The Right E-Commerce Strategy for Cosmetic Products
Scott Hothem • September 17, 2014
There comes a time in history when grasping the reins of a new “trend” is a must. Imagine being the last person in town to jump on the automobile bandwagon. Where would you tie up your horse? Once the light bulb caught on, how long would you keep carrying your kerosene lamp around the house? These of course are old, yet revolutionary, advancements that have made life much more convenient and spurred on countless other developments. However, in the not-too-distant past, e-commerce was an element that the health and beauty sector tried to keep at bay. Eventually though, it could not be ignored. What was shortly ago seen as an industry that required physical access to smell, sample and touch, e-commerce has become the fastest growing segment of the cosmetics industry.
A study by L2 Think Tank shows that e-commerce sales for beauty products grew by nearly 30% in 2013. This outpaced only a 6% in-store growth. As this new opportunity continues to show great potential, it’s important for health and beauty companies to embrace and implement an e-commerce strategy as a competitive differentiator.
Here are 3 keys for a strong cosmetic e-commerce strategy:
Information: While the convenience of ordering everything from home is taking a strong hold in this sector, information is still a critical element. In order to provide the peace of mind gained from touching, smelling and feeling a product in a store, these questions must answered pre-purchase. 28% of online cosmetic shoppers in an A.T. Kearny survey actively study and research products before purchasing. The more product information that is relevant and available online can lead to more sales.
Accessibility: The growth trend for e-commerce sales shows no sign of slowing down. As such, the accessibility of the platform needs to expand as well. The L2 Think Tank study shows that 43% of beauty product consumers shop on a tablet. While a dropdown navigation is helpful for this medium, an investment in responsive design to meet the demands of mobile devices is an ideal implementation. An infographic by Visul.ly shows the number one reason people shop online is to save time, your e-commerce platform can provide that opportunity.
Costs: A key metric that jumps out for e-commerce success, regardless of industry,is cost. Consumers use this new purchasing avenue as an opportunity to find the best deal. In fact, 42% of shoppers claim that finding a better price is their reason for purchasing online versus in store, according to the 4th Annual Shopper Experience Survey. A major benefit to an e-commerce operation is that it requires substantially less overhead. Controlling costs through a streamlined supply chain and efficient procedures can help you pass on savings to your consumers, creating a substantial competitive advantage.
While e-commerce is a new path for many industries, it is now being utilized as a preferred thoroughfare for the health and beauty sector. Leveraging the availability, operational efficiency and popularity of the online arena can be a key opportunity for your health and beauty company. Read more on how a 3PL can enhance the technological implementation and supply chain efficiency of your business.
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FRANKLIN, Mass. — Barrett Distribution Centers has been selected by Pompa Program , a Utah-based health and wellness company specializing in cellular health analysis and proprietary supplement products, to manage its direct-to-consumer (D2C) fulfillment and transportation operations. The partnership expands Pompa’s fulfillment footprint across the Eastern United States, ensuring faster, more reliable two-day delivery on all orders. Barrett’s Hickory Hill, Tennessee, facility will serve as the dedicated fulfillment hub, offering food-grade, temperature-controlled space and advanced inventory management systems to support its growth. “We chose Barrett because they provide the perfect combination of experience and long-term partnership,” said Bryan Oviatt , director of supply chain at Pompa. “Their proven expertise in health, beauty and wellness made them the clear choice. We’re also excited about future NetSuite integration capabilities to further enhance efficiency. We see Barrett as an extension of our team and look forward to what’s ahead.” From fulfilling cellular health testing kits to distributing premium supplements, Barrett delivers the operational scalability needed to support its expanding customer base. “We’re thrilled to partner with such a fast-growing and innovative health and wellness brand like Pompa,” said Mark Healy , vice president of customer solutions at Barrett. “Our goal is to provide a scalable foundation that supports their continued success and ambitious growth plans.” Pompa’s operations recently launched from one of Barrett’s Memphis distribution centers, a state-of-the-art facility built for high-volume, temperature-sensitive fulfillment. About Barrett Distribution Centers Since 1941, Barrett has provided customized third-party logistics (3PL), direct-to-consumer (DTC) eCommerce fulfillment, omnichannel distribution, managed transportation solutions and retail compliance for clients across all industries, with a focus on apparel & footwear, health & beauty, consumer packaged goods (CPG) and education. Barrett continues to be a leading 3rd party logistics provider in North America, known for superior