Global Beauty Sector Report 2024

RXSBC24RP
RetailX
Global Beauty
2024
In partnership with:
£499 | June 2024 WWW.RETAILX.NET

Defining the beauty
eCommerce customer
experience
At PFS, our goal is to make your brand shine.
We take great care every step of the way to
ensure your beauty and cosmetics products
are elevated through the fulfillment process.
We provide this premier level of quality at
scale, making us the ideal partner to create
positive, loyalty inspiring experiences that
satisfy customers and grow your business.
Find out more:

www.pfscommerce.com/beauty/
The premier eCommerce fulfilment provider.
www.pfscommerce.com [email protected]
GLOBAL BEAUTY SECTOR REPORT 2024 | INTRODUCTION RXSBC24RP © 2024 Retailx.net
Introduction Featured
Contents
Welcome to the 2024 RetailX

Market context 5
Global Beauty Sector Report.
This report examines the P. 08 A regional view of the global
industry, with additional insight Regions 8
digital developments and into the Asian, European and
North American markets
Consumers12
trends in the cosmetics and
Digital channels 15
beauty industry, how products
are being sold online and the In depth with Sephora 20
impacts of other technologies Social media 23
on ecommerce.
Sustainability 25
The report shows an industry driven by newness, In depth with Avon 27
and consumers passionate about their purchases
and loyal to certain brands while also being P. 15 The impact of mobile, augmented
and virtual reality, AI, marketplaces
Partner perspective: PFS 28
enthusiastic about beauty overall as they seek and subscriptions on cosmetics RetailX Top100 30
out the latest products and ‘must-haves’. Product and beauty ecommerce
Company profile: Allies of Skin 31
launches trend on social media while the large
corporations look to invest in the latest niche Company profile: Charlotte Tilbury 32
brand or technological enabler. Company profile: Douglas 33
Company profile: Estée Lauder 34
Everyone is willing to experiment, whether that
is consumers with the latest looks or brands, Company profile: Glow Recipe 35
or retailers offering new ways for their customers Company profile: Haus Labs 36
to interact, be entertained or buy on an increasing
Company profile: Milk Makeup 37
number of channels. 2024 is an exciting time to
be in this business. P. 31 Overview of key cosmetics and
beauty brands and retailers Company profile: Rare Beauty 38
Conclusion40
I hope you find something of interest and
commercial value in this report. I’d be interested
to hear your feedback on ConsumerX, and
anything you would find useful in the 2025 report.
Ian Jindal, CEO, RetailX
3 | Retailx.net | June 2024

GLOBAL BEAUTY SECTOR REPORT 2024 | FIGURES RXSBC24RP © 2024 Retailx.net
Figures
Annual online revenue for the beauty and personal care market 2019-23 5 The impact of social media on purchase decisions 23
Annual change in revenue by sector 2019-23 6 Social media sites shopped through in the past year 23
Annual change in revenue by region 2019-23 6 People who expect their favourite brand to host live shopping 24
Number of beauty and personal care e-shoppers 7 Frequency of returning product or packaging for recycling 25
Average spend of beauty and personal care e-shoppers 7 How often do you look for sustainability information when buying 25
Annual revenue by region 2019-23 8 The ecological impact of purchases needs to be clearer to shoppers 26
Average spend by region 2019-23 8 The RetailX Top100 30
How people buy beauty and cosmetics products, by country 9
Revenue by channel in selected regions 2023 9
Device usage by region 2023 10
Revenue by channel 2019-23 12
How people buy cosmetics and beauty products by generation 12
Likelihood of online purchasing behaviour over the next year 13
Device usage for beauty and personal care ecommerce 2019-23 13
Type of community lived in 14
Monthly online shopping expense by sector 14
How often people use a smartphone to purchase 15
People who have paid by mobile phone app 15
Expectation of virtual shopping assistants in the future 16
Expectation of augmented reality shopping in the future 17
People who subscribe to cosmetics or beauty boxes 19
Reasons for subscribing to cosmetics or beauty boxes 19

GLOBAL BEAUTY SECTOR REPORT 2024 | MARKET CONTEXT RXSBC24RP © 2024 Retailx.net
Digital innovation
drives a challenging
market
Cosmetics and beauty sales online are
increasing in what remains a challenging
market for brands and retailers
© Shutterstock
Economic and inflationary matters have impacted on
the cosmetics and beauty industry in the last year,
affecting prices of raw materials through to energy
and shipping. Consumer spending across multiple
retail categories has been deflated as a result of Sales are rising following the challenges of the pandemic years
rising prices.
Some areas have been impacted harder than others;

travel retail and the Chinese luxury market have
been among the areas struggling for growth in 2023.
While sales in the travel retail sector are returning
to the cosmetics and beauty sector, 2024 remains
challenging. Estée Lauder Companies’ forecast of
annual sales down one to two per cent emphasises
the macroeconomic headwinds still affecting the
global market.
Overall, the beauty and personal care market has

grown online in the last 12 months, with sales slightly
above 2021’s level. Personal care is the largest part
of the market, and one that this report will not go
into in too much detail, instead concentrating on the
skin care, beauty and colour cosmetics categories.
Of these, skin care sales are the highest, reaching
$27.13bn in 2023.

Ecommerce and marketplaces are enabling brands

to extend their reach to new customers and markets.
It is also opening up Western markets for Chinese
companies such as Shein’s SheGlam. Smartphones,
social media, virtual reality and livestreaming
are moving digital from customers self-serving
on ecommerce sites to greater engagement with
brands, influencers and beauty advisors.
Instore, the personal approach is given by beauty

advisors aided by AI, beauty tech, such as skin
analysis tools, and clienteling apps. The store
networks of the omnichannel retailers enable such
services to be offered, along with masterclasses
and special events, all the while trying to elevate
experiences for customers. Loyalty schemes, which
are prevalent in this sector, are one of the tools being
used by retailers to gather data across all channels.
Retailers are using curation as a way to differentiate

themselves. From luxury brands selling via their own
ecommerce site and department stores, to brands
being sold exclusively at Sephora, and the mass
market, private label or dupes sold at supermarkets,
there are options for every consumer.
Retailers understand how economic conditions

affect their customers. “For many people, there’s a
lot of uncertainty, there’s a lot of difficulty and there’s
a crisis around us,” says Alexandre Meerson, Chief
Digital, Data and Technology Officer, EMEA, Sephora.
“We bring to the table both reassurance of a strong
brand that is reliable and takes care of its people
and its customers, and we offer them a product
that makes them feel good and better. It’s a big
responsibility for us.”

Skin care continues to grow as a sector as consumers

focus on self-care. Recent years have seen skin care
becoming increasingly entwined with the wellness
trend. Vegan, clean and paraben-free products
have been particularly sought after by millennials
and GenZ, who also take an interest in companies
and how they behave. Brands are expected to be
transparent on sustainability and diversity matters,
if not actively standing for something, engaging
on matters that concern these age groups, or
challenging taboos.
Products are going beyond clean as brands

highlight their efficacy as consumers seek out more
science or dermatologist-led formulas. They want to
know that products will work for them.
At the same time, consumers seek out innovations,

the latest new product or brand. Celebrity brands,
such as the 2024 launch of Wyn Beauty by Serena
Williams, try to capture this zeitgeist, as do niche
brands. These brands are changing hands through
mergers and acquisitions as the large corporations,
including L’Oréal and Estée Lauder, that dominate
the market look to capitalise on niche markets
and grow the trends. Others will follow Douglas’s
example and float in 2024. Selena Gomez’s Rare
Beauty may be one such company.
Innovations extend from products through to

how they are sold. The interest in beauty tech is
increasing as companies continue to innovate with
new ways to apply product, personalise formulas or
utilise apps and AI. Across sales channels, AI is being
used to personalise experiences and recommend
products to individual customers based on skin care
concerns or the look they want to achieve.

GLOBAL BEAUTY SECTOR REPORT 2024 | REGIONS RXSBC24RP © 2024 Retailx.net
A regional view
Asia is the largest online market for
cosmetics and beauty but other regions
are seeing higher growth
More than $70bn is spent online on beauty and

personal care products in Asia making it the largest
market for the sector globally. It is twice the size of
the market in the Americas which saw $34bn spent
online in 2023. While sales have declined in Asia,
revenue taken by brands and retailers selling online
in the Americas has grown by 12%.
Online is a small part of the overall market for

cosmetics and beauty. Globally, it accounts for
16.54% of all sales. Its influence is greater when
factoring in digital channels such as social media and
the impact of beauty influencers and the tools and
techniques used on brand apps.
This becomes more apparent when consideration

is given to the split of online sales between mobile
and desktop, which highlights the level of sales via
mobile phones. Desktop devices account for 41% of
the cosmetics and beauty sales made online globally,
compared to 59% of revenue being attributable to
sales made on mobile devices.
The revenue split between mobile and desktop does

differ across countries with Asia’s mobile commerce
leading the way. Consumers here spent 66% of their
online spend in this category on their smartphone.
These factors are echoed across regions.

DOMESTIC BRANDS ARE GAINING SHARE IN ASIA

While global brands have grown their presence in
Asian markets in recent years, it has been harder
for retailers which have to compete with local,
established companies. Sephora is leaving South
Korea five years after entering the market. The retailer
has five bricks-and-mortar stores in the country as
well as its ecommerce site and mobile app. It still has
high expectations for the Chinese market, where it
has around 300 stores selling a mix of international
and local brands, recently hiring Xia Ding who headed
Nike’s ecommerce operations in Asia and Latin
America for five years.[1]
Chinese brands are increasing in popularity among

consumers and gaining market share against the
global brands that consumers looked to for safety,
efficacy and prestige. Joy Group, which operates a
multi-brand portfolio including Judydoll and Joocyee,
reported year-on-year growth of 48%. The group
ranks in second place among Chinese domestic,
colour cosmetics companies.
Joy Group has plans to transform its brands into

global successes. Since 2020, it has extended its
reach gaining traction in Japan and ASEAN markets.
The group plans further expansion into high-growth
markets including Australia, Canada and the Middle
East, according to Joy Group President Allan Liu.
China’s smaller domestic brands are becoming

objects for investment and acquisition by Western
corporations seeing their potential for growth. In
2023, Estée Lauder’s incubation arm invested in
Chinese fragrance brand Melt Season and clean
beauty brand Code Mint.

Clean beauty is one of the areas drawing in

customers from younger age groups in China. They
also seek out niche brands, new products and those
that help them express their individuality. These
digitally savvy consumers also want brands and
retailers to offer them personalised and immersive
omnichannel experiences. 34% of China’s consumers
who buy cosmetics and beauty online purchase an
equal amount from bricks-and-mortar stores. 50%
buy predominantly online.
As the largest market for cosmetics and beauty, Asia

continues to offer plenty of opportunities for global
brands. Prada, which entered the beauty market in
2023, chose China to debut its colour cosmetics and
skin care ranges.
PRESTIGE, MARKETPLACES AND care and beauty products being among the items
INCLUSIVITY ARE DRIVING US SALES most likely bought as gifts. During the five-day Black
A fifth of cosmetics and beauty sales across the Friday period, almost a quarter of shoppers (23%)
Americas are made online. In the mature ecommerce bought personal care or beauty items online. 2023
market of the US, consumers are as likely to buy was the first time this category has been among the
online as they are to buy from bricks-and-mortar top five items bought online at this time of year.
stores. 39% of consumers who buy beauty online say
they buy equally from the two channels. Across all retail categories, third-party sellers on
Amazon saw order volumes increase by 65% year-
This comes at a time when online sales overall on-year during the 2023 holiday season. Shopify
are rising, with the cosmetics and beauty sector volume increased 19% while all other third-party
increasing more than other retail sectors in 2023. marketplaces remained flat, according to software
© Joy Group
Growth is continuing in 2024, with sales of prestige supplier Extensiv.

products increasing by 9% in the first three months
of the year. Mass market saw a small amount of Amazon experienced a 111% year-over-year increase
growth with sales in this category up by 2% over the in orders for Thanksgiving and Black Friday, reporting
China’s Joy Group reported 48% growth in its domestic market same time period, according to analysts Circana.[2] that the November 17-27 shopping period was its
largest yet. Customers purchased more than one
November and December are good months for billion items. More than 500 million were bought
cosmetics and beauty sales in the US, with personal from independent sellers.

Amazon’s premium beauty business in the US is In 2023, US consumers of all races and ethnicities It is a different story in the UK where 37% of
growing fast. One of the ways it is enticing custom spent more than $142mn on new beauty and consumers buy most of their cosmetics and beauty
is through engaging tools such as video which helps wellness products created by Black entrepreneurs products online. The same percentage buys equally
brands tell their story while engaging consumers for and sold by national retailers, according to beauty online and in bricks-and-mortar stores. This makes
longer on the site. “We’ve incorporated the ability association BrainTrust Founders Studio. “Despite the UK an attractive market for omnichannel
for much more shoppable video so a brand can tell the fact that venture funding to Black founders has retailers such as Sephora, which is expanding its
their story in an interactive way,” Amazon’s head of fallen to a three-year low, Black beauty and wellness store estate outside of London having successfully
premium beauty Ali Kole told Beauty Inc. entrepreneurs are growing the American economy re-entered the market in 2023.
with new, innovative products and services that drive
Clinique is one of the brands using Amazon as a sales by leading retailers, online and instore, and Space NK is expanding its store estate too having
platform to reach new customers. The beauty brand create jobs,” says Kendra Bracken-Ferguson, CEO seen sales increase by 30% annually for three years,
has reported that the US Amazon Premium Beauty of the BrainTrust Fund. faster than the overall UK prestige market in which
store has “greatly exceeded retail sales expectations” it operates.
since its debut on the platform. “This new brand SALES IN EUROPE ARE GROWING WITH
experience will complement the high-touch, instore THE UK OFFERING NEW OPPORTUNITIES Estée Lauder reported double-digit growth in
experience our consumers already receive with our The cosmetics and beauty sector in Europe is seeing EMEA in 2023, driven mainly by the return of retail
Clinique Consultants in the stores of our long-term sales increase online following the few years of tourists from Asia, while Puig recorded a year-on-
retail partners throughout the US,” says Michelle decline witnessed during the pandemic. In 2023, year increase in sales of 18%. Its Charlotte Tilbury
Freyre, Global Brand President, Clinique. “Education sales increased by 2.21%, a small but definite brand expanded into new EMEA countries, including
has always been an integral part of Clinique and increase for what continues to be a challenging Poland, Sweden and Saudi Arabia, while continuing
we are excited to bring this aspect of our brand to market due to inflationary conditions. In 2023, sales to consolidate its presence in Europe, its largest
Amazon customers in the US.” of beauty and personal care products online in region by revenue, with strong growth in the UK,
Europe reached $26bn. This is up from $25.46bn Spain and France.
Brands have been innovating across channels in the the previous year.
US in the last year as well. 2023 saw Fenty Beauty [1]
https://www.businessoffashion.com/news/beauty/sephora-turns-to-nike-e-
launch its best-selling products at Ulta Beauty at The largest markets within Europe are Germany, commerce-exec-to-overhaul-china-business/
Target. The launch expanded the brand’s exposure France, Italy, the UK, Spain and Poland, according [2]
https://www.premiumbeautynews.com/en/us-beauty-sales-slow-
while making it more accessible to a mass audience to industry association Cosmetics Europe. in-q1-2024,23891
through instore sales and online on Target.com.
Target’s fulfilment enables customers to order The majority of sales, in terms of revenue, are
online and collect their purchase or have it delivered made in bricks-and-mortar stores (82%). More than
same day. “The goal has always been to bring Fenty a third of consumers in Germany buy the majority
Beauty to as many people as possible. I’m excited to of their cosmetics and beauty products from physical
introduce the Fenty Snackz and give Ulta Beauty at stores. 44% buy equally from stores and online,
Target guests a new way to experience our brand,” according to ConsumerX. Just 19% of German
said Rihanna ahead of the launch in October. consumers buy mostly online.

GLOBAL BEAUTY SECTOR REPORT 2024 | CONSUMERS RXSBC24RP © 2024 Retailx.net
Examining how
consumers behave
Smartphones are the device of choice for
shopping online, a channel that is taking
an ever-greater share of the beauty sector
Cosmetics and beauty shoppers tend to be loyal to
certain brands and continue to buy specific products
from them once they are happy with their efficacy,
look or feel. Along with these cornerstones of their
skin care or beauty regime, many consumers like to
experiment as well, trying new products from their
favourite brand or those trending on social media,
new launches or niche brands.
Some consumers become loyal enough with

retailers or brands and the stories they tell to buy
merchandise highlighting the brand’s name or
designs. Bags and lipstick cases keep the ‘merch’
within the beauty arena while other products, such
as the Reebok and Milk Makeup collaboration, allow
beauty brands to expand to consumers who may not
already be customers.
Recent challenging economic conditions have

confirmed the so-called lipstick effect can still boost
sales and growth since people like to feel good
even if they are worrying about money. “The lipstick
effect is still driving growth in health and beauty
as consumers look to treat themselves to little
luxuries despite a squeeze on household budgets,”
says Jacqui Baker, Head of Retail at audit, tax and
consulting firm RSM UK.

Commenting about consumers in the UK following

good trading results from Superdrug over the
Christmas period, she added: “Despite the cost of
living, the majority of consumers don’t plan to cut
back on health and beauty, they are instead opting for
cheaper own-brand products to get their beauty fix.”
The same research found that women are more

likely to trade down to an own-brand product, as
men appear to be more focused on the branded or
premium end of the health and beauty market. 14%
of men in the UK had traded down to own-brand
products compared to 29% of women.
This idea that cosmetics and beauty products

can be considered a treat is not confined to the
UK or Europe. Shoppers in the United Arab Emirates,
Saudi Arabia and Kuwait also see shopping for
colour cosmetics as a way to boost their mood
and self confidence. Spend on colour cosmetics is
only eclipsed by the amount of money spent on
fragrances in the Middle East. Here it is men that
make up the largest share of the market, shopping
20% more often than women and spending
11% more, according to retailer and distributor
Chalhoub Group.
ONLINE PURCHASING CONTINUES TO RISE

The majority of beauty and personal care products
are bought in bricks-and-mortar stores although
the amount bought online is gradually increasing.
In 2023, online accounted for 17% of the market,
an increase from 12% in 2019. Much of this switch
from buying in physical stores to digital channels
was made during 2020 and 2021 when consumers
bought more online due to the pandemic.

In 2021, 18% of all beauty and personal care products

were bought online. The fact there has only been a
one percentage point decline in online sales of beauty
and personal care products attests to a longer-term
trend of consumers being comfortable buying online.
ConsumerX asked people who buy cosmetics and

beauty products online about their shopping habits
and their preferences between different channels.
Millennials are the most likely age group to be
buying mostly online. 42% of those surveyed do so.
This compares to 36% of GenZ and GenX shoppers
and 34% of boomers.
It is likely the majority of shoppers will continue

with their current purchasing habit in regard to the
amount of purchases they make offline and on over
the coming year. Almost a quarter of consumers
who buy cosmetics and beauty products online
believe they will increase the amount they buy online
while decreasing instore purchases.
CONSUMERS PREFER TO USE SMARTPHONES

Consumers have been changing how they shop for
cosmetics and beauty products online at the same
time as increasing their overall online spend. A
major factor has been the increased use of mobile
phones and the functionality of smartphones. The
amount consumers have spent on mobile devices,
as opposed to desktop computers, has increased
by ten percentage points since 2019. At that time,
mobile accounted for 41% of the revenue from
online sales globally. By the following year, mobile
sales accounted for the majority of sales revenue,
and it has continued to rise steadily by two or three
percentage points every year successively.

GLOBAL BEAUTY SECTOR REPORT 2024 | DIGITAL CHANNELS RXSBC24RP © 2024 Retailx.net
Online sales
expand beyond
ecommerce sites
Brands and retailers continue to explore
technologies giving customers different
experiences and ways to engage
People who buy cosmetics and beauty products

online are more likely to be using a smartphone
than any other device according to research by
ConsumerX. This group of online purchasers are also
more likely to be using a smartphone for shopping
than consumers who buy any other type of product
online. 48% of cosmetics and beauty shoppers use a
mobile phone for every purchase, with a further 35%
using one “most of the time”.
Globally, 59% of everything spent online on beauty

and personal care products is attributable to mobile
devices, a figure that has increased by two or three
percentage points per year since 2019. Consumers
in Asia are the most likely to shop on a smartphone.
66% of the revenue from selling beauty and personal
care products is made from sales on mobile devices
in the region. Africa, which has the lowest uptake
of mobile commerce in this sector, still sees 42%
of sales by revenue made on mobile devices, as
opposed to desktop computers. In Europe, mobile
commerce accounts for 47%, and in the Americas it
stood at 50% in 2023.

Ulta Beauty has seen “explosive growth” in the use AUGMENTED & VIRTUAL REALITY would like to see their favourite brands and retailers
of its mobile app, especially since innovating with INCREASE SHOPPER ENGAGEMENT offering an augmented reality experience, such as
new experiences such as analysing a user’s skin Augmented reality (AR) offers brands and retailers trying on colour cosmetics or placing virtual furniture
type to recommend skin care products and enabling a way to let customers try on products virtually, in a real room, according to research by ConsumerX.[3]
them to try on cosmetics virtually. It also acts as the overlaying colour cosmetics on the user’s face when
core place for managing loyalty membership and their image is picked up by a webcam or smartphone The technology has improved engagement online,
rewards. More than half of Ulta Beauty’s online sales camera. Its use on ecommerce sites and mobile apps as well as increasing sales. According to a 2022 study
are made using the mobile app. Customers use it in the cosmetics and beauty industry has become by Harvard Business Review, customers who used
instore as well, according to Dave Kimbell, CEO, mainstream, having been introduced increasingly AR spent 20.7% more time on a mobile app and
Ulta Beauty.[1] during the pandemic when consumers were unable to viewed 1.28 times more products on average. More
try on products in bricks-and-mortar stores. importantly, their likelihood of making a purchase
Therefore, it is unsurprising that brands and retailers during the session was 19.8% higher than customers
not only follow a mobile-first approach to designing AR is the one technology across the digital landscape who did not use AR. Looking specifically at cosmetics
digital experiences for their customers but they also that consumers would like to see introduced across and beauty customers, Google has found that AR
innovate with the functionality that smartphones more product categories. 36% of online shoppers increases engagement by 10%.
enable. Cameras, video, user-generated content and
social media are all being embraced by retailers,
brands, and the customers looking to become
more knowledgeable about cosmetics and beauty
ingredients and the latest trends, as well as be
entertained as part of their shopping experience.
Moving on from this is the beauty technology

sector encompassing personalised products such
as those formulated on a daily basis and monitored
or controlled by a mobile phone app. Ulta Beauty
is just one company anticipating future growth
for this part of the industry by setting up an
investment fund to help businesses developing in
this area. Today’s niche products have the capability
to become mainstream and global successes.
Companies that continue to innovate and test and
learn with technologies and digital developments are
differentiating themselves, according to McKinsey,
and will outperform the competition.[2]

Google understands the important role that AR is

playing in sales of cosmetics and beauty products
online having introduced an AR feature on Google
Shopping ads in late 2023. Shoppers in the US can
try on different hair colours and foundation when
browsing on a mobile, and access other AR beauty
tools promoted by brands in their adverts. This
new feature offers the experience of trying on the
products instead of seeing the standard product
image in the advert. More than 50 brands, including,
Fenty Beauty and Laura Mercier, allow consumers to
try on their products virtually within Google.
“Beauty products are some of the trickiest items to

shop for, especially online. The beauty category is
highly nuanced and personal, so tasks like finding
the right shade can be challenging – and even
discouraging,” says Google.
Cosmetics and beauty brands have embraced the

metaverse and virtual reality as well, especially
within the Roblox arena, where they can engage an assortment of 3D e.l.f. products. In addition to
with younger consumers, and Decentraland Fashion shopping via Apple Pay, users can participate in
Week. E.l.f. Cosmetics has been one of the first to relaxing activities to be “your best e.l.f.” such as guided
test the new Apple Vision Pro virtual reality headset, meditations, stretching exercises and an interactive
giving consumers a more immersive experience when ‘Paint by Numbers’ game.
engaging with the brand and buying products.
“Your best e.l.f. is a game-changing beauty experience
Consumers can interact with the brand in three that welcomes users to relax, de-stress and focus on
different environments based around best-selling being their best self,” said Ekta Chopra, Chief Digital
products that can be bought within the app. All in- Officer, e.l.f. Beauty. “Partnering with Obsess to launch
© e.l.f. Cosmetics
app products and scenes in Camo Cove, Big Mood one of the first beauty shopping apps for Apple Vision
and Halo Glow areas have been modelled in 3D and Pro is an evolution for our brand, which has always
rendered at a 4K display from each eye of the device been digitally led. We are champions for innovation
with the experience encouraging users to unwind and new technology platforms. The decision to launch
and explore the environments that contextualise on Apple Vision Pro is not only natural for us; it is The e.l.f. Cosmetics app for Apple Vision Pro offers games and
an immersive experience

critical to continue to meet our community – and As an example, Ulta Beauty has found that around Generative AI is not siloed on mobile applications.
entertain them – wherever they are.” 95% of its sales are made to members of its loyalty Virtual agents can be introduced across different
programme and that 66% of customers count platforms, such as WhatsApp, Instagram, call
“We know that emotional connection plays a large themselves as beauty enthusiasts. This group centres, web, chatbots etc as well as working in
role in consumer decision-making, and that’s the accounts for 83% of revenue from beauty products. multiple languages, taking customer experience and
intention behind the e.l.f. app for Apple Vision Pro,” This first-party data is helping Ulta Beauty widen social commerce to a new level. “The development
says Neha Singh, CEO and Founder, VR development its business through retail media partnerships and process of this solution was challenging and,
company Obsess. “Your best e.l.f. app is a space expanding the reach of brands the company sells. simultaneously, very rich in learning,” says Santiago
where the e.l.f. community can indulge in a deeper UB Media, as it calls its retail media arm, is helping Santa María, Director of Conversational AI, NTT Data.
relationship with the brand through immersive brands connect with Ulta Beauty’s loyal audience “We trained the virtual beauty consultant for months
exploration and branded games. Offering users an of beauty enthusiasts through advertising and to ensure that it would achieve its goal to provide
entirely new way to engage with the brand, the app personalised engagement. consistent and responsive answers, even in the most
paves the way for a new era of spatial shopping and complex situations. From the Lore development,
immersive storytelling for beauty.” Elsewhere, generative AI, such as ChatGPT, has we know that we can offer a hyper-personalised
enabled conversational commerce so consumers can customer experience that allows us to train it on new
ARTIFICIAL INTELLIGENCE speak or type using normal language when searching products and enhance its knowledge and sensitivity
The use of artificial intelligence (AI) is not new in the for a product or interacting with a customer services to interacting with humans. This is only the tip of the
beauty industry but its use is expanding as new ways chatbot and receive a human-like response rather iceberg on how artificial intelligence can empower
to utilise its pattern recognition and decisioning tools than a pre-programmed answer. L’Oréal worked with users and improve people’s lives.”
increase – and ways to work with generative AI are NTT Data on the implementation of Lore, its beauty
explored further. AI is helping with customer-facing advisor powered by a conversational AI platform, Sephora views AI as something that assists people
applications and operational processes. Instore which provides a hyper-personalised customer service and augments their expertise or skills rather than
beauty advisors are aided with clienteling apps and and recommends products based on their needs. replaces them. The company takes this same
virtual try-on online. It is personalising the customer Shoppers can then choose to buy products within the approach to AI across the business in areas ranging
experience on ecommerce sites and speeding app or be redirected to the brand’s ecommerce site. from logistics to HR. As Alexandre Meerson, Chief
up and automating internal processes such as Digital, Data and Technology Officer, EMEA, Sephora,
marketing and logistics operations. Lore is just the beginning of what the AI can achieve. explains, “AI is used to help the business detect more
“With this new technology, we will better understand subtle changes, to be more accurate, or in the case
AI is also proving powerful when working with data our consumers and provide them with superior of the instore clienteling app to put information in
collected as part of customer loyalty programmes service, since Lore can hold a fluid conversation the hands of beauty advisors when they need it. This
and learning from customer behaviour. This is an just like a person and can advise them on the best could be answering a customer’s skin care question
interesting proposition for increasing customer products, reducing the margin of error,” says Arturo if the person who is the expert in this area is busy
lifetime value while also appreciating that the Pérez-Wong, General Manager of CPD CERAN at with a different customer, or translating a question
majority of sales are made by customers who are L’Oréal Chile. “This is the starting point for a solution from an overseas visitor.”
already loyal. that will evolve”.

