Skin care and fragrance boosts US prestige beauty sales
Presenting the US and global beauty industry’s first look at 2011 year-end results for skin care, make-up, and fragrance at their annual “Hot off the Press” event at the Plaza Hotel in New York City, the market analyst announced an increase of 11 percent in dollar sales in 2011 versus 2010.
In 2011, skin care and fragrance sold in US department stores both posted double-digit dollar growths of 14 and 11 percent respectively, while make-up grew a healthy nine percent, compared to 2010.
Robust sales period
And it is in the US, UK, and China, where prestige beauty is enjoying one of the most robust sales periods ever, according to Karen Grant, vice president and senior global industry analyst.
“In the US, for example, beauty sales in both the mass and prestige channels were positive month after month in 2011. And while both channels were positive, prestige beauty reigned supreme,”she said.
“From the stellar increases in prestige skincare to the continued gains in makeup, to the double-digit rebound of fragrance, prestige beauty is experiencing a time of unprecedented growth.”
Different markets different growth
In contrast, in continental Europe, the prestige market is more mature, growth is more tempered, and performance among the categories has not been as dynamic as in the US or UK.
“Nonetheless, prestige beauty managed to flourish thanks to brand media investment, bigger in-store animation, and price promotions,” continued Grant.
In addition, the US Food/Drug/Mass channel experienced a four percent increase in sales for total beauty in 2011, versus 2010.
Make-up sales posted the biggest increase at eight percent, followed by skin care at three percent, while fragrance sales declined five percent in dollar sales, compared to 2010.