Targeted pricing, sustainability trends to drive growth in the beauty industry

New Ideas in MarketingEssential news for marketers, summarised by YouGov
July 10, 2019, 3:39 AM UTC

Beauty product’s pricing must be such that it appeals to the target audience.

This article highlights the trends driving the growth in the beauty industry which is currently valued at $532 billion (an estimation), as per a report by Edited. One trend is that of traditional retailers experimenting with beauty. The report found traditional retailers offering more beauty products. For example, Net-a-Porter inventory of beauty products went up 26% from 2018 to 2019.   

The report found that brands can benefit from developing pricing that is appealing to millennials and Gen Z consumers. Currently, H&M’s beauty line has products priced from $2 (for wet wipes) to $45 (for a leather make up bag).

The research indicated the industry shift towards sustainability as a response to consumer demand for products free from toxins or harmful ingredients. The report added, “Sustainability is becoming increasingly important to transparency-minded customers who want to know where our products come from and how they are made”.

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[4 minute read]