Fashion Updates | Industry Updates

The State of Fashion Special Edition | The New Face of Beauty

Published: May 24, 2023
Author: Fashion Value Chain

The special edition of The State of Fashion report by BoF and McKinsey & Company explores the reshaping of the global beauty industry. Download the full report to learn about the key dynamics that will impact all categories in the years ahead, from the rise of wellness to the influence of Gen-Z.

What is beauty? It’s a question philosophers have pondered for centuries. And now it’s increasingly one being asked across the beauty industry. A convergence of factors means brands and retailers are confronting deep shifts in what once was a relatively straightforward business of helping people look good.

Before this decade is over, today’s $427 billion beauty industry will have reshaped itself around an expanding array of products and markets. Consumers, particularly younger generations, will be spurring this reshaping, as their own definitions of beauty morph while their perceptions of everything from their role in sustainability to the importance of self-care evolve. Brands and retailers will also change, seeking greater agility and adopting multichannel operating models. They will be doing this as competition in an already crowded market continues to intensify across all categories — skin care, makeup, fragrance and hair care.

This special edition of The State of Fashion by The Business of Fashion and McKinsey & Company explores the global beauty industry through a set of key dynamics impacting brands and retailers in 2023 and beyond. The report uses market intelligence, insights from industry executives and other experts, and proprietary analysis to identify top business opportunities, while also providing both price segment- and category-wide retail sales forecasts over a five-year period to 2027. To enrich this report, McKinsey also conducted a global survey capturing the shopping behaviours and preferences of consumers in six core beauty markets.

The big takeaway is that the beauty market is expected to continue demonstrating the resiliency it has cemented in recent years, showing that time and time again it can withstand — and even thrive profitably and grow — amid economic turbulence, while other consumer sectors struggle. It’s now an industry that everyone from top-tier financiers to A-list celebrities wants to be a part of, with good reason. McKinsey estimates that by 2027, the global beauty industry will record over $580 billion of retail sales, growing at 6 percent per year.

Related Posts

Louis Vuitton to Debut First Men’s Prefall Show in Hong Kong, Showcasing Pharrell Williams’ Creative Direction?

HDFC Life Enters into a Corporate Agency Tie-up with Karur Vysya Bank (KVB) to Offer Life Insurance Solutions to its Customers

Usha iChef: Premium Appliances Made with You in Mind

Filmmaker Mukesh Modi Unveils the Teaser of his Upcoming Film ‘Political War’ through Zoom App Globally