US prestige beauty sales rose 7% in 2012 to reach $10.2 billion. Good growth, but that’s below the 11% increase in 2011. However, challenging economic conditions contributed to sales declines across many European countries.
The US was driven primarily by skin care sales, which rose 10% to $3.4 billion. Makeup sales increased 7% to $3.8 billion and fragrance sales rose 5% to $2.9 billion, according to NPD.
In Europe, skin care sales fell 2% overall, but there were some pockets of growth in the face, body and sun segments. Driven by the strong sales in the UK, makeup was the only category to post gains throughout Europe, adding 2%. Face, eye, lip and nail colors represented 92% of the European prestige makeup business. However, the European fragrance market, which includes juices, ancillaries and gift sets, fell 1% last year.
Prestige beauty sales were mixed in select markets, according to a new report by The NPD Group.
More info: www.npd.com