execution, customer engagement and direct access to senior leadership decision makers. As a member of Inc's fastest growing companies list 15+ times, Barrett is big enough to do the job and still small enough to deeply care about your business. Brands interested in a new 3PL partnership may contact Barrett directly here . About Pompa Program The Pompa Program framework integrates nutraceuticals, personalized nutrition, metabolic support and one-on-one coaching to correct dysfunction at its cellular source. Participants work with trained coaches to identify upstream factors such as heavy metal exposure, hormonal imbalances and gut dysbiosis that drive inflammation and cellular damage. Guided by Daniel Pompa, participants gain practical tools and support to detoxify their bodies, restore metabolic balance and improve overall wellness. Official Release Here
Franklin, MA — Barrett Distribution Centers is proud to announce a new partnership with Willo , an oral hygiene company creating innovative dental products for kids. Barrett will provide warehousing, fulfillment and transportation services to support Willo’s direct-to-consumer (D2C) and Fulfillment by Amazon operations. Willo’s decision came down to culture and size — finding a partner with the operational strength to meet aggressive growth goals while maintaining trust and close collaboration. “Barrett struck the perfect balance for us. They are big enough to support our aggressive growth plans yet small enough to feel like a true partner,” said Rachel Blender , operations manager at Willo. “After going through multiple 3PL changes in the past, I knew we needed a partner we could trust for the long haul. Barrett is that partner.” Willo, a company led by oral health experts, recently launched the Willo AutoFlo+, the world’s first fully automated toothbrush designed specifically for kids ages 5 to 13. The device automates brushing from start to finish, dispensing toothpaste and using the uniquely shaped OptiClean brush head to replicate the perfect brushing motion every time. “When Rachel reached out during the RFP process, I knew right away that Willo was the perfect partner for Barrett,” said Harrison Smith , director of pricing and contract logistics. “Their values, ambition and innovative spirit mirror our own, and that alignment sets the stage for something truly special. We’re excited to collaborate and help bring AutoFlo+ toothbrushes to homes across the country.” Headquartered in New York City, Willo will operate out of Barrett’s Hickory Hill, Tennessee facility. Beyond product innovation, Willo is committed to advancing children’s oral health education through community partnerships and outreach programs. The company plans to expand its product line and reach more families nationwide in the coming years. About Barrett Distribution Centers Since 1941, Barrett has provided customized third-party logistics (3PL), direct-to-consumer (DTC) eCommerce fulfillment, omnichannel distribution, managed transportation solutions and retail compliance for clients across all industries, with a focus on apparel & footwear, health & beauty, consumer packaged goods (CPG) and education. Barrett continues to be a leading 3rd party logistics provider in North America, known for superior execution, customer engagement and direct access to senior leadership decision makers. As a member of Inc's fastest growing companies list 15+ times, Barrett is big enough to do the job and still small enough to deeply care about your business. Brands interested in a new 3PL partnership may contact Barrett directly here . About Willo Founded on a mission to revolutionize children's oral health, Willo combines innovative design, advanced technology, and decades of oral health expertise to create breakthrough dental products for children. Our automatic toothbrush is designed to give kids ages 5-13 a confident smile while parents can breathe a sigh of relief. Developed with dentists and parent-approved, Willo helps kids build strong brushing habits that last a lifetime. Official Release Here
This week, I was on a call with a brand desperate to leave their 3PL. When asked if they could share data from their current provider, they responded, “I think we have an Excel sheet somewhere, but our 3PL has never really explained what any of it means.” I went straight to Jordan Johnson , the Director of Data & Analytics at Barrett, to break down the data questions that matter most for brands. From cost control to forecasting, here is what every brand should be asking about data before choosing a 3PL partner. Why is data so important in supply chain operations? Two reasons: cost and service. Costs are climbing across the board, so it is critical to have accurate data to manage and optimize spend. At the same time, visibility is now a baseline expectation. Knowing where products are and when they will reach customers is fundamental, and the right 3PL partner uses data to keep both cost and service in balance. Where is data analytics headed in the 3PL industry? Automation is expanding rapidly. Robotics, computer vision, and similar tools are becoming more affordable and less capital intensive. On the technology side, the next evolution is agentic AI. These tools do not just report on what already happened, they proactively identify anomalies and anticipate issues before they escalate. What makes a data analytics team stand out in 3PL? An exceptional team delivers both internal decision-making power and external