to request the Always Natural products.