It looks like people’s budgeting cutbacks are extending into the beauty cabinet, with a study finding women’s beauty spending decreased in 2014.
The Annual Beauty Consumer Economic Indicator by NPD Group found there was a four per cent drop in consumer spending in the beauty category in the US during the past year. NPD explains this is a reflection of women becoming budget-conscious, as well as an overall shift in attitude towards shopping in the current economy.
Spokesperson Karen Grant says: “Consumer attitudes have changed, and beauty is viewed differently than it was in years past. Today, there is more competition among beauty brands and retailers, and more competition between beauty and other products, services, and even experiences, such as vacations, entertainment, and dining. The consumer’s desires outside of beauty have become just as important as those inside.”
For Grant, this change in consumers’ priorities gives beauty companies an opportunity to reassess how they are marketing to customers. “These distinct differences among beauty shoppers keep us, as an industry, on our toes and can also be seen as a positive because they pose a big opportunity for the industry. If the industry responds to the consumer in new and exciting ways, these opportunities will drive growth in 2015.”
