Germany's third wave of epidemic hits, beauty product sales fall 16%

Experts from the German Institute for Infectious Diseases said that the number of people infected with the new coronavirus in Germany is growing exponentially, increasing by 20% last week. The third wave of the epidemic is coming, which will once again hit the German beauty products market.

Germany's third outbreak hits beauty market again

According to data on Monday, the number of infections per 100,000 people in Germany increased to 83 from 79 on Sunday and 68 a week ago. The incidence rate in many of Germany's 16 federal states has remained above 100. The RKI warned that the infection figure could reach 200 by the middle of next month.

The epidemic situation is becoming increasingly severe, and the overall decline of the five major beauty and hairdressing markets in Europe is relatively large. Due to the short lockdown period and relatively loose policies in Germany, the total sales volume of German beauty products has dropped by 16%. Although this figure is the lowest among the beauty markets in European countries, it still has a great impact on the German beauty product market.

Both online and offline markets were affected, with cosmetics being the worst hit

In 2020, online sales in Germany's high-end beauty products market increased by 25%, generating sales of 2.7 billion euros, a decrease of 16% compared with the same period in 2019. Although sales in the online sales market have increased to a certain extent, it still cannot make up for the gap in offline sales, and the overall beauty market has been hit.

According to foreign media reports, in the German beauty market, the beauty product categories most affected by the epidemic mainly include cosmetics, beauty skin care products and perfumes.

According to website data, German perfume sales have continued to decline during the epidemic, with a decline rate of 14%, and sales have dropped by 1.4 billion euros. Although perfume still occupies the largest share of the German top beauty product market, compared with the past, sales are not optimistic both online and offline.

Before the epidemic, the peak season for perfume was often European holidays such as Christmas and Easter. With the arrival of a new round of epidemic, offline stores are unable to operate due to sales bans. Germans will not be able to go out under the new round of blockades. During the upcoming Mother's Day, the sales of perfume in online stores are also worrying.

In the German market, the beauty products most affected by the epidemic are cosmetics, with sales plummeting by 27%. The two previous waves of the COVID-19 pandemic led Germany to take lockdown measures. Home quarantine and mandatory mask-wearing orders reduced Germans' desire to spend on lip and other cosmetics, and sales of such products fell by as much as 40%. In addition to lip products, sales of facial makeup products such as contouring, highlighting, and blush also decreased. However, eye makeup products were relatively less affected by the epidemic, and the proportion of online sales of such products decreased slightly.

As the second largest category in the German beauty market, skin care product sales have also fallen by 11% since the outbreak of the epidemic . Compared with other beauty products, skin care product sales are much more optimistic, and this category of products accounts for 27% of sales on German online platforms.

People familiar with the matter predict that with the arrival of a new round of epidemics, home isolation will once again become the norm, online sales of skin care products will be relatively optimistic among all beauty product categories, and the trend of home skin care will continue to be popular.

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epidemic

Beauty Products