Makeup and beauty industry explodes as mask mandates shrink
The masks are off and the makeup is back. Due to dwindling mask mandates and increased in-store shopping, the beauty and personal care industry is on the verge of a resurgence. Larissa Jensen, VP and Beauty Industry Advisor at The NPD Group, said Business intern that recent announcements from the CDC to reduce certain mask requirements are a game-changer for the beauty market. Jensen said, “I really believe this, that as this mask mandate comes up, we’re going to see a lot of momentum coming out of the makeup category from 2021 to 2022.”
According to Statistical, the beauty and personal care market revenue is forecast to grow 4.77% from 2021 to 2025. Major beauty product retailers have started seeing an increase in online and in-store sales even before some of the latest announcements linked to the pandemic. Before mask mandates eased, beauty brands relied on the power of social media and e-commerce to drive sales. Fast forward to today, and leading beauty brands including elf Beauty, Ulta Beauty, Hourglass Cosmetics and Olive & June are leveraging multi-channel digital advertising strategies to connect with consumers by redefining their consumer needs. beauty and personal care.
Beauty brand elf deploys social media strategies to boost e-commerce sales
In May, the beauty of the elves reported, “For the quarter ended March 31, 2021, compared to the quarter ended March 31, 2020: Net sales increased 24% to $ 92.7 million.” According to Beauty Elf, its sales growth was “primarily driven” by the strength of the brand’s e-commerce. âWe currently expect 8-10% net sales growth in fiscal 2022 – at the peak of our long-term business model,â said Mandy Fields, CFO of elf Beauty. While the elf Beauty brand is highly recognizable on the shelves of retailers like Target and Walmart, elf leverages its reach on social media and a holistic approach to digital marketing and advertising to build the brand, l personalized engagement and conversions.
Bridget Barron, Director of CRM and Customer Growth at elf Beauty, mentionned, âA new consumer can meet an elf by browsing social media and find a video about our best-selling Poreless Putty primer. They probably already know our brandsâ¦ So they head over to elf Cosmetics.com or our mobile app and then explore the brand more and hopefully start creating a basket of products on top of that Putty Primer. Social media advertising, both paid and organic, can be a very effective strategy for beauty brands, bringing consumers to e-commerce platforms, increasing engagement and sales.
Beauty Retailer Ulta Partners with Target for Digital and In-Store Opportunities
Beauty retailer Ulta also saw sales skyrocket. In its results for the first quarter of fiscal 2021, Ulta reported net sales rose 65.2% to $ 1.9 billion, crediting its growth to consumer confidence, a growing desire for “novelty”, “government stimulus payments and easing restrictions COVID-19 â. Ulta believes social media plays a major role in reaching young consumers and raising trends. “Engagement with social media platforms, like TikTok, breathes new life into the color cosmetics category, engages younger audiences, drives trends, and invigorates testing and use.” mentionned Dave Kimbell, CEO of Ultra Beauty.
Later this summer, Ulta “shop-in-shopsâWill debut at Target stores as part of the strategy announced partnership by brands last fall. Target and Ulta both hope to capitalize on their remarkable digital growth, supported by a variety of pickup and delivery options and loyalty programs. âUlta Beauty at Target reflects the future evolution of our omnichannel strategy, based on unleashing the potential of our physical and digital footprints, creating more transparent shopping opportunities for our loyal customers and continuing to lead the beauty industry. mentionned Mary Dillon, Executive President of Ultra Beauty.
Hourglass Cosmetics goes vegan, embracing corporate social responsibility
For many buyers, especially young consumers, the ethics of a brand are as important to them as the products it sells. Several years ago, Hourglass Cosmetics made a commitment, with the support of parent company Unilever, to create an all-vegan cosmetics line, which the brand achieved in 2020. Hourglass Cosmetics regularly revolves around its vegan products and cruelty-free mission. Consumers can sign up to receive news and information about cruelty-free and vegan initiatives on the Hourglass website, and Hourglass Cosmetics donates “1% of hourglasscosmetics.com’s annual profits to [its] partner, the Non-human rights project, an American organization that works to guarantee the fundamental rights of animals.
In addition, the brand continues to evolve its vegan mission, recently launching a new âbug-freeâ red lipstick. âLuxury beauty brand Hourglass Cosmetics recently launched Confession Red 0 refillable lipstick, a true shade of vegan carmine lipstick. The cruelty-free brand has worked with its parent company Unilever for three years to develop a vegan alternative to carmine – an ingredient used in cosmetics and foods for its red coloring, â reported Anna Starostinetskaya for VegNews. Brands that are able to connect with like-minded consumers via messaging often gain loyalty and positive word of mouth from buyers.
Olive & June nail salon beauty brand wows consumers with referral program and email communication
The beauty product craze goes beyond makeup and skincare, with brands like Olive & June encouraging consumers to try its line of nail polish and nail care systems using referral and member-only discounts. Founded in 2012, Olive & June is a Los Angeles salon that launched a line of manicure products in 2019, making it easier for women to get a manicure. (The pandemic has seen an increase in consumers choosing DIY options for personal care, including nails, hair, and skin.) Olive & June products can be purchased directly from the e-commerce platform. Olive & June, with perks and discounts offered for various actions, including getting a free polish for referring a friend, and free shipping plus 10% off all orders to become a member of the ‘Olive You Club â. To get the latest news on new products, Olive & June shoppers can subscribe to the Olive & June newsletter, creating an opportunity for the fresh-faced brand to populate its customer database and mine the data. first party to reach consumers through a mix of digital channels.
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