NPD Group presented attendees of Cosmetic Executive Women's "Hot Off the Press" event in New York City with the first look at year-end beauty sales for 2012. The event was held at the Harmonie Club on January 24th.
“Coming off the wave of 2011, one of the most robust sales periods in over a decade for the beauty industry, 2012 has shown some great highs, along with some modest lows,” said Karen Grant, vice president and senior global industry analyst, The NPD Group.
According to NPD, the total U.S. prestige beauty industry showed an increase of seven percent in dollar sales in 2012 vs. 2011.
All of the U.S. prestige beauty categories posted healthy growth. Prestige skincare sold in U.S. department stores generated the largest growth at 10 percent, followed by makeup at seven percent and fragrance at five percent, compared to 2011.
In dollar sales, the U.S. showed a 7% increase over 2011, while there was a 5% increase in the UK and Mexico. Europe, however, showed declines in dollar sales for prestige beauty, from 2011. France showed a 1% decrease; Italy decreased by 4%; Spain decreased by 7% and Argentina decreased by 10%.
“In the U.S., although we have seen some tempering in sales performance, compared to 2011, growth remains positive for both the prestige and mass channels. The trend of prestige beauty outpacing mass beauty continues to be evident since the recessionary period of 2009 and will likely continue into 2013,” ended Grant.