I. Executive Summary

The Products
• Most Anti-Aging VSMs Belong to Supplement Category
• Definition of Supplements
• AHAs and BHAs in Cosmeceuticals
• The DSHEA and the VSM Market
• FDA Patrols Fine Line Between Drugs and Cosmetics
• Health and Natural Food vs. Mass-Market VSM Products
• Mass-Market vs. Prestige Cosmeceutical Products

The Market
• Overall Market Grows 40% in 1997
• Demographic Trends Will Drive Market Growth
• Overall Market to Reach $3.6 Billion in 2002
• Table 1-1: The U.S. Market for Anti-Aging VSM and Cosmeceutical Products, 1993-2002 (dollars): VSMs, Cosmeceuticals, Total
• Health Food Stores Claim Third of Market
• Figure 1-1: Dollar Share of Anti-Aging VSM and Cosmeceutical Sales by U.S. Retail Channel, 1997 (percent): Health and Natural Food Stores, Chain Drugstores, Mass Merchandisers, Department Stores, Supermarkets, Other
• Mass Gaining on Health Food in VSMs
• Mass Gaining on Class in Cosmeceuticals

The Marketers
• Hundreds of Marketers
• Health Food VSM Marketers Drawn to Mass Channels
• Mass VSM Marketers Compete with New Products
• Cosmeceuticals Create Opening for Marketers
• Distinctions Between Mass and Prestige Cosmeceuticals Blur
• Prestige-Level Cosmeceutical Competition Intensifies
• Direct Marketers of Cosmeceuticals Continue to Thrive
• DHEA Leads Parade from VSMs to Cosmeceuticals
• Growing Emphasis on Skincare Vitamins, Especially Retinol
• VSM Ad Spending Doubles to $64 Million
• Cosmeceutical Ad Spending Tops $140 Million

Distribution and Retail
• Distributors Used for Health Food and Mass-Market VSMs
• VSM Distributor Margins for the Two Sectors Differ
• Leading Cosmeceutical Marketers Use Direct Distribution
• Health Food Chains Oriented to VSMs
• VSM Margins and Prices Higher in Health Food Stores
• Chain Drugstores Well Positioned as VSM Outlets
• Department Stores Are Major Prestige Cosmeceutical Outlet
• Prestige Cosmeceutical Margins Average About 40%
• Cosmeceuticals Concentrated Among Higher-Priced Products
• Department Stores Face Disadvantages in Cosmeceuticals
• Competition in Skincare Intensifies Among Mass Retailers
• Cosmeceutical Margins Range from 25% to 35% at Mass
• Mass Cosmeceutical Prices Fall into Three Ranges

The Consumer
• 56% of Adults Use VSMs
• Medium Users Account for 64% of VSM Usage
• Overall Profile for VSM Users
• Multiple Formula VSM Use Most Common
• Profiles by VSM Type
• Highest Percentage Shop for VSMs at Drugstores
• Age-Conscious Baby Boomers Best Cosmeceutical Target
• Heavy Use Is Highest in 45-54 Age Bracket
• Heavy Users Are Better Educated
• Managerial/Administrative Job Is Strong Indicator
• Heavy Users Concentrated Among Higher-Income Groups

Scope and Methodology
• Market Parameters
• Report Methodology

II. The Products

Market Definition
• Scope of Report
• Main Focus Is Retail, But Direct Response Addressed Products Excluded from Report

Primer on the Skin
• A Protective Coat
• New Cells Replace the Old
• Changes in Aging Skin

Key Anti-Aging Ingredients
• The Role of Antioxidants
• Most Anti-Aging VSMs Belong to Supplement Category
• Definition of Supplements
• Anti-Aging Supplements Fall into Three Groups
• General Anti-Aging Supplements
• All-Purpose Anti-Aging Vitamins
• Anti-Aging Minerals
• Supplements That Combat Aging Skin
• Skin-Protecting Vitamins
• Smart Supplements
• Choline and Inositol May Help Preserve Memory
• Branded Ingredients
• Alpha-Hydroxy Acids Rule in Cosmeceuticals
• AHAs as Chemical Peels
• OTC Regimens for AHAs
• Salicylic Acid
• Trademarked Ingredients
• Combining Exfoliating Ingredients
• Other Anti-Aging Cosmeceutical Ingredients
• Moisturizing Ingredients

