Looking good: Increasing consumer confidence and renewed activity will boost revenue

The Beauty, Cosmetics and Fragrance Stores industry is expanding rapidly as consumers opt for specialized beauty stores to alleviate their aesthetic concerns. Bolstered by economic recovery, consumers are using their heightened disposable income to purchase industry products. While economic recovery has amplified industry revenue and returns over the past five years, demand has been largely guided by shifting consumer habits. Equipped with user reviews and increased disposable income, consumers are looking for results and electing to purchase products from industry establishments that offer a wide selection of brands and knowledgeable staff, in place of department stores and drug stores that offer similar products and train staff to sell only one particular brand...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
10.0%
Forecast Growth 17-22
Profit
Employment
9,782
Businesses
3,010

Industry Threats & Opportunities

  • Improving economic activity will increase demand for industry products
  • External competition from alternative retailers has also strengthened
  • As consumer confidence increases, industry revenue will grow strongly
  • Industry Report - Industry Analysis Chapter

    The Beauty, Cosmetics and Fragrance Stores industry in Canada retails a wide range of personal-care products, from lipsticks to face masks to deodorants. The industry has experienced strong growth over the five years to 2017 as a result of improving economic conditions, with increased consumer confidence and rising levels of per capita disposable income leading to increased expenditure on discretionary products such as industry goods. While department and drug stores have historically dominated the personal-care market, specialty companies such as Sephora and Bath and Body works have aggressively expanded into Canada by opening dozens of stores. By ...purchase to read more.

    Additional Insights for the Beauty, Cosmetics & Fragrance Stores Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Beauty, Cosmetics & Fragrance Stores Industry are

  • Having a wide and expanding product range
  • Production of goods currently favoured by the market
  • Experienced work force
  • IBISWorld analysts also discuss how external factors such as Consumer spending and Number of fixed broadband connections in the Beauty, Cosmetics & Fragrance Stores industry impact industry performance..

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    What's in this report

    What is the Beauty, Cosmetics & Fragrance Stores Industry?

    Operators in this industry sell a variety of personal-care products, including cosmetics, perfume, hair care, skin care and related items. This industry’s target market includes household and professional users of industry products, including hair stylists and makeup artists.

    Industry Products
  • Cosmetics
  • Skin care
  • Fragrances
  • Hair care
  • Industry Activities
  • Retailing skin-care products
  • Retailing cosmetics
  • Retailing hair-care products
  • Retailing fragrances
  • Retailing sun-care products
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer spending
  • Number of fixed broadband connections
  • Number of adults aged 20 to 64
  • Canadian-dollar effective exchange rate index

  • Current Performance
  • Strong demand conditions power performance
  • Increasing competition
  • Emerging demographic opportunities and trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Shifting competition
  • Expansion opportunities
  • Table: Beauty, Cosmetics & Fragrance Stores Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Beauty, Cosmetics & Fragrance Stores Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Hair & Nail Salons in Canada
  • Consumers in Canada

  • Key Selling Industries
  • Cosmetic & Beauty Product Manufacturing in Canada
  • Pharmaceuticals & Pharmacy Supplies Wholesaling in Canada
  • Soap & Cleaning Compound Manufacturing in Canada

  • Products & Services
  • Skin care
  • Hair care
  • Cosmetics
  • Fragrances
  • Other
  • Chart: Beauty, Cosmetics & Fragrance Stores Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Highest income quintile
  • Fourth income quintile
  • Third income quintile
  • Lowest income quintile
  • Second income quintile
  • Chart: Major Market Segmentation for the Beauty, Cosmetics & Fragrance Stores Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Depreciation
  • Rent and utilities
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Beauty, Cosmetics & Fragrance Stores

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Beauty, Cosmetics & Fragrance Stores Industry

  • Industry Globalization
    Sephora, L Brands, Sally Beauty Holdings Inc.,
  • Table: Sephora - financial performance
  • Table: L Brands - financial performance
  • Table: Sally Beauty Holdings Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Beauty, Cosmetics & Fragrance Stores Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Beauty, Cosmetics & Fragrance Stores Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Per capita disposable income (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Baby Boomer
  • Born to parents returning from World War II, this generation is composed of people born between 1946 and 1965. This is currently the largest generation in Canada.
  • Cosmeceutical
  • A cosmetic product that has pharmaceutical properties.
  • Generation X
  • Also known as the baby bust generation because it followed the baby boom generation, this demographic is composed of people born between 1966 and 1971.
  • Generation Y
  • Also known as echo boomers, people in this demographic are typically children of the baby boomer generation and are born between 1972 and 1992.
  • Paraben
  • A chemical used to preserve cosmetics. It has recently been linked to health issues, including cancer.
  • What Our Customers Say

    Why buy this report?

    The Beauty, Cosmetics & Fragrance Stores market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Beauty, Cosmetics & Fragrance Stores:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Beauty, Cosmetics & Fragrance Stores market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Beauty, Cosmetics & Fragrance Stores, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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