Consumers demonstrate waning interest in spending amid reduced product innovation CHICAGO, April 13, 2023 – In March 2023, discretionary U.S. general merchandise retail sales revenue fell 7%, compared to March 2022, and unit sales fell 8%, which is double the average monthly declines in January and February. These steeper sales declines remained consistent during the last three weeks of March, spanning both units and dollars for the first time this year, according to Circana , formerly IRI and The NPD Group. “Consumers are beginning to spend less on both discretionary and essential purchases with more consistency,” said Marshal Cohen, chief retail industry advisor for Circana . “In order to create some spending elevation, there needs to be new products and new ways of thinking to reflect the changed consumer behavior and retail landscape.” Investment in new product development was understandably put on hold due to uncertainties caused by the pandemic when most companies adjusted priorities to fulfill demand, addressed supply chain issues, and then focused on selling excess inventory. Before the pandemic, new general merchandise products represented more than 5% of the market. By the end of 2022, that number was less than 2%. Changes in spending go deeper than the discretionary Across discretionary general merchandise and consumer packaged goods (CPG), the trends in consumer spending and new product deficits in the marketplace have directional similarities that are intensified by elevated prices. Compounding these consumer distractions are news stories about inflation and bank insolvencies that continue to raise consumer concerns about the economy, which can adversely affect consumer sentiment and spending. “One of the biggest retail casualties of the pandemic has been the availability of new and refreshed products for consumers, and now economic uncertainty is putting even more pressure on the consumer’s interest in spending,” said Cohen, “Manufacturers and retailers need to broadcast their value and prove their worth to the consumer now, in order to avoid a downward spiral later.”

Kids under 18-years-old was the fastest-growing US footwear segment CHICAGO, April 12, 2023 – U.S. households with kids are pulling back on footwear spending more so than those without, as parents are forgoing footwear purchases for themselves, according to Circana (formerly IRI and The NPD Group). Among households with kids under the age of 18, overall footwear sales revenue declined by 1% and unit sales fell 8%, year over year, in the 12 months ending February 2023. Among households without kids, sales revenue grew by 11% and unit sales were flat. However, based on Consumer Tracking Service data from Circana, families have not pulled back on their kids’ footwear spending. In fact, shoes for kids was the fastest-growing segment of the footwear market. In addition, consumers spent more on kids’ footwear, thanks to average price increases. Spending per buyer grew 9%, year over year, according to Circana’s Checkout data, which tracks product sales based on consumer sales receipts. “Families are obviously feeling the pressure from inflation,” said Beth Goldstein, footwear and accessories analyst at Circana. “Without the government assistance that many households with children had previously received, they are now prioritizing their kids’ footwear replacement needs over their own.” At a generational level, the fact that families are reallocating their footwear spending is apparent, as Millennial households with kids represented about one-quarter of total footwear market declines, and Gen Z households with kids generated half of the declines. Sales of adult footwear drove the declines among these segments, while their spending on kids’ footwear grew. In contrast, Millennial households without kids accounted for almost 45% of the annual growth in the market. “As footwear brands and retailers look for growth, messaging around value for the family will be important,” Goldstein said. “These consumers are feeling the pinch due to increased prices on many of their household necessities.”

