Stores across the country are shuttering and with a variety of new technologies and consumer preferences to consider, retailers should buckle up. But the beauty industry is at the forefront of innovation and its willingness to adapt means that it appears to be one category — in a sea of change — that’s thriving.
Case in point: A recent report by ContentSquare revealed that the cosmetics category has been triumphant. “We were surprised to see that cosmetics were by far the hottest item to buy during the holiday season, and was also the category with the least returns — 83 percent less returns than the average retail item,” noted Jonathan Cherki, founder and chief executive officer of ContentSquare.
Beauty brands and retailers, meanwhile, appear to be going out of their way to accommodate coveted shoppers like Millennials and Generation Z. The new Glowhaus concept at Bloomingdale’s, for example — a beauty department specifically targeted at Millennials — is a perfect example of this attentiveness.
What’s more, a recently released retail personalization index by Sailthru found that of the top 100 retailers of various categories analyzed, Sephora ranked as the retailer with the highest personalization index score.
Beauty executives also appear to be remarkably adept at coming together to learn from one another. At a recent roundtable breakfast led by Walpole at the British Consulate General in New York — where several beauty brands were present — global president of Molton Brown, Mark Johnson, weighed in.
“We as a group are looking at retail today as an opportunity as opposed to a challenge,” he reflected. “In the media and in conversations with people, we constantly talk about the challenges — but today’s challenge is tomorrow’s opportunity.” This willingness to collaborate — and engage in open dialogue — exemplifies how the beauty industry will retain its strength moving forward.
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