Bad weather, tightening pocket strings and sustained working from home have caused a slow in footfall across the UK, but prestige and luxury beauty sales are buoying sales 

The British Retail Consortium has stated that total retail sales in the UK have decreased by 4.0% year on year in April, against a growth of 5.1% in April 2023. And let’s face it, the high-street’s not as lively as it used to be wherever you look. 

However, data from leading insight agencies, Circana and Walpole, spotlights luxury beauty as a resilient source of sales. 

The luxury beauty sector is witnessing marked success over mass beauty and other sectors including toys and household goods. Niche and Luxury beauty specifically has seen a 7% increase in unit sales across all store outlets, according to data from Circana.

Haircare and fragrance are propelling this success, as consumer sentiment shifts away from investing in skincare. But, shoppers are seeking specific benefits when purchasing these categories: 

When it comes to luxury haircare, people are spending more for increased efficacy. There was a 20% increase in unit sales of haircare in Q1, with hair masks and serums driving growth. This clearly indicates that beauty consumers are yearning for that salon-standard blow dry at home, something that’s stemmed from salon closures in Covid-19. 

Fragrance-lovers are going small, but expensive. Niche and luxury fragrance unit sales have increased by 16% in Q1, but there’s been a close-to-100% increase in sales of 45 ml measures. So, comsumers want perfumes to pack a punch and are more likely to switch between their smaller bottles. Fragrance ‘wardrobing’, the layering of scents may have also played into this. 

Back to the high street, department stores account for 67% of women’s fragrance sales in London whilst more widely, sales in department stores increased by 5% in Q1. So, shoppers are still seeking that traditional beauty experience of perusing a beauty hall – and London boasts some of the most famous. 

According to Circana, London accounts for 30% of total bricks and mortar sales, and is the 2nd fastest growing city in units (+19%). This result is driven by make-up sales, with the city boasting numerous independents and chains from the likes of Sephora and Boots Beauty to Charlotte Tilbury and Space NK. 

Linda Ellett, UK Head of Consumer, Retail & Leisure at KPMG backs all of these percentages up, saying: ‘Beauty and personal care sales remained resilient categories and there was a surprise return to positive sales growth for the first time in over two years, both in store and online.’

So, it seems we can give ourselves some credit for keeping our high-streets busy because  – from our bases to our last minute spritzes – we’re repping retail like no other sector.