Each year Australian women spend hundreds of millions of dollars on cosmetics with Myer and Priceline Pharmacy accounting for three out of every ten dollars spent.
Myer and Priceline Pharmacy carry a wide range of cosmetic brands and offer both online and bricks and mortar purchasing. In contrast to these market leading retailers, Avon and Nutrimetics offer just one brand and retail channel combined. Both have a party plan representative network and online presence accounting for a combined 9% of dollars, the same share as David Jones. StrawberryNET and eBay combined make up 5% of dollars putting these online-only retailers in the same league as many traditional retail stores.
Share of women’s last four week cosmetics expenditure by retailer
Source: Roy Morgan Single Source (Australia), August 2013 –September 2014 (n=1,110). Base: Australian women 14+ who bought cosmetics in the last 4 weeks.
Geoffrