For more than a decade, prestige skincare led the beauty industry with products heavily marketed toward an aging Boomer population. Although consumers are still investing in skincare, the massive buying power of Millennial women and their more personal connection to brands, has shifted spending away from anti-aging skincare into fragrance and makeup categories. Today, the lines are blurring between makeup, skin care, and wellness as consumers look to satisfy common goals with fewer products.
It’s For My Selfie
Instead of treating fine lines, today’s consumers are more interested in investing in the appearance of beautiful, luminous skin. For the selfie generation, the immediacy of color correcting and radiance-enhancing products make long-term skin care routines less appealing. Sales of skin preparation products such as exfoliators, cleansers, oil/shine control, and toners saw growth in 2015. But the biggest increases were in complexion preparation products such as CC creams and primers, which contributed more than $490 million to the category in 2015 and grew 58% over two years. As the roles of skincare and makeup become more intertwined, analysts predict we will see continued innovation and growth in this hybrid category.
Well and Good
Analysts found that brands with a natural or clinical orientation now represent the largest segment of prestige skincare sales and accounted for all category gains. This can be directly attributed to the health and wellness trend that has been creeping into all areas of daily life. Research shows that, given the choice, 49% of Millennial women would purchase natural or organic beauty products. In addition to creams, lotions, and serums, vitamins and nutritional supplements that work from the inside out is an emerging micro-trend infiltrating the category. Analysts report the category has grown five-fold in the past two years, becoming a $4.1 billionusiness and showing no signs of slowing down—researchers found that 86% of supplement users are interested in vitamins and nutritional supplements that address beauty concerns. The aligning of beauty and wellness offers brands an opportunity to speak to the customer on an entirely different level, appealing to her lifestyle, not just her vanity.
This is an exciting time in the beauty category. Younger, independent brands have become leaders, technology offers innovative ways to deliver both products and relate to consumers, and wellness continues to be the definitive lifestyle choice of women across all demographics. In this changing environment it’s essential for brands to understand the best and most efficient ways to communicate with consumers. Women’s Marketing is a leader in media strategy, planning, and buying—contact us today to learn how we can put our expertise in growing emerging beauty brands into industry leaders to work for you.
Sources: NPD Group Category and Generational Shifts are Altering Beauty Category March 2016, Buzz Marketing The Millennial Beauty Consumer 2015, Mintel: Vitamins, Minerals, and Supplements US September 2015