Revlon Group Holdings emerged from bankruptcy last week with $2.7 billion less debt to worry about, but a balance-sheet makeover alone won’t help the company reclaim its place in an industry it shaped nearly a century ago, according to a Bloomberg News commentary. Big rivals such as L’Oreal SA and Estée Lauder have deeper pockets, while newer brands including Rare Beauty and e.l.f. Cosmetics have captured the imagination of young consumers. What Revlon needs is a niche it can own that plays to its strong connections among Gen X and millennials, two cohorts with an abundance of spending power that grew up with the brand, according to the commentary. It helps that consumers in the U.S. are more willing to spend on beauty these days. Consultancy McKinsey & Co. estimates that annual sales in the sector over the next few years will increase at nearly double the 4% pace seen pre-pandemic. The market for anti-aging products, from creams and lotions to ampoules and serums, reached $5.3 billion last year, growing 24% since 2017, according to market research provider Euromonitor International, which forecasts sales to grow 27% to $6.8 billion by 2027.