Historical and Regulatory Overview: VSMs
• A VSM Market Develops
• Growing Interest Prompts FDA Attention
• FDA Sets Maximum and Minimum Limits for RDA
• Proxmire Amendment Reins in FDA, Opens Market
• Touting Benefits Without Making Medical Claims
• NLEA Gives FDA New Rules and Power
• RDAs, RDIs, DVs, and DRVs
• FDA Proposes Strict VSM Claim Guidelines
• Congress Counters with Pro-Supplement Legislation
• Structure/Function Statements
• Third-Party Literature
• Moratorium Runs Out; Reprieves Extend Deadlines
• FDA Attacks DSHEA After Ephedra Incident

Historical and Regulatory Overview: Cosmeceuticals
• Cosmeceuticals and the Fountain of Youth
• Sunscreens: The Anti-Aging Ingredient of the Late 1970s Cell Renewal Concept Inspires Further Research
• The Miracle Acne Product
• Vitamin-A Derivatives Mark Birth of Cosmeceutical Age
• Alpha-Hydroxy Acids: The Anti-Aging Elixir of the '90s
• FDA Patrols Fine Line Between Drugs and Cosmetics
• FDA Tracking AHAs
• Study Supports Safety of AHAs
• Do AHAs Really Work?

Product Types, Forms, and Packaging
• Pills Are Most Common Delivery System for VSMs
• Health and Natural Food vs. Mass Market
• No-Frills Packaging Reinforces VSM Product Seriousness
• Cosmeceuticals Specialized by Function and Area of Use
• Wide Variety of Forms
• Mass-Market vs. Prestige Skincare Products
• Visual Appeal Is Common Denominator in Cosmeceuticals

Trade Associations
• Regulatory Issues Enhance Role
• American Botanical Council
• American College of Nutrition
• American Herbal Products Association
• Citizens for Health
• Cosmetic Ingredient Review
• Cosmetic, Toiletry, and Fragrance Association
• Council for Responsible Nutrition
• Food and Drug Law Institute
• Herb Research Foundation
• National Nutritional Foods Association
• The U.S. Pharmacopoeia

III. The Market
Figure 3-1: Total U.S. Retail Sales of Anti-Aging VSMs and Cosmeceuticals, 1993-1997 (dollars)

Market Size and Growth
• Arriving at Sales Estimates
• Packaged Facts' Methodology
• Market Grows 40% in 1997
• Table 3-1: U.S. Retail Sales of Anti-Aging VSMs and Cosmeceuticals, 1993-1997 (dollars): VSMs, Cosmeceuticals, Total

Market Composition
• Health Food Stores Claim Third of Market
• Figure 3-2: Dollar Share of Anti-Aging VSM and Cosmeceutical Sales by U.S. Retail Channel, 1997 (percent): Health and Natural Food Stores, Chain Drugstores, Mass Merchandisers, Department Stores, Supermarkets, Other
• Mass Gaining on Health Food in VSMs
• Figure 3-3: Dollar Share of Anti-Aging VSM Sales by U.S. Retail Channel, 1997 (percent): Health and Natural Food Stores, Chain Drugstores, Mass Merchandisers, Supermarkets, Other
• Mass Gaining on Class in Cosmeceuticals
• Figure 3-4: Dollar Share of Anti-Aging Cosmeceutical Sales by U.S. Retail Channel, 1997 (percent): Department Stores, Chain Drugstores, Mass Merchandisers, Supermarkets, Other
• West Leads Market for VSM Use
• Table 3-2: Use of VSMs by Geographic Region, 1997 (percent and index): West, Northeast, Midwest, South
• VSM Sales Stronger in Winter Months
• West Also Has Highest Incidence of Cosmeceutical Users
• Table 3-3: Heavy Use of Facial Moisturizers by Geographic Region, 1997 (percent and index): West, Midwest, South, Northeast
• Cosmeceutical Sales Highest in Winter and Summer

