Consumer
‘Lipstick Effect’ Starts Fading for Consumer Beauty Groups
- Economic malaise could halt growth through “premiumization”
- In post-lockdown boom, distillers shrug off consumer gloom
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In times of economic turmoil, beauty consumers still like to treat themselves – they just do it in moderation. In lieu of Botox treatments or body contouring to lift their spirits, buyers will instead splurge on a $30 face mask or tube of mascara. Beauty company bosses call this the “lipstick effect,” and use it to convince investors of their business’s resilience.