Beauty products
The first quarter sales of the global beauty industry were weak, amidst widespread store closures due to COVID-19 pandemic, indicates consulting firm McKinsey & Company, but the industry remains resilient.
The global beauty industry has responded positively to the crisis, with brands switching their manufacturing to produce hand sanitisers and cleaning agents and offering free beauty services for frontline response workers. The COVID-19 pandemic has, in fact, introduced some shifts that could alter the beauty industry in fundamental ways.
Digital continues to rise, as consumers indicate they are likely to increase their online engagement and spending. Beauty industry players will need to prioritise digital channels to capture and convert the attention of existing and new customers, suggests McKinsey & Company.
On the operations side, the use of artificial intelligence (AI) for testing, discovery and customisation will need to accelerate as concerns about safety and hygiene fundamentally disrupt product testing and in-person consultations.
The pace of innovation will accelerate. Even before the pandemic, brands were under pressure to overhaul their product-innovation pipelines; now the need for speed is even greater. There is potential for closer collaboration among brands and retailers, through data sharing and inventory pooling.
In several markets’ consumers have indicated reducing spend on beauty, but still shell out more than they would on apparel and footwear. While the COVID-19 pandemic has adversely affected the global beauty landscape, there are signs that the industry may once again prove relatively resilient.
McKinsey & Company estimates the global beauty industry revenues could fall 20-30% in 2020. In China, the beauty industry’s February sales fell up to 80% compared with 2019. But in March, the year-on-year decline was 20%, a rapid rebound under the circumstances. On the other hand, in the US, if there is a COVID-19 recurrence later in the year, the decline could be as much as 35%.
For all the latest retail news from Middle East, follow us on Twitter and LinkedIn, like us on Facebook and subscribe to our YouTube page.
Watsons to open 20 new stores in the GCC
In 2020, global health & beauty retailer AS Watson Group signed its
April 29, 2024 | By Rupkatha B / 
Mahalle began its operations in 2022 as an “Authentic Turkish Grocery in
“Retail is a people’s business. When building a retail brand or the
From being one of the first retailers in Dubai to ban single-use
For starters, Rabbit is a growing e-commerce grocery platform in Egypt always
In 2024 grocery retail major Choithrams has achieved several milestones underscoring its
Industry pioneers are embracing a comprehensive strategy that integrates consumer insights, digital
The regional grocery retail market is evolving fast keeping pace with constantly
From ethical and local sourcing to adopting cutting-edge technologies to curb food
The regional grocery retail market is becoming more and more diverse, offering
Spinneys, the leading premium fresh food retailer, has announced the opening of
Spinneys has announced the launch of The Kitchen by Spinneys, its first-ever
/ 
Omani high-end perfume brand Amouage hosted a unique pop-up at The Grove
In what comes as a significant announcement, Middle East based eyewear majors
A razor-sharp focus on leveraging technology to create immersive experiences and accelerate
The short answer is, yes. Beauty tech, which means integration of technology
Emirati Gen Z women are seeking collaborative, culturally diverse and creatively enriching
One year ago, retail conglomerate Majid Al Futtaim was proud to bring
GMG’s Everyday Goods – Retail division celebrates expansion milestone hitting 60 stores
“More than just a super app, through our patient-centric approach, comprehensive offerings
Among several others, three key factors have fuelled the growth of homegrown
Previous Article
