Mail slow? View this month’s issue, right online!
Our digital version is easy to share with colleagues. See this month’s issue and digital versions of previous issues too.
A one-on-one interview conducted by our editorial team with industry leaders in our market.
Easy-to-digest data for your business.
Shampoos, conditioners, colorants and styling products created by leading industry suppliers.
Creams, serums, facial cleansers and more created by leading suppliers to the skincare industry.
Detergents, fabric softeners and more created by leading suppliers to the fabric care industry.
Eyeshadows, lipsticks, foundations and more created by leading suppliers to the color cosmetics industry.
Bodywashes, and bar and liquid soaps created by leading suppliers to the personal cleanser industry.
Hard surface cleaners, disinfectants and more created by leading suppliers to the home care industry.
Eau de parfums and eau de toilettes, body sprays, mists and more created by leading suppliers to the fragrance industry.
UV lotions and creams, self-tanners and after-sun products created by leading suppliers to the suncare industry.
A detailed look at the leading US players in the global household and personal products industry.
A detailed look at the leading players outside the US in the global household and personal products industry.
Looking for a new raw material or packaging component supplier? Your search starts here.
When you need a new manufacturing partner or private label company, get started here.
Who owns that? To keep track of leading brands and their owners, click here.
An annual publication, Company Profiles features leading industry suppliers with information about markets served, products, technologies and services for beauty, pesonal care and home care.
New products and technologies from some of the brightest minds in the industry.
A one-on-one video interview between our editorial teams and industry leaders.
Listen to the leading experts in the global household and personal products industry.
Comprehensive coverage of key topics selected by sponsors.
Detailed research on novel ingredients and other solutions for the global household and personal care industry.
Company experts explain what works and why.
Exclusive content created by our affiliates and partners for the household and personal care industry.
Exciting news releases from the household and personal care industry.
Our targeted webinars provide relevant market information in an interactive format to audiences around the globe.
Discover exclusive live streams and updates from the hottest events and shows.
Looking for a job in the household and personal care industry, search no further.
Get your products and services in front of thousands of decision-makers. View our print and online advertising options.
Follow these steps to get your article published in print or online
What are you searching for?
The pandemic has consumers focused on healthcare and wellness and that’s good news for some OTC categories.
By: Tom Branna
March 2, 2021
Every sniffle is suspect, every cough a concern. The pandemic made consumers around the world acutely aware of their health, and that means soaring sales for several over-the-counter categories, including analgesic rubs, Epsom salts, and, somewhat surprisingly given our stay-at-home lifestyles, depilatories. On the flipside, demand has tumbled for OTC categories that one normally associates with travel, including motion sickness remedies and sunscreen as so many consumers have been stuck at home. “This focus is on self-care; now, more than ever, well-being is so important to our shoppers today,” explained Andrea Collaro, senior director, owned brands, health and wellness, Walgreens. “They are very focused on taking care of themselves and their family members and really preventing any issues that could arise.” Collaro was a featured speaker at the Private Label Manufacturers Association’s Private Label Week. Presented online last month, the event highlighted the latest trends in an array of fast-moving consumer goods categories, including food, beauty and, of course, wellness. As research firms confirm, now is a great time to be in private label. Cash strapped consumers are looking for cost-effective solutions and they are finding own-brands fit the bill in many instances. According to Information Resources Inc., private label can be found among the best-selling brands in many OTC categories, including parasite treatments, chest rubs, ear care products, external analgesic rubs and even acne treatment (see chart below). “Private label trial went through the roof during COVID because customers couldn’t find their favorite national brand,” observed Collaro. “And the fact is that a lot of people who trialed own brand are sticking with own brand and they are repeating…which is great for all of us, they see the value and quality.” Supply chain issues plagued every business in the early days, weeks and months of the pandemic, and fast-moving