Q&A with HatBerg Collective Founders, Part 1

With their deep industry experience, Chaz Hatfield and Yvonne von Berg have an eye for market trends and opportunities which can benefit companies of all sizes and ages.

In this first in a two-part series, the founding duo share their insights.

Q: In what verticals have you seen exciting growth during the pandemic?
A: The skin care sector has experienced a lot of growth. Consumers took time to learn how to bake bread, but also took time to take care of their appearance and brought the spa into their home.

There was significant growth in Direct to Consumer as the lock downs kicked in. With that growth came challenges. Brands did not have the inventory to sustain the growth, supply chains broke down and many brands faced stock outs relatively quickly.

Contract manufacturers faced shutdowns and logistics delays, causing raw material and packaging stock delays and stock outs, which were then passed to the brands.

However, brands that had localized supply chains and inventory on-hand did very well and captured market share. Self-care truly came out as a category that consumers latched on to and this will likely continue.

Additionally, we saw online shopping grow tremendously as we all got used to staying home and receiving packages on our doorsteps.

Q: What sorts of consumer trends have you seen emerge this year that indie beauty brands can leverage beyond 2020?
A: We see the self-care category growing even after the pandemic subsides. Additionally, online shopping seems to be here to stay as we’ve all accepted the convenience of home delivery.

As the world begins to build back after COVID, sustainability will be a trend that we believe will continue to grow.

There is some amazing thought leadership coming out of the Ellen MacArthur Foundation regarding the Circular Economy — a new way to think about consumer products.

Major companies including Unilever have signed up to the circular economy initiative. An indie brand that embraces the Circular Economy and sustainability will be well positioned post 2020.

Q: In what ways is The HatBerg Collective expanding internal capabilities to serve brands better?
A: R&D is at the heart of what we do at HatBerg Collective. We are always expanding our formula library with products in-line with future trends. With an extensive stock formula library, it also enables us to fast track custom formulations.

We can build off existing products, which greatly shortens the development process. We’re also building sustainable supply chains so we’re able to provide our clients with high-quality and environmentally-friendly turn-key products.