Around the world, economic trends are showing that inflation is currently affecting most people. The average worldwide inflation rate was 7.4% as of May 2022, up 3.05% from 2021. To help ease the burden, consumers are looking for ways to maximize the use of their products while spending as little money as possible. Any products that can offer multiple uses or benefits will be desirable to consumers.
That said, even though the inflation rate has affected most consumers, the beauty industry market value is predicted to increase to $700 billion by 2030 at a CAGR of 3.15%. In the beauty industry, the trends are expected to show an increase in demand for all-in-one and multi-use beauty items.
Here are the newest beauty trends to pay attention to during this economic period for maximum returns for your business.
What are the trends?
Solid bar formats
Skincare products come in many formulas from foams to oils, but the beauty bar is still a popular format. Consumers can get multiple uses out of a solid format product like bar soap or solid body lotion. If they’re stored properly in soap dishes or specialized racks in the home, beauty bars can have an incredibly long life span.
Additionally, the solid bar formulation is very eco-friendly. Since there are no bottles to store the product in, there’s one less piece of packaging for the consumer to deal with. And because the solid bar isn’t in a container, consumers are more likely to use 100% of the product. Buyers wanting to reduce or eliminate their beauty product waste will be drawn to the solid bar format.
Similar to the solid bar, skincare and beauty products can be made into a stick format. These products are applied by holding the tube and applying directly onto the skin, making them the better cosmetic alternative for health-conscious consumers. Facial cleansing sticks, for example, encourage consumers to touch their face as little as possible to keep it clean.
Beauty sticks can be used for multiple purposes as well; a blush stick, for example, can also be used on the lips or the eyes as a way to add more color to the face while using minimal products. These multi-use items will help consumers save money by offering several uses in a single product.
Fun & functional formats
Trends also point to younger consumers, especially Gen Z, looking for new products with innovative packaging choices. Because of ongoing supply chain issues and inflation, individual cosmetic items are more expensive and harder to find. Multitasking items, such as lip cosmetics with a 2-in-1 option, will help consumers save money while also allowing manufacturers to experiment with minimal packaging. Similar cosmetic items include a 4-in-1 beauty pen or a makeup palette with multiple compartments that can be switched for use.
A hybrid product is any product that has more than one potential use in its formulation. Consumers who like using products in multiple ways will be drawn to hybrid products for their ease of use. Many new consumer cosmetic products are offering multiple uses in the formulas, such as a 2-1 shampoo and conditioner or a moisturizing hand sanitizer.
Even though consumers will seek out multi-use products as a way to save money, they are willing to pay more for premium products with multiple uses. Products that can offer more than one benefit will be seen as a good investment by more frugal consumers, and they will become more popular as inflation continues.
Some manufacturers are taking it a step further and deliberately designing packaging that can be reused after the beauty product has run out; one company has even gone so far as packaging their multi-use products inside a ceramic piece of art. Frugal customers will be drawn to these products as a way to reduce waste, in both excessive products and packaging.
Refillable packaging is also a part of the reusable packaging movement. Manufacturers sell the beauty product container one time and from then on they send refills rather than new products. Because the refill often sells for less than the cost of a new product, cost-conscious consumers will prioritize any products that offer reusable packaging over brand-new items. The best reusable packaging will be the most unexpected; Gen Z consumers will respond well to new and exciting packaging strategies.
Looking forward, inflation and supply chain headaches are only going to increase the costs of cosmetics for the consumer. Most buyers will respond well to any efforts to create more cost-effective options and less waste. Multi-use items are not only the more cost-effective solution to inflation, but they are also a valid approach to reducing packaging and consumer waste.