The beauty industry is currently worth around $511 billion and is estimated to grow another $250 billion or so within the next three years. Despite many individuals forgoing their makeup habits during lockdown and mask-wearing, this global industry has still continued to grow in revenue, proving the immense weight it holds on our daily lives.
How Has the Beauty Industry Continued to Grow?
Digital sales and continued marketing efforts account for a large portion of this growth, but with clean beauty becoming a more widespread topic, consumers are beginning to pay more for higher-quality products that aren’t made solely from harmful ingredients. The beauty industry continues to expand into developing nations, as well, which are showing a promising market for international brands to thrive in.
Nevertheless, it is clear that online sales are gaining speed and might soon account for more sales than physical stores do.
What Type of Business Trends Will Emerge in the Beauty Industry in 2022?
Beauty products have always been available to us. From your local pharmacy to spas and even to airport vendors, you know you’re never far from the products if you happen to run out of your supply. However, eCommerce sales are on the rise, accounting for a large percentage of sales in recent years. There is no doubt that 2022 will continue to see ongoing sales in this format, emphasizing the need for a digital presence, influencer marketing and SEO practices.
In recent years, and as we will see in 2022, the beauty industry has seen many competitors rising up to introduce more sustainable options to the marketplace. Consumers are beginning to care more about their products’ ingredients and might sway towards companies that claim to be clean, organic, or natural. What does this mean for businesses? In order to keep up with this shift, these companies will likely begin to implement changes in their production and release new products that meet these standards.
Diversity in the beauty industry has been a hot topic for many years now, but businesses will likely place a higher emphasis on this in 2022 and moving forward. This doesn’t just look like creating products in more colors; it also encompasses making sure that darker colors are just as stocked and easily accessible as lighter-colored products. With more companies being held accountable nowadays, accessible beauty products will become a large business trend in 2022.
The beauty industry is in a unique position, whereas it caters to a global population and is always in demand. In order to serve this global audience well, however, businesses must adapt to the changing market and make their products accessible.