Way back when life was simple, we merely needed to remember to return the VHS rentals on time and, of course, to “be kind and rewind.” The video store new-release wall was our news source for the latest content, and you could buy some artificial butter-flavored microwave popcorn at the checkout counter. Movie release windows were also rather straightforward, so we could expect to find a movie at the video store six months after its theatrical release. Fast-forward to the present day, with many pandemic protocols no longer in effect, the box office has returned and we’re left wondering when and how we’ll be able to watch popular new movies at home. Paramount had us wait three months for the digital release of 2022’s smash hit “Top Gun: Maverick” and MGM just made “Creed III” available on digital home video. Given that it’s among the highest grossing sports films of all time, we were lucky to get a condensed 28-day theatrical-to-home window. Gone are the days of the khaki-pant-blue-and-yellow-shirt simplicity of Friday night video rentals at your local Blockbuster. New release windowing decisions no longer follow a one-size-fits-all strategy. More to the point, getting it right can be the difference between financial success and ruin for movie studios. Enough reminiscing – let’s get to the business of today’s movie distribution strategies. It’s clear that inflation is affecting consumer spending, across the board. While some continue to pay for premium content, others can’t or just don’t. Higher income households earning more than $100,000 a year are propping up premium content sales – not just a little, but with a 50% greater propensity to pay those theater-ticket-like prices to buy or rent in the early digital-release window. Studios don’t want to miss that premium boat, as there’s money to be made and consumers to please. But I suggest taking a hard look at those concurrent subscription video on demand (SVOD) and transactional release strategies to determine if they are maximizing revenues or leaving money on the table. You could find the answer varies based on a film’s popularity: non-tentpole titles might need a shorter release window so they benefit from the theatrical marketing. On the other hand, tentpole titles can sustain a longer release window as they remain top-of-mind. Notably, Paramount waited four months between the transactional digital debut of “Top Gun: Maverick” and its release on Paramount+, which was seven months after the theatrical marketing campaign. Since it was “Top Gun,” this long delay didn’t impact demand as the buzz lasted. The bottom line: make sure your strategy is buttoned up. Franchise title drafting has also become more complex. It’s no longer as straightforward as having the “Rocky” DVDs on the shelf next to “Creed III,” when it comes out. There are existing streaming licenses to contend with and release timing to consider. Here’s an example to contemplate: data courtesy of Circana’s “Subscription Video Track” research. “Rocky IV” rolled onto Netflix on August 1, 2019. By the end of the month, Netflix subscribers streamed 10.3 million hours of the film series. (I would have bet on “Rocky IV” to top the list, but “Rocky I” beat it by one million hours.) Nevertheless, the roll-on timing hit a dead window, a long eight months after the “Creed II” theatrical release. That is, the catalog films did not have the opportunity to benefit from the audience generated by the franchise’s new release. Then on January 1, 2023, the film series came back to Netflix a month before “Creed III” hit theaters – and right in the midst of its marketing campaign. This buzz led to 87% more hours streamed than in August 2019. While Netflix benefitted from the release timing, it’s unclear if the studio also benefited by charging more for the license fee. On top of all that, executives are navigating “non-exclusive licensing strategies,” which is quickly becoming the industry buzz term of 2023. This strategy has created a scenario in which there is a lot less of, “the only place to watch.” If you want to tune-in and catch up on the “Rocky” films before going to see “Creed III,” try Netflix, Amazon Prime, Paramount+, MGM+, Tubi, or Pluto TV; browse your streaming services and you can’t miss it. Using exclusive content to bolster subscribers is “so 2022,” as the industry is returning to the decades-old, tried-and-true approach of maximizing content monetization. And that means broader access and less title exclusivity for non-tentpole releases. We’ve been researching this a bit and can tell you that the engagement hours for the same program are far from equal across streaming services. Sit back for a moment and think about how, if at all, that should factor into the cost to license the content. So, what will release windows look like in the future? Well, that’s what we’re all working to figure out. Not every streaming service will be able to procure more than 200 million subscribers, so expect more bundles and specialization. That is, viewers could start to see a service, such as Prime Video, as the new Blockbuster for movies. Indeed, 40% of Prime Video’s 2022 streaming hours were from movies, compared to 24% for Netflix and only 2% for Hulu. Streaming platforms can’t be everything to everyone, so expect to see differentiation. Business strategy aside, maybe we all need a trip back to the 90s to visit the last Blockbuster in Bend, Oregon. I’m pretty sure grunge rock and flannel have never gone out of style there. Appeared as part of FierceVideo Industry Voices on April 10, 2023. Get insights straight to your inbox

—Morning meal is a crucial driver of the industry’s recovery CHICAGO, April 5, 2023 — The U.S. restaurant industry continued to recover from pandemic-related losses in February, with traffic up by 2% compared to a year ago, reports Circana , formerly IRI and The NPD Group. Visits to quick service restaurants, representing 82% of total restaurant industry visits, grew by 3% in the month over a year ago. Full service visit growth was held back by a 13% decline in dinner traffic, the segment’s busiest meal daypart, but the segment increased visits at morning meal and lunch. Visits to full service restaurants declined by 2% in February compared to a year ago.  Total restaurant traffic at the morning meal, breakfast and A.M. snack, has fully recovered from pandemic losses. Morning meal restaurant visits grew by 10% in February compared to a year ago and are up 2% from three years ago. Whereas total restaurant lunch visits were down 1% in February compared to a year ago, and dinner traffic was down 3%. “We’re seeing strong customer traffic at breakfast and morning snack, which means consumers are looking for convenience and portable meals and snacks,” says David Portalatin, Circana food industry advisor. “On the other hand, dinner and lunch visit growth has been slower due to home-centric behaviors being stickier at these dayparts. At lunch, consumers have other choices, including bringing items from home or going to a workplace cafeteria, offering subsidized pricing or no-cost options. Additionally, the higher average check for lunch and dinner may make them less appealing to some consumers.” As convenience is a factor in breakfast and morning snack growth, so is it for off-premises ordering, like drive-thru, carry-out, and delivery. In February, off-premises traffic represented 72% of the total restaurant traffic. Although on-premises visits have increased since the height of the pandemic, dine-in traffic is down double-digits from three years ago. “The morning meal growth is a clear sign of what consumers are looking for when using foodservice,” says Portalatin. “Moving forward, enticing consumers with convenience, whether portability, ordering ease, or speed, appears to be where the demand currently is in the foodservice industry.”

