Brazil: Beauty products continue to expand despite economy worries
Ph: reijanelissage
While economic worries have affected everything in Brazil, premium cosmetics’ manufacturers and retailers had at least effects on the financial crisis. According to a study, in 2016, popular beauty brands increased by 4.4% whereas the sales of luxury beauty products increased by 9.1%.
To explain why this industry has still had positive performance despite the challenging conditions, there are some reasons for that. Firstly, most of the luxury products were previously purchased overseas, yet with the reduction in international travel, and the dollar on the rise, customers tend to purchase beauty products at local stores. Secondly, an increased value for money and customer loyalty is also the keys for that.
However, loyal customers who are willing to pay more for a particular brand may adjust their shopping habits in this period of time. For example, experts have noticed changes in the buying habit of the Shiseido customers. They tend to opt for lines with more attractive pricing and offers. Some strategies and product launches; for example, the Lift-Dynamic moisturizers with instant lifting effects have been sustaining the double-digit growth of the company.
Also, Revlon has reviewed its price point in Brazil. With its aim at becoming more competitive, this beauty brand has cut down on prices for its products. For example, Revlon’s creamy lipstick currently sells for R$ 30 while the ColorStay liquid foundation with higher FPS and new shades for darker skin was dropped from R$ 89.90 to R$ 69.90.
Brazil: Beauty products continue to expand despite economy worries
