Skincare in the US all experienced Moderate Growth: Ken Research
Posted on 16 September 2016 by KenResearch Consumer Products and Retail,
- Dollar General and Dollar Tree established themselves by offering wide variety of products to its customers
- Retail sales in Beauty stores is declining day by day
Ken Research recently announced a report on “Retail Sales of Drug Stores and Health & Beauty Stores in the United States” which discusses detailed historic and forecast data on retail sales from 2010 to 2020 which takes into consideration “Drug Stores and Health & Beauty Stores in the US”. This report provides market size, growth and forecast to 2020 and helps the existing and new players to understand market dynamics. It is also equipped with the overview of retail sales of drugs and health stores and beauty stores in the US.
Two biggest dollar-store chains in New York (US) i.e. Dollar General and Dollar Tree have shown a decline in sales by the nation’s poorest shoppers because they are being compressed by increasing rents and healthcare bills. As per Dollar General Corporation, “the growth in sales in already existing stores has declined in the second quarter to 0.7% and in the preceding quarter it is expected to go down to 2.2%. According to Dollar Tree statistics, “they have seen the growth in the sales by 1.2% but it is slower than the previous quarter.
Due to these issues, these two chains have seen a great decline in their stocks in terms of financials. Alternatively, during the recession time, these Dollar stores have seen a moderately vivid impression in a disturbing retail sector: as weary and tired shoppers preferred to go for low prices and suitable locations which are near to their residential regions. These two chains have been developing fastly as others are contracting. Dollar tree obtained for about USD 9.0 billion of stocks of its competitor Family Dollar chains during previous year. Dollar General also acquiring thousands of stores and is desired to get around 20,000 shops by 2020.
Prestige makeup, skincare, and fragrance in the U.S. all experienced 2 to 4 percent growth in average price. The lip segment was key to makeup’s growth, driven by lip color. Sets and kits drove the growth for skincare, with anti-aging sets serving as the catalyst. Juices experienced the largest increase for women’s fragrance, while for men it was gift sets.
However, the operating conditions are improving at Wal-Mart Stores which is somewhat placing force on retailers. Last week Wal-Mart highlighted the growth in sales in prevailing stores in its eight quarter with 1.6% of profit. Executives have concluded that Wal-Mart is the world’s biggest retailer by revenue and has started to spend in billions by lowering price of some of the goods and services, also pressurize minor players to follow the same. Both the chains namely: Dollar General and Dollar Tree have been looking for ways to increase traffic and prevent competition from online retailers or in other words, from huge Wal-Mmart stores. Dollar General will put in additional fresh foods and health and beauty products to its range. Dollar Tree gives more importance to seasonal things i.e. decorations and presents. Both of them are enlarging very fastly.
As far as retail sales of beauty stores is concerned John Lewis has revealed a USD 9 million beauty ballroom extension plan, which wishes to “drive” more footfall to its department stores. The retailer will grow the size by 50% of its beauty departments in Cambridge, Bluewater in Kent and Cribbs Causeway in Bristol.
Key Topics Covered in the Report:
- The segment’s growth prospects by retail sales category
- Key trends, drivers and challenges for the segment
- Comprehensive overview of the retail sales of drug stores and health and beauty stores economy and demographics
- Various distribution channels in the segment
- Forecasted and historical trends
- Details of the competitive landscape in the segment
To know more on coverage, click on the link below:
Ankur Gupta, Head Marketing & Communications