Fundamental Spending Shift: Black and Hispanic Consumers One example of a recent fundamental shift in consumer spending centers on ethnicity: Hispanic or Latino and Black or African American consumers have increasingly contributed to growth in general merchandise sales since before the pandemic. However, their spending activity slowed during the 2022 Holiday period. Black & Hispanic Consumer Spend Elevated to 2019 Compared to 2019, Black and Hispanic consumers outpaced in dollars and units compared all other ethnicities. Industries include: accessories, apparel, auto products, footwear, home décor, home improvement, home textiles, housewares, juvenile, office supplies, remaining GM, sports equipment/team sports, prestige beauty, small appliances, technology, toys, video games. Source: Circana, Checkout, general merchandise, 2023. *Consumers self-identify their ethnicity in Circana’s Checkout data. “This is just one example of trends shifting relatively rapidly. Retailers and brands cannot rely on what happened last year to repeat this year,” said Don Unser, president of general merchandise and retail thought leadership at Circana . “Marketers need to plan for consumer volatility, closely monitor changes to areas of growth, and work harder to engage consumers through the ups and downs ahead.” Older Consumers Lead Sales With all the attention focused lately on Millennials and Gen Z, we may forget Gen X and Boomers. Retail consumers age 55 and older came a long way and have learned a lot since before the pandemic. Not only have they become more comfortable shopping online, but they also account for the most U.S. retail spending growth. Older consumers wield the most generational spending power. They are more likely to have amassed higher levels of income and savings over the years, and many senior citizens also received a big raise in social security benefits this year. 55+ Consumers Drive General Merchandise In 2022, 55+ consumer dollars grew 5% compared to last year, while all other ages combined declined -2%. Industries include: accessories, apparel, auto products, footwear, home décor, home improvement, home textiles, housewares, juvenile, office supplies, remaining GM, sports equipment/team sports, prestige beauty, small appliances, technology, toys, video games Source: Circana, Checkout, 2023. “If you’re a retailer who is not taking into account the multiple dimensions of age segments, you’re missing out,” said Marshal Cohen, chief retail industry advisor for Circana . “Sure, certain products might not seem like they would interest mature consumers, but many will. Even video games have extremely high levels of interaction with older age groups these days.” Consumer Income Levels and CPG and General Merchandise Sales The chart below graphically illustrates how inflation relates to wage growth in the U.S., by income level. The greatest wage growth in the past two years accrued to the lowest wage quartile, which includes hourly wage earners, social security recipients, and other lower-income and fixed-income consumers. Throughout 2022, the highest growth potential was among the two lowest-income quartiles. In fact, low-income earners were the only wage group to keep up with inflation last year due, in part, to federal stimulus payments during the pandemic. Their spending power also rose. Higher-income earners, comparatively, had the lowest spending-power gain. CPG Prices Outpace Nominal Wage Growth In December, all wage quartiles grew at the same pace or faster than discretionary average prices, except for top earners. CPG ASPs continued to outpace. *12-month rolling average % change vs. prior year Wage quartiles 1 – 4, lowest to highest Source: Circana, Retail Early Indicator, Circana universe and Circana Total Market View MULOC – F&B and non-edible CPG, 2023. Source: Bureau of Labor Statistics Current Population Survey and Federal Reserve Bank of Atlanta calculations, Moody’s Analytics, 2023. “It’s important to look carefully outside your business to see all the various factors that could affect sales,” Cohen said. “Retailers and brands selling in general merchandise retail and CPG categories also need to keep an eye on what’s happening with the prices of food and fuel vis-à-vis