MARKETPLACES & SUBSCRIPTIONS

OFFER DIFFERENT WAYS TO TRADE
Brands have expanded from selling via retailers
to their own direct-to-consumer sites and selling
on marketplaces such as Amazon. For retailers,
this expansion beyond a wholesale arrangement
with brands able to send products direct to end
customers as a single package has opened new
opportunities for them as well.
A number of retailers are transforming into

marketplaces – albeit closed ones – whereby invited
brands can launch new products or offer an extended
product range beyond what the retailer normally
carries and fulfil orders to customer themselves.
Douglas has been doing this in Europe while in the
UK, Superdrug has also expanded in this way.
Subscriptions are another way that ecommerce has

enabled beauty brands and retailers to expand. They
have also been a way for new entrants to disrupt the
beauty market, launching a monthly subscription
model as their core business from the start.
Consumers see these beauty boxes as offering value

for money as beauty enthusiasts like to discover the
latest launches and experiment with new products.
Shoppers aged over 60 particularly like the money-
savings they offer. Consumers also like the discounts
that are offered if they buy a full-size product of one
of the items they receive in their box.
[1]
https://nrf.com/blog/ulta-beauty-creates-diverse-yet-unifying-experiences
[2]
https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-
insights/how-innovative-companies-leverage-tech-to-outperform
[3]
https://internetretailing.net/ar-tops-new-ways-of-shopping-consumer-
research-finds/

GLOBAL BEAUTY SECTOR REPORT 2024 | INTERVIEW: SEPHORA RXSBC24RP © 2024 Retailx.net
In depth with
Sephora
Alexandre Meerson, Chief Digital, Data and
Technology Officer, EMEA, Sephora, spoke
to RetailX about Sephora’s approach to
omnichannel and personalisation
Sephora is a global,
omnichannel retailer
selling a curated mix of
© Sephora
prestige beauty brands. Its
loyalty scheme has 150mn
members, with half of them
being what the company brands it offers. “That creates an attraction and on all areas of retail technology including point-of-
describes as “very active”. customers seek our advice and point of view,” sales payments, anti-fraud measures and customer
These customers are says Alexandre Meerson, Chief Digital, Data and service. More importantly, the digital team operates
always on the lookout for Technology Officer, EMEA, Sephora. “It gives us the as a commercial business team.
innovations, both in terms responsibility to always look to satisfy our current
of the products they buy and the services offered, customers and, at the same time, offer them “We’ve buried the old approach, which was to look at
requiring Sephora to not just be a leader in the something new,” he adds. conversion. Conversion is just an output of multiple
market but to challenge itself as well. actions and plans and strategies to improve sales.
THE OMNICHANNEL CUSTOMER So now we only look at the customer; at customer
Sephora’s success resides in its efficient and data- The digital team at Sephora in Europe and the engagement, at customer value, at purchase value,
driven approach to retail. It is guided by the constants Middle East is accountable for the P&L of the entire and returning customers,” explains Meerson.
of operational excellence, attention to detail, retail tech experience across all channels, including
constantly reviewing processes, availability, sales ecommerce and the business generated in store with This switch has required a longer term, more
ceremony etc, while at the same time being driven by digital tools. This means a single team is focused sustainable viewpoint to be taken, and one that’s
data, fuelled by traffic and customer relationships. on both the design and delivery of omnichannel taken from the perspective of the omnichannel
services, as well as being accountable for the end- customer. “We take a longer term view of our
Additionally, Sephora is a brand in its own right, it to-end customer experience online and in store. The business because what we want is to make sure that
has a point of view, and that shows through in how team incorporates an array of functions including our clients are satisfied and happy and that when
it curates products, the assortment and exclusive data insight, product UX and technical teams working they think beauty they think Sephora. We can only

achieve this by creating a community of omniclients A YEAR OF PERSONALISATION,

that are satisfied,” says Meerson. As such his team MOBILE AND CLIENTELING
takes a holistic view of the omnichannel business. Continuous improvement is at the heart of Sephora’s
“We don’t look at ecommerce or retail alone.” digital strategy, with the business making around 400
changes every quarter as it adapts, adjusts and makes
As a business, Sephora is seeing benefit in this improvements across the omnichannel business.
change as responsibility to drive growth rests with
the digital team, resulting in an already profitable Sephora’s digital flagship strategy has been one
channel “growing significantly”. It has highlighted the of the major stepping stones in the year, as the
importance of investment online as well as offline. company furthers its advances in end-to-end
omnichannel personalisation. This is enabling
Online, the focus is on personalisation, offering Sephora to improve product recommendations in
the right content, the right information, developing store, online and via its fully-revamped mobile app.
© Sephora
interaction and engagement while the focus instore The app was rolled out across continental Europe
sees the LVMH-owned business delivering services during a three-month period and is yet to launch in
that go beyond verbal advice. This includes tools the UK. It has been designed to engage consumers
that help beauty advisors in their interactions with self-service tools enabling them to discover
with customers. and select products, as well as interact with expert The business has put a lot of focus on CRM and the
beauty advisors and customer services. This app has requirements to delight and surprise customers. This
“We work hand-in-hand with the retail teams to “literally driven our growth over the past 12 months will see the UK pioneering a new loyalty programme
make sure that when we implement something in an extraordinary way,” says Meerson. with the aim of increasing omnichannel engagement.
everyone is properly trained and we get feedback The loyalty scheme will be rolled out to other
from the field. Each implementation has a business In its stores recent markets in the future.
case which spans over the years, and this includes digital developments
adoptions. So, it’s not about adding more features, include the launch of “By having this huge and incredible community of
but it’s implementing the right features and making a clienteling app opening customers, we are now able to use data in a much
sure they are properly adopted and used across the up the customer’s more sophisticated way. And we’ve developed
business,” says Meerson. omnichannel journey that over the last 12 years with the introduction of
and history to the beauty artificial intelligence, and every year making strides
Having a longer-term view has resulted in changes advisor. This in turn towards personalisation. And now we are closing the
to how the business trades on a daily basis. The then feeds Sephora’s loop in the sense of offering personalisation from
influence of digital activation on all channels is digital channels online to the store,” says Meerson.
closely monitored so resources can be allocated with the customer’s
to the right drivers of traffic or conversion. As a instore interactions Data from online, such as emails or texts that are
© Sephora
result, promotion-driven sales and discounts have when they next go online read, interaction with customer service, search
decreased and continue to do. or use the mobile app. engine use is now available in store through the new

tools being put in the hands of beauty advisors. This

will help them recommend not only the right product
based on a customer enquiry or specific need, but
also the right product based on customer history
ensuring the products offered are consistent in
all channels.
“We’ve made a huge step forward over the last

12 months which is effectively the first step in a
new approach, which is very innovative, centred
on omnichannel, and bringing value to customers,”
says Meerson. “It shows the business how critical it
© Sephora
is for a customer to be both online and offline, how
complementary those channels are, and it’s proving
extremely efficient,” he adds.
The UK will be a test bed for other omnichannel business in areas ranging from logistics to HR. such as on-site search, something that Sephora is
services as the retailer continues its plan of opening AI is used to help the business detect more subtle implementing over the coming months. This will
additional bricks-and-mortar stores in the country. changes, to be more accurate, or in the case of the enable consumers to type in the search bar “I’m
This will not be at the expense of instore experiences instore clienteling app to put information in the going to ski what’s the best thing for me,” rather
that consumers expect already from Sephora such hands of beauty advisors when they need it. This than having to type in “cold weather SPF protection”.
as masterclasses, tutorials and tie-ins with products could be answering a customer’s skin care question
that are trending on social media. Sephora has found if the person who is the expert in this area is busy Beauty tech is another area which is evolving rapidly,
that consumers in the UK are happy to share their with a different customer, or translating a question opening up new categories for Sephora, with the
thoughts and feelings on innovation. from an overseas visitor. launch of new products enabled by the internet
of things. “I’m very excited and looking forward
USING AI TO AUGMENT HUMAN EXPERTISE FUTURE DEVELOPMENTS to looking at new beauty accessories that will be
“There’s nothing intelligent about AI,” believes Sephora will be launching a single diagnostic tool empowered by technology, the internet of things
Meerson. “It’s about helping someone digest more enabling beauty advisors to test a shopper’s skin v3, the new generation of diagnostic or accessories
information to make the right decision”. He explains and hair and recommend the right products. “This that can be connected to an application or artificial
that a beauty advisor’s experience shapes the is a something quite exciting for us to move from intelligence,” says Meerson.
recommendation that they’re going to make to a several tools to one that can really address different
customer instore so AI complements that with new subjects,” says Meerson. Lastly, he mentions SEO and the impact that AI will
information or a wider stock of data. “It means it have on product pages. He predicts they will become
augments, or it assists the human being,” he adds. He’s also excited to see the effect that generative increasingly immersive, enabling Sephora to invent
Sephora takes the same approach to AI across the AI will have on the customer experience in areas new ways to engage customers and its community.

