Inflation Is Impacting How Customers Shop For Beauty Products, Says The Review Works

Inflation Is Impacting How Customers Shop For Beauty Products, Says The Review Works

With over 600 respondents, The Review Works, an online reviews platform asked if rate increases and inflation have changed how they (the respondents) shop for beauty products – And a whooping 83 per cent of respondents said it had.

83 per cent of respondents confirm that the recent rate increases and inflation has changed how they shop for beauty products. 53 per cent now take longer to decide on what they will purchase, while 43 per cent saying they will focus on quality over quantity.

The Beauty industry has long considered itself relatively recession proof, often referencing the ‘Lipstick Effect’ a term coined by Leonard Lauder in 2000 following the bursting of the dot-com bubble. Even more recently, throughout the Covid-19 Pandemic, skincare brands and online beauty businesses experienced unprecedented growth.

But could the RBA put an end to the theory? Alex Noonan, director of The Review Works, thinks it could be an opportunity for the beauty industry.

“What our community has said is that inflation is impacting their purchasing decisions. They are less inclined to buy on a whim, and are looking for quality over quantity. I think the Lipstick Effect is still very much a part of how consumers shop, but in 2022, they are buying one lipstick, not three. Which means for brands focusing on results and benefits of a product and letting go of superficial campaigns will be key. And of course, reviews play a very important role in that strategy.”




Please login with linkedin to comment

The Review Works

Latest News

GoTransit Media Group Unveils The Power Of Regional Transit Advertising
  • Partner Content

GoTransit Media Group Unveils The Power Of Regional Transit Advertising

New research by GoTransit and Rapid Media has unveiled the effectiveness of transit advertising in engaging with regional audiences, demonstrating positive uplift results across key brand metrics. Engaging Fiftyfive5, GoTransit conducted a brand study to assess the impact of Bus and Light Rail advertising on the target audience by measuring Recall, Branding, Diagnostics, and Impact. […]

Partner Content

by B&T Magazine

B&T Magazine
Slew Of Promotions For Special Senior Creative Leadership Team
  • Advertising

Slew Of Promotions For Special Senior Creative Leadership Team

Special has bolstered its senior creative leadership team, promoting Max McKeon, Sian Binder, Lea Egan, Nils Eberhardt and Simon Gibson to group creative directors. Lead image: L to R – Sian Binder, Max McKeon, Nils Ederhardt, Lea Egan, Simon Gibson “This crew is some of the best and brightest that our industry has to offer, so […]

Cosmo Returns To Australia!
  • Media

Cosmo Returns To Australia!

Ever get the feeling we've weirdly warped back to 1988 at the moment? Confirm it with the relaunch of Cosmo in print.

Sydney Comedy Festival: Taking The City & Social Media By Storm
  • Media

Sydney Comedy Festival: Taking The City & Social Media By Storm

Sydney Comedy Festival 2024 is live and ready to rumble, showing the best of international and homegrown talent at a host of venues around town. As usual, it’s hot on the heels of its big sister, the giant that is the Melbourne International Comedy Festival, picking up some acts as they continue on their own […]

Global Marketers Descend For AANA’s RESET For Growth
  • Advertising

Global Marketers Descend For AANA’s RESET For Growth

The Australian Association of National Advertisers (AANA) has announced the final epic lineup of local and global marketing powerhouses for RESET for Growth 2024. Lead image: Josh Faulks, chief executive officer, AANA  Back in 2000, a woman with no business experience opened her first juice bar in Adelaide. The idea was brilliantly simple: make healthy […]