Financial News

CPG Sales Rise 2% Due To ‘Feel Good’ Spending in Beauty & Wellness

Circana report shows lifestyle purchases fuel retail growth for the first quarter of 2026.

Retail therapy could be real, according to a rise in wellness and beauty sales.

Retail growth is being fueled by “feel good” purchases addressing themes from wellness to beauty, says Circana in a new report.

Consumers’ continued spending both in spite of and in response to challenges is boosting retail growth in 2026. Total US retail sales revenue—across discretionary general merchandise, retail food and beverage, and non-edible consumer packaged goods (CPG)— for the first 10 weeks of 2026 is up 2% from the same time last year, with equivalent demand levels overall, according to Circana, LLC.

The macro results demonstrate the consumer’s overall resilience amid rising costs, economic challenges and other distractions making headlines.

Marshal Cohen, chief retail industry advisor for Circana, noted “Consumers are spending on products that extend beyond the core needs and are increasingly grounded in lifestyle passions – the kind of passion that sparks growth at retail.”

The top growth industries reveal examples of lifestyle spending. Video games, toys, prestige and mass beauty, auto aftermarket products and tires, retail food and beverage, fashion accessories and non-edible CPGs have all demonstrated dollar gains in the 10 weeks ending March 14, 2026, despite varying shifts in demand and price, said the report.

The top growth brands highlight larger consumer themes and provide a view into the lifestyle priorities consumers are investing in, said Circana in its report. Current themes span aspects of wellness, functional beverages, flavor innovation, next-gen tech solutions, nostalgia and viral social moments.

“Consumers have to have a reason to spend, be it a fundamental need, a change, or a passion – it is those reasons, and the ‘feel good’ impact, that are fueling today’s retail growth,” added Cohen. “Marketers must tap into both the practical and emotional sides of today’s consumer, addressing their lifestyle needs and creating a hunger for something more.”

State of Beauty

Per NielsenIQ’s State of Beauty 2025 report, global beauty sales are up 10% year-over-year. The sector is also expanding its definition, embracing digital-first strategies and wellness rituals that are reshaping consumer behavior.

Beauty is evolving into a “holistic lifestyle” category, with “wellness and ritual-based products” expanding the industry’s value, said NielsenIQ.

Women’s longevity, fragrance layering, skin longevity and microplastics are identified as the top wellness trends of 2026, according to the Global Wellness Summit (GWS)’s annual Future of Wellness report, as reported in Happi.

Keep Up With Our Content. Subscribe To Happi Newsletters