Factors Affecting Market Growth
• Aging Population Will Drive Sales
• Table 3-4: U.S. Adult Population Projections by Gender and Age Bracket, 1997 vs. 2002 (number and percent): From Age 18 to Age 65+
• Companies Driving Market with New Products
• Stronger Advertising Fans Interest
• Prevention and Self-Care Trend
• Women's Health Comes of Age
• Post-Macho Men's Care
• Increased Interest in Natural Medicines
• An Epidemic of Forgetfulness
• Living Longer, Living Well
• Expanded Mainstream Distribution of VSM Products
• Juice Bars Gain VSM Ingredients Visibility
• Research Supports Interest in VSM Products
• 40% of 45-or-Older Adults Still Non-Users of VSMs
• Lack of Education Still an Obstacle
• Extreme Claims for Melatonin and DHEA May Trigger Backlash Competition and Synergy from Fortified Foods
• Skincare Becoming a Healthcare Issue
• Working Women Give Impetus to Cosmeceuticals
• Table 3-5: Projections for U.S. Population of Working Women, 1993 vs. 2000 (number and percent): Participation Rate
• Trend to More Natural Look
• Marketers Find New Ways to Apply AHAs
• Biotechnology to Play Growing Role in Cosmeceuticals
• New Cosmeceutical Delivery Systems
• More Shelf Space for Cosmeceuticals
• Figure 3-5: Projected Total U.S. Retail Sales of Anti-Aging VSMs and Cosmeceuticals, 1997-2002 (dollars)

Projected Market Growth
• Market to Reach $3.6 Billion in 2002
• Table 3-6: Projected U.S. Retail Sales of Anti-Aging VSMs and Cosmeceuticals, 1997-2002 (dollars): VSMs, Cosmeceuticals, Total

IV. The Marketers

The Marketers
• Hundreds of Marketers
• Casts of Marketers Differ by Distribution Channel
• VSM Marketers: Health and Natural Food Sector
• Dominant Herbal Supplement Companies
• Crossover Occurring
• Leading VSM Marketers in the Mass Market
• Store Brands Play Important Role in VSMs
• Large Companies Dominant in Cosmeceuticals
• Estée Lauder Is Leading Prestige Cosmeceutical Marketer
• Leading Direct Marketers
• VSM Marketers Enter Cosmeceuticals Classification
• Cosmetics Companies Enter VSM Market
• Table 4-1: Selected Marketers and Brands of Anti-Aging VSM Products (110 Marketers and Their Brands/Products)
• Table 4-2: Selected Marketers and Brands of Anti-Aging Cosmeceuticals (98 Marketers and Their Brands/Products)

Marketer and Brand Shares
• Ranking VSM Marketers
• Leading VSM Brands in Health and Natural Food Stores
• At Mass, Anti-Aging VSMs Grouped with "Mineral Supplements"
• Otsuka/Pharmavite's Nature Made Is Leading Mass Brand
• Estimating Cosmeceutical Shares
• Estée Lauder, Cosmair Vie for Number-One Prestige Brand
• Cosmair's L'Oréal Plenitude Is Leading Mass Brand
• Avon Controls in Direct Marketing

Competitive Overview: Anti-Aging VSMs
• More Health Food Sector Marketers Drawn to Mass Channels
• Marketing Remains Salient Difference Between Sectors
• Health Food Sector Marketers Compete Through New Products
• Natural and Technical Innovation Drive Sector
• Product Trends Attract New Marketers
• Health Food Marketers Use Discounting, Line Extensions to Gain Shelf Space
• Marketers Stake Claims with In-Store Displays
• Mass Marketers Also Compete with New Products
• Mass Marketers Offer Planograms and Shelf-Stocking Assistance
• Price and Value Competition
• Mass Marketers Also Use Educational Materials at POP

Competitive Profile: General Nutrition Companies, Inc.
• Corporate Overview
• A Sixty-Year Legacy
• Acquires Competing Retailers
• Exploring New Locations and Formats General Nutrition's VSM Products
• International Activities
• Aggressive Growth Planned

Competitive Profile: Leiner Health Products Group, Inc
• Corporate Overview
• A Leading Brand in Mass Market and Private Label
• Company Innovations
• Your Life: Flagship Brand
• Targets Supplements as Growth Opportunity

Competitive Profile: Murdock Madaus Schwabe
• Corporate Overview
• Herbal-Based Products
• Nature's Way Sold to Health and Natural Food Sector
• NaturaLife Sold to Mass Market
• Strong Marketing Support
• International Connections

