As growth slows in the fashion and retail sectors, the beauty market is thriving. Women now spend more on beauty products than apparel. Global sales are growing 4.3% annually and are estimated to reach $429.8 billion by 2020. In response, global fashion behemoths like Dior and Chanel are expanding their Beauty offerings.
The most successful players make digital a key element of their strategy, according to L2’s Digital IQ Index: Beauty France. For example, their product pages showcase shoppable videos and multiple product photos. Chanel also turns out rich narrative content, earning the brand a spot in the study’s Gifted category. Shoppable episodes of Chanel’s Beauty Talk series, highlighting celebrities like Giselle Bündchen and Lily Depp, are embedded in site pages alongside curated makeup tips.
This trend cuts across various categories of beauty products. Louis Vuitton’s September fragrance launch – the brand’s first in 70 years – had a strong digital component. The brand created interactive product pages and spent strategically on SEM to garner visibility for the new scents across fragrance-related terms. Even legacy brands seem to be recognizing that they can no longer coast on reputation alone.