GMDC, A.T. Kearney Release Benchmarking Report Revealing Shopper Insights Across Health, Beauty and Wellness Categories
Data highlights five trends physical retailers can leverage as a growth engine for industry success
COLORADO SPRINGS, Colo. – Sept. 25, 2018 – Leading retail industry trade association Global Market Development Center (GMDC) in partnership with global strategy and management consulting firm A.T. Kearney today released the results of its Health, Beauty and Wellness Benchmarking Report to give retailers insight into how they can leverage the latest marketplace trends to improve their performance in these key categories that have significant growth potential for brick-and-mortar retailers.
The study analyzes market data and information gleaned from a retailer survey to pinpoint how traditional retailers should rethink the $64 billion health non-Rx and the $38 billion beauty categories as growing consumer demand for more personalized solutions breathes new life into selected sub-categories.
“As the ‘self-care’ movement gains traction with consumers, retailers need to demonstrate an understanding of the individual needs of the shopper,” said Patrick Spear, president and CEO of GMDC. “Innovative merchandising strategies are born from marketing programs that acknowledge the ‘consumer as patient’ along the self-care journey.”
Recently released at GMDC’s 2018 Health Beauty Wellness Conference, the report describes five ways retailers can rethink their approach in the health non-Rx and beauty sectors to take advantage of their high profit potential:
- Be on trend: Successful health, beauty and wellness (HBW) retailers must understand consumer behavior and tastes.
- Create narratives and tell stories: Retailers who create a broader story around category offerings, not just merchandise products, are seeing greater success in HBW.
- Educate consumers: HBW narratives should be reinforced through in-store and online consumer education. Retailers should be providing shoppers with information such as ingredients, sourcing, benefits, etc.
- Provide services: The shopping experience should be connected to services aligned with consumer need including dieticians, nutritionists, beauty consultants, etc.
- Be online: Retailers driving growth in HBW have a relevant online presence that supports the in-store category strategies.
“The health, beauty and wellness categories offer an opportunity for retailers to harness growth amid steadily rising industry competition. These categories uniquely lend themselves to attracting consumers into stores as shoppers, desire expertise and support in finding the right product for them and that not only meets their needs but also aligns with their values. The blurring lines between health and wellness in categories such as food and cosmetics are presenting consumers and retailers alike with new opportunities,” said A.T. Kearney Partner and co-author of the report, Rodey Wing.
For more on the Health, Beauty and Wellness Benchmarking Report, please visit GMDC’s Content Library: https://www.gmdc.org/content-library. For a comprehensive overview of GMDC’s HBW18 Conference, see the event’s digital magazine, Innovations.
For GMDC and A.T. Kearney’s related perspective on general merchandise, please click here.
GMDC’s next event focused on Health & Wellness is an immersion hosted by Retail Tomorrow in Toronto, Canada, taking place Oct. 2-5, 2018. A.T. Kearney’s next event, Future of Stores, will take place in San Francisco from Oct. 17-19, 2018.