Competitive Profile: Natrol, Inc
• Corporate Overview
• Major Products
• Ample Advertising Support
• Backing from Private Equity Firm
• Opens State-of-the-Art Facility

Competitive Profile: NBTY, Inc
• Corporate Overview
• Own Retail Chain Is Growing Rapidly
• Different Brands for Different Channels
• Creating Vitamin World Departments
• A Host of New Products
• Innovative Merchandising
• An Eye Out for Future Growth

Competitive Profile: Pharmaton Natural Health Products (Boehringer Ingelheim Pharmaceuticals, Inc.)
• Moves Quickly Into Front Ranks
• Uses Advertising to Build Brand Recognition
• Launches Ginkoba and Vitasana

Competitive Profile: Pharmavite (Otsuka Pharmaceutical Ltd.)
• A Mass-Market Leader
• Focuses on Increasing Pharmacist Involvement
• Television Is Main Ad Medium
• Nature's Resource Focuses on New Products, Pharmacist Education

Competitive Profile: Rexall Sundown, Inc.
• Corporate Overview
• Over 1,500 Products Through Three Channels
• Value-Conscious Strategy Drives Company
• Sundown: The Flagship Retail Brand
• Recent Expansion and Growth

Competitive Profile: Twin Laboratories, Inc
• Corporate Overview
• Company Innovations
• History and Growth of Company
• The Nature's Herbs Subsidiary
• Twinlab Is Product-Driven
• Company Philosophy
• Twinlab's Growth Strategy

Competitive Profile: Weider Nutrition International, Inc
• Corporate Overview
• Distinct Brands for Each Distribution Sector
• Company History and Growth
• Schiff: A Major Acquisition
• Launches Health Program for Men over 40
• Plans for Future Growth

Competitive Profiles: Other VSM Marketers
• Country Life Vitamins
• 4Health, Inc
• Futurebiotics
• Herbalife International, Inc.
• Nature's Sunshine Products, Inc
• Pharmanex, Inc

Competitive Overview: Cosmeceuticals
• New Classification Creates Opening for Marketers
• Enhanced AHA-Based Products Hit the Market
• Distinctions Between Mass and Prestige Products Blur
• Prestige-Level Competition Intensifies
• Direct Marketers Continue to Thrive

Competitive Profile: Avon Products, Inc
• A Major Force in Direct Sales
• Anew: Avon's Big Cosmeceutical Seller
• Avon Continues to Grow Anew

Competitive Profile: Beiersdorf, Inc
• Beiersdorf Competes with Several Brands
• Eucerin Plus: Early Entry in Cosmeceutical Market
• Nivea Visage
• Basis Simplifies Skincare
• Prestige La Prairie Line Offers Age Management Series

Competitive Profile: Cosmair, Inc.
• Cosmair Competes with Its Mass L'Oréal and Class Lancôme
• Plénitude Alters Mass Market
• Revitalift Launch Gives Renewed Boost to Plenitude
• Middle-Positioning Strategy Is Winner
• Futur-E Is Latest Plenitude Addition
• L'Oréal Acquires Maybelline
• Lancôme Scores Big with Cosmeceutical Entry, Bienfait Total
• Lancôme Scores Again with Primordiale
• Lancôme Sets Sights on Overtaking Estée Lauder

Competitive Profile: Estée Lauder Companies, Inc.
• Estée Lauder Dominates Prestige Segment
• Clinique Is Leading Department Store Brand
• Turnaround Cream Is Clinique's Biggest New Product
• Fruition: The Most Successful Launch in Lauder History
• Lauder Brand Adds Revelation and Re-Nutriv
• Prescriptives Prescribes "All You Need"
• Origins: One of the First to Have Prestige AHA Products
• Aramis Targets Men with AHA Product Called Lift Off

Competitive Profile: Johnson & Johnson
• Neutrogena Puts Johnson & Johnson in Top Skincare Ranks
• Neutrogena Enters Cosmeceutical Arena with Healthy Skin Line
• Other Neutrogena Products Promise Therapeutic Benefits
• Johnson & Johnson Acquires Clean & Clear, Extends Purpose
• Johnson & Johnson Also Offers Only Rx Cosmeceutical

