As a former cosmetic industry executive, Philippe Warnery knows that the cosmetic industry is one of the largest in the world.
However, the cosmetic industry is expected to grow at an unprecedented rate from now through the end of the first quarter of the 21st Century. Here are Philippe’s 5 reasons why this is happening.
Cosmetic Use by Both Genders is Becoming More Consistent
Today, consumers of cosmetic products are using a wider variety of cosmetic products on a regular basis. Cosmetic producers are gleaning more insight from their customers (see below on influencer, content, and affiliate marketing) and can customize more products to service both men and women. This increased, consistent use of cosmetic products is a major contribution to why the industry is growing so quickly.
Many Countries are Experiencing Population Growth
For example, Global News Wire stated that, “The Asia Pacific accounts for a major share in the global personal care industry; increasing demand in the region is attributed to its bulging population.”
Philippe Warnery explains that the same is true for immigrated populations from a lower quality of life (the impoverished or distressed country they left) to much improved quality of life (the country that they immigrated to). Examples include the Hispanic population in the United States, as well as Middle Eastern refugees arriving in Europe.
The results are staggering. In the same Global New Wire study, experts predict that the cosmetic industry will grow by over 300 billion US dollars in the next 5 years.
Manufacturers are Increasing their Efforts to Address Environmental Concerns, as well as Eliminating Animal Testing
Due to increased awareness on manufacturers using toxic products and testing them on animals, new companies have risen to the surface offering a better product and more wholesome testing methods. Additionally, many long-standing cosmetic companies have rapidly reformed. As a result, cosmetic users are thrilled to try more products, not only to better protect their skin and hair, but also to support more sustainable business practices.
Philippe Warnery believes that much of this increased awareness comes from valuable studies demonstrating the better quality of organic products and materials. Additionally, many cosmetic manufacturers are able to provide healing products that double as the traditionally beautifying cosmetic product which can help customers save space on their shelves.
There is a Global Increase in E-commerce and Influencer Marketing
It has never been easier for shoppers all over the world to access products online. In fact, these e-commerce sites are offering fast shipping, easy returns, and thousands of relevant product reviews. The cosmetic industry is seeing fast sales’ growth over e-commerce.
While influencer marketing has occurred throughout human history, defining and establishing influencer marketing is an emerging field for product sales. Essentially, individuals harness their potential to build a following before discussing and reviewing their favorite products and services. Particularly in the cosmetic industry, influencer marketing originally took the form of celebrity endorsement and has since led the way in modern influencer marketing techniques.
Studies show that influencer marketing is far more effective and organic over traditional digital marketing efforts. Consumers of cosmetic products care about the effectiveness of those cosmetic products. As such, influencers recommending certain products and instructing on proper application motivates more cosmetic purchases as people are able to see the results rather than just have them explained.
Cosmetic Products are Getting More Sales Through Content and Affiliate Marketing
In many ways the same, but in key ways very different, content marketing usually accompanies both influencer and affiliate marketing. However, the content is more direct, and in cases of affiliate marketing, review-based. Instead of influencers discussing their lifestyle (which includes certain product purchases), affiliate and content marketing are both more informational and functional forms of marketing. Affiliates use content marketing (such as blogging, vlogging, and social media) to raise awareness for how certain products compare with others.
Philippe Warnery concludes that essentially, the content and affiliate marketing work together to breed more discussion among existing and potential consumers of cosmetic products. While many cosmetic companies generate this marketing themselves, it is often done by consumers acting of their own accord.