When we think about billion-dollar startup ideas, we often think of technology or the latest developments in the digital world. We never think about beauty essentials such as makeup, private-label skincare lines, and other beauty products. While the tech industry has swept the entire business sector, beauty companies are also taking the lead when it comes to eCommerce reinvention and innovation.
From hyper-personalized skincare to clean beauty, the beauty industry is pushing its efforts to enhance the consumer experience. Consumers who are mostly women are on a continuous journey of skincare exploration. They find pleasure in discovering new brands and products they can add to their skincare routine. This trend in consumer behavior led young and independent brands to push their creativity and seek innovations in beauty and skin care.
With all the recent beauty trends in the past year, we decided to list down some of the biggest beauty trends that will shake up the beauty industry this 2021 and the years beyond.
Natural beauty products
Consumers have become more mindful of whatever they put on and in their bodies. This behavior stemmed from the increasing awareness about the presence of filler ingredients and harmful chemicals in beauty products.
In the past years, we’ve been seeing news reports about beauty companies using harmful ingredients in their cosmetic and skincare products that are considered dangerous for humans and the environment. Most of these products consist of formaldehyde, paraben, and mercury, which can damage the kidneys and the reproductive and nervous system.
These revelations drove consumers to make intelligent decisions about the products they’re using. This paved the way for natural, transparent, and clean beauty products that are non-toxic and safe to use. Some beauty companies expanded this concept by including new buzzwords, such as ‘ethically-sourced’ and ‘environmentally sensitive’.
Even vegan beauty products and plant-based options are also dominating as they doubled their sales in the past years. To improve brand image and maintain a good impression, these products often come with sustainable packaging made from recycled items.
Sadly, most businesses are responding to these trends by labeling their products as ‘eco-friendly’ even if they aren’t. This marketing tactic brought confusion and controversy among consumers when identifying brands that are truly natural.
Like other sectors, the beauty industry witnessed significant changes in the way consumers shop for cosmetics and skincare products. During the first few months of the COVID-19 pandemic, on-site businesses shut doors because of physical distancing practices. This forced consumers to rely on online marketplaces to buy their essentials and favorite skincare products.
Many beauty retailers took advantage of the sudden shift to the eCommerce industry. They discovered that managing an online store is cheaper than having a physical establishment. At the same time, tech innovations provided opportunities for retailers to further enhance the shopping experience for their customers.
Technology tools such as virtual and augmented reality provided customers the ability to test or “try on” cosmetic products by using their mobile phones. This became easier for customers to test out textures and colors without relying on store samples.
Another benefit of eCommerce is the access to data and analytics, which helped retailers to understand consumer behavior and demand. Having access to this information led them to recognize the strengths and weaknesses of their products.
While skin tones come in different shades, makeup companies have often catered their products to a limited range of people, especially those with light to fair skin. The rise of celebrity makeup companies, such as Rihanna’s Fenty and Kim Kardashian’s KKW Beauty, introduced the concept of inclusivity in cosmetic products. This new trend led competitors to do the same thing and expand their product range to a wide variety of consumers.
Besides cosmetics, inclusivity is not only limited to makeup shades. Skincare companies introduced skincare products for various skin types, from sensitive, dry, oil, to combination skin. This made it easier for consumers to find the best skincare product for their skin types.
Inclusivity is also present in the marketing campaigns of beauty companies. Today, the beauty industry has encouraged participation among influencers and models whose demographics groups were not well-presented before. As a result, beauty companies have become more accepting of individuals who are gender non-conforming and male-identifying.
eCommerce and beauty retail will continue to develop based on the shifting consumer behavior and retail climate. Beyond these cultural shifts, the global climate will continuously play a key role in the future developments of the beauty industry. Until then, we can expect to see major progress in the beauty industry.