Competitive Profile: Neoteric Cosmetics (Scott's Liquid Gold, Inc.)
• Company Newcomer to Skincare
• Neoteric Was First to Mass Market
• Alpha Hydrox Product Line
• Alpha Hydrox for Men

Competitive Profile: Procter & Gamble Co
• Procter & Gamble-The Leading Mass Skincare Marketer
• Oil of Olay Enters Cosmeceutical Field
• Oil of Olay Cosmeceutical Advertising and Promotion
• P&G Halts Sales of Visible Recovery Series
• Oil of Olay Age Defying Series

Competitive Profile: Revlon, Inc
• Revlon Competes Mainly at Mass Level
• Revlon Results Is First Cosmeceutical Entry
• Almay Demands Time-Off
• Revlon Targets Skincare

Competitive Profile: Unilever United States, Inc
• Strong Entries in Both Mass and Prestige
• Pond's Age Defying System
• The Pond's Institute
• Pond's Institute Develops Educational Program
• Vaseline Intensive Care Launches AHA-Based Product
• Acquisition of Helene Curtis Industries, Inc
• Prestige Cosmeceutical Activity Centers on Ceramides

Competitive Profiles: Other Cosmeceutical Marketers
• Andrew Jergens Co.
• Bausch & Lomb, Inc.
• Bristol-Myers Squibb Co.
• Chanel, Inc.
• Chantal Pharmaceutical Corp
• Christian Dior Perfumes, Inc
• Clarins U.S.A., Inc.
• Del Laboratories, Inc
• Freeman Cosmetic Corp
• St. Ives Laboratories, Inc
• University Medical Products/USA, Inc
• Warner-Lambert Co.

Marketing Trends
• VSM Marketers Making Stronger Medical Claims
• Structure/Function Claims in Mass Market
• Pharmaceutical-Style Packaging and Promotion for VSMs
• USP Endorsements
• VSM Product Introductions Accelerate
• VSM Marketers Broaden Mass-Market Offerings
• Unified Line Names
• Endorsements and Celebrities
• Health Sector Marketers Increase Use of Sponsorships, Donations
• Cosmeceutical Marketers Use Clinical Studies to Buttress Claims
• Cosmeceutical Mass Marketers Upgrade
• Trend Continues Toward Targeted Products
• Growing Role for Dermatologists
• Marketers of Anti-Aging Products Go Interactive

New Product Trends
• Growing Use of Branded Ingredients
• VSM Marketers Target Aging Boomers
• More Food for Thought
• DHEA Introductions Abound in VSMs
• More Specialized Anti-Aging Products Flourish as Well
• New Delivery Systems
• Hydroxy Acids and Beyond in Cosmeceuticals
• Growing Emphasis on Skincare Vitamins, Especially Retinol
• DHEA Leads Parade from VSMs to Cosmeceuticals
• Herbs and More Exotic Ingredients
• Natural Trend Influences Cosmeceuticals, Too
• Table 4-3: Anti-Aging VSMs: Selected New Product Introductions and Line Extensions, 1996-1997
• Table 4-4: Cosmeceuticals: Selected New Product Introductions and Line Extensions, 1996-1997

Consumer Advertising and Promotion
• VSM Ad Spending Doubles to $64 Million
• General Nutrition and Pharmaton Are Top Spenders
• Other Marketers Advertise to Support Mass-Market Efforts
• Cosmeceutical Ad Spending Tops $140 Million
• Cosmair Is Top Spender
• Unilever Ranks Second
• Revlon Had Largest Increase After Cosmair
• Estée Lauder at Fourth
• Johnson & Johnson Joins Rankings
• Procter & Gamble Absent from Rankings, But Only Temporarily
• Health Food Sector Marketers Advertise in Specialized Magazines
• Anti-Aging VSMs: Medical Images Abound
• Structure-Function Claims Allow Marketers More Explicitness
• VSM Ads Serve Product Differentiation
• Two-Page Advertising Spreads
• Educational Programs Help Sell VSM Products
• Coupons Used Less Frequently in Health and Natural Food Sector
• Mass-Market Newcomers Promote with Coupons and Rebates
• Two-for-One Packaging, Giveaways, and Sampling
• Radio Health Shows
• Women Targeted by Prestige and Mass Cosmeceutical Advertising
• Line Between Therapeutic and Cosmetic Positionings Blurs
• Cosmeceutical Ads Stress Product Performance Above All Cosmeceutical Ads Proclaim Anti-Aging Benefits
• Bold Therapeutic Claims Often Tied to Unique Ingredients
• Promotions Extremely Important in Cosmeceuticals
• Prestige Cosmeceutical Promotions: Education, PWPs, and GWPs
• Mass-Market Promotions: Coupons, Trial Sizes, and Bonus Bottles
• Online and Telephone Promotions
• Examples of Consumer Promotion

