US inflation hits the beauty category! Three new trends in consumption emerge

It is learned that on May 25, retail data company DataWeave released its latest report outlining the state of the beauty CPG industry in the United States. In an analysis of 200,000 SKUs, it studied how beauty brands and retailers adjusted their pricing as inflation continued.

Key findings from the DataWeave survey include strong online demand for beauty CPGs, more mid- and low-priced product offerings from top brands, and strengthening digital brand presence as the key to boosting sales.

Karthik Bettadapura, CEO of DataWeave, noted that many retailers have performed well over the past year despite supply chain disruptions, shifting consumer demand and persistent inflationary trends.

While rising production and shipping costs have forced prices on most beauty products to rise, a focus on the changing needs of American consumers has helped brands and retailers keep thriving.

In response to price increases, retailers have reduced their offerings of high-end products and shifted to mid- and low-end products.

DataWeave analysts predict that these trends are likely to continue as price increases across consumer categories prompt buyers to change the way they spend in the coming months.

In particular, as U.S. beauty consumers increasingly choose skin care over makeup, skin care spending is on the rise, and the report recommends that retailers prioritize increasing their skin care inventory.

Overall, sufficient inventory and affordability are the keywords in the current U.S. beauty market. At the same time, more and more brands are expanding their investment in technology-driven consumer marketing to strengthen their brand influence.

Editor✎ Ashley/

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