Sally Beauty is strengthening its private label strategy and entering the link-building hair space with the launch of a new brand.
The new brand, called Bondbar, offers four products, including a pre-wash, shampoo, conditioner and styling cream, each for $9.99. Bondbar hits shelves on November 1, with window displays and window displays to promote the product. The products will also be available at SallyBeauty.com and Amazon. According to its August 2022 third-quarter earnings call, Sally Beauty hair care sales were up 5% year-over-year. However, the company’s third-quarter net sales decreased 6% to $961 million and comparable sales decreased 3.6%.
Steve Chattin, Sally Beauty’s vice president of global product development, said the company could have integrated the bonding technology within other Sally Beauty hair brands, but was drawn to the idea of a solution-focused brand. only. His singular approach makes it easy to market to customers, he said.
“We feel like [individual bond-building products] would have received less attention or [gotten lost] in the noise of the store. We wanted to improve the attributes and visual presentation to better show the [hair-care] solution to the consumer,” he said. “It is very important for us to support this type of brand, because [hair] color is the largest segment of the business and every customer of color that walks through the door becomes a potential customer for adhesive treatments.”
Sally Beauty sells other bond-repairing hair care brands, including One ‘N Only, Creme of Nature, and Uberliss. Bondbar is made with a proprietary bonding formula and is designed for all hair types.
As of September, Sally Beauty’s own and exclusive brands account for 45% of its hair sales. Such brands include hair care brands Strawberry Leopard and Texture ID, nail care brand Beauty Secrets, and hairstyling brand Beyond the Zone. Sally Beauty has gravitated towards DIY beauty approaches since 2020, when hair coloring became the fastest growing segment as more people started coloring their hair at home. Link building looks like a next natural ancillary product offering for those people, said Maryann Herskowitz, gvp merchandising for Sally Beauty.
“We knew that the consumer was dying their hair with a vivid hair color. We knew that he combed a lot with heat. And we also knew that she was on the quest for healthier hair,” Herskowitz said.
In the past two years, the hair bonding category has seen a dramatic increase in players and innovation, with brands like K18 and Epres hitting the market. Meanwhile, legacy brands like Redken and L’Oréal have created their own link-building products within existing brands. Olaplex shares subsequently fell 45% on Wednesday after the biggest bond maker cut its full-year financial outlook, citing competition and economic pressures.
“[Bondbar] it’s somewhat symbolic, in terms of how we’ll run our brands going forward. We are putting a lot of time and energy into formulas and investing in [product] claims,” Chattin said. “He is a [new] company focal point. It provides us with brands that are primarily found in Sally, and we want to invest in that because it keeps customers coming back to buy.”
Source: news.google.com