Lip Balm Anonymous Presents:
The Industry of Addiction
People often state that lip balm is safe, legal, substance that causes no ill effects. We addicts know the truth. We've been living with our addiction for years. And folks, it is getting worse. The lip balm industry is a powerful force for change, using methods known by some as the "Chap Stick Conspiracy"! Over the last few years, the number of addicts has risen sharply, as the companies who force this stuff through fancy marketing and uncaring tactics. First, a little background.
Industry Background
New 1998 market numbers are in! Recent fiqures indicate sales of lip balm and cold sore medications grew to $223.7 million in the U.S. Chap Stick is the number one brand again.
According to a 1995 Chain Drug Review article, lip balm is a $200 million market in
just the United States alone. It is expected to grow 4-8% over the next few years, hitting
$260 million by 1998. An article from OTC-Market-Report-Update-USA indicates the
market share for the various brands, shown below. Chap Stick and Blistex were down a
combined 12% in 1994, resulting in increased desperation in their marketing tactics.
Still, they command over half the market together and will be major players to contend
with. No doubt, the two market leaders will have increased pressure as smaller brands such
as Bonne Bell increase their sales. Why, even the Gap and Old Navy clothing stores have
given lip balm away to shoppers as lure into their stores.
USA 1998 Lip Balm Market in Millions of Dollars
| Brand | Unit Sales |
| Chap Stick | 47.1 |
| Blistex | 29.3 |
| Carmex | 17.5 |
| Vaseline Lip Therapy | 6.1 |
| Mentholatum Natural Ice | 3.7 |
| Mentholatum Soft Lips | 3.5 |
| Lip Medex | 3.1 |
| Blistex Lip Tone | 2.7 |
| Blistex DCT | 2.4 |
| Blistex Ultra Protection | 2.2 |
Source: Chain Drug Review, September 28, 1998, page S40.
| Brand | 1992 | 1995 | 1996 | 1997 |
|---|---|---|---|---|
| Blistex (Blistex) | 27 | 28 | 24 | 24 |
| Chap Stick (Whitehall/AHP) | 34 | 29 | 23 | 26 |
| Carmex (Carma Labs) | 8 | 9 | 8 | 9 |
| Vaseline Lip Therapy (Chesebrough-Pond's/Unilever) | 9 | 9 | 7 | 5 |
| Campho-Phenique | 5 | |||
| Zilactin (Zila Pharmaceuticals) | 3 | |||
| Soft Lips (Mentholatum) | 5 | 2.5 | 3 | |
| Others, incl. private labels | 17 | 25 | 28 | 33 |
Sources:
- MMR, September 29, 1997, page 49.
- OTC Market Report Update USA, May 1, 1996
- OTC Market Report Update USA , based on Towne-Oller food and drug store tracking service, 12 months to 2/95
- OTC Market Report Update USA, June 1993
Compare that data from the market shares from just a few years ago and you can see how much the major labels have lost to smaller ones. And there's old Carmex, plugging along by word of mouth... literally!
| Country/Market Size | Brand | 1995 |
|---|---|---|
| United Kingdom UKPd 12 million |
Lypsyl (Zyma/Ciba) | 31 |
| Chap Stick (Whitehall/AHP) | 19 | |
| Labello (Beiersdorf) | 6 | |
| Blistex (Dendron/DDD) | 6 | |
| Neutrogena | 3 | |
| E45 (Crookes/Boots) | 2 | |
| Private label | 33 | |
| Canada Can 18 million |
Blistex | 30 |
| Chap Stick | 18 | |
| Labello (Beiersdorf) | 14 | |
| Lipactin (Ciba) | 12 | |
| Others (including Lypsyl, Mentholatum, Carmex) | 36 | |
| Germany DM 57 million |
Labello (Beiersdorf) | 63 |
| Bebe (Penaten/J&J) | 9 | |
| Blistex (Delta Pronatura) | 6 | |
| Others | 22 |
Sources:
- OTC News & Market Report, May 1996
- OTC Update, May 1996
Company Reports
Lip Balm Anonymous has contacted several lip balm companies and their marketing strategies differ quite sharply in many cases. Some of the smaller players have even begun selling lip balm on the Internet; for those reports, please read the Web of Addiction.
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If you don't believe us, just send e-mail to Lipbalm@kevdo.com. We would be happy to tell you where we obtained this information.