GLOBAL BEAUTY SECTOR REPORT 2024 | SOCIAL MEDIA RXSBC24RP © 2024 Retailx.net
Social platforms
as marketplaces
Shoppertainment through social media
videos and livestreaming is engaging
consumers around the world
The increasing use of smartphones as a way to
shop online is changing how consumers discover
new products and how they search for them. The
traditional method of using a search engine to start
a product search is declining, with GenZ less likely
to use Google, Bing etc than other adults.
Among US consumers, GenZ consumers are likely to

start looking for a product to buy on social media.
43% of GenZ shoppers in the US start product
searches on TikTok. This is in comparison to just 19%
of the overall population. 42% start on YouTube,
according to Jungle Scout’s Consumer Trends Report.
TIKTOK AS A MARKETPLACE
TikTok’s audience skews towards GenZ with 40%
aged between 18 and 24. In the UK alone TikTok has
more than 20mn users and that figure continues to
increase, as does the length of time the audience
spends on the platform. The average user spends
70 minutes per day engaging with videos. This
captive audience is a huge draw for brands targeting
younger generations and is particularly effective for
cosmetics and beauty brands.
The introduction of TikTok Shop was an obvious next

step for the social platform enabling already-engaged
consumers to discover products and buy

GLOBAL BEAUTY SECTOR REPORT 2024 | SOCIAL MEDIA RXSBC24RP © 2024 Retailx.net
them without having to leave the app. In 2023, TikTok

made it easier for brands to connect their ecommerce
and social channels through the launch of its TikTok
for Shopify app. This gives Shopify merchants the
capability to create TikTok ad campaigns, synchronise
their product catalogue and sell products through in-
feed videos and live broadcasts.
One of the brands using TikTok to drive in-the-moment

excitement is e.l.f. The brand has “thrived on TikTok
Shop by engaging with the community and building
exciting, culturally relevant moments,” says Nicolas Le
Bourgeois, Head of TikTok Shop US Operations.
TikTok Shop is putting the social platform on a

trajectory to becoming a tier one marketplace
representing “a paradigm shift in online marketplaces,”
according to Sarah Znideric, VP of Global Partnerships
at Linnworks. “Its unique approach, coupled with a
commitment to ‘community commerce’, positions
TikTok as a formidable player in the evolving
ecommerce landscape,” she says. feed going on to buy it, the move makes a lot of directly with consumers. Sephora has found the
sense. This approach of offering engagement and popularity of livestreaming increasing with consumers
And RetailX’s marketplace commentator Paul endorsement, along with the ability to then go on to and it is an area that it is watching closely.
Skeldon agrees. As he explains in the RetailX buy the product, increasingly taps into the growing
European Marketplaces report, “while still dwarfed interest, especially in China, in creating ‘super apps’ While not sharing exact figures of the impact of
by Facebook in terms of users numbers, TikTok has that do a wide variety of tasks in one place. livestreaming, the company has admitted it has been
seen web visits hit 24bn in the 12 months to October performing beyond expectations in terms of sales and
2023, only just shy of the 29bn seen by Amazon.”[1] However, TikTok has been banned already in India engagement. “I was expecting high engagement, but
and its future in the US was looking uncertain as this not how much people appropriated it for themselves
While the company was forced by the Trump RetailX Beauty Report was published in June 2024.[2] and how they actually shared about it. That was really,
administration to split its US operation from its really an eye opener,” says Alexandre Meerson, Chief
Chinese owners – which has a 1% investment from LIVESTREAMING: AN EYE-OPENER FOR SEPHORA Digital, Data and Technology Officer, EMEA, Sephora.
the Chinese government – TikTok has exploded in Livestreaming has been a growing trend for cosmetics
use in the West, with 130 million downloads in the and beauty brands in recent years following the rise [1] https://internetretailing.net/report-hub/european-marketplaces-
US alone and some two billion worldwide. With 60% of this so-called shoppertainment channel in Asia. In report-2023/
of GenZ in the US using TikTok and one in three Europe, Lady Gaga used livestreaming to launch her [2] https://www.bbc.com/future/article/20240426-the-ghosts-of-indias-
TikTok users who see a product promoted in their Haus Labs brand on Sephora enabling her to engage tiktok-social-media-ban

GLOBAL BEAUTY SECTOR REPORT 2024 | SUSTAINABILITY RXSBC24RP © 2024 Retailx.net
Improving the
sustainability of
cosmetics and
beauty products
The industry looks close to a solution
to help consumers actively researching
the impact of beauty products
Legislation around the world is increasingly requiring
brands and retailers to reduce their impact on the
planet while also ensuring safe and fair working
practices for everyone throughout their supply
chains. In the EU, the latest Extended Producer
Responsibility regulation is expanding to waste water
making cosmetics manufacturers pay for clearing up
pollutants such as microplastics.[1]
One of the companies leading the way in the sector

is L’Oréal Groupe. For eight consecutive years the
company has achieved triple ‘A’ ratings from CDP
for its sustainability endeavours including protecting
forests and ensuring water security. It is one of only
ten companies, out of 21,000 that report to CDP, to
achieve the highest rating.
Retailers have a part to play in transforming the

industry as well. German omnichannel retailer
Douglas has ambition to be a leader in sustainability,
reducing its own carbon footprint and stocking
brands that are better for the environment.

GLOBAL BEAUTY SECTOR REPORT 2024 | SUSTAINABILITY RXSBC24RP © 2024 Retailx.net
Its plan to achieve this will see it halving its Scope

1 and 2 carbon emissions by 2025 before aligning
with Science Based Targets, while transforming its
product ranges. 80% of its corporate brands will
be vegan with fully sustainable packaging by 2030.
94% of the new launches during its 2022/23 financial
year were vegan.
“As Europe’s number one omnichannel premium

beauty destination, we have the ambition to also
be a leading beauty retailer in sustainability,” says
Sander van der Laan, CEO, Douglas Group and
Chairman of its ESG Committee. “We have made
good progress on our sustainability journey, for
instance in reducing our combined Scopes 1 and 2
emissions in the past years. We are committed to
our ambitious goals to further reduce our carbon
footprint and to promote sustainable practices.”
At Clarins, 80% of its ingredients are plant PRODUCT LABELLING NEEDS TO BE CLEARER throughout their lifecycle and a scoring system
based with eight ingredients being grown using While regulators, businesses and consumers want which can be used by everyone across the industry.
regenerative agricultural principles to maintain a the beauty industry to improve its procurement A database of the environmental impact of commonly
healthy ecosystem. The company began measuring practices, consumers also want brands to be more used ingredients and raw materials for products
its greenhouse gas emissions in 2007, according transparent about their sustainability endeavours. and packaging is being developed as well. The
to Virginie Courtin, Managing Director & Board 19% of consumers always look for the sustainability Consortium, which has a membership of 71 beauty
Member, Clarins. The company is leading by example criteria of the products they are buying while a further brands, retailers and associations, is basing its work
and sharing knowledge with its suppliers and sharing 32% do so most of the time. 33% do so sometimes. on the European Union’s PEF scientific method.
good practice. However, the majority of online beauty purchasers
believe the terminology used to explain ingredients In March 2024, the Consortium put out for public
Clarins is one of the founders of the Responsible and their efficacy can still be unclear or confusing. consultation a methodology, scoring system and
Beauty Initiative, a group seeking to improve suggested layout for consumer-facing materials
sustainability throughout beauty supply chains. The A cross-industry collaborative group is trying to enabling customers to understand and benchmark
group meets quarterly to share best practices and make sustainability more transparent for consumers products against others when shopping.[2]
processes, and a pool of EcoVadis scorecards that and help them to make better informed purchasing
track the sustainability performance of suppliers. decisions. Since 2021, the EcoBeautyScore [1] https://www.premiumbeautynews.com/en/wastewater-eu-parliament-
Other members include L’Oréal, Coty, Groupe Consortium has been working on a methodology votes-for,23716
Rocher, LVMH, Groupe L’Occitane and Shiseido. for assessing the environmental impact of products [2] https://www.ecobeautyscore.com/public-consultation/

GLOBAL BEAUTY SECTOR REPORT 2024 | INTERVIEW: AVON RXSBC24RP © 2024 Retailx.net
In depth with
Avon
Natalie Deacon, Director Corporate Affairs
and Sustainability, Avon International,
spoke to RetailX about the company’s
focus on social and environment
“A better world for women

is a better world for all,”
says Natalie Deacon,
Director Corporate Affairs
© Avon
and Sustainability, Avon
International, explaining
how social is as important
as the environment to the at ways it can improve the reps’ awareness of says Deacon. “For those people who want to
beauty business. “We, as environmental sustainability, such as informing understand more we need to make sure that
an organisation, are part of them about products and increasing awareness of every single thing we say is backed up and we
an ecosystem of people and recycling and how they can reduce their footprint don’t use spurious claims out of context and we
the planet that we work on so we have to tackle all by delivering orders on foot rather than by car. This are giving that broader life-cycle assessment when
of these things,” she says. helps inform customers as well. we share anything,” she adds.
This focus on women’s rights is at the core of the However, one of the biggest challenges is getting A labelling system being developed by Avon, and
138-year-old brand. As such, it influences the cut-through with messaging. “People want to make other companies in the cosmetics and beauty
company’s sustainability strategy and interactions sustainable choices but it’s not their primary driver. industry, will help consumers compare products
with suppliers. As an example, its membership of They want a great product that performs really well and understand the impact of what they are buying.
Action for Sustainable Derivatives tackles gender- at a great price, and they want to know that it’s “Until we start talking the same language that
based violence among workers in Indonesia’s palm sustainable as well,” says Deacon. people can recognise from one product to another
oil industry. it’s going to be really difficult for our customers to
Avon is signposting as much as it can on product make decisions.”
Social and sustainability come together in dealings packaging using simple language rather than
with the self-employed reps who sell the brand scientific terminology. “We need to be able to show
to local audiences as well. Avon continues to look people really clearly this is a sustainable choice,”