insights for clients. At Barrett, that means: Dashboards and portals clients can access directly Monthly and quarterly reviews that surface actionable insights In-house ownership of analytics for agility and speed Context-driven reporting that translates numbers into strategy This dual focus ensures that brands see their data and understand how to act on it. How do analytics prevent costly inventory mistakes? Frequent review is key. Dashboards highlight both fast movers at risk of stockouts and inventory that has been sitting for extended periods, such as 90 days. Context matters, which is why seasonality and product type are built into the analysis. This ensures brands receive meaningful recommendations that lead to better planning, fewer surprises, and lower carrying costs. Can a 3PL support forecasting and budgeting? Yes! It is often a deciding factor for clients choosing Barrett. We work in two ways: Converting client sales forecasts into volume and cost projections Using machine learning models for brands without in-house forecasting capabilities Both approaches help brands set realistic budgets and align resources for growth. Can analytics catch issues before they become major problems? Absolutely. Making performance data visible across the organization helps catch issues quickly. On top of that, anomaly detection flags deviations from historical patterns. Together, these practices give clients peace of mind that problems are identified early rather than after the fact. How can analytics directly save money? Two proven examples: Transportation spend : analyzing service levels to ensure brands are not overpaying for speed they may not need Ordering patterns : adjusting how products are ordered, such as shifting from partial cases to full cases, which reduces handling costs What role does Paccurate play in cost savings? Barrett partners with Paccurate for cartonization, determining the best box for every shipment. This reduces waste, errors, and shipping costs. Paccurate also evaluates packaging history to confirm whether the box mix itself should be adjusted, uncovering additional savings opportunities. How do clients access their analytics? There are two main touchpoints: A web portal with embedded dashboards where clients can pull their own reports and track trends Business reviews, monthly or quarterly, where insights are presented with recommendations for improving cost and service How do you balance fulfillment speed with accuracy? Quality checks are built into the process. Variable audits, error-based sampling, and ship accuracy metrics ensure products reach customers quickly without sacrificing accuracy. What metrics matter most for scaling brands? Two categories: cost and performance. Key metrics include: Average cost per package SLA speed targets, such as 24-hour fulfillment Inbound velocity, which measures how quickly received inventory is available to sell Tracking these ensures that growth does not come at the expense of profitability or customer experience. What technology powers the analytics? Barrett uses a modern cloud-based stack: Snowflake as the data warehouse dbt for transformations and applied business logic Tableau for visualization, embedded directly in client portals This combination provides both flexibility and scalability as brands grow. How do you track productivity without micromanaging? Transparency and fairness are key. Metrics are measured equitably and tied back to cost savings. Through Barrett’s profit-sharing programs, employees see a direct link between hitting productivity targets and shared rewards. This drives performance while maintaining high employee satisfaction. Can analytics improve pricing for clients? Yes. The more complete the data, the tighter and more competitive the pricing solution. New clients often see broader estimates, but after a year of working with Barrett, historical data allows for far more precise pricing models. What is “click to porch” and why does it matter? Click to porch measures the time between when a customer places an order and when it arrives at their door. Brands should aim to minimize this window while managing costs, because it directly impacts customer satisfaction and repeat purchases. How granular can demand forecasting get? With strong data, forecasts can reach the product category or even item level. Apparel, footwear sizes, and seasonal items often have unique demand curves. Barrett’s analytics help clients plan with this level of detail. How does data strengthen client relationships? By creating a level playing field. When both sides work from the same data set, assumptions disappear. Conversations are based on facts, transparency builds trust, and partnerships grow stronger. Can clients request custom reports? Yes. Barrett collects extensive data and can provide custom reporting. More importantly, reports are aligned with client goals so they inform decisions rather than simply share numbers. How do analytics improve efficiency inside the warehouse? Two main levers: Accurate forecasts that inform labor planning Equitable productivity tracking that keeps operations efficient while respecting employees The result is faster and more reliable fulfillment for clients. Don't settle for spreadsheets without explanations if you've read this far! Behind every successful brand is a supply chain partner who knows how to use data. Barrett has been doing that for more than 80+ years. Contact us now for a free consultation with a 3PL expert.
