Home Blog 2017 Beauty Outlook Part 4

The NPD Group Blog

Insights and Opinions From Analysts and Experts in More Than 20 Industries

2017 Beauty Outlook, Part 4: Atop the Hill, Look Who’s Smiling Now!

Dec 28, 2016
Karen Grant, Senior Vice President, Global Industry Analyst ;
Beauty

Impossible! Unprecedented! For all the naysayers and doubters, what a wakeup call this is. The discounted “one-hit wonder” is now at the top of the hill.

Like a game of thrones, the little guys and gals in beauty have come to the fore as they are the ones increasingly making the loudest noise.

While these may sound like headlines pulled from the political stage, they quite fittingly describe the upheaval we are experiencing in the world of beauty. The changes that we saw rumbling in prior years have gained energy and reached a magnitude that has toppled the established order of things. In 2017, we can expect more of the unexpected.

At a high level, we see that the “next gen” influence, like a force of nature, is at the forefront driving the fundamental shifts across industries and in beauty. Beyond being defined by the traditional, generational boundaries—“young Millennials” or “Gen Z”—this ‘gen’ is upending every facet of our industry – manufacturing, retailing, marketing, packaging, and messaging – in their wake. Beauty today is in many ways unrecognizable to the beauty we knew just a few years ago.

Offsetting the proliferation of “indie brands” is a surge in industry consolidation. While one or two giants once controlled much of the market, the wave of acquisitions across beauty is leveling the playing field. As a result, lines are crossing between the prestige and mass markets. In 2017, we can expect accessibility in price and channels to play a bigger role.

Look who’s smiling now! Trends are moving, it seems, at the speed of thought, and beauty has become revolutionized. Embracing change as never before, this industry is harnessing the energy of healthy disruption. In beauty, here is the lesson learned: never discount the little one, as they may be the next champion to rule the hill.


Related Blog Posts


Merry and Bright for Beauty
Merry and Bright for Beauty

With over a week until Thanksgiving, the holiday season is already in high gear. Given the huge success of the U.S. beauty market last holiday, what can we expect from this one?

Perfumers Become Superstars
Perfumers Become Superstars

While fragrances had become objects of consumerism, perfume makers are stepping into the spotlight and garnering attention, as consumers today are showing heightened interest for understanding, learning, and honoring the creative process of perfume making.

Hair Gets Social
Hair Gets Social

Hair care is the smallest piece of the U.S. prestige beauty market, but growing at more than twice the rate. While makeup and skincare have been changed to the greatest extent because of social media, hair is joining in with brands including Olaplex and Playa.

Are Men the New Scent Aficionados?
Are Men the New Scent Aficionados?

Men in the U.S. are increasingly investing in fragrance. As Father’s Day approaches, the opportunity is ripe for brands and retailers to entice the purchase of men’s fragrances.

Newsletter

Subscribe and get key market trends and insights relevant to your industry each month.

We will not sell your information. View privacy notice.

Follow Us

Privacy Notices.

© The NPD Group, Inc.