consumer goods were especially hard-hit; will anyone ever forget the Great Toilet Paper Shortage of 2020? Dr. Nada Sanders of Northeastern University called it a generational crisis that caused major shifts in consumer demand and major disruptions on the supply side. The good news, is that with vaccines available, there is light at the end of the tunnel. “Consumer demand is pent up now, but when this is over, demand will be unleashed and bring big opportunities to retailers,” she said. For now, businesses are focused on survival, but they must build a foundation for long-term resilience, she explained during a PLMA session. “The pandemic created challenges that the supply chain was woefully unprepared to meet, we’ve all seen that,” observed Sanders. “But the pandemic has also revealed supply chain vulnerabilities that offer lessons on what to do to rebuild.” First, global supply chains are too complex. According to Sanders, modern supply chains had evolved into intertwined global networks traversing countries and continents. As a result, a problem anywhere along the network can have tremendous ripple effects. Moreover, few companies, if any, have full knowledge of the companies that supply to their suppliers. Given this complexity, most companies do not have a good view upstream, they lack the ability to accurately assess their risk, and they lack agility to respond quickly to changing consumer demands. In one survey, 54% of executives admitted they really didn’t have visibility beyond their tier one suppliers. As a result, most companies don’t fully grasp their risk exposure. “Complexity exacerbates capacity challenges,” said Sanders. “When consumers buy huge amounts of products, it makes it difficult to shift to different categories. Scaling capacity is a huge challenge under any condition; complexity makes it much more difficult.” The lesson learned? Simplify the supply chain to increase visibility. More to Learn The second issue was a reliance on Lean and Just In Time (JIT) systems, whereby companies maintain stock for a short duration to eliminate waste. Inventory is replenished as needed. “It is an excellent tool for controlling cost and managing cash flow, but it also means little excess inventory or capacity to absorb the impact of supply chain disruption,” said Sanders. The result is businesses are vulnerable to even short-term material flow problems. Sanders recommends companies use what she calls, Caveats to Lean; i.e., selectively create inventory buffers against disruption in critical items at critical supply chain junctures. The lesson here is to start shifting from a pure JIT strategy to a more robust inventory management approach, with a little more inventory carry for critical items and those that have longer lead times. The third issue is the heavy reliance on off-shoring, which created risks for supply chains. These challenges multiply for companies that rely on a smaller number of suppliers that are concentrated in one geographic area. The solution? Diversify and create a balanced portfolio of suppliers across geographies. To manage risks, companies must have access to backup suppliers, build excess capacity and monitor supplier risk. “Many companies failed to do this prior the pandemic; this must change to ensure supply chains are not vulnerable and to take advantage of rapidly changing consumer demand cycles,” said Sanders. When the pandemic does come to an end and consumers return to stores, product assortment may look very different in OTC aisles and other categories, said Ken Harris, managing partner, Cadent Consulting Group. “COVID-19 has impacted humanity, economics, politics and the healthcare infrastructure,” he told PLMA Live attendees. “A lesser, unintended consequence is the impact on CPG marketing spending and shopper behavior.” Store trips were less frequent, basket sizes were larger, but assortment shrank and e-commerce grew exponentially. As a result, retailers realized they didn’t need a lot of items that they had stocked on shelf. Harris expects that retailers will re-evaluate what they keep on store shelves and what products will be available online only. As many have noted, e-commerce activity grew in 10 months what experts had predicted would take 10 years. Oh the Pain! According to IRI, sales of pain-relieving creams and balms rose nearly 14% to top $1 billion during the past 12 months. Hisamitsu’s Salonpas franchise is the No. 3 player in the external analgesics rubs space and its newest formula is Arthritis Pain Relief Gel with Diclofenac. It contains 1% diclofenac sodium that is clinical proven to reduce the pain of arthritis in major joints and is safe to use for up to 21 consecutive days, according to Hisamitsu.
Enter your account email.
A verification code was sent to your email, Enter the 6-digit code sent to your mail.
Didn't get the code? Check your spam folder or resend code
Set a new password for signing in and accessing your data.
Your Password has been Updated !