"Prestige has the advantage of offering more of the quality of life experiences in beauty," said Karen Grant, vice president and senior global industry analyst, The NPD Group.
Port Washington, New York (PRWEB) February 04, 2014
The US prestige beauty* industry grew 5 percent in dollar sales in 2013, compared to 2012. Skincare and makeup each experienced healthy gains of 7 percent, while fragrance dollars remained flat last year.
“Beauty is among a handful of industries showing growth in 2013,” said Karen Grant, vice president and senior global industry analyst, The NPD Group. “Consumers continue to struggle with lower income levels, but the global economic environment continues to stabilize. The social trends all around us indicate an improving outlook and a willingness to invest when the associated risk is low; this is a real opportunity for our industry.”
Looking beyond the prestige market, sales within the US mass** channel also increased slightly, up 1 percent for total beauty in 2013, versus 2012, as per IRI. The makeup category grew the most, at 2 percent, followed by skincare at 1 percent, but fragrance struggled with a 6 percent decline in dollars compared to 2012.
“The direction today is for flawless appearance and self-assured choices. The look is flawless, with perfected faces, defined eyes, and evolved anti-aging applications. From primary care focused skincare, to bold red and even blue or green lips, and artisanal fragrances, the feel is self-assured,” said Grant. “However, the attitude across the board reflects a new era of immediacy, looking for the quick fix of alphabet creams, masks, and illuminators, and the instant indulgence of classic and couture scents.”
Value is important to consumers, but premium-priced offerings are thriving is US prestige beauty. Even though sales for the total prestige fragrance category were flat, fragrances priced $100 and over grew 30 percent in dollars, while face makeup priced at $60 and up increased 28 percent, and skincare for the face gained 15 percent in dollar sales (compared to 2012). In addition to the premium segment, the direct-to-consumer channel helped to drive growth for the beauty industry in 2013, growing 19 percent***.
“The beauty industry has a unique opportunity to seize the moment, embracing the evolution and blurring of lines at retail, category experience, and brand leadership. Prestige has the advantage of offering more of the quality of life experiences in beauty. When we give consumers the products that fit them, their wants, and their needs for results ‘now’, we deliver a winning combination,” ended Grant.
Source: The NPD Group, Inc. / BeautyTrends®
*Prestige Beauty: Products sold mainly in US Department Stores.
**Source: IRI/MULO, Food/Drug/Mass
***Source: The NPD Group, Inc. / BeautyTrends® Direct
About The NPD Group, Inc.
The NPD Group provides global information and advisory services to drive better business decisions. By combining unique data assets with unmatched industry expertise, we help our clients track their markets, understand consumers, and drive profitable growth. Sectors covered include automotive, beauty, consumer electronics, entertainment, fashion, food / foodservice, home, luxury, mobile, office supplies, sports, technology, toys, and video games. For more information, visit http://www.npd.com and npdgroupblog.com. Follow us on Twitter: @npdgroup.
Cosmetic Executive Women, Inc. (CEW) is a nonprofit professional organization with more than 5,700 members, both men and women, from over 1,500 companies in the beauty and related industries. CEW advances the professional growth and leadership potential of its members through networking, industry insights, access to leaders, professional development programs and recognition of achievement and innovation. CEW’s membership is multi-generational and equally representative of entry level, mid-career level and senior level executives. CEW is based in New York City, and it also hosts events for the beauty community in Los Angeles. Additionally, CEW has associated organizations in France and the United Kingdom. The CEW Foundation supports Cancer and Careers, a resource for employees balancing work and cancer treatment. For more information, log on to cew.org.