New research by Circana shows sales of beauty brands in the UK are proving resilient to the rising cost of living that has forced many shoppers to change what they buy and ‘trade down’ from their usual brands.
Prestige beauty products grew value sales by 13.5% and unit sales by 10% in the year to August 2023, to £1.4bn.
Other consumer goods categories have experienced volume declines as consumers cut back on non-essential spending.
Emma Fishwick, Account Director for Prestige Beauty at Circana, commented: “Prestige beauty is an exception in the consumer goods market. Skincare, makeup and hair segments are all growing in double-digits. In what seems like an act of pure defiance at the sacrifices they are making elsewhere in their shopping, consumers have extended the small lipstick treat that we typically see during a downturn to include other beauty segments such as skincare, make-up and haircare.”
Make-up value sales grew by 17% and unit sales by 11% compared to the same period last year, buoyed by the wide availability of online tutorials by influencers on TikTok and Instagram.
“Consumers are much more informed about their make-up and skincare purchases,” said Fishwick. “They are looking for make-up products that will help them conceal blemishes and redness as well as being good for their skin and emphasising their facial features. The ultimate goal for these beauty buyers is to improve self-confidence and feel good and that is worth the self-indulgence of a premium beauty purchase.”
Circana noted that the aspirational looks that consumers aim to achieve from their makeup change every year. This year, the ombre under eye trend, where different shades of concealer and blusher are applied under the eyes to create a glowing gradient effect that make the eyes brighter. These two segments are growing more than twice as fast as the makeup market overall. Concealers grew value sales by 35% and blushers by 60% in the last year, with unit sales up 26% and 46% respectively.
“Social media can provide an authentic platform for beauty brands, retailers, influencers and makeup artists to promote product features and benefits, educate through tutorials and further engage with customers,” added Fishwick.
“The experimental, artisanal and playful nature of the makeup category can be easily demonstrated through social media and allows for more wide-spread adoption of trends such as the ombre under eye.”
NAM Implications:
- This says it all: ‘seems like an act of pure defiance at the sacrifices they are making elsewhere in their shopping’.
- But whatever, the driver, 10% growth in the New Norm, needs attention and focus.
- Over to you…