wage elevation, to see how it impacts your business. An important key to retail success is identifying where the spending power exists and responding accordingly.” Read on to learn the role demographics play in these specific general merchandise retail categories. Footwear: Households with children set the sales story Beth Goldstein, Industry Analyst In terms of the consumer segments that are driving or dragging the footwear market, it’s not a simple demographic story based on income or age. The consistent factor is whether the household has children under age 18. Those that do are underperforming their child-free counterparts, across age groups and income ranges.  Key takeaways: Millennials without kids in the household generated 13% of the footwear sales in the 12 months ending February 2023 but accounted for 44% of the growth in the market, versus the prior year.  Millennials with kids represented about a quarter of the declines. Gen Z households with kids generated half of the declines.  However, these families are not spending less on kids’ footwear. They are pulling back on adult footwear, which suggests that without the government assistance that many households with children had received, they are now prioritizing their kids’ replacement needs over footwear purchases for themselves.  Messaging around value for the family will be important as these consumers are feeling the pinch due to increased prices on many of the necessities that they need to buy for their households.  Beauty’s myriad demographic opportunities Larissa Jensen, Industry Advisor The higher income consumer, with household earnings of $100K and higher, has been a pivotal source of growth for the prestige beauty market. However, key demographics can vary by beauty category and market in prestige fragrances. These pockets of growth point to a myriad of demographic opportunities across the beauty landscape: In prestige fragrance, the demographics growing in importance across key market drivers (like stronger fragrance concentrations) include younger Hispanic and Black consumers with household incomes under $45,000 per year. In the mass market, growing demographics for total beauty include younger, middle-income Asian consumers. Video gamers’ average age is on the rise Mat Piscatella, Industry Analyst The age of the average video game player in the U.S. is rising. Those aged 45 and older represent the fastest growing segment in video game audience size, as many were either introduced or reintroduced to video games over the course of the pandemic. This audience joins those who grew up playing PC video games or early consoles, like the Atari 2600 (and never stopped), are now entering the 45-and-older demographic. With three out of every four consumers in the U.S. engaging with video games, it is truly a mass-market entertainment medium. Key takeaways: Video gaming appeals to audiences across demographic groups, with tremendous marketing and cross-promotional opportunities for brands that may not have before considered video gaming as part of their portfolios in the past. Expanding product and service offerings to engage this dynamic and evolving audience may offer significant opportunity beyond the stereotypical gamer target. Consumer technology shored up by higher income buyers Paul Gagnon, Industry Advisor The latest  Future of Technology forecast  reports consumer technology sales will decline by an additional 3% year over year in 2023 and remain flat in 2024. Even though higher income households are responsible for a greater share of overall spending and spending growth, replacement cycles are long for tech products. We are feeling that slowdown now; however, the upgrade cycle will come around again, and tech sales are expected to return to growth in 2025. Key takeaways: According to Circana’s Checkout data, tech spending by 18-to-24-year-olds declined by 19%, year over year in 2022. By comparison, spending by 35-to-44-year-olds fell just 8 percent and 55-and-older spending was flat. Most consumers invested in tech over the last three years and are not looking to upgrade … yet. When budgets get tight due to inflation, lower income and younger households feel the pinch the most due to lower levels of saving.

