Since the global pandemic started in 2020, the global health, beauty and cosmetic’s’ retail market, has seen a massive uplift in growth which has sustained year on year and is expected to £80 billion by the end of 2023.
With such a quickly developing market, health, beauty and cosmetics retailers could see significant growth if they follow the market trends:
eCommerce & Digital Integration
The online beauty and health market has been growing, and it's likely to continue. Retailers are investing in creating seamless online experiences, virtual try-on tools, and personalised recommendations.
Augmented reality (AR) and virtual reality (VR) technologies are being used for virtual makeup trials and skincare analysis. Retailers are likely to continue exploring innovative technologies to enhance the customer experience.
Sustainability & Eco-Friendly Products
Consumers are becoming increasingly conscious of the environmental impact of their purchases, including in the beauty market. Retailers are responding by offering sustainable and eco-friendly beauty and health products, like organic and cruelty free ingredients, as well as adopting eco-friendly packaging practices such as bamboo products and recyclable packaging.
Personalisation & Customisation
Personalised beauty and health solutions, tailored to individual needs, are becoming more and more popular. This includes personalized skincare regimens, custom makeup, and supplements designed for health goals specific to every customer. There is also a growing demand for products that cater to diverse skin tones and hair types and retailers are expanding their product ranges to be more inclusive, and this trend is expected to continue.
Wellness & Holistic Health
The large chuck of market focus is shifting from just cosmetic beauty to overall health and wellness. Retailers are incorporating products and services that promote holistic health, such as skincare items with added health benefits and wellness experiences within stores. Consumers are increasingly seeking products with fewer chemicals and more natural ingredients, and overall clean beauty products, which emphasise transparency in product formulations, and is likely to remain a significant trend.
Social Media & Influencer Partnership
Beauty and health brands are collaborating with social media influencers for marketing and promotion, and this content for some businesses and brands has been receiving extremely high engagement on social media platforms. This means many businesses have moved towards this model which includes in-app purchases and becoming a very effective sales avenue to online stores.
There has been a significant rise in influencers and celebrity brand ambassadors, and beauty and cosmetic’s brands are seeing a large uprise in sales volumes through social media with less ad spend than other traditional avenues. This trend is expected to continue as influencers play a crucial role in shaping consumer preferences.
Subscription boxes for beauty and health products are gaining popularity. These models offer convenience and a curated selection of products, often at a discounted price.
If you are an eCommerce business who is fulfilling your eCommerce orders in-house, or unhappy with your current fulfilment provider, or would just like a free quote to compare rates, please reach out to UK Fulfilment here, for a free quote.