While there’s no argument that online shopping has increased rapidly, it’s interesting to see what effect this has had on the beauty retail industry.
With a strong Aussie dollar and increased customer confidence in the online marketplace, the retail industry now has a bigger battle on their hand to attract the walk-in customer. Customers are definitely becoming more confident to shop online,” says Priceline buyer cosmetics Susie Bearzi.
Myer luxury cosmetics and fragrances buyer Cynthia Brock believes that while online sales are growing, it still represents a very small portion of the market. Customers still prefer to be able to physically try products before purchasing. Online sites will never be able to offer personalised customer service, skincare consultations and diagnosis and makeovers.”
Bearzi agrees, saying the retailers that will win the battle for the consumer dollar will be those that offer an enticing in store environment and great service.”
Bearzi went on to reveal that online shopping creates even greater competition in the Australian retail marketplace. We will be competing for sales on a global scale, which if focussed on price, could devalue the cosmetics and skincare market,” she acknowledges.
Adore Beauty founder Kate Morris believes this is already happening, with competition already increased. We’ve seen a number of brands start to drop their RRPs to be more in line with international markets.”
With the success of online shopping, David Jones general manager merchandise Stephen McDonald has noticed some differences in what the web buyer is looking for. We have an online offering and have noticed that brands and products that are in limited distribution seem to perform better than those that are broadly available in the market.”
Do you prefer shopping in an online environment or do you like to go in store for your beauty buys?