The average TV is replaced every 6.6 years in the U.S., and more than one-quarter of TVs are now at least seven years old CHICAGO, March 30, 2023–In 2020 , U.S. TV unit sales surged as consumers upgraded their home entertainment to accommodate more time spent at home. Last year, TV unit sales declined as economic headwinds caused needs and spending habits to shift. Despite the pandemic-driven surge in TV purchases, a new report from Circana , formerly IRI and The NPD Group, reveals the age of installed TVs is beginning to rise, an early indication of an upcoming TV purchase refresh cycle. The average TV is 6.6 years old when it is replaced, according to the latest “TV Ownership Trends Report” from Circana. While the average age of installed TVs in the U.S. dropped to 5 years during the pandemic, the average is now 5.2 years, a slight uptick. In fact, 25.5% of installed TVs are now seven years or older, the highest portion reported since February 2020. “The aging installed TV base is a positive indicator for TV manufacturers and retailers because consumers who purchased TVs earlier in the pandemic will soon be ready to replace them,” said John Buffone, vice president and industry advisor at Circana . According to Circana’s “Future of Technology” forecast, from 2023 through 2025, TV unit sales are expected to experience annual gains. Despite a decline in 2022, unit sales will return to their pre-pandemic baseline by 2024, as the replacement cycle will drive demand. “Almost all U.S. households own at least one TV, and the average household owns more than two,” said Paul Gagnon, vice president and industry advisor at Circana . “The demand cycle was disrupted by the pandemic, but we expect to return to the typical refresh rate by 2024. Once economic conditions improve, there is potential for two to three million additional TV unit sales based on one to two million new households in the U.S. each year and assuming the replacement frequency remains at 6.6 years.”

Over the last few years, the impact of digital transformation (DX) has been significant – not only on the organizations that implemented strategies early, but also on the industry at large, shifting commercial software needs and evolution in the process. Organizations that chose to be on the leading edge of the DX wave are seeing dividends while those that didn’t have found themselves at a disadvantage. From a commercial software perspective, DX has driven businesses of all sizes to reevaluate their operations and processes, leading to more agile and innovative approaches. As a result, DX has helped to accelerate commercial software sales and will continue to help fuel sales in the future. According Circana’s U.S. Reseller Tracking data, commercial software sales totaled $22.4 billion in 2022, an increase of 14% year over year, and growth of nearly 30% compared to 2019. Adoption of DX inspired software solutions has varied by organization size. Small businesses are often challenged by limited resources, making it difficult to implement and support on-premises solutions. As a result, cloud-based solutions have become popular among small businesses as they offer cost-effective and scalable solutions that can be quickly deployed without the need for extensive IT support. Midsize companies have more complex needs but may not have the resources to invest in on-premises solutions. Cloud-based solutions are also popular in these instances but tend to be more focused on platform-as-a-service (PaaS) type solutions to build, deploy and manage their applications. Enterprise companies have the most complex needs and requirements and tend to use a mix of on-premises, cloud-based, and hybrid solutions. The highest level of data control comes with on-premises solutions, but significant upfront investment and ongoing maintenance costs are typically required. Cloud-based solutions offer greater flexibility and scalability, but there can be added risk concerning security, data privacy and compliance. Of the 13 commercial software subcategories Circana tracks, nine of them generated nearly 83% of total commercial software revenue in 2022. Content and collaboration software had the largest revenue share, making up 23% of sales and growing 15%, year over year. Virtualization infrastructure software and security information and event management software (SIEM)were also growth leaders. While overall 2023 business conditions are expected to remain challenging, Circana’s Future of B2B Technology forecast does reflect modest gains in commercial software this year, even though business investment is anticipated to slow during the first half of the year. As conditions improve in 2024, growth is expected to return, with sales revenue forecasted to increase 9%, year over year, and accelerating to 10% in 2025 with inflationary pressures and lingering supply chain issues behind us. The byproduct of DX has been increased speed and agility, helping to create a sustainable competitive advantage that will likely remain a key driver in future commercial software development. Get insights straight to your inbox

