264 JOURNAL OF THE SOCIETY OF COSMETIC CHEMISTS the per cent of miscellaneous expenditure, food and 100 per cent is in the amount expended on rent, fuel, light, furniture, household equipment and clothing. The miscellaneous expenditure, therefore, includes tobacco, beverages, domestic services, personal care and health, travel and transporta- tion, recreation and entertainment, holidays, etc. Country Area Population Personal Expenditure 1,000 sq. miles millions Food Miscellaneous Austria* .... 32-38 6.974 49.9 21.4 Belgium* .... 11.78 8.868 47.4 23.1 Denmark* .. 16.58 4.439 33-1 30-6 France* 212.75 43-3 60.2 19.4 Western G•man«' 97-74 49.995 33.0 33.0 (4.0) Eire•* .... 27.14 2.909 34.0 42.0 Italy . .. ] 16.24 48.016 -- NetherlandS* .. 12.7 10.747 34.5 36.3 Norway .... 125.19 3.425 30-0 34.0 (5.0) Portugal* .. 34.41 8.765 58- 0 18.0 Spain .... 194.24 28.976 -- -- Sweden .. 176.43 7.262 31.0 39.0 (5.0) Switzerlan•i • .. 15-95 4.978 37.1 26.6 United States .. 3,022-5 165.271 27.0 43.0 (6.0) United Kingdom 94.21 50-968 31.0 40-0 Figures in parentheses represent percentage of total earnings spent on personal care and health. * Food and miscellaneous expenditure is the percentage ooe total expenditure by wage earners, as distinct from salaried employees. • Miscellaneous includes furniture and household equipment. The above figures of personal expenditure are only of interest in that they show the relationship between food, miscellaneous expenditure, and rent, fuel/light, clothing, etc. To give some indication of the total private con- sumer expenditure, and the increase therein which has occurred since 1936-38, we must turn to the following figures: Country Unit ooe Expenditure 1936 1938 1954 quoted ß , Western Germany .. million marks 29,000 81,700 Eire ...... million oe 142 393 Norway .... million kroner 3,850 14,500 Sweden .... million kroner 8,400 26,350 U.K.* .... million oe 4,390 11,850 U.S.A ..... thousand million $ [ 64-5 236-5 * Of the total private consumer expenditure, 120 million was spent on cosmetics, beauty treatments and hairdressings•i.e., approximately 1 per cent of total expenditure. I think I have now given sufficient figures to illustrate the importance of the Western European market, and we will now turn for the moment to a

MARKETING TRENDS 265 few comparisons between market variations and trends as they directly affect the cosmetic industry. One of the factors to be taken into consideration, when looking at the potential of any particular market, is the physiology of the consumer, and this is affected to a large extent not only by social environment but by geographical differences. Climate and temperature play their part in causing variations in skin texture, colour and degree of dryness or oiliness, which will cause one formulation to be accepted and another rejected. Gastronomic differences also play their part in the acceptance of cos- metics. A people having a diet with a large oil and fat content has both a different complexion and outlook from peoples existing on oatmeal and haggis, and it may well be true that the sweat of one nation's brow is con- trolled by another's anti-perspirants. France has for many years been considered as the most cosmetic-con- scious and fashion-proud nation. I would not dare to dispute this, but observation of the average female in provincial France in towns such as Lyon, Lille, Strasbourg, Nancy, Rheims and Dijon, and comparison with those outside the large cities in the United States leads me to the belief that the average American woman spends more care and money on her cosmetics and personal appearance than the average Frenchwoman. One branch of the cosmetic industry in which France undoubtedly excels is perfumery, and it is of interest to note that the United States is the largest market for French perfumes. One of the reasons why America has taken the lead from France in general cosmetics and toiletries is, I believe, due to the wide variation in climatic conditions within the United States, such variations causing cosmetic houses to formulate products which have a general appeal to a widely distributed female population, living in totally different climatic and geographical conditions within the same country. A further factor of importance may well be that the American cosmetic houses must, to be successful, satisfy the complexions and physiological differences which exist within a country containing inherent cosmopolitan racial characteristics. A further, and most important, factor which has helped to build the American cosmetic industry into one whose goods have found ready accept- ance in most of the world's markets is the large potential home market. The number of females in the United States between the ages of 15 and 64 is 51.7 millions, compared with females in the United Kingdom within the same age groups of 17.3 millions. This large potential buying public allows the American cosmetic house to launch a product on a larger scale than is possible in the United Kingdom or any Western European country. They therefore have an advantage in laying down special plant and equipment to deal with advanced and perhaps tricky formulations. The size of this market allows large-scale buying and increased production