The beauty industry is experiencing a digital transformation driven by evolving consumer expectations and regulatory landscapes. Connected packaging - integrating technologies like QR codes and NFC tags into product packaging - offers beauty brands opportunities to enhance compliance, engage consumers, and protect brand integrity. Below we set out some key considerations if you work in the beauty industry.

EU Cosmetics Regulation: Ensuring Compliance

In the European Union, cosmetic products are regulated under Regulation (EC) No. 1223/2009, which establishes standards for safety, labelling, and packaging. Within labelling the key requirements include:

• Product Labelling: Labels must be in a language easily understood by consumers and include information such as the product’s function, usage instructions, full ingredient list, and any necessary warnings.

• Responsible Person: Each product must have a designated ‘responsible person’ within the EU to ensure compliance with regulatory obligations.

• Product Information File (PIF): A comprehensive dossier containing product details, safety assessments, and manufacturing processes must be maintained and accessible to authorities.

Non-compliance can result in product recalls, fines, or bans within the EU market. So whilst these regulatory demands remain in place, brands need to use QR codes or NFC tags to get around the lack of space caused by the need for the above information to be on pack.

This means things like competitions, loyalty schemes etc. don't need to be explained in small print – but with an engaging, visually attractive experience accessed by a QR code.

GS1 Sunrise and Digital Link: Rolling out 2D barcodes in the Beauty Industry

GS1 Sunrise is an initiative by the global standards body of barcodes to move the global supply chain towards two-dimensional (2D) barcodes (QR codes) that can carry more information. By 2027, 2D barcodes will be accepted at point-of-sale (POS), as well as scannable by consumers – meaning they can service both the supply chain and consumer. The shift has already begun with the new technology being tested in 48 countries across the world, representing 88% of the world’s GDP.

The GS1 Digital Link standard enables QR codes to act as universal digital identities for products. By using an ID management platform that is GS1 compliant (such as io.tt) brands can drive consistency across their portfolio, adhering to the highest standards when it comes to interoperability across the supply chain and for consumers.

By adopting GS1 Digital Link, beauty brands can:

✅ Ensure global consistency in product information.

✅ Support multi-use QR codes- enabling experiences that drive consumer engagement and first party data.

✅ Reduce label clutter while improving data access.

✅ Link to multiple experiences from a single QR code

Read more about why GS1 Sunrise and GS1 Digital Link are important.

Combating Beauty Counterfeits with Connected Packaging

Counterfeit beauty products pose significant risks to consumer safety and brand reputation. Connected packaging offers robust solutions to authenticate products and ensure integrity:

• Product Authentication: Unique digital IDs embedded in packaging allow consumers and retailers to verify product authenticity instantly, deterring counterfeiters via either QR codes or NFC.

• Supply Chain Transparency: Connected packaging enables tracking of products throughout the supply chain, ensuring transparency and reducing the risk of counterfeit goods entering the market – or identifying where they’re appearing most.

Digital Product Passports (DPPs) and the Future of Beauty Transparency

The Ecodesign for Sustainable Products Regulation (ESPR), which entered into force on 18 July 2024, is the cornerstone of the European Commission’s approach to more environmentally sustainable and circular products.

The ESPR will introduce a Digital Product Passport (DPP), a digital identity card for products, components, and materials, which will store relevant information to support products’ sustainability, promote their circularity and strengthen legal compliance. This information will be easier for consumers, manufacturers, and authorities to make more informed decisions related to sustainability, circularity and regulatory compliance.

Information to be included in the DPP will be identified by the EU based on the product types in question with prioritised industries including batteries & vehicles, textiles, electronics & ICT, furniture, plastics, construction and chemicals - with an expectation that they will be rolled out by 2030.

By rolling out serialised, IDs across your brand’s portfolio, you can manage these DPPs at scale, as well as updating them at will, and delivering them to your consumer in a friendly and transparent way.

