Source: Retail Dive
Date: 27th August 2025

Fragrance fuels growth as consumers prioritise value and performance over price.

In the first half of 2025, mass market beauty outperformed prestige, continuing the momentum seen in the year’s first quarter.

Reports show mass market beauty sales rose 4% to $34.6 billion, while prestige increased by just 2% to $16 billion. Fragrance stood out as the fastest-growing category within the mass segment, climbing 17% in dollar sales compared to a more modest 6% rise in prestige.

The results reflect shifting consumer behaviour, with buyers increasingly seeking efficacy and value rather than equating higher prices with superior quality.

Industry data indicates that only a small portion of beauty consumers believe premium pricing guarantees better performance. This has led to a blurring of the lines between mass and prestige, as mass retailers introduce higher-priced offerings and prestige players compete with more affordable ranges.

Industry analysts emphasise that adaptability is crucial given ongoing tariff concerns and evolving shopper sentiment.

Retailers are also playing a significant role in shaping the beauty landscape. Major mass merchants have expanded their premium beauty assortments, bringing in dozens of new brands to meet demand.

Meanwhile, partnerships in the prestige channel have faced challenges, with collaborations ending due to mismatches between pricing strategies and the customer experience. Together, these shifts highlight how consumer expectations and retailer strategies are driving a more competitive and convergent beauty market in 2025.