Recently the portal researchandmarkets.com indicated that the mass market for beauty products has a projection of US$153 billion with a projected CAGR of 5.92% for the period 2022-2026. The truth is that the last few years have been very challenging for the companies that are in this market, as the pandemic has accelerated the shift to digital channels and consumers are looking for products that are functional and a fast and convenient service. Statistics indicate that 20% of customers may switch brands for no reason, indicating that consumers are open to exploring all available options. Next, we are going to see some of the most interesting trends in this field.
Artificial intelligence: The portal america-retail.com in a recent publication indicates that AI is the new star tool to improve the shopping experience in retail while trends in social media complement the online store. The gamification of purchasing processes is also an opportunity for brands and we see new sales formats such as livestreaming ecommerce.
New customs: The new habits that we adopt during confinement are here to stay. The portal larepublica.co published an article a few days ago about the changes in the consumption habits of cosmetic products after the pandemic. It is cited in this that: “With the massification of remote work schemes and hybrid models, which persist to a great extent even today, people have more time at home, which has allowed them to develop greater knowledge and sensitivity towards their own care. For example, a study carried out by Kantar in Colombia showed that now 75% of housewives prefer to apply hair dye at home, in addition to buying and applying it themselves or with the help of a friend. Regarding the purchase of these hair products, 85% prefer to purchase dyes outside of beauty salons”. The consumer is now more omnichannel than before the pandemic. That is why mass product brands have an opportunity to help and educate the consumer so that they can use the products at home.
From Mass Marketing To Mass Customization: Personalization is definitely one of the great trends of the 21st century and the mass market is no stranger to this trend. That is why we see new digital advances related to personalized experiences on the website and shopping channels as well as new concepts of personalization in formulations and cosmetic benefits.
Influencer marketing: This strategy continues to grow, we even see the launch of own beauty brands by influencers. Instagram is still present as one of the preferred platforms, but TikTok is rising significantly. The important thing is that companies must keep in mind that the most important thing is to prioritize video collaborations.
Chatbots: They are ideal, because on any page they allow the consumer to be quickly guided on queries, purchase decisions, etc.
Omnichannel: This is the new reality, since due to the pandemic, companies are opening more and more new channels for the promotion and sale of their products.
Podcast marketing: Finally, online experiences reach a larger audience. The podcast is an audio content, available through a file or streaming. The advantage of the podcast is that it is an on-demand format; the user listens to it when he wants to. It can be heard on various devices and this has helped increase its popularity. Typically, the podcast addresses a specific topic to build a loyal audience.
White brands: In Latin America and in other regions we are seeing a boom in white brands, which have a very acceptable sensory profile and performance. We are seeing more local launches and with more elements of distinction. White brands have been one of the great beneficiaries of the pandemic and the crisis that was generated. These brands are reinventing themselves, with striking designs in packaging, labels and formulas.
Content marketing: In a recent publication, the puromarketing.com portal indicates that the objective of this technique is to create content in the form of tweets, newsletters, infographics, blog posts and videos on various platforms with the aim of converting potential customers in usual ones. The idea is that these contents help build trust, increase brand and product awareness, drive more traffic to the company’s website, among others.
Democratization of luxury: In formulation we see how formats that were previously more common in luxury brands have now opted for many price levels, such as serums, essences and other formats that are becoming more accessible to all consumers. We see concentrated formats in all shapes and prices.
Beautyverse: Massive brands are also developing strategies to create new experiences in the metaverse.
Gaming: This form of marketing is inspiring new advertising. In this regard, the portal cyberclick.es indicates that digital marketing offers us endless possibilities that go far beyond the typical blogs and social networks. The opportunity is to place our brand on the sites that users use and create an interactive experience. Social gaming is a very popular platform that offers a lot of possibilities for users to interact with the brand. The term “social gaming” refers to online video games that are accessed mainly through social networks. In addition to entertaining themselves by playing, users share the experience with their contacts on the social network, which adds extra interest to the experience. By being integrated into commonly used platforms, these types of games manage to attract audiences that are not normally interested in video games in general.
In coming years, the mass market trends will continue to incorporate technology and virtual experiences, the consumer demands it and the market must be prepared to continue innovating in this segment by offering novelties. The future is today, technology makes it easier and companies are incorporating the consumer at the beginning of process. As Seth Godin said “Marketing is no longer a matter of what you know how to produce but what stories you know how to tell”.
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