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    Breaking News

    Competition Heats Up in Amazon Beauty Space

    ...

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    04.02.18
    US sales of mass cosmetics on Amazon reached $110 million in 2017, an increase of 45%, according to One Click Retail, an ecommerce data measurement company. According to One Click Retail’s calculations, the top five selling mass cosmetics brands (and their share of total mass cosmetics sales on Amazon.com) were: Maybelline (12%), L’Oréal (11%), Wunderbrow (8%), Covergirl (5%) and Burt’s Bees (4%).

    Top-seller Maybelline slipped 1% in overall market share but posted a 25% YoY growth, according to the company’s analysis. L’Oréal retained the No. 2 spot with  41% YoY growth.
    As more cosmetics brands enter the Amazon space, incumbents are feeling the pinch and this is even more evident in luxury cosmetics, according to One Click.  In 2016, the top five selling luxury cosmetics brands held nearly  80% of the market share on Amazon.com. In 2017, the top selling brands’ market share dropped just under 60%, with the top 5 being: Jane Iredale (20%), Stila (15%), RevitaLash (11%), Lorac (7%) and Blinc (6%).

    For luxury cosmetics on Amazon, it is important to note that this category is still in its initial growth phase; a considerable amount of the growth in this category correlates to brands entering the space as first-party sellers, rather than brands already present growing significantly, said One Click. Consequently, the top brands from 2016 saw a dramatic loss in market share, not necessarily because they were outperformed, but because the number of major competitors increased in 2017.

    “With both the mass and luxury segments of cosmetics growing at more than 40% and 50% year-over-year on Amazon, brands big and small are beginning to embrace an Amazon-first strategy,” explains Spencer Millerberg, CEO, One Click Retail. “Consumers are shopping for everything they can on Amazon, in one trip. When they’re purchasing on Amazon, they’re purchasing as much as they can. And if they can buy their luxury items at the same time as their everyday essentials and big-ticket items, they’ll do it. Brands from across all categories (have) begun to take notice and take control of their Amazon presence.”

    More info: www.oneclickretail.com
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