The Future is Digital Labelling

The European Commission is considering the introduction of digital labelling for cosmetic products, having paved the way via Regulation (EU) 2024/2865, which was an amendment to Regulation (EC) No 1272/2008 on classification, labelling and packaging of substances and mixtures. This amendment, brought in at the end of 2024 sets out requirements for digital labelling:

1. all label elements referred to in Article 17(1) shall be provided together in one place and separately from other information;

2. the information on the digital label shall be searchable;

3. the information on the digital label shall be accessible to all users in the Union and shall remain accessible for a period of at least 10 years or for a longer period where required by other Union legislation;

4. the digital label shall be accessible free of charge, without the need to register or to download or install applications, or to provide a password;

5. the information on the digital label shall be presented in a way that also addresses the needs of vulnerable groups and supports, as relevant, the necessary adaptations to facilitate access to the information by those groups;

6. the information on the digital label shall be accessible with no more than two clicks;

7. the digital label shall be accessible through digital technologies widely used, and compatible with all major operating systems and browsers;

8. where the information on the digital label is accessible in more than one language, the choice of language shall not be conditioned by the geographical location from which that information is accessed.

Read the regulation here.

How Connected Packaging Enhances Consumer Engagement With Beauty

Connected packaging can not only deliver deeper information on a product’s ingredients or how they are sourced, which is key in building trust between brand and consumer, but it can also transform traditional packaging into interactive platforms, offering consumers enriched experiences and fostering deeper brand relationships – examples could be:

• Personalised Skincare Recommendations: Through interactive questionnaires and AI-powered analysis, consumers can receive tailored advice about product usage and complementary products, enhancing satisfaction and loyalty.

• Try-ons and Tutorials: Brands can enable consumers to access virtual try-ons, tutorials, and product information by scanning a QR code, creating immersive and engaging experiences that use the consumers own camera

• Sustainability Initiatives: Connected packaging can provide transparency about sourcing, manufacturing processes, and environmental impact, catering to eco-conscious consumers seeking ethical products.

• Analysing Usage Data: By analysing the data created by these scans, you can make data informed decisions and insights that can be fed back into your product and marketing teams.

Case Study: Bastille Parfum DPPs

Bastille provided consumers with unparalleled levels of transparency through serialised QR codes. Each individual bottle code told consumers about the origin of the ingredients, the sustainability of the sourcing, the date of the bottling, and detailed fragrance notes for the bottle of perfume in their hands. See more here.

Case Study: Clinique’s NFC Skincare Recommendations

Clinique added NFC labels to jars of Clinique’s Moisture Surge 100H. Customers scanned the labels to find exclusive content and services from Clinique’s Daily Dehydrator Index, offering personalised skincare advice to customers who answered a quiz. Consumers could also access a skin analysis tool - Clinical Reality - which scanned your skin and offered tailored recommendations. A filter enabled users to take personalised selfies and share them on social media. See more here.

Roadmap for Adopting Connected Packaging in the Beauty Industry

1. Assess Regulatory Landscape: Understand the requirements you and your brand have to align with EU regulations related to packaging, labelling, and product safety.

2. Select the Right Technology: Find an ID management platform (such as io.tt) that best suits what you need to achieve your objectives and stay compliant - things to consider are GS1 standards, as well as the ability to generate dynamic and serialised QR codes.

3. Get Ready for Digital Product Passports: Begin the process of collecting and organising product data to comply with upcoming DPP requirements, ensuring transparency and sustainability.

4. Create Your Breadth of Experiences: Start creating your connected product experiences at scale, keeping in mind what each experience's objective is. Make sure you organise these experiences in a platform (like io.tt) by purpose (such as regulatory vs. consumer engagement) so you can manage them over time.

5. Implement Authentication Measures: Incorporate features that allow consumers to verify product authenticity, protecting against counterfeiting.

6. Analyse Consumer Data: Use the data gathered by these interactions in your management platform, to drive valuable insights about your product's usage, and supplement your marketing efforts with it.

7. Monitor and Improve: Continuously assess the effectiveness of connected packaging initiatives and refine approaches based on consumer feedback and technological advancements. 

Embracing connected packaging is a strategic imperative for beauty brands aiming to comply with regulations, engage consumers, and protect brand integrity in an increasingly digital and transparent marketplace.

If you're a beauty brand looking for help with your regulatory compliance and consumer engagement - get in touch and we can talk you through our platform io.tt or even start you on a free trial.