Beauty Industry is Growing
The beauty industry is set for solid growth over the next few years and expected to reach £166bn in 2017. Growing at 3.4 per cent each year and according to analysts forecasts, the growth will be driven by rising incomes as well as changing lifestyles.
The increased awareness of the health and beauty sector is resulting in higher demand for luxury products, treatments and cosmetics, research firm Lucintel reported as part of their “Beauty Care Products Industry 2012-2017” report.
Skincare will remain the largest profit area but the report does say there will be an increase in demand for products like mascara! Haircare has come out as the second largest segment and has a good future growth potential. The report also indicates that whilst the recession did effect the industry in 2009, most areas have now recovered from the dip.
The UK beauty industry is in better shape than it has ever been, with a value of over £15bn and employing almost a million workers, according to research carried out by Cosmetic Executive Women UK, reports the Press Association.
The study found that around one in six new beauty businesses in the UK are nail salons, while the facial skin care market is predicted to reach £1bn by the end of the year, thanks to growth in spending on anti-ageing and anti-wrinkle products.
“The fast growing men’s market and the ageing process offer up all sorts of product possibilities,” commented Cosmetic Executive Women UK president Caroline Neville.
“The ageing population offers a rich vein to be mined, the explosion of youth cultures and a rapidly expanding middle class in emerging markets offer new opportunities.”
The men’s cosmetics market continues to grow at rapid pace but a brand’s success depends on its ability to adapt to this new customers, which are still reluctant to enter in outlets perceived as a women’s only zone and whose practices are evolving rapidly, as evidenced by the success of electrical appliances.