GLOBAL BEAUTY SECTOR REPORT 2024 | PARTNER PERSPECTIVE RXSBC24RP © 2024 Retailx.net
shift is driven by the socio-economic uncertainties with clean lines and understated elegance. Marketing
Expert insight of recent years that have made consumers more campaigns focus on the science and results behind
discerning about their purchases, prioritising value the products rather than extravagant claims and
The paradigm
and results over superficial appeal. celebrity endorsements.
As a result, beauty brands must now emphasise Of course, there is still room for the more maximalist
shift in the their commitments to clinical studies and scientific

research and embrace the new ‘quiet luxury’.
among us, but the importance of quality ingredients
and sound science remains the same, no matter how
beauty industry:
the outer shell presents.
SCIENCE AND FUNCTIONALITY
prioritising efficacy
Consumers are no longer swayed by flashy packaging Transparency is essential, consumers expect brands
or influencer-heavy advertising campaigns. Instead, to be open about their ingredient lists, sourcing
they demand proof of product effectiveness, seeking practices, and the research behind their products.
and sophisticated out items that can deliver tangible results. This
change in consumer behaviour has been catalysed
This demand for transparency is partly driven by
the rise of social media and beauty influencers who
simplicity
by a growing awareness of the ingredients in beauty scrutinize products and share their findings with large
products and their impact on skin health. audiences. One viral TikTok can spell the end for a
brand that has been disingenuous about the ability of
Science-backed brands are paving the way by focusing a product.
on straightforward, clinically tested formulas that
Jamie Saucedo
are both affordable and effective. These brands HOW CAN BRANDS ENSURE TRANSPARENCY?
Senior Vice President, prioritize transparency, providing detailed information
Business Operations, PFS, about their ingredients and the science behind their • Clearly labelled products, no ‘secret ingredients’
on changing consumer products. This approach not only builds trust but also
behaviour and the empowers consumers to make informed decisions • Access to clinical study results, emphasis
role of brands in about their skincare routines. on research
embracing change
SIMPLICITY, MINIMALISM, AND TRANSPARENCY • Simple ‘no frills’ packaging design
The beauty industry has long been synonymous ‘Clean Beauty’ is a phrase you can find all over social
with opulent packaging, high-end marketing media right now. This trend is characterised by a • Engaging in honest marketing, for example, brands
campaigns, and a focus on extravagance. However, preference for high-quality, effective products that using models with eyelash extensions to advertise
a radical change has been occurring, redefining the eschew unnecessary frills. Consumers are drawn mascara- this won’t fly with today’s consumers
industry’s priorities. to brands that exude a quiet sophistication, valuing
substance over superficiality. THE ROLE OF BRANDS IN EMBRACING CHANGE
Beauty consumers increasingly value scientifically The global socio-economic landscape has significantly
backed results, functionality, and transparency over This shift is evident in the design and marketing of influenced consumer behaviour in the beauty
flashy packaging and extravagant marketing. This beauty products. Packaging is becoming more minimal, industry. Economic instability and the still ongoing

GLOBAL BEAUTY SECTOR REPORT 2024 | PARTNER PERSPECTIVE RXSBC24RP © 2024 Retailx.net
impact of the COVID-19 pandemic have led to a more KEY POINTS:

cautious approach to spending. Consumers are now
more selective, preferring to invest in fewer, higher- • A brand name alone is not enough to justify
quality products that offer proven benefits rather high price points - the product must be worth
than accumulating a vast array of items that may not the price tag
deliver on their promises.
• Brands must keep up to date with advances in
This trend towards mindful consumption is also biotechnology and dermatological science to As a division of GXO Logistics, Inc. (NYSE:
a reflection of a broader cultural shift towards stay relevant GXO), PFS supports DTC and B2B fulfilment
sustainability and minimalism. operations for more than 100 brands around
• Sustainability continues to be front of mind for the world. We facilitate each operational step
As people become more conscious of their many consumers and is a key decider in where of an eCommerce order in support of DTC
environmental footprint, the beauty industry responds they spend and B2B retail brands. With 20+ years as an
with products that perform well and align with these industry leader, PFS is the partner of choice for
values. This includes a focus on sustainable sourcing, • By exploring fulfilment and partnership options, brand-centric eCommerce and supply chain
eco-friendly packaging, and cruelty-free practices. brands can meet their eco-initiatives in more ways operations.
than ingredients alone
The sustainability aspect also reaches beyond the
products themselves. Brands should look to their As consumers become more discerning and mindful pfscommerce.com
logistics partners to ensure they can offer a service that in their purchasing decisions, they seek products that
[email protected]
is minimal by design and more sustainable. By using deliver real results and align with their values. Armed
recycled cardboard, compostable and biodegradable with a wealth of information and access to millions @PFScommerce
packaging, and optimising fulfilment to minimise of online reviews, consumers are no longer swayed
travel distance, brands can comprehensively address by superficial allure but rather by the substance and
sustainability concerns. authenticity of a product.
In an industry that thrives on innovation, staying at Brands prioritising scientific backing, advanced
the forefront of research and development is crucial. formulations, and honest marketing are poised
Advances in biotechnology and dermatological to thrive in this new landscape. The emergence
science are leading to the creation of highly effective, of sophisticated simplicity as a defining trend
targeted treatments that address specific skin underscores a shift towards a more informed, and
concerns. These innovations range from personalised conscientious consumer base. In embracing this
skincare solutions, which use AI and genetic change, beauty brands can redefine luxury, foster
information to tailor products to individual needs, to trust, and meet the evolving needs of consumers in
breakthrough ingredients like peptides, niacinamide, 2024 and beyond.
and probiotics.

GLOBAL BEAUTY SECTOR REPORT 2024 | TOP100 RXSBC24RP © 2024 Retailx.net
RetailX TOP100 2024
TOP100 DOUGLAS LOOKFANTASTIC PERFUME’S CLUB
ADORE BEAUTY DR SQUATCH LOVE COSMETICS PRIMOR
ALLBEAUTY DRUNI LOVELY SKIN RANDEWOO
AMORE PACIFIC E.L.F. COSMETICS LYKO REVOLUTION BEAUTY

ÉPOCA COSMÉTICOS MAC RITUALS
ARBONNE
ESTÉE LAUDER MAKEUP ROSSMANN
AROMA ZONE
EUDORA MAMAEARTH
AVEDA SCENT BIRD
FANCL MAQUILLALIA
AVON SEPHORA
FENTY BEAUTY MARIONNAUD
BATH & BODY WORKS SHISEIDO
FLACONI MARYKAY
BEAUTÉ PRIVÉE SOAP & GLORY
FRAGRANCEX MATAS
BEAUTY BAY SPACE NK
GLOSSIER MECCA
BEAUTY PIE SPELLSMELL
GUERLAIN MONTBLANC
BEAUTYLISH STRAWBERRYNET
HARRY’S MY BEAUTY LAND
BELEZA NA WEB STYLEKOREAN
IL MAKIAGE NATURA
BLISSIM STYLEVANA
JOLSE NATURALLYCURLY
BLIVAKKER SUPERDRUG
JULERIAQUE NOCIBÉ
CHARLOTTE TILBURY TARTE
JUSTMYLOOK NOTINO
COCOLITA THE BODY SHOP
KIEHL’S NU SKIN
COLOURPOP KIKO NYX PROFESSIONAL MAKEUP THE PERFUME SHOP
COSMETICS RETAILER L’ETOILE O BOTICARIO THRIVE CAUSEMETICS
CULT BEAUTY L’OCCITANE ORBIS YESSTYLE
DHC L’ORÉAL PARIS ORIFLAME YOUNGLIVING
DO TERRA LA ROCHE-POSAY PARFUMDREAMS YVES ROCHER
DOLLAR SHAVE CLUB LANCÔME PAULA’S CHOICE

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: ALLIES OF SKIN RXSBC24RP © 2024 Retailx.net
Allies of Skin
Singapore-based Allies of Skin launched in 2016
with three products and has since expanded
to a complete range of science-based skin care
products. The brand says its uses clinically-proven
actives in supercharged concentrations to achieve
maximum results in minimum steps. It sells
© Allies of Skin
through other retailers and digital marketplaces as
well as its own D2C site online.
As part of its mission to make beauty more human,

the brand is vocal about inclusivity and mental
health, donating profits each year to non-profits a self-conducted quiz or live chat with one of its
and supporting their customers in their journey experts. A chatbot is on hand 24/7 to help with
towards feeling good in their own skin. any queries as well.
“The last eight years has been an exhilarating When purchasing, customers can buy a single
journey, from an unknown brand to becoming bottle of product or choose to have the item auto-
Singapore’s most global skin care brand”, says replenish for a certain number of months. This
Nicolas Travis, founder and CEO, Allies of Skin. reduces the price per bottle. Discounts on buying
two or three separate items are available as well
The company is in the process of expanding into for customers building their skin care regime.
the US market following a $20mn cash injection
from Meaningful Partners. This will see the brand The brand’s loyalty scheme further helps with
following a growth strategy of entry through customer retention especially as customers receive
listings on digital and retail platforms, furthering double points on auto-replenishment orders. The
marketing efforts with paid media and influencers, loyalty scheme uses four levels, called silver, gold,
driving cutting-edge new product research and platinum and black, through which customers
development, and building a US-based team. The ascend as the level of their spending with the brand
expansion follows the brand hitting positive EBITA increases. Customers reaching the highest level of
in 2023, according to Tech in Asia.[1] the loyalty programme are invited to a one-to-one
video chat with Nicolas Travis.
Allies of Skin’s own ecommerce site helps
consumers find the right skin care routine through [1]
https://www.techinasia.com/allies-skin-raises-20m-fuel-expansion

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: CHARLOTTE TILBURY RXSBC24RP © 2024 Retailx.net
Charlotte Tilbury
Charlotte Tilbury owner Puig listed on the Spanish
stock exchange in 2024, marking what the
company is calling “a transformational moment”.
Up until then, the company had been guided
by three generations of the same family over
© Charlotte Tilbury
its 110-year history. The IPO was multiple times
oversubscribed with strong demand from Spanish
and international investors.
“Puig’s successful IPO marks the beginning of

a new and exciting chapter in our company’s Charlotte Tilbury started 2024 with the launch
long and proud history,” said Marc Puig, of a perfume collection based on emotions. This
Chairman and CEO of Puig. “Backed by investor joins the brand’s luxury cosmetics and skin care
confidence in our strategy, we will continue to in partner stores including SpaceNK and John
build our portfolio of own brands with a focus Lewis. As well as highlighting the new fragrance
on extending our leadership in prestige products collection, the brand’s ecommerce site tries to
and niche fragrances, while investing in our core emulate an instore experience asking shoppers
markets and support our expansion in high- “how can we help you”. This links through to help
potential geographies.” with finding the best scent match, makeup shade,
or receiving a 10% discount on beauty kits.
Puig reported double-digit growth across all
segments and geographies in 2023, with net The site’s top navigation highlights new products,
revenue reaching €4.3bn, an increase of 19% the different categories of skin care, makeup and
on the previous year. fragrances, along with best sellers, gifts, services
and shade match tools. Consumers can use the
Its cosmetics business recorded a 23% increase self-service tools to find the right products for
in revenues led by the Charlotte Tilbury brand. brows, eyes, lips or cheeks, or foundation match.
“Momentum in this segment continued to be Alternatively, they can book a one-to-one virtual
driven by the success of Charlotte Tilbury, which consultation with an expert in skin care or beauty,
celebrated its 10-year anniversary with a positive or a beauty stylist trained by Charlotte Tilbury.
performance in the United Kingdom, North Some consultations are free while others carry a
America and Europe, the Middle East, Australia charge of up to £45 which is redeemable against
and Singapore,” the company says. product purchases.

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: DOUGLAS RXSBC24RP © 2024 Retailx.net
Douglas
Omnichannel beauty retailer Douglas listed on
the Frankfurt stock exchange in March 2024
enabling the company to reduce net debt by
€1bn and increase financial flexibility. “With this
important step, we have established a strong
financial foundation for the coming years,”
said Mark Langer, CFO of Düsseldorf-based
© Douglas
Douglas Group.
The group, which includes retail brands

Douglas, Nocibé, Parfumdreams and Niche On the Douglas ecommerce site this translates to
Beauty, has reported an increase of 11.5% in ‘Sustainability’ being one of the options in
unaudited net sales for the second quarter of the top navigation. From the subsequent page,
its 2024 financial year. Strong performance in consumers can click through to find natural
both store and digital channels have resulted in products, vegan cosmetics or learn more about
this impressive double-digit growth. Store sales Douglas’s sustainability strategy.
increased by 12%, with ecommerce rising by
10.7% in the quarter. In the 2023 financial year, Videos and Douglas’s own products are highlighted
group sales reached €4.1bn. in the top navigation, with trends, personalised
highlights and inspirational content brought up as
The group employs around 18,000 people across consumers scroll. Douglas uses a range of content
Europe and operates close to 1,850 bricks-and- to help with beauty and cosmetics techniques as
mortar stores, as well as online channels. Its well as helping shoppers choose products.
omnichannel strategy and customer experiences
are regarded as company strengths, along with its Livestreaming content enables Douglas to tie
product proposition which sees Douglas selling a in with brands and influencers, while short
premium range of selective and exclusive beauty video content works across multiple channels.
brands and own label products. These extend Livestreams provide interaction and discounts
across fragrances, colour cosmetics, skin care, enabling consumers to chat live with editors and
hair and accessories as well as beauty services. ambassadors from different brands. The mobile
Douglas has ambitions to be the number one app facilitates further services including AI-powered
beauty destination as well as a leading premium skin analysis and trying on cosmetics virtually.
beauty retailer in sustainability.

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: ESTÉE LAUDER COMPANIES RXSBC24RP © 2024 Retailx.net
Estée Lauder Companies

Estée Lauder Companies (ELC) has had a
challenging few months with sales dropping 5%
to $11.74bn for the nine months to March 31,
© Estée Lauder Companies

2024. Sales in the same period of the previous
year were $12.3bn. The US company attributes
this decline to a drop in sales in mainland China
as well as the Asia travel market, which has seen
“stronger sales” in the latest three-month period.
“For the third quarter of fiscal 2024, we delivered

our organic sales outlook, exceeded expectations
for profitability and continued to improve formation of an AI Innovation Lab enabling it
working capital,” says Fabrizio Freda, President to bring new products to market faster, increase
and Chief Executive Officer, Estée Lauder local relevancy and develop closer connections
Companies. “La Mer, Estée Lauder, Jo Malone with customers. The Lab, which operates in
London, Le Labo, and The Ordinary led organic collaboration with Microsoft, is responsible for
sales growth, driven by beloved hero products ELC’s generative AI chatbot which is purported
and highly sought innovation. Asia travel retail to be increasing customer engagement by
returned to organic sales growth, as developed 20%, with AI-powered recommendations lifting
and emerging markets across Asia Pacific, EMEA, average order values by 15%.
and Latin America further contributed.”
Online, AI is utilised in a number of services
Sales in the quarter reflected a stronger market offering consumers advice and recommendations.
and the company’s continued progress on These include a skin analysis tool, which is only
returning to sustainable growth. Sales increased available on a smartphone since it uses the
5% on the previous quarter to reach $3.94bn. phone’s camera, and a foundation finder which
Europe, Middle East & Africa saw double-digit helps the consumer find the best match for their
growth (12%). skin tone. Quizzes also help with skin care routines
and recommendations.
Estée Lauder Companies will continue investing
in consumer-facing activities to support For customers preferring to interact with a beauty
future sales growth, including innovation and adviser, appointments can be booked online for an
advertising. In April 2024, it announced the instore session or a virtual one-to-one.


GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: GLOW RECIPE RXSBC24RP © 2024 Retailx.net
Glow Recipe
Friends and ex-L’Oréal employees Sarah Lee and
Christine Chang launched Glow Recipe ten years
ago as a retail site introducing Korean skin care to
the US. “We wanted to find a way to have people
truly enjoy skin care, immerse themselves into the
experiences while not compromising ever on the
© Glow Recipe
efficacy of the products,” Sarah Lee told Today.[1]
In 2016, Glow Recipe launched its own products

starting with two items that were also sold by
Sephora. Its Watermelon Glow Sleeping Mask
sold out and had a wait list of 8,000 people. In this up for text messages and everyone receives free
first year, sales reached $7mn. The brand is now delivery on orders over $40. Customers can buy
seeing global success with another of its products, using subscribe & save to obtain further discounts
called Dew Drops, with one bottle being sold with the price per item being less for this option
every 12 seconds. Glow Recipe now has a range compared to choosing a single delivery of the
of 20 different products, and sales reaching product. Subscribe & save gives customers the
$300mn in its last financial year. option to receive refills and a regular delivery
every month for two, three or six months.
The brand markets itself to Millennials and older Customers also receive two free samples with
GenZ but it has become popular with Gen Alpha every order.
and those at the younger end of GenZ. Its social
following has reached more than two million. The site’s top navigation links consumers to value
To show its commitment to diversity and a belief sets, best sellers, a skin quiz, subscribe & save,
that beauty comes from within, a recent offers and more information about the company.
campaign saw it casting ten of its followers as This latter link includes details of Glow Recipe’s
models without seeing what they look like. The sustainability criteria and the charities it supports.
brand read through thousands of applications One per cent of every purchase is donated to
for the anonymous casting. charity, with customers deciding which one of five
non-profit organisations they will support.
Online, Glow Recipe highlights its loyalty scheme
which gives exclusive benefits to its members. [1]
https://www.today.com/video/glow-recipe-founders-on-binding-
Customers can receive a 10% discount for signing korean-heritage-into-skincare-210492997629

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: HAUS LABS BY LADY GAGA RXSBC24RP © 2024 Retailx.net
Haus Labs by Lady Gaga

Haus Labs by Lady Gaga markets itself as
a pioneering clean artistry makeup brand
supercharged by science – delivering high-tech,
high-pigment, high-performance prestige beauty
products that are proprietary, first-to-market,
© Inez and Vinoodh

infused with skin-loving ingredients, in chic and
sustainable packaging. All of its products are clean,
cruelty free and vegan.
The brand launched originally on Amazon as

Haus Laboratories in 2019. In 2022, it rebranded
and relaunched in the US and Canada with to CEO Ben Jones. “We will enable new consumers
Sephora as its retail partner. In March 2024, the to see, touch and feel our products at Sephora,
brand expanded across 12 EU countries, again showing them that Haus Labs by Lady Gaga is a
exclusively with Sephora, having launched in leader at the forefront of art, science, beauty
the UK the previous year. The product range is and technology.”
available online and in bricks-and-mortar stores
in France, Italy, Spain and Germany, and online Haus Labs has its own ecommerce site in the
only in Greece, Romania, Poland and the Czech US which localises currency for different countries
Republic. In Switzerland, it sells via Sephora on the around the world. The site is trying to build
Manor.ch marketplace. anticipation for upcoming product launches
while also highlighting bestselling items. The top
Brand founder Lady Gaga worked with global of the homepage shows that delivery to the UK
content creator NikkieTutorials and Sephora on is free on orders of £60 or more. Navigation leads
the launch of Haus Labs in Europe, livestreaming to colour cosmetics for complexion, lips, cheek
across the 12 Sephora Europe ecommerce sites and eyes. A shade finder leading to a quiz for
and social media. Sephora customers had been the consumer to discover a personalised match
given early access via its app to the products for for concealer and foundation is also located
four days ahead of the official launch. on the top navigation. Having completed the
quiz and obtained their personalised product
Haus Labs sees the launch in Europe as a critical recommendations customers can then choose to
milestone for the brand, and the start of its “march give their email address to have the results sent
toward taking our brand to the world,” according directly to their inbox.

