Prestige beauty product sales up 13.5% despite rising cost of living
Sales of UK beauty brands are proving resilient to the rising cost of living, according to consumer complexity advisor Circana.
While many shoppers have cut back on non-essential spending and “traded down” from their usual brands, Prestige beauty is an exception. Its value sales grew by 13.5% to to £1.4bn and unit sales by 10%, in the year to end of August 2023, compared to the same period in the previous year.
Circana’s account director for Prestige Beauty Emma Fishwick said: “Skincare, make-up 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, 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.”
Therefore, while other consumer goods categories have experienced volume declines, beauty brands are seeing sustainable growth.
Interestingly, social media was cited as a contributing factor. Circana reported that make-up sales grew by 17% and unit sales by 11% compared to the previous year, buoyed by the wide availability of online tutorials by influencers on TikTok and Instagram.
For instance, as the ombré under-eye trend surfaced on social media, concealer and blusher segments grew value sales by 35% and 60% respectively year on year.
“Consumers are much more informed about their make-up and skincare purchases,” continued 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.”
“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.