Global Cosmetic Industry
The cosmetic industry prior to the pandemic was increasingly saturated and the beauty has been proven to be a strong investment category as it provided high margins, recurring purchase patterns, and general resistance to macroeconomic events such as recessions. The industry was also appealing to a broadening audience hence the growth of the industry was estimated to be very much in increasing state. As the pandemic starts the global beauty industry is been impacted very severely. This pandemic has made the government force the industry players to shut their physical operations across the globe. Moreover, the industry players are shifting their strategies from physical sales at stores to online retail sales.
The COVID-19 outbreak is also impacting the way consumers all across the globe approach beauty products which is directly affecting the growth of the cosmetic industry. Consumers are now considering ingredient safety, cleanliness, and shelf life more than they used to earlier Covid-19 outbreak. Additionally, before COVID-19 pandemic, consumers used to avoid ingredients such as preservatives and artificial ingredients in the beauty products as it contains several perceived health risks. However, as the concern surrounding shelf-stability and sanitation is growing after the pandemic across consumer the consumers are becoming more willing to accept these ingredients. Besides, the cosmetic brands still have to provide evidence of efficacy and safety of their products, both from a health and environmental perspective.
The opening of new stores is also severely affected due to the COVID-19 outbreak across the world. For instance, Glossier had to delay the opening of Glossier Arizona, which was scheduled for the 18th of March 2020. In order to recover from the downfall of the COVID-19 drawback, cosmetic companies are using a number of strategies. For instance, the companies are using Face Time program where anyone could schedule a 10-minute session to talk to the makeup artists regarding the products.
To allow hyper-personalization in the beauty industry and aid with the growth of the cosmetic companies advanced technologies are being taken into work. Technologies including Apple’s iOS operating system, mobile devices equipped with high-quality cameras, better bandwidth, and processing power, and artificial intelligence are making the beauty industry more technology-friendly. Additionally, these technologies are taking custom blending from novelty to mainstream service.
Additionally, L’Oreal SA is expanding its use of augmented reality and artificial intelligence to provide its customer with the virtual try-on services. This service is launched by the company with the strategy to encourage customers to buy more makeup and hair color products without physically trying it out. This is the most effective strategy by the company because of the COVID-19 outbreak people have become more sanitization friendly. Another advantage of introducing this service is that the consumer can use it anywhere according to their needs. The virtual try-on service is also letting the consumer try company’s product at home and order it online.
OMR Global Recently Published Report on: https://www.omrglobal.com/industry-reports/impact-of-covid-19-on-global-cosmetic-industry
The Report Covers
- Comprehensive research methodology of the global cosmetic Industry.
- This report also includes a detailed and extensive market overview with key analyst insights.
- An exhaustive analysis of macro and micro factors influencing the market guided by key recommendations.
- Analysis of regional regulations and other government policies impacting the global cosmetic Industry.
- Insights about market determinants that are stimulating the global cosmetic Industry.
- Detailed and extensive market segments with regional distribution of forecasted revenues.
- Extensive profiles and recent developments of market players.
Verticals Affected Most
- Skin Care
- Hair Care
- Make-up
- Toiletries & Perfumes
- Oral Cosmetics
To Learn More About this Report Request a Free Sample Copy @ https://www.omrglobal.com/request-sample/impact-of-covid-19-on-global-cosmetic-industry