NPD dévoile le bilan de 2022 en RHD L’inflation plus marquée depuis septembre 2022 a freiné la reprise de la fréquentation sur septembre-décembre 2022. Ainsi, le marché RHD a terminé l’année à -15% en visites et -12% en dépenses, par comparaison avec 2019, un peu moins bien que les prévisions En restauration commerciale (hors cantines), le ticket moyen a bondi de 8 % depuis 2019, toutes occasions de consommation confondues Deux Français sur 3 déclarent qu’ils peuvent encore se permettre de manger dans les bars et les restaurants malgré la hausse des prix … mais qu’ils ont changé leurs habitudes. Paris, le 22 mars 2023 — À l’occasion de la publication d’une enquête consacrée à la restauration hors domicile*, The NPD Group révèle les résultats de l’année 2022 en restauration hors domicile – le marché reste en recul de -15% en fréquentation et -12% en dépenses consommateurs par rapport à 2019 qui sert d’année de référence pré-Covid. S’appuyant sur le panel CREST® du NPD Group de 18 000 personnes interrogées tous les mois sur leurs habitudes de restauration, la société fonde ses analyses sur les données du marché RHD qu’il suit en France depuis 2004 et sur son expertise sectorielle unique. Bilan Restauration Hors Domicile 2022 : l’effet inflation Même si l’année 2022 n’a pas été impactée par des fermetures contrairement à 2021 qui comptait 160 jours de fermetures pour la restauration assise, la reprise est freinée au 4ème trimestre. Si la progression en fréquentation (+26% vs 2021) et en dépenses (+37%) notamment due aux réouvertures de la Restauration à table avec un ticket moyen plus élevé est tout à fait louable sur l’année, le marché n’atteint que -90% de son niveau pré-Covid. Même si le marché semble progresser plus vite et tendre vers la normale côté dépenses, cette bonne santé apparente repose en partie sur l’inflation. Le bilan de l’année montre que la restauration commerciale est en recul de -11% en visites et de -9% en dépenses par rapport à 2019. La restauration rapide, qui a augmenté de 4 % en valeur en comparaison de 2019, a vu son ticket moyen s’élever de 8 % en trois ans, avec un pic de 12 % à l’heure du déjeuner. Côté visites, le circuit affiche toujours un retard de 4 % par rapport à 2019. La restauration à table reste en difficulté : elle est toujours en recul de 18 % en dépenses et de 24 % en visites vs 2019 avec un ticket moyen en augmentation de 8% également et un pic de 17% à l’heure du déjeuner. Dans ce contexte côté produits et boissons, les softs sortent comme étant la catégorie gagnante de 2022, suivie par la catégorie des burgers. Enquête : les Français face à la hausse des prix L’enquête « Les Français face à la hausse des prix en restauration » réalisée en février 2023* dévoile que malgré la hausse des prix les 66% des répondants déclarent qu’ils peuvent encore se permettre de manger dans les bars et les restaurants… mais qu’ils ont changé leurs habitudes. Les stratégies mises en œuvre pour faire face à l’augmentation des prix vont de la baisse de la fréquentation dans certains circuits (arbitrages circuits) jusqu’à l’arbitrage plus malin en dépenses pour préserver ses sorties. Les stratégies varient par âge : les jeunes 18-34 semble plus réticents à réduire leur fréquentation de la restauration, tandis que les cibles des 35-54 ans limitent plus facilement leurs sorties le télétravail aidant. Quant à la population des 55 ans+, deux profils se dessinent, entre les hédonistes et les casaniers. Arbitrage : moments de consommation ! Les arbitrages ne concernent pas uniquement les lieux de sortie des Français, mais aussi les moments de consommation. La restauration commerciale semble bien récupérer vs 2019 sur les visites dites « snacking entre les repas » (snacking du matin ou de l’après-midi) car ces visites sont à -6% vs 2019. Toutefois les repas (déjeuner et dîner) continuent à souffrir dans le contexte actuel avec -15% en visites vs 2019 affectés par le télétravail partiel (le déjeuner) et par la tendance « homing » ou la flemme de sortir chez soi (le dîner), que l’on constate dans notre société post-Covid. D’où l’importance de l’expérience et du service pour motiver les consommateurs à vivre une expérience restauration de qualité et à un prix que le consommateur juge comme abordable. Maria Bertoch, experte foodservice au sein de The NPD Group, commente : « Les résultats de cette étude* montrent que les consommateurs prévoient de dépenser mieux plutôt que plus du tout, comme ce fut le cas lors de la crise de 2008. À l’époque, alors que 51 % des consommateurs allemands, britanniques, français, italiens et espagnols envisageaient de restreindre leurs sorties au restaurant, les résultats dans ces cinq pays avaient été moins impactés au final que prévu, avec un recul de seulement 2 % du total marché en 2009. » * « Les Français face à la hausse des prix en restauration », uneenquête du NPD Group menée en février 2023 auprès de 500 répondants. Plus d’informations sur demande. Définition des circuits La restauration hors domicile inclut les circuits suivants : Restauration commerciale (cf. ci-dessous) restauration collective (restauration d’entreprise, au bureau ou à l’usine, autogérée ou concédée), distribution automatique. La restauration commerciale inclut les circuits suivants : restauration avec service à table (cafés/bars/brasseries, restauration thématique et non thématique, cafétérias), restauration rapide (fast-foods, vente à emporter/livrée, sandwicheries, boulangeries, traiteurs, GMS), restauration dans les transports et lieux de loisirs (musées, parcs d’attractions…).

