Tie-ins with mfr. 'events' hypo sales

New products and manufacturers' expanded advertising budgets promise to spur continued sales growth in health and beauty aids during 1984. Retailers can increase their share of the $23 billion-plus market by reacting quickly to new products. For example, this year mass merchants should develop strong merchandising programs for the emerging hair-styling mousse category. Chains can further pump up sales by tieing in ads and instore displays with H&BA manufacturers' event-oriented ad campaigns.

In 1983 "event" advertising programs planned by manufacturers proved a helpful tool toward retail sales gains. The "eents" involved manufacturer's peak spending on national television advertising timed around a freestanding insert or coupon drop.

Our retail clients who last year featured endcap and case-stack displays of an item during the manufacturers' "event" as much as doubled sales of the item for the promotional period.

Sales Up

Boston Distributors' No. 1 volume H&BA category, deodorants, was positively impacted by "event" promotions last year. Our sales increased 8% during 1983, despite the lack of a significant new entry.

Procter & Gamble, maker of 7 of the 15 top-selling deodorants, led in that sales growth. Its Secret solid moved into the top volume slot for the year, reflecting solid/stick deodorants outscoring of roll-ons and aerosols in '83.

This year, the trend toward solids and stick--now 35% of the market--is expected to continue, although not without challenge. Bristol-Myers is planning a strong two-pack promotion of its Ban roll-on. By summer the deodorant competition will heat up further as both Shulton and Gillette launch promotions for their entries.

In shampoo, the competition can't get much hotter. The unprecedented number of new entries should help generate banner sales in the category this year. Revlon, for example, is going after the "clinical" positioning with its HDR (Hair's Daily Requirement). Lever Brothers is taking a more general cleansing/conditioning tack in marketing Dimensions. Johnson & Johnson is pinpointing the over-40 age group with its Affinity. Other hair care manufacturers, including Clairol and LaMaur, are also rolling out new shampoo lines.

Last year Revlon's flex held onto its top volume spots (1 & 2) on our PMA due to trade promotion programs. Head & Shoulders--the best seller nationwide--held the Nos. 3, 4, 9 and 12 slots. This year, however, stronger trade allowances and a revamped prepack selection could move Head & Shoulders to the top of our chart.

We expect more sales growth in hair conditioners than in shampoos for 1984, thanks to many manufacturers' introduction of styling mousse. (Boston categorizes the new foams for styling short hair styles with liquid hair conditioners and gels.) Styling mousse should be among H&BA's top growth segments this year; it is geared to the popularity of the short hair styles, and last year pushed Dippity Do onto our top-15 chart for the first time ever.

Last year's sales gain in conditioners was partly sparked by our retail clients' merchandising of conditioners by brand within the shampoo section. Flex topped the conditioner chart, followed by Finesse which jumped up to the Nos. 3 and 4 spots. Suave claimed a total of three of the top 15 slots. Both Silkience and Sassoon took two of top rankings each.

The ethnic hair care brand names to watch in 1984 include Donnies Curls, Right On from Lustra silk, Worlds of Curls and Luster S Curl. In stores with a customer base that's 30% black, we expect ethnic hair care sales to outstrip all other H&BA categories. Such stores should devote a minimum 20 ft. to the products.

Last year, ethnic items again registered the largest gains of all Boston Distributors' categories with a 22% jump in dollar volume. Much of that growth came from the category's promotional strength and retailers' quicker reaction to new products and lines. Carefree Curl claimed six of the top seven spots, with Dark 'N Luvly dropping to No. 4. M&M has a total of six sku's among the 15 top ethnic hair care items, with its Sta So Fro and Soft N Free lines.

Professional beauty products also chalked up a 20%-plus gain last year. This year we expect continued gains. The brands pegged for gains in 1984 include Aussie Mega, Tenax and Jherri Rhedding's styling mousse.

In our No. 2 volume category, analgesics, Bristol-Myer's Datril is off to a fast start for 1984. Last year, McNeil's Tylenol managed to hold onto its dominance of the category with 7 of the top 15 spots. That brand was backed by lucrative promotional allowances designed to boost its recovery from the widely publicized sabotage.

Anacin-3 from Whitehall captured two of the top positions on the analgesic PMA, demonstrating the growth of non-aspirins last year. Another non-aspirin, Tylenol chewable for children, jumped from No. 20 to No. 13. Similarly, Excedrin 60's rose from No. 24 to No. 12.

More Winners

The cough/cold entry expected to make inroads in 1984 is Actifed, from Burroughs Wellcome. That company's Sudafed, which like Actifed, was switched from prescription to OTC, jumped from 19 to 9 on our chart last year. Drixoral is another cold product that successfully made the switch to OTC last year and claimed the No. 12 spot.

Contac, our perennial cold remedy leader until 1982, dropped to the No. 3 position last year, mainly because of the advancement of the newly approved OTC products.

Other H&BA categories pegged for significant sales growth in 1984 include the feminine hygiene market, which will be hyped by the new Today Contraceptive Sponge. If that entry remains clear of association with toxic shock syndrome, it could be one of the top-selling products of the year.

The sanitary napkin segment of the category will pick up sales this year, as both Tampax and Kimberly Clark launch versions of the extra thin maximum-protection pads.

In fact, the entire personal protection market is expanding as manufacturers push the multiple-product concept in advertising. Similarly, manufacturers are offering retailers bonus allowances for promoting two items together at one time--a panty shield and thin pad, for example.

F.D.A. ruling on caffeine products isn't expected to hinder continued growth in the diet aid category this year. The category rebounded with a 20% plus sales gain in 1983.

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