BEAUTY REPORT: ONES TO WATCH


Travel retail the next phase in Moroccanoil expansion story


New frontiers beckon for Moroccanoil in travel retail, as the company specialising in Argan oil-infused products continues to build on its successful leap into a new and competitive distribution channel with a unique point of sale, as Luke Barras-Hill learns.


T


he journey from a business serving professional hair salons into what Moroccanoil


Vice President Retail and Travel Retail Sales John Gates calls a “head-to-toe lifestyle and beauty brand” has been an impressive one, with no signs of slowing down. Speaking to TRBusiness during


the TFWA Asia Pacific show, Gates verbalises the strong growth trajectory Moroccanoil has trodden since beginning in earnest in travel retail four years ago. “We’ve started from having zero


points of sale to 300 in travel retail in inflight, airports and some border shops. With all points of sale we have increased quite a bit.” Gates recounts how after building


its presence in the retail beauty division in spas, hospitality and resort destinations globally that reinforced the firm’s start in the professional channels, it ventured into conventional retail points of sale, including department and speciality stores, before taking the plunge into travel retail. “We started to work outside


haircare in bodycare and skincare and that is also when we went into those other channels,” he says.


Made in Canada Now, its immediate strategic priorities include broadening volume sales in established markets in the US and Europe and appraising existing points of sale. Meanwhile, Asia Pacific represents an opportunity to expand its distribution network alongside revenue. “There are emerging markets


like Indonesia and Malaysia where there is a great deal of interest for the brand,” confirms Gates. With that firmly in mind, Moroccanoil


JUNE 2018


has identified what it claims is a sizeable opportunity to trumpet the brand’s credentials and capitalise on existing demand from Muslim- majority countries. “Because the brand is made in


Israel, for political reasons we aren’t able to go into Saudi Arabia or Muslim countries like Indonesia,” explains Gates. “We are looking at doing some ‘Made in Canada’ products within our line. There is a big connection to our brand in Canada. Our Co-founders the Tal family started the business in Canada even though the ingredients, formula and DNA of the brand originate in Israel. “The Made in Canada piece would


only be products we would ship to Muslim countries – Indonesia, the Emirates and Saudi that we can’t currently do with Made in Israel products.” Pursuing a strategy along these


lines could be boosted by access to valuable data on passenger profiles and loads entering the airports, according to Gates, which in turn allows Moroccanoil to explore local market opportunities. “We’ve noticed in the last few


years we have a big Arab audience in Paris, London and New York who travel and take it (Moroccanoil) back home with them,” he says. Geographical provenance is core


for the brand, but so too is its Argan- oil infused treatments. “It is really high in antioxidants so


it is nourishing to the hair, light, fast absorbing, hydrating, has a natural sun protection element and is rich in nutrients,” comments Yeolan Delapenha, Director of Global Marketing – Retail & Travel Retail.


Anniversary set Looking ahead, Moroccanoil has a number of new products set to roll


out over the next 12 months. One is a special edition gift set to mark the company’s 10-year anniversary. Available in a 100ml variant usually reserved for the professional channels, the 10-year anniversary gift set comes packaged with a dry body oil combining hair and body oil products that are bestsellers in their respective categories. Typically, the firm offers a 50ml size of its Moroccanoil Treatment and Dry Body Oil in travel retail. “This [anniversary] set is cross-


channel and cross-market – not only in the professional channel, but retail and travel retail,” says Delapenha. “The goal is to get it into as many


places where we currently list as possible, so airlines, airports and conventional retail,” she adds. «


“We’ve started from having zero points of sale to 300 in travel retail in inflight, airports and some border shops.”


John Gates, Vice President Retail and Travel Retail Sales


TRBUSINESS 53


Above: Moroccanoil 10 Year Anniversary Special Edition.


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