Follow us twitter facebook
Edition: Global
Click here to subscribe toour free weekly newsletter click here
Markets & trends

U.K.: Health & beauty to drive Christmas retail sales, says GlobalData

Retail sales in the United Kingdom will increase by 1.9% in Q4 2017, forecasts GlobalData. Although this is up on the 1.5% increase recorded last year, this is driven entirely by inflation as volumes are forecast to remain flat, compared to the 1.3% growth in volumes experienced in Q4 2016. However, innovation in the beauty market, coupled with the enduring health & wellness trend, means health & beauty will be the best performing category, forecast to grow 3.4% in Q4 2017.

The health & beauty market will be the strongest performing sector in Q4, with spend up 3.4% and volume growth positive - despite easing marginally on last year. (Photo: © Luana Teutzi / shutterstock.com)

The health & beauty market will be the strongest performing sector in Q4, with spend up 3.4% and volume growth positive - despite easing marginally on last year. (Photo: © Luana Teutzi / shutterstock.com)

Non-food retailers will continue to struggle this Christmas with sales expected to show year-on-year growth of only 1.2% in the fourth quarter. Volumes are forecast to fall by 0.1% as price rises, which came into play as result of the weakened pound, will discourage cash strapped consumers from shopping over the seasonal period.

According to GlobalData, weak sales in early Q4 may entice more retailers to take part in Black Friday this year, although this runs the risk of bringing forward sales that would have otherwise been made at full price. The market research firm forecasts volumes to decrease by 0.6% on Q4 2017 compared to Q4 2017 in the clothing & footwear sector, as well as for furniture. While food & grocery remain more resilient than discretionary spend sectors, inflation has helped discounters to increase their reach ever further over the past year.

Non-food retailers will continue to struggle this Christmas with sales expected to show year-on-year growth of only 1.2% in the fourth quarter, according to GlobalData.

Non-food retailers will continue to struggle this Christmas with sales expected to show year-on-year growth of only 1.2% in the fourth quarter, according to GlobalData.

In contrast, the health & beauty market will be the strongest performing sector in Q4, with spend up 3.4% and volume growth positive - despite easing marginally on last year.

Fragrance and make-up new releases such as Chanel Gabrielle perfume and Fenty and Victoria Beckham x Estée Lauder cosmetics ranges will fuel gifting spend, as will innovation-led skincare items which tap into the ‘clean’ trend and wellness revolution. Department stores face increased competition this year from ASOS and the online beauty pureplays which are incredibly fierce on price and fulfilment.

Actually, online pure-players such as ASOS and Amazon are set to be the winners this Christmas, drawing consumers online with their vast product offer alongside market leading, fast and low cost delivery propositions.

The online channel will continue to outperform physical sales growth,” says GlobalData. “The increased availability of delivery saver schemes this year, alongside express delivery options being widely accessible, will encourage shoppers to leave online purchases later, having the confidence to purchase right up until the last few days before Christmas,” the firm concludes.

V.G.

© 2017 - Premium Beauty News - www.premiumbeautynews.com
latest news
Focus
Strong end-year sales have limited the decrease of prestige beauty sales in 2017. - Photo: © Minerva Studio / shutterstock.com

The French cosmetics market still struggling with low sales

Sales of hygiene and cosmetic products in are still decreasing in France both in the mass and selective channels. According Kantar Worldpanel, sales by mass retailers decreased by 2.2% in 2017 with even worst figures for shaving products (6.2%) and deodorants (5.5%). Sales of bath and shower products and sales of toilet soaps (...)

read more
job opportunities
Experts’ views
Eyeseryl: A solution for men's eye contour

Lipotec
Eyeseryl: A solution for men’s eye contour

Contemporary men are looking for different ways to express their masculinity, challenging traditional ideas and clichés. More and more they opt to care for their appearance, pay attention to how their skin looks and use facial skincare to solve problems and prevent skin aging. Young men are particularly self-critical about their look (...)

read more
Webinars
E-shop - latest publications
Regulations on the registration of cosmetic products in China
200.00 € excl. tax
Handbook. Cosmetics laws & regulations in the USA
100.00 € excl. tax
Regulations on the registration of cosmetic products in China (part2)
95.00 € excl. tax
Go to top ↑

Features

We use cookies to give you a better browsing experience. By continuing your visit to this site, you accept the use of cookies. Read more and set cookies
close