The European makeup market is showing signs of recovery after an extremely challenging period lasting from March 2020 through to April 2021. The COVID-19 pandemic upended many routines and opportunities to wear makeup. The closure of many high street retailers, the trend for working from home and restricted socializing all impacted heavily on sales of makeup.

Despite these challenges, the industry has remained upbeat and investment in new product development and up-to-date retail concepts are helping lure consumers back into store.


Slow Recovery for Prestige

According to The NPD Group, makeup has been the slowest category to recover in prestige beauty due to changes in work patterns and social behavior along with, of course, the continued practice of wearing face masks. European prestige makeup sales declined 8% in the first half of 2021 compared with the previous year, and were down an even more dramatic 45% compared to the same period in 2019.

“The makeup market has changed dramatically since the pandemic,” observes Emma Fishwick, account manager NPD UK Beauty. “How and how often people wear makeup has also changed. Many continue to work from home (or in a hybrid model), are socializing less and as a result the natural look has become more popular.”

Fishwick added that continued mask wearing, the absence of defined trends like strobing and contouring, and consumer reluctance to spend compared to pre-pandemic levels, have all added to lower makeup sales.
Although all product categories have faced challenges, some product categories have shown signs of recovery. Across Europe, the best performing makeup segments include mascaras, eye liners, eye primers and nail products; all recording a double-digit growth on 2020. 

In the UK, prestige mascara sales increased 20% in the first half of 2021, reflecting greater emphasis on products that focus on the eye area. Despite fewer mascara launches in 2021, the ones that did make it had a bigger impact. Benefit, Lancôme and Charlotte Tilbury launched full size mascaras with a separate travel size option to encourage trial or provide an additional item for travel or the handbag.


Hybrids Tap into Minimalism

The “skinimalism” trend features a pared down skin care and makeup routine which adopts a minimalist, back-to-basics approach, according to Pinterest’s 2021 Trend Predictions Report. NPD’s research suggests that UK consumers appear to have embraced this attitude in their beauty buying habits. 

The trend for “skinimalism” accelerated as a result of the pandemic, notes Mintel, which observes that European consumers have been focusing more on essentials as they sought to reduce their beauty routines. The trend was most marked among French consumers. It was further reinforced by a growing eco-consciousness, with nearly half of French beauty/grooming buyers purchasing fewer products in order to reduce the environmental impact of their routine. In a recent blog, Margaux Caron, Mintel global beauty analyst, stated that consumers will refocus on beauty brands that boast a minimal approach to beauty, with transparency, value for money and green claims at the core of their offer.

“Clean” skin care brands Typology and BYBI developed a makeup offer focused on hybrid products that complement their facial care offer. Typology’s tinted concealers (France) have a 97% naturally-derived formula and are enriched with caffeine to reduce the appearance of dark circles, niacinamide to reduce blemishes and cornflower hydrolate to decongest the skin. Meanwhile, BYBI’s Babe Balm Bronze (UK) is a vegan highlighting balm containing illuminating mica powder that claims to soothe skin while highlighting it with a dewy golden glow.

According to Mintel, hybrid skin care/makeup products with short, readable ingredient lists and multifunctional value are driving the “skinminimalism” trend. For example, Saie Beauty (France) offers products that blur the lines between skin care and makeup. Its pink Liquid Lip Balm, is described as being “more than a lip balm, not quite a lip gloss.”


Additions & Subtractions

To add to the challenges caused by the pandemic, UK brick-and-mortar stores were closed until April 2021. On-counter testers in stores have only recently been reintroduced, and not in all stores, and there has been a marked shift to online retail. According to NPD, UK brick-and mortar sales declined 66% in the first half of 2021 compared to 2019. Online sales increased 15% in the same period compared to 2019; however, these gains did not compensate for the losses in traditional retailers.

However, 2021 heralded some significant changes in the retail and online landscape. LVMH-owned French retailer Sephora acquired British pure play online beauty firm Feelunique in order to leverage their respective strengths and drive the prestige beauty segment in the UK. There is wide speculation that the takeover will herald Sephora’s return to UK high streets after a half-hearted attempt to break into the UK market more than 20 years ago. Meanwhile, UK stock market darling The Hut Group added Cult Beauty to its expanding portfolio with the online website cultbeauty.com which has been growing rapidly during the pandemic with its range of 300 beauty brands, including prestige makeup superstars Charlotte Tilbury and Huda Beauty.

In May, UK department store group Debenhams closed its doors for the last time, while John Lewis closed 16 stores and dramatically reduced floor space in its London Oxford Street flagship. Fashion retailer Next moved with astonishing speed to acquire three former Debenhams sites for its Next Beauty & Home concept, selling a wide range of prestige beauty brands including Armani Beauty, Bare Minerals, Benefit, Clinique, Estée Lauder, Lancôme, Mac and Urban Decay in a premium retail environment.

Harrods took advantage of the shrinking UK retail space for premium beauty with the launch of three H Beauty stores selling legacy beauty names and new generation newcomers. Talking interactive “playtables” allow consumers to experiment with products to create different looks.

There is still much work to be done to get European makeup sales back to pre-pandemic levels. Assuming that the worst is now over, the prospects are promising for this fast-changing category and its appeal to consumers’ enduring love of new products. 

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Imogen Matthews
Headington, Oxford UK
+44 1865 764918
www.imogenmatthews.co.uk
 
Imogen Matthews is a respected consultant, journalist and researcher who commentates on trends in the beauty industry. She regularly contributes to many of the world’s foremost beauty trade titles, has served on the Board of Cosmetic Executive Women (CEW UK) and won the prestigious Cosmetic Executive (UK) Achiever Award. Founded by Imogen in 1993, The Premium Market Report remains the only in-depth report to examine trends in the premium cosmetics, skincare and fragrance industry.