Trade Advertising and Promotion
• VSM Marketers Rely Heavily on Trade Advertising
• Health and Natural Food Trade Ads Educate on Products
• Mass-Market Ads More Bottom-Line-Oriented
• VSM Marketers Woo Retailers at Trade Shows
• Discounts Are Common Component of Promotions
• Displays Compete for Retail Space
• Training for Retail Staff
• VSM Marketers Supply Educational Literature
• Shelf-Planning and Maintenance Services
• Skincare Marketers Provide In-Store Display Materials
• Prestige Marketers Deeply Involved in Merchandising
• Growing Use of Detailing in Skincare
• Co-Op Ads and Invoice Discounting
• Trade Shows More Important Than Trade Advertising in Skincare
• Examples of Trade Promotion

V. Distribution And Retail

Distribution
• Distributors Used for Health Food and Mass-Market VSMs
• Several Large Distributors Dominate Health Food Sector
• Large Health Food Retailers Maintain Centralized Warehouses
• More Direct Buying Among Health Food Retailers
• Mass-Market VSMs: Warehouse vs. Store Delivery
• Mass Marketers Also Distribute Through Drug Wholesalers
• VSM Distributor Margins for the Two Sectors Differ
• Forward Buying by VSM Distributors
• VSM Distributors Offer Range of Services
• Brokers Support VSM Sales Efforts
• Leading Cosmeceutical Marketers Use Direct Distribution
• Service Merchandisers Important to Smaller Marketers and Retailers
• Diverters Move Prestige Skincare Through Mass Outlets
• Direct Sales Significant in Anti-Aging Products
• Marketer-Owned Stores Also Play Role

At the Retail Level: Anti-Aging VSMs
• Retailer Shares in VSMs
• Health and Natural Food Sector Essential to VSM Industry
• Health Food Chains Oriented to VSMs
• Pharmacy-Like Services
• VSM Selling Space and Selection Are Growing
• Major Promotional Tools
• Margins and Prices Higher in Health Food Stores
• Chain Drugstores Well Positioned as VSM Outlets
• Responding to Competition from Mass Merchandisers
• Increasing Pharmacist Involvement in VSMs
• Pharmavite Pushing Pharmacist Involvement
• Drug Chains Expanding VSM Departments
• Small Chain Banks on VSMs
• The Importance of Private Label
• Gross Margins Exceed 33%
• Co-op Funds Support Regular Circulars
• Mass Merchandisers Competing on Price, Selection, and Advertising
• Mass Merchandisers Devote Significant Space to VSMs
• Private Label Key to Product Mix
• Wal-Mart Seeking to Become VSM Destination Store
• Supermarket VSM Sections Constrained for Space
• Trade Association Identifies Ways to Build Sales
• Maximizing Productivity by Carrying What's Hot
• Signage Helps Consumers Find Products
• Some Supermarkets Enlarging VSM Sections
• Pharmacies and Advertising Boost Sales
• Cross-Merchandising to Improve Sales
• VSM Margins and Prices High by Supermarket Standards

