New technology and innovation to revive acne sales?

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For several years, the OTC acne remedies category has been in the doldrums. Global sales grew by just 1.9% in 2018, and the CAGR for the subcategory over the 2014-18 period is a lowly 1.6%. This poor performance is largely related to the US market, where sales of acne remedies fell by 1.4% to US$514mn in 2018.

That’s why the recent news that L’Oréal’s skin care brand, La Roche Posay, has introduced Effaclar Adapalene Gel 0.1% Acne Treatment, is very timely. Retailing for US$29.99 for a 45g tube, the topical retinoid once-daily medication is indicated for the treatment of acne in people aged 12+. The brand has also launched La Roche-Posay My Skin Track PoreScan, an AI-powered skin analysis tool (similar to Effaclar Spotscan, launched earlier in 2019) that can make personalised skincare recommendations for those concerned with clogged pores, raised imperfections and residual marks. 

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OTC.NewDirection‘s Consulting Editor, Nina Stimson, commented: “This is a major step for La Roche Posay and parent, L’Oréal, known worldwide primarily as a cosmetics player. Adapalene’s switch to OTC (at 0.1% Rx strength) as Differin Gel (Galderma / Nestlé) was approved in the USA in July 2016 as the first retinoid drug for the OTC treatment of acne, with adapalene acknowledged as the first new active ingredient for that OTC indication since the 1980s. This launch comes exactly three years later, as Differin’s exclusivity ends, and sees La Roche Posay / L’Oréal move right to the front line of registered OTC acne treatment. Differin Gel OTC sales have probably disappointed against expectations (although Nestlé’s Proactiv has also added an adapalene option to its DTC lineup) and other adapalene gels will undoubtedly also appear on US store shelves. Full marks to L’Oréal for prompt action.

There are also signs of renewed dynamism in Latin America thanks to strong investment in NPD from key marketers like Genomma. In June 2019, the company unveiled an innovative new acne remedy, Asepxia Maquiagem Liquida Autoajustavel, which features a unique technology that allows the product to adapt to various skin tones. Sold as a 30ml liquid, this latest addition to the Asepxia line is positioned to reduce acne and even skin tone, as well as mattify the skin and cover blemishes. New technology and innovation hold the key to unlocking future growth in this important OTC subcategory.

Birgit Schuhbauer, VP Global Franchise OTC and EMEA Region at J&J will take to the stage at Nicholas Hall’s OTC.NewDirections Executive Conference to explore how, with new consumer marketing opportunities with digital tools, we are Getting Closer to the Consumer than Ever. Taking place in London on 14 November 2019, the meeting will ultimately focus on the latest CHC Innovations and Technologies with presentations from companies also including Bayer, Prohibition Partners and Mundipharma. Save when you reserve your place now at the early bird booking rate. For more information, or to book your place, please contact elizabeth.bernos@NicholasHall.com.

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