U.S. sales in the prestige sector, including skin care, makeup and fragrance, were down 6% in 2009, according to a newly released report from market-research company NPD Group. Its results were presented at its annual “Hot off the Press” event in New York City earlier this week.
NPD Group’s figures also reflected global results within the prestige-beauty sector, including comparable declines in Italy and Spain, with Mexico being hit the hardest, suffering a 14% decline. France experienced only a 1% decline, while China’s prestige market soared with a 17% increase. Within the U.S. prestige market, fragrance sales suffered greatest, followed by makeup and skin care.
The food/drug/mass channel also experienced flat activity in 2009. Its fragrance sales declined and skincare sales were flat overall. According to NPD Group’s report, if hair care had been excluded, sales of skincare products at mass would have experienced growth in line with makeup, which increased within the channel.
The fourth quarter showed relative promise, despite the market-wide losses. “As we entered fourth quarter, there was evidence of some recovery, as well as areas of growth across categories, at both ends of the price spectrum,” said Karen Grant, vice president and senior global-industry analyst for the NPD Group. “Those could be found in the positive sales of products like smaller-size women’s fragrances, innovations in foundation and concealer products, antiaging and specialized basic skin care and hair care.”
