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B BOOK 2025
The Global State of Beauty and Outlook from Circana
Beyond face value – beauty begins a new journey through wellness
2024 was a year of stabilization and disruption for the beauty industry. Beauty continues to be a shining star across the general merchandise and CPG industries tracked by Circana. Globally, the beauty industry has a unique role in serving physical and mental wellness needs. As beauty needs and wellness routines grow more intertwined, consumers and our clients look at beauty and wellness through the same lens.
Some of the business-critical topics we explored with our clients throughout the year included:
Global opportunity with the joy economy
Well-being in beauty
Transformation of traditional beauty categories
Jennifer Hetrick
Senior Vice President,
North America Wellness & Beauty
“Wellness has evolved, and beauty is one of the rare industries that meets at the intersection of both the physical and mental qualities that define it.
There has not been a time in recent history when consumers have so actively sought beauty and wellness products to improve their confidence and overall well-being. In North America, we’ve seen fragrances continue to climb in importance and create mood-enhancing tangible and intangible effects. Some of the fastest-growing categories include body deodorants and confidence-building acne and weight-control products. This growing trend spells potential for beauty brands in the market, giving them more opportunities to interact with their customers, especially given social media’s influence.”
Constance Leroy
Senior Vice President,
Europe Beauty
“2024 showed breakthrough signs for personalization at scale in skincare.
2024 saw the roll out of innovative skin tech initiatives such as LED masks and diagnostic devices. We also witnessed a surge in collagen offerings in beauty products and supplements supporting a focus on healthy skin’s longevity. As beauty, health, and wellness further influence each other, the long-awaited skincare personalization at scale is now tangible. It is one of the most exciting opportunities we’re monitoring. Our newly combined Circana Beauty & Wellness team is here to connect the dots for you across these intertwined industries.”
PERFORMANCE HIGHLIGHTS
State of the Beauty Industry
Beauty has always played a large role in wellness. Consumers have boosted their investment in products that help them feel better, improve their personal image, and impress those around them. Years ago, it was more focused on physical aspects of wellness, such as taking care of your skin with natural ingredients, wearing sunscreen, and maintaining healthy hair. Today, consumers dedicate more time and money to beauty products that not only make them look good, but also feel good and lift their mood.
Prestige Beauty Sales Performance by Region
Beauty category dynamics play an important role in wellness. Each one connects to an element of well-being, whether physical or mental. To illustrate it, here’s a quick look at the industry’s 2024 global dollar share:
North America
Skincare +28%
Makeup +32%
Fragrance +28%
Hair +13%
Europe
+23%
+22%
+52%
+3%
LATAM
+15%
+21%
+56%
+8%
China*
+68%
+20%
+8%
+5%
*China: E-commerce only, including B2C (Tmall & JD.com), online travel retail (CDF Hainan), and livestreaming (Douyin), Jan. – Nov. 2024
Source: Circana, prestige markets in North America: U.S., Canada; Europe: UK, France, Germany, Spain, Italy, Annual 2024; LATAM prestige markets: Peru, Chile, Argentina, Brazil, Mexico, January-November 2024
Asia-Pacific
China
Data Quality and Data Diversity Matter Most
Complete Consumer
Through a seamless integration of multiple proprietary panel sources into a single, unified platform, Complete Consumer™ helps teams measure omnichannel buyer behavior at the intersection of every category they shop. Whether consumers are ringing up receipts, making purchases scanned at the item level, using a loyalty card, or completing a survey at the point of purchase, Complete Consumer gives teams the most complete view of consumer behavior by integrating data from the largest panels in market research.
Beauty Global View by Region
Looking at overall beauty sales performance by region, with both prestige and mass market comparisons, all regions are experiencing a slowdown, but they’re still growing. Prestige beauty continues to outperform across most regions. This is notable given that in most markets, 2024 marked four consecutive years of dollar growth.
■ Mass ■ Prestige
North America
+3%*
+7%*
South America
+49%*
+32%*
Europe
+4%
+8%
China
+1%*
Australia
+6%
Source: Circana, Beauty Trends®, TMM U.S., Canada, Mexico, UK, France, Germany, Italy, Spain, Annual 2024
Omnichannel mass beauty market: U.S. only, Annual 2024
Mexico, Brazil, Argentina, Chile, Peru, mass vs. prestige brands; South America performance with hair in Chile only, Jan. – Nov. 2024
China: E-commerce only, includes B2C (Tmall & JD.com), TR (online travel retail: CDF Hainan), and DY (livestreaming, including Douyin), Jan. – Nov. 2024
Australia: National Grocery (supermarkets) hair, cosmetics, skincare, deodorants/talc, MAT Jan. 10, 2023; New Zealand: national grocery + pharmacy, MAT June 10, 2024
Europe: Mass; France, Italy and Spain, Germany, Annual 2024
Beauty Intrinsically Connected with Wellness
Joyful messages, products, and services strike a chord with consumers. Around the world, consumers face heightened stress levels related to global events and the economy, prompting them to increasingly turn to the products and activities that promote greater well-being.
The evolution of wellness has boosted the prestige beauty industry, which offers products that provide the physical, tangible benefits that affect our bodies, such as skincare and suncare, and the more ethereal, intangible benefits that affect our mood, like fragrance, makeup, and a new hair style.
Percentage of females with plans to incorporate beauty into their wellness routine
46%
Dedicating time to skincare
32%
Applying makeup to make you feel good
31%
Styling hair more often to make you feel good
26%
Applying fragrance to lift your mood
23%
Lighting candles/ using oil diffusers
Source: Circana, Omnibus Study, U.S., April 2024, Which of the following, if any, do you plan to incorporate into your wellness routine? Females, 18+y.o.
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