The home fragrances space is a changing landscape in 2017 as the market continues to see a dynamic shift in retail distribution among large, mid-sized, and small brands. Yankee Candle further penetrates the mass market throughout the year, entering Walmart’s doors in the spring, and the brand’s parent company, Newell Brands, opens its first ever experiential pop-up shop during the holiday season as consumers increasingly crave unique and exclusive shopping experiences.
The Internet also sees a big boost in sales as consumers shopping through online retailers, brand websites, and the Internet giant Amazon continues to rise. The direct sales channel has grown at a rate of 11.0% since 2012, and the channel’s share has risen from 10.6% to 16.2% in just five years, according to our soon-to-be-published Home Fragrances: U.S. Market Analysis and Opportunities report. Candle sales through the direct channel in particular have grown at a rate of nearly 19.0% over the same five-year period.
The second-largest candle marketer, Bath & Body Works, records strong sales through its company website and is among the best-selling scented candles on Amazon. The Internet has become a greater destination for the small, indie players as well. For example, HomeWorx by Harry Slatkin enters the market in 2017, connecting directly with consumers by selling exclusively through home shopping network, QVC, and QVC.com, and Prolitec, a Milwaukee-based commercial air company and maker of Citrus Magic, launches Aera, a high-end diffuser, on Amazon and its brand website.
To further explore the e-commerce dynamics in this market, our new digital product tracking service Amalgam will include home fragrance products, tracking scented candles, diffusers, room sprays, and specialty products. Expected to be published starting in the fourth quarter of 2018, this new interactive online service will allow users to view data on hundreds of home fragrance products to be better informed about online trends, pricing dynamics, new and notable brands, seasonal promotions, the biggest movers and poor performers by category, and reviews of items from the leading marketers.
To learn more about Amalgam, our digital product tracking service for beauty and home fragrance products, as well as our Home Fragrances: U.S. Market Analysis and Opportunities report, please contact us.
Based on the continuous collection, aggregation, and blending of data from approximately 20 leading retailer websites, this new interactive online service uses a proprietary algorithm to score home fragrance and beauty products based on their ranking among best-selling product listings, customer ratings, prevalence, and duration on the charts. For more details, visit Amalgam.