Circana presents a complete view of the U.S. beauty consumer and market drivers at Growth Summit 2023 CHICAGO, March 22, 2023 — Amassing $30 billion in annual retail sales in the U.S., beauty product sales at mass merchants accounted for the majority of sales across most beauty categories last year. However, the $27 billion prestige beauty business, including department and beauty specialty stores, has been the growth engine for the industry, with both sales revenue and unit sales growing faster in prestige than mass in 2022, while also experiencing the softest price increases, according to Circana formerly IRI and NPD). “For many consumers, beauty is indispensable,” said Larissa Jensen, beauty industry advisor at Circana . “In fact, among beauty shoppers who reported reducing their overall spending due to inflation, seven out of ten said they were not cutting back on their beauty spending. On the contrary, consumers have shown us that when economic sentiment gets shaky, they turn to prestige beauty products for an emotional lift. This ‘treat mindset’ is a big piece of what ties the complete beauty industry picture together.” Category-level contrasts are very telling in terms of how consumers are shopping across mass and prestige retailers. For example, shampoo, conditioner, and hair color sold in mass stores were among the top overall beauty categories to experience unit sales declines in 2022, even as hair care was the fastest-growing category in the prestige market. “Consumers are trading up when it comes to their hair care because they are seeing the value in investing in prestige brands,” said Jensen. Consumers are also trading up when it comes to their fragrance purchases, by investing more heavily in high-end, luxury fragrances. In 2022, sales revenue for fragrances priced over $150 grew by 16%, versus 2021. “Part of the investment stems from consumers using scent as a form of self-care, to satisfy their expanded wellness needs,” said Jensen. Among fragrance wearers, 71% look for a scent that lifts their mood, and 50% are interested in fragrances they link to a physical or wellness benefit such as de-stress, focus, and energize. Skincare was the mass market’s best performing category in 2022, based on unit sales growth. Furthermore, facial skincare sold in the mass market was the top-performing segment across the entire beauty industry, based on sales revenue gains. Skincare, however, was the anomaly on the prestige beauty side, as it was the only category to experience flat sales in higher price-points in 2022. “We are observing a democratization of the skincare market, as more consumers decide that they can actually spend less to get the desired results – whether that means purchasing lower price-points within the prestige stores or turning to dermatologist-recommended brands in mass outlets,” said Jensen.

Liquid Data cloud deployments give clients flexibility and control over their technology strategy CHICAGO, March 22, 2023 — Circana , formerly IRI and The NPD Group, is expanding its industry-leading Liquid Data technology platform for CPG, retail and media to generate new levels of growth for general merchandise and foodservice. Liquid Data is an end-to-end tracking to activation platform and has the flexibility to be deployed in any public cloud environment, including Microsoft Azure, Google Cloud, Amazon Web Services (AWS) and Oracle Cloud. Liquid Data also supports hybrid and private cloud deployments, so companies can keep their data safe behind their firewalls while taking full advantage of Liquid Data’s capabilities. With hundreds of integrated third-party data sets and access to over 2,500 embedded algorithms, Liquid Data can be further enriched with clients’ first-party data whether that data is on their servers or in a public cloud. Circana’s clients have the ability to integrate multiple different data sets and leverage sophisticated analytics to create and recommend specific action steps to propel growth. “Historically, companies have struggled to integrate consumer data with their own proprietary data due to the technological constraints of limited cloud-deployment options,” said Ash Patel, chief technology and transformation officer, Circana. “The open, cloud-based nature of Liquid Data puts clients back in control of their technology strategies with access to more data for comprehensive decision-making while keeping their first-party data safe and secure.” Liquid Data is relied on by thousands of global clients, who can utilize the solution’s cloud-based flexibility to take control of their technology strategy. Integrating Circana’s point-of-sale and panel data covering 26 industries, frequent shopper data from loyalty cards, hundreds of third-party data sets and proprietary client data, Liquid Data provides businesses with a comprehensive view of their consumers, enabling them to make informed decisions and drive growth.