At the Retail Level: Cosmeceuticals
• Department Stores Lead, But Mass-Market Sales Growing Faster
• Department Stores Are Major Prestige Outlet
• Skincare Forms Part of Cosmetics Departments
• Department Stores Carry Leading and Less Familiar Brands
• Promoting Prestige Products
• Beauty Consultations and Skincare Clinics Boost Sales
• Prestige Margins Average About 40%
• Cosmeceuticals Concentrated Among Higher-Priced Products
• Department Stores Face Competitive Disadvantages
• Mass-Market Cosmeceuticals Merchandised with Skincare
• Outposting and Cross-Merchandising
• Cosmeceuticals Help Skincare Increase Shelf Space
• Selection and Turnover
• Promotions Extremely Important at Mass
• Margins Range from 25% to 35% at Mass
• Mass Prices Fall into Three Ranges
• Competition in Skincare Intensifies Among Mass Retailers
• Chain Drugstores Fight to Hold Leading Mass Share
• Mass Merchandisers Compete on Price and Selection
• Traditional Supermarkets Expand Skincare Offerings
• Combos and Supercenters Compete

VI. The Consumer

Introduction
• The Simmons Survey System

VSM Users
• Use of Simmons Data
• 56% of Adults Use VSMs
• Medium Users Account for 64% of Usage
• Overall Profile for VSM Users
• Women, Boomers Among Heavy Users
• Table 6-1: Demographic Characteristics Favoring Use of VSM Products: All Users vs. Heavy Users, 1997
• Multiple Formula Use Most Common
• Table 6-2: Percent of Consumers Who Use VSMs by Product Type, 1993 vs. 1997 (percent): 21 Product Types
• Garlic Supplements Draw 65 and Overs
• Herbal Users Show Somewhat Younger Profile
• Appeal of Antioxidants
• Table 6-3: Demographic Characteristics Favoring Use of VSM Products by Product Type: Garlic, Herbal Supplements, Antioxidants (1997)
• Highest Percentage Shop for VSMs at Drugstores
• Table 6-4: Consumer Shopping for VSM Products by Retailer Type, 1993 vs. 1997 (percent): Drugstores, Mass Merchandisers/Discount Stores, Supermarkets/Groceries, Health Food/Vitamin Stores, Mail Order, Other
• Profile of Drugstore VSM Shoppers
• Middle-Age Consumers Buy at Mass Merchandisers
• Westerners, Asian Americans Buy at Supermarkets
• Table 6-5: Demographic Characteristics Favoring Purchase of VSM Products by Retailer Type, 1997 (U.S. Adults): Drugstores, Mass Merchandisers/Discount Stores, Supermarkets/Groceries
• Health Food Stores Appeal to Wide Income Range
• Seniors, Managers/Administrators Buy by Mail
• Table 6-6: Demographic Characteristics Favoring Purchase of VSM Products by Retailer Type: Health Food/Vitamin Stores vs. Mail Order, 1997
• Survey Indicates Bright Future for Herbal Supplements
• Factors Leading to Herbal Remedy Use
• Most Herbal Supplement Users New to Market

Cosmeceutical Users
• Data Relate to Heavy Use of Facial Moisturizers
• Age-Conscious Baby Boomers Best Target
• Heavy Use Is Highest in 45-54 Age Bracket
• Table 6-7: Heavy Use of Facial Moisturizers by Age Bracket, 1997 (percent and index): From Age 18 to Age 65+
• Heavy Users Are Better Educated
• Table 6-8: Heavy Use of Facial Moisturizers by Educational Attainment, 1997 (percent and index): 4 Levels of Education
• Managerial/Administrative Job Is Strong Indicator
• Table 6-9: Heavy Use of Facial Moisturizers by Type of Occupation, 1997 (percent and index): 7 Types of Occupation
• Heavy Users Concentrated Among Higher-Income Groups
• Table 6-10: Heavy Use of Facial Moisturizers by Household Income Bracket, 1997 (percent and index): From Less than $10,000 to $100,000+
• West Has Highest Incidence of Use
• Table 6-11: Heavy Use of Facial Moisturizers by Geographic Region, 1997 (percent and index): West, Midwest, South, Northeast
• Usage by Race
• Table 6-12: Heavy Use of Facial Moisturizers by Race, 1997 (percent and index): White, African-American, Asian-American, Other
• Marital Status Not a Major Determinant
• Table 6-13: Heavy Use of Facial Moisturizers by Marital Status, 1997 (percent and index): Married, Divorced/Separated/Widowed, Single
• Summary of Indicators
• Table 6-14: Demographic Characteristics Favoring Heavy Use of Facial Moisturizers, 1997

Appendix I: Examples Of Consumer And Trade Advertising And Promotions

Appendix II: Addresses Of Selected Marketers