UK beauty shoppers still love the high street

Sales of prestige beauty reach £2.2 billion in store, as brick and mortar remains the dominant force in retail

London: 26th June 2017:  The sale of prestige beauty products in the UK is firmly entrenched in store, where the market reported sales on of £2.2 billion in 2016 according to The NPD Group, a global information company. Sales in brick and mortar retail grew by 2% in 2016 compared to 2015 and demonstrates the continued importance of the in-store shopping experience for customers.

Online sales continue to report impressive figures where the sale of prestige beauty products online grew by £28% in 2016 when compared to 2015. Valued at £379 million, this represents just 14% of the total prestige beauty market.

“Britons love to shop in store” says June Jensen, Director, NPD UK Beauty, who continues: “There’s a continued love affair with the hands-on shopping experience and this looks set to continue. The retail sector has responded to the threat from online beauty retailers by enhancing the in-store offering. Trained consultants offer expert advice, there are also in-store events, roadshows and an interactive customer journey which not only enhances the retail experience it also increases footfall and retail sales. Many brands are now offering add-on services like spa treatments and make-overs. It’s something that online platforms simply can’t offer.”

Growth factors

Fragrance is the key player in the prestige beauty market reporting sales of £1.1 billion in store, but reported minimal growth on the previous year. Sales of fragrance online grew by 20% to reach £162 million in 2016. The most impressive growth both in store and online is from make-up which grew by 7% in store to reach £668 million. Online sales of prestige make-up increased by 45% to £120 million. Skincare remained static in store, reporting sales of £465 million in 2016, whilst online sales increased 25% to £98 million.

Jensen concludes: “Brick and mortar retail continues to be hugely important to the prestige beauty market where sales are increasing both in store and online. Whilst there are more impressive growth figures for online sales, this is starting from a lower base. Customers will always be drawn to retail stores because they want to touch, feel and try the products first. Now that retailers are adding value to the in-store experience with road shows, loyalty programmes, personalised customer advice and special events, the future of brick and mortar remains very positive.”

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Press Contact

Lucy Green
Greenfields Communications
07817 698366
Lucy@greenfieldscommunications.com

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