Favorable employment opportunities have helped support industry growth
Los Angeles, CA (PRWEB) May 23, 2012
The Cosmetology and Beauty Schools industry has experienced steady growth over the past five years, even despite the economic recession, as employment opportunities in the beauty industry have continued to grow. Changing fashion trends and consumer concern with physical appearance also fuel demand for the cosmetology and beauty industry, and career opportunities at beauty salons, barbershops, skin care salons and nail salons have remained favorable. During the economic downturn, many workers sought to be trained in a profession that remained in demand during difficult economic times. The minimal time it takes for training and then launching a business lured prospective students looking for a career change. “In addition to benefiting from a wide range of employment opportunities, cosmetology and beauty training also offers the opportunity for entrepreneurship,” says IBISWorld industry analyst Andrea Alegria, “which helped boost enrollment at beauty schools and lure new entrants into the industry.” As a result of these trends, industry revenue is expected to increase at an average rate of 3.9% per year to about $1.6 billion in the five years to 2012.
The number of cosmetology and beauty schools has increased considerably over the past five years in order to meet the demand from a growing number of people seeking beauty careers. IBISWorld estimates the number of establishments will grow at an annual rate of 1.8% per year to 1,908 facilities in 2012, from 1,740 in 2007; however, the industry has experienced a significant amount of consolidation. While the Cosmetology and Beauty Schools industry is characterized by many small privately owned schools, says Alegria, “many industry players have recently adopted aggressive acquisitions strategies in order to establish national brands.” For example, in 2007 Empire Beauty School acquired 51 accredited cosmetology schools from Minnesota-based Regis Corporation, creating the Empire Education Group. And Marinello Schools of Beauty, owned by B&H Education, has more than quadrupled its number of campuses over the past seven years. The company plans to acquire additional campuses in 2012.
The Cosmetology and Beauty Schools industry will continue to thrive as economic recovery leads to higher consumer spending on beauty services, and demand from employers in the beauty treatment industries picks up. Since consumers will have more income, they will indulge in services beyond the simple haircut. As demand for these services increases, demand for beauty professionals will also grow, boosting enrollment at cosmetology and beauty schools. A more favorable employment market will also open up more job opportunities for trained makeup artists in film, television, photography and other facets of the entertainment industry. Population growth, especially the female population between the ages of 20 to 64, will also support demand for beauty professionals at spas, hair and nail salons, and other beauty industries. For more information, visit IBISWorld’s Cosmetology and Beauty Schools report in the US industry page.
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IBISWorld industry Report Key Topics
This industry includes schools that offer training in barbering, hair styling or cosmetic arts, such as makeup or skin care. These schools provide job-specific certification.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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