Data collected by The NPD Group confirm strong growth in the UK prestige beauty market in 2011, one of the most robust sales periods ever. Indeed, total sales grew by 9.4% to £1.7 billion compared to 2010. The market growth was boosted by the two-digit rise of the fragrance sector and by robust sales of prestige make-up and skin care lines, +8.5% and + 8.2% respectively.

The Jimmy Choo effect

According to The NPD Group, the exceptional performance of fragrances was fuelled by a series of launches as well as re-launches of existing scents. In particular, the highly successful launch of the new designer fragrance of Jimmy Choo would have boosted the market.

In 2011 some manufacturers tried a new approach - launching fragrances at the start of the year to maximize share of voice and sales opportunities in what is a quieter time for the sector - rather than waiting for the Christmas season when up to 60% of all sales have traditionally been made. Launched in January 2011, the Jimmy Choo fragrance was publicized throughout the year, culminating in a strong push in the run up to the all-important holiday season. High-end fashion brands are increasingly moving into the premium beauty market allowing consumers to indulge in affordable luxury. Whilst not everyone is lucky enough to be able to afford a pair of Jimmy Choo shoes, being able to own the fragrance gives consumers the chance to own a part of the luxury brand,” explains June Jensen, Director for The NPD Group’s UK Beauty team.

Big brands boost make-up

As far as make-up is concerned, the overall market growth of 8.5% for the year was fuelled by a strong push on lip colour during the start of the year, with launches and promotional activity from Lancôme, Dior, YSL, Chanel and Estee Lauder amongst others.

According to The NPD Group, the big story in the second half was the launch of Benefit’s ‘They’re Real’ mascara in August. “What was interesting about this specific launch was that it was communicated exclusively using social media including YouTube. Support activity from personal consultants in-store was a crucial part of the strategy that eschewed advertising in traditional media such as TV and magazines.

Slower growth for skincare

Having been the fastest growing sector of the UK market in 2010, skincare growth slowed last year although a rise of 8.2% would still be very pleasing in most industries in Europe. The main reason for the slowdown, according to The NPD Group, is that existing skincare ranges grew more slowly than in make up and fragrance.