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: MILK MAKEUP RXSBC24RP © 2024 Retailx.net
Milk Makeup
New York-founded colour cosmetics brand
Milk Makeup launched in 2016 with a range
of 85 products. All are vegan, cruelty-free, and
paraben-free, and many are multipurpose. In
2023, Milk Makeup was the number two clean
makeup brand at Sephora in the US.
© IMilk Makeup
In 2022, Milk Makeup was acquired by Waldencast,
an acquisition company with a vision “underpinned
by its brand-led business model that ensures
proximity to its customers, business agility and
market responsiveness, while maintaining each Milk Makeup sees the UK as a priority market and
brand’s distinct DNA,” according to executive is expanding through Boots’ bricks-and-mortar
chairman Felipe Dutra. “The Waldencast platform stores. It launched in the country in 2019 and
is built to support and accelerate brands like Obagi is stocked online by Cult Beauty, Space NK and
Skin Care and Milk Makeup and help them reach Asos, and in the London stores of Sephora and
their full potential. The Waldencast, Obagi, and Selfridges. The brand is normally sold exclusively
Milk leadership teams combine years of industry through Sephora but a deal has been struck with
specific operational experience with a passion for Boots due to the extent of its bricks-and-mortar
beauty and the proven ability to navigate a dynamic store network, Kate Millington, Senior Director, PR
business environment,” he said at the time. and Community Engagement, Milk Makeup, told
Cosmetics Business.[1]
Milk Makeup’s revenue grew 38.6% in its 2023
financial year reaching $100.5mn. Adjusted EBITDA Milk Makeup’s US ecommerce site highlights the
was reported as $18.4mn, above 2022’s figure best-selling products on the homepage as well
of $6.9mn. This was driven by “the successful as videos showing them being applied. Award
implementation of its strategies, resulting in strong winners and new items are badged and show what
growth on core product category pillars, blockbuster other customers think about them in the form of
innovations and robust internationalisation” said star ratings. Customers are invited to upload their
Michel Brousset, founder and CEO, Waldencast. own photographs as part of their written review.
Sales in Q1 2024 of $34.5mn were 21.5% up on [1]

https://cosmeticsbusiness.com/exclusive-why-milk-makeup-is-levelling-
the same period of the previous year. up-its

GLOBAL BEAUTY SECTOR REPORT 2024 | COMPANY PROFILE: RARE BEAUTY RXSBC24RP © 2024 Retailx.net
Rare Beauty
Rare Beauty was founded by US singer and
actress Selena Gomez launching its first products
in 2020. All are vegan and cruelty free. 2023 saw
the brand adding body care items to its lineup
of skin care and colour cosmetics.
© Rare Beauty
Revenue in its latest financial year is believed to
have reached more than $300mn with the brand
reporting phenomenal growth. Rare Beauty is
the fastest growing celebrity cosmetics brand
on social media where it attempts to break The brand also has an accessibility initiative to
down unrealistic beauty standards empowering make products easy to open and apply. It plans
followers with “makeup made to feel good in, to use information from a partnership with Casa
without hiding what makes you unique.” Rare Colina Research Institute when designing future
Beauty has 7.4mn followers on Instagram and products and to share these findings with other
3.9mn on TikTok. It is also one of the best selling brands in the industry.
brands at Sephora.
Rare Beauty’s ecommerce site is localised in terms
In March 2024, Rare Beauty started exploring of currency to multiple countries with consumers
future options with financial advisors regarding offered a discount on their first order if they spend
the sale of the brand which could see it valued over a certain amount. This is £30 in the UK.
at $2bn.[1]
Wellness and self care feature heavily on the site,
Gomez appears to have been hands-on with the with videos leading consumers in meditation,
brand, not just appearing at product launches. showing them how to massage their scalp or
Transparency about her own mental health has unwind with yoga. This Comfort Club is given as
driven the brand’s Rare Impact Fund which aims much prominence in the site’s navigation as a
to raise $100mn over ten years to support people shade finder quiz, the impact fund and ‘shop’.
in this area. One per cent of the brand’s sales go Clicking through to the shop, gives further options
to the fund along with money donated by other to shop all, new products, best sellers, products
organisations. To date, is has raised more than for the face or body.
$5mn and invested $3mn.
[1] https://www.businessinsider.com/rare-beauty-sale-could-make-
selena-gomez-billionaire-net-worth-2024-3

Join RetailX today and access exclusive
research and webinars
RetailX exists to help the retail professional navigate the complex world of multichannel retail.
We offer the data, analysis and authoritative insight needed to build successful and
profitable businesses.
Our meticulous research encompasses data from ecommerce and trade associations, with national
and European government data, our own research and other sources.
Also join our exclusive webinars for up-to-the-minute updates on the performance of
ecommerce markets and sectors.
Better yet, all this information is free to retailers - just sign up using your work address to
get started.
Country Level Market Analysis

RetailX Country and Regional Reports zoom in on the state of ecommerce in more than 20 of the
most prominent B2C markets around the world. From ecommerce trends, to unique case studies
with leading retailers; each report is jam-packed with the key analysis required to triumph in any
given ecommerce territory.
Sector Insight Reports

Our Sector Reports combine in-depth company performance research with analysis of sector
dynamics to equip retailers with a lucid understanding of the current state of key industry
segments - including financials, performance and market context.
Exclusive Webinars
Join leading figures in world ecommerce, senior retailers and our team of researchers as we delve
into the world of ecommerce; including how it’s performing at a county and a sector level, as well as
discussing important concerns facing retailers. All previous webinars are now available to watch
on-demand.
Join today at RetailX.net Free access to all resources for retailers.

GLOBAL BEAUTY SECTOR REPORT 2024 | CONCLUSION RXSBC24RP © 2024 Retailx.net
Conclusion
The majority of cosmetics and beauty sales remain RESEARCH: This report may not be stored in a retrieval system,
Researcher Anna Segarra Fas distributed or sold in whole or in part without the
in bricks-and-mortar stores but the experience is
For questions about our research and to send publisher’s express permission. Fair quotation
being enhanced increasingly by digital tools in the feedback, please email the team via: is encouraged, with a link to the report’s URL on
hands of beauty advisors and customers. Online, [email protected] RetailX.net. All charts and figures marked with
the experience is becoming more immersive, with RetailX 2024 are provided under the Attribution-
consumers engaged for longer as they seek out aids Research Director Martin Shaw NoDerivatives 4.0 International
and advice to help with specific purchasing journeys CEO Ian Jindal
(CC BY-ND 4.0) license (https:creativecommons.org/
as well as entertaining interactions. licenses/ by-nd/4.0/). You are welcome to
EDITORIAL: use these in full with a link to this report,
Editor Emma Herrod retaining the copyright notice RetailX 2024
Brands and retailers understand how consumers Production Editor Gary Tipp
shop in different ways and continue to invest in Managing Editor Jonathan Wright This report is based upon our reasonable efforts to
innovations that enhance the immersive nature of compile and analyse the best sources available to
DESIGN:
ecommerce and social media. Rich content, AI-driven us at any given time. Opinions reflect judgment at
Art Editor Laura Ross
marketing and customer services and omnichannel Cover Design Lauren Coburn
the time and are subject to change.
capabilities are enabling leading brands and retailers
MARKETING: RetailX at InternetRetailing Media Services Ltd
to drive sales in mature ecommerce markets, as well
Marketing and Circulation 27 Clements Lane
as in those that are yet to reach this level. Addison Southam [email protected] London, EC4N 7AE
Tel: +44 (0) 20 7062 2525
We hope you have found this RetailX research and SALES:
Printed in Great Britain
Commercial Director Andy James
analysis to be of interest and commercial value
[email protected]
and would be very pleased to hear from you with Group Creative Solutions Director
www.retailx.net
questions, suggestions or comments. In particular we Marvin Roberts [email protected]
would like to hear about any areas you think should
be included in the 2025 report.
Please get in touch via [email protected]

Global Beauty Sector Report 2024

Uploaded by

Copyright:

Available Formats

Global Beauty Sector Report 2024

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Global Beauty Sector Report 2024

Uploaded by

Copyright:

Available Formats

RXSBC24RP

£499 | June 2024 WWW.RETAILX.NET

Find out more:

The premier eCommerce fulfilment provider.

Welcome to the 2024 RetailX

Ian Jindal, CEO, RetailX

3 | Retailx.net | June 2024

4 | Retailx.net | June 2024

Some areas have been impacted harder than others;

Overall, the beauty and personal care market has

5 | Retailx.net | June 2024

Ecommerce and marketplaces are enabling brands

Instore, the personal approach is given by beauty

Retailers are using curation as a way to differentiate

Retailers understand how economic conditions

6 | Retailx.net | June 2024

Skin care continues to grow as a sector as consumers

Products are going beyond clean as brands

At the same time, consumers seek out innovations,

Innovations extend from products through to

7 | Retailx.net | June 2024

More than $70bn is spent online on beauty and

Online is a small part of the overall market for

This becomes more apparent when consideration

The revenue split between mobile and desktop does

8 | Retailx.net | June 2024

DOMESTIC BRANDS ARE GAINING SHARE IN ASIA

Chinese brands are increasing in popularity among

Joy Group has plans to transform its brands into

China’s smaller domestic brands are becoming

9 | Retailx.net | June 2024

Clean beauty is one of the areas drawing in

As the largest market for cosmetics and beauty, Asia

Growth is continuing in 2024, with sales of prestige supplier Extensiv.

10 | Retailx.net | June 2024

11 | Retailx.net | June 2024

Some consumers become loyal enough with

Recent challenging economic conditions have

12 | Retailx.net | June 2024

Commenting about consumers in the UK following

The same research found that women are more

This idea that cosmetics and beauty products

ONLINE PURCHASING CONTINUES TO RISE

13 | Retailx.net | June 2024

In 2021, 18% of all beauty and personal care products

ConsumerX asked people who buy cosmetics and

It is likely the majority of shoppers will continue

CONSUMERS PREFER TO USE SMARTPHONES

14 | Retailx.net | June 2024

People who buy cosmetics and beauty products

Globally, 59% of everything spent online on beauty

15 | Retailx.net | June 2024

Moving on from this is the beauty technology

16 | Retailx.net | June 2024

Google understands the important role that AR is

“Beauty products are some of the trickiest items to

Cosmetics and beauty brands have embraced the

17 | Retailx.net | June 2024

18 | Retailx.net | June 2024

MARKETPLACES & SUBSCRIPTIONS