Perfume sales, which have been booming since the start of the pandemic, get an extra boost during the holiday shopping season.
According to the NPD Group, perfume sales grew 4 percent from Oct. 4 to Dec. 2.
The increase is due in part to higher price ranges and fewer discounts, as well as consumers opting for higher value offers – which is a trend this year.
“Fragrance sales have reached record highs following the pandemic, and what’s most impressive is that the market is maintaining this high level rather than softening, which is often the case after unprecedented performance,” said Larissa Jensen, beauty industry consultant at NPD, in a statement. statement.
Brick-and-mortar fragrance sales far outpaced the category’s performance in the online channel, accounting for 70 percent of the category’s sales in the nine weeks ending Dec. 3. This was driven by both higher in-store prices compared to online, and consumer returns. in physical stores.
Last month, NPD reported that perfume sales reached $1.3 billion in the third quarter of 2022, an 11 percent increase compared to the same period last year. Popular beauty grew 15 percent in the quarter, posting $6 billion in sales.
And chances are good that the rest of the year will see even bigger gains.
“Given that most of the holiday shopping for perfumes takes place during the two weeks before Christmas, and December alone accounts for more than 50 percent of the fourth quarter’s sales, the biggest success of perfume sales in 2022 is yet to be determined,” said Jensen. .
In August, Coty Inc.’s chief executive, Sue Nabi, spoke to WWD about “fragrance” — a spin on Leonard A. Lauder’s lipstick, which says cosmetics sales increase in times of economic uncertainty — because of the company’s strong performance in the segment as of late.
Said Nabi, “Perfumes speak to everyone – regardless of age, regardless of gender, and what we have seen, which is the truth of the data and statistics, is that this beauty market is enhanced by the use of fragrance and this is not a woman or a man. . Both and especially Gen Z.”