The department stores are reorganizing their retail spaces in the Beauty department

In order to thrive in a highly competitive sector, department stores are adopting a more comprehensive approach in the Beauty industry. Instead of just showcasing niche perfumes and makeup, they are making substantial investments in the wellness field. Additionally, they are strengthening their loyalty programs and ramping up their presence on social media.

 

The Covid-19 pandemic has brought significant changes to the Beauty sector, prompting major cosmetics brands to rethink their approach, customers to explore new players, and department stores to reinvent their dedicated spaces.

 

According to the International Association of Department Stores (IADS), representing twelve global chains, this period of transformation has been marked by an average growth of 1% in the Beauty category from 2021 to 2022, approaching pre-pandemic levels.

 

To address this shift, department stores have adopted a holistic approach. They have increased the presence of niche perfumes, harnessed the potential of makeup, and developed wellness offerings. These reorganizations are accompanied by revamped loyalty programs and a strengthened presence on social media.

 

Niche perfumes at the forefront

 

Perfumes have become cornerstones of the industry, representing an average of 36% of beauty product sales in department stores. Sales are driven by niche perfumes. For instance, La Samaritaine, not a member of the IADS, recently unveiled a dedicated space for these products. IADS members, on the other hand, have mentioned brands such as Creed, Maison Francis Kurkdjian, Jo Malone, Byredo, By Kilian, Les Eaux Primordiales, Ex Nihilo, Mancera, and Le Labo, confirming their increasing success in their departments.

 

 

Makeup, which was neglected during the lockdowns, is also making a strong comeback, representing 20% of sales in 2022. Brands such as M.A.C., part of the Estée Lauder group, are reasserting themselves in the market. However, the recovery has not yet reached pre-pandemic levels, prompting department stores to diversify their offerings with new exclusive and trendy brands.

 

The consulting agency partnered with the IADS, Nelly Rodi, highlights emerging brands such as Isamay Beauty and Eclo for makeup, as well as Topicals, Dieux, Cosmoss, Haeckels, Earth Library, and Herbar for skincare products.

 

Expansion of Wellness

 

Products related to wellness have gained importance in the Beauty industry. Between 2020 and 2022, the skincare category represented an average of 34% of sales, driven by the increasing demand for wellness-related products and “clean beauty.” Department stores have responded to this trend by creating new spaces, such as the “Wellness Gallery” at Galeries Lafayette Haussmann, offering an innovative concept that combines fitness, beauty, and health products, with a focus on “green beauty.”

 



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Featured photo : ©Galeries Lafayette Haussmann

Picture of Hugues Reydellet
Hugues Reydellet
Hugues Reydellet is a young and passionate journalist whose favorite subjects are economy, culture, gastronomy, but also cars, and sports. With a sharp pen and an insatiable curiosity, Hugues is constantly on the lookout for new hot information to report.

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