1 minute read
BY THE NUMBERS
Is the BEAUTY industry BACK?
ARE WE FINALLY IN “REBOUND” AND “GROWTH” MODE?
After a tough few years of double digit declines in beauty sales brought on by the pandemic, it certainly is starting to feel like the industry is seeing a rebound back to pre-pandemic levels. In many cases across the total mass and prestige businesses and categories, the results are looking very promising and outperforming pre-pandemic levels.
YEAR END 2022 PRESTIGE BEAUTY SALES IN CANADA
$3.4B + 25% over 2021
Circana.com
Category Breakdown
Makeup + 38 %
Fragrance + 24 % $$$ (ASP) + 1 %
Skincare + 17 %
Haircare + 27 %
PRESTIGE BEAUTY SALES IN JANUARY 2023 CONTINUE TO SHOW STRENGTH TOWARDS A REBOUND.
According to the latest Circana data, sales continue to strengthen, “Beauty continues have its moment in 2023. In Canada, total beauty sales were strong in January, up +32% vs. LY. This was the strongest sales we’ve seen in January in the past 4 years. Demand remained strong across every category, but especially evident in Makeup and Fragrances as consumers continue to socialize and invest in prestige Fragrances. Despite economic pressures, we’ve also seen consumers spending overall 4% more, on average, on beauty products compared to last year.”
YEAR END 2022 MASS BEAUTY AND PERSONAL CARE
$127B+6% to LY Niesleniq.com
KEY BEAUTY CATEGORIES
Cosmetics + 15 %
Hair care + 4 %
Sun care products + 23 %
Cosmetics – Eye + 14 %
Cosmetics – Face + 20 %
Cosmetics – Lip + 45 %
“Throughout 2022, a cloud of inflation loomed over the global economy as prices rose by around 8% and consumer confidence rapidly declined”. Says Francis Parisien, Canadian SVP of Sales, Small and Medium Businesses at NeilsenIQ “Like all CPG industries, beauty & personal care was hit by price hikes. Average unit prices have risen faster with each consecutive quarter and many consumers have cut back on non-essential purchases, resulting in slowing unit sales.”
Despite rising prices and slowing unit sales, the beauty and personal care industry is seeing positive growth in dollars. When looking at the data in the period ending January 2023, NeilsenIQ data shows the trend up 6% with most of the key categories above showing more growth when compared to January 2022.
