According to The NPD Group, a leading global information company, Canada’s beauty industry grew by +12 per cent in 2015, an increase of nearly $170 million. The growth was driven in large part by strong performance in all of the largest industry categories, including makeup, skincare, and fragrance.
“Innovation within the prestige beauty industry remains a large growth engine in Canada. Consumers are looking for innovation not only in products, but also in the in-store and online experience,” says Sandy Silva, Director of Prestige Beauty at The NPD Group. “The growth of the luxury market in Canada does make this period very exciting in terms of new products entering the marketplace.”
After a flat year in 2014, the Fragrance category grew by +6 per cent in 2015 despite the fact that gift sets, the category’s 2nd largest sub-segment, declined 3 per cent. Juices, the largest sub-segment in the Fragrance category, continue to grow year over year at 9 per cent this year vs. 2 per cent the year before.
The Makeup category grew by +18 per cent in 2015, up from +13 per cent in 2014. Eye Brow Makeup grew by an impressive +42 per cent on the year, while Lip Colours grew by +24 per cent. The biggest winner in Prestige Beauty is the ‘All Other Face’ category which grew a whopping 50 per cent compared to last year. This category includes bronzers, illuminators, highlighters, primers and contouring palettes and is arguably the epicentre for innovation in the category.
The Skincare category also experienced moderate growth on the year, up +9 per cent in 2015 compared to +8 per cent in 2014. Both eye treatments and facial cleansers had strong years, up +12 per cent and +15 per cent respectively. Face Masks are also still experiencing significant growth vs. last year at 42 per cent.