- The Canadian prestige beauty industry has grown by +9.4 per cent to $1.13 Billion year to date
- Leading drivers include the makeup category at +8.1 per cent to $485 Million, skincare at+12 per cent to $409 Million, and fragrance at +7.6 per cent to $239 Million
September 12, 2017 - The Canadian beauty industry grew by +9.4 per cent to $1.13 Billion YTD. Leading growth drivers included the makeup category at +8.1 per cent to $485 Million, skincare at+12 per cent to $409 Million, and fragrance at +7.6 per cent to $239 Million.
After experiencing double digit growth in the two years prior, the largest category in the prestige beauty industry – makeup - saw a reduction in growth in 2017 as sales driven by innovation and new product launches slowed.
Nevertheless, several key subcategories in makeup experienced strong growth, including eye shadow which grew by +28 per cent over the time period, mainly driven by eye shadow palettes which were up +44 per cent year over year. Lip colour has also emerged as a bright spot in the category as year over year sales grew 6X. This growth was in large part fueled by the DIY and custom color options that lip palettes offer. This trend is expected to continue through the fall and winter as seasonal colour options emerge.
In fragrance, Artisanal brand growth continues to outpace the rest of category with smaller/portable sizes as well as introductory kits with several scents continuing to fuel this trend.
Skincare seems to be the biggest focus this year for consumers and retailers alike. The Korean Beauty trend continues to influence the Canadian market as hydration products aimed at creating a dewy, luminous skin look continue to grow in popularity. Masks and face mists that provide instant results also continue to experience strong double digit performance. Consumers are also expanding their skincare basics with new and different textures.
Experimentation with different textures started with oils, which we still see growing today. Categories such as facial moisturizers experienced strong growth thanks to the texture trend, up +52 per cent year to date. Other categories that have been positively impacted by the trend include sheet masks, which grew +64 per cent, eye treatment patches, which have grown +50 per cent, lip treatment serums at +180 per cent, and face mists at +313 per cent.