Beauty Retailers Confront Historic U.S. Inflation

Beauty Retailers Confront Historic U.S. Inflation

With inflation rising 9.1% in June to its highest level in over 40 years, will beauty retail experience even bigger declines in store traffic? Kline’s analysis of U.S. foot traffic from SafeGraph proves that beauty retailers are indeed not immune to the inflationary impacts, as foot traffic was down 18% in May from April and down 14% versus year ago for tracked retailers, including Ulta, Victoria’s Secret, and Nordstrom. With brands and retailers adjusting their pricing to reflect the economy, consumers are starting to curtail their store visits. But, how are retailers adapting to retain shoppers? 

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Why Premium and Luxury Beauty Brands Are Jumping on Amazon’s Shelves

At the onset of the COVID-19 pandemic, premium and luxury beauty brands began doing what was once almost unthinkable — offering their goods on Amazon, with a growing number of them now calling the e-commerce giant’s separate Luxury Stores section “home.” So why the shift in attitude and sales strategies for brands like Kora Organics, Irene Forte, Edward Bess, Clé de Peau Beauté, and a selection from The Conservatory boutique?  

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Dermstore: A Critical E-Tailer for Most Professional Skin Care Brands

Dermstore: A Critical E-Tailer for Most Professional Skin Care Brands

Dermstore entered the dotcom market more than 20 years ago. Its sales reached $230 million in 2020, up more than 65% from 2019. The e-tailer got a jolt from the pandemic as eager consumers flocked to the website for skin care tips, new regimens, and personal consultations. At the beginning of 2021, Dermstore was acquired by The Hut Group, a well-known international Pro Beauty/Premium Beauty e-tailer with distribution in more than 150 markets. The future looks promising for Dermstore, as it will benefit from the resources of its new parent company as well as the uptick in consumers wanting professional beauty products. To monitor the performance of other key retailers, refer to our Beauty Retailing USA report. 

Dollar General Beauty Retailing

Dollar General: The Number-One Dollar Store in the United States

While most retailers were severely affected by the damage caused by the COVID-19 pandemic, Dollar General prospered: It opened 899 new outlets in 2020 to reach more than 17,000 doors, making this the numberone door count of all retail chains analyzed for beauty in our Beauty Retailing USA reports. Sales for the chain were up almost 22%; one of the reasons behind this healthy growth is the rapid expansion of privatelabel beautyIn 2020, Dollar General also launched a new store, Popshelf, aimed at higher-end shoppers. For additional insights and data on retailers, please refer to our Beauty Retailing USA report. 

Best of Beauty 2020

Taking a Look Back at the Best of Beauty 2020

The unprecedented crisis of the coronavirus outbreak has impacted how consumers shop for beauty and personal care products, and these shopping habits and product category preferences may become the new normal in 2021. Key macro trends prevalent in prior years have been amplified as the rise in stay-at-home orders shifted consumers’ values and desires throughout the year. Below is a sample of the most talkedabout trends we analyzed in 2020the ones we think will still be important in the coming year. Continue reading

Holiday Retail Beauty Tour

How Retailers Adapted Holiday Shopping During the Pandemic

The coronavirus crisis has forever changed the way consumers shop. Retailers have been challenged to find new ways to connect with consumers as well as reposition their offerings to stay relevant during the world crisis. E-commerce saw an explosive growth, while essential products, such as liquid hand soaps, sanitizers, and deodorants, took center stage, registering unprecedented increase.

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Beauty Retailing USA e-commerce

E-Commerce Is More Essential than Ever

Beauty may have been dominated by the omnichannel approach in 2019, but this year, the industry is witnessing one of the strongest shifts to ecommerce ever. The transformation began in March 2020 with the onset of the COVID-19 pandemic, causing the omnichannel approach to lose relevance as many brick-and-mortar retailers across the country were forced to shutter Continue reading

The New Nordstrom Store in NYC

From Facial Fitness to Botox: Can the New Nordstrom Flagship Revive Beauty Business in Department Stores?

Last Friday, Nordstrom expanded its footprint in the Big Apple, debuting a flagship location with emphasis on products from emerging designers and exclusive, limited-time collaborations. The seven-level store, located at 57th& Broadway, is the retailer’s latest effort to offer a thoughtfully curated assortment of products spanning apparel, shoes, and beauty. The space is immersed in botanical décor and touch-screen kiosks to help shoppers navigate between floors, creating a museum-like experience.

While the new store features a retro sneaker boutique in partnership with Nike, several restaurants, and a stylist lounge, it is clear that the retailer is betting big on beauty, despite stalled growth of these products through department stores in recent years, as indicated in Kline’s Cosmetics & Toiletries USA report.Continue reading

Private-Label Beauty Products USA

Is Private-Label Beauty a Threat to Established Marketers?

With the continuous shift in consumer preferences, marketers and retailers are challenged to stay relevant in the beauty and personal care space. In recent years, an exciting development has been making inroads across all beauty channels: private-label beauty.

The private-label beauty segment has been advancing rapidly, as an increasing number of retailers such as QVC, Saks Off 5th, and Dollar General have entered this lucrative space. According to our recently published Cosmetics & Toiletries USA report, in 2018, private label climbs to the top 10 position in the beauty market in terms of annual sales, competing with giants such as Procter & Gamble and Johnson & Johnson. Moreover, these products advance almost 10% in 2018.Continue reading

Come Join Us at Cosmoprof North America 2019!

Kline’s Presentations at Cosmoprof North America

Are you going to Cosmoprof North America? Stop by our booth (#34027) in the Trends Corner as we have some special surprises for you! Don’t miss the chance to give our products a test run, as well as to pick up exclusive educational materials! And there’s more…you can also enter our contest for a chance to win a free beauty report of your choice. View floor plan»

Hear from our team of experts and other industry thought leaders on current and demanding topics. Register here to attend our insightful presentations on Monday, July 29 at the Mandalay Convention Center in Las Vegas. Continue reading