Is selling beauty online- a bargain hunter’s paradise?

Recently, I came across a research paper that intrigued me and raised my curiosity to learn more as it was a survey done on Gen Z and millennials who are buying Beauty products online in the US and a few insights were really compelling and interesting.

As per the?ESW?study,?Sixty-seven percent of Gen Z and millennial online beauty shoppers prefer to wait for price decreases and will risk an item going out of stock.

According to an?ESW?study?with a sample size?of more than 16,500 international consumers.?Nearly,40%?of beauty consumers who spend $2,500 online annually are bargain hunters.

There is an insight for retailers running their loyalty programs:

-????????Twenty-one percent of brand “super fans” are willing to pay full price if they’re one of the first people to have a product.?

Insight- Involve your super-fans in the form of community-building efforts and make them your core group for product development, product launches, etc.

-???????“Younger consumers are driving the growth in the direct-to-consumer beauty market, yet despite their spending power, they remain very price conscious.?

Core insight from this survey:

Creating limited edition products, or offering top customers early access to new products, can help brands overcome price sensitivity in the beauty industry’s key demographic.

Some beauty retailers have benefited from continued consumer beauty spending.?

In its Q4 earnings report, Ulta said its?net sales rose 18.2%?year-on-year to $3.2 billion.

The company attributed that figure to introducing new beauty brands, innovating products, and raising their prices.?

As for where consumers are most likely to purchase online beauty products from other countries, ESW’s study found that 41% of consumers surveyed in China purchased beauty products from online retailers outside of their home country,?followed by the United Arab Emirates (36%), Switzerland (29%), Spain (26%) and India (22%).

Insight:

Focus on cross-border shipment if you are an ecommerce player. As a digital marketeer, run your ads in countries from where you are getting sales reactions.?

If you are a beauty brand business owner, who wants to enter the middle eastern market, then feel free to reach out to me at [email protected]

If you want to scale your retail business and want a helping hand to make your vision into reality then call me at +971502476483.

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