Prime Highlights
- The UK beauty market has grown 7.3% in value and contributes £28.4 billion to GDP, outpacing major EU rivals in prestige beauty sales.
- Despite average price pressures, rising consumer demand is sustaining the UK beauty market’s growth, with the lipstick effect cited as a key driver.
Key Facts
- The British Beauty Council tracks UK beauty sector performance through its annual Value of Beauty report.
- Spain tops EU prestige beauty growth, with consumers spending EUR 221.60 per person annually.
Background
New data from the British Beauty Council’s Value of Beauty report has found the UK’s beauty sector’s market value has grown by 7.3% and is contributing £28.4 billion to GDP.
According to the numbers, the UK is the second-fastest-growing market for luxury beauty in Europe, right behind Spain. The growth comes despite a decline in average price percentage change, with rising consumer demand driving the overall value increase.
Jacqui Burchell, chief commercial officer of the British Beauty Council, attributed the performance to what she described as the enduring appeal of small luxuries. She said that during challenging economic times, British shoppers still spend money on cosmetics, citing the “lipstick effect,” a well-known trend where expenditure on reasonably priced indulgences holds steady during financial pressure.
France recorded the weakest performance among the EU5 over the past year. Analysts link this to French consumer shopping habits, with many opting for lower-cost beauty purchases through pharmacies. That channel saw a 10% rise in value and a 7% rise in volume in the prior year, making it the strongest retail segment in the French market.
Spain’s strong performance aligns with data showing consumers there spend an average of EUR 221.60 per person on beauty annually. Spanish men use an average of 5.7 cosmetic products daily, while women use 8.5, both figures above the UK average of six products per person.
The UK continues to outpace the EU5 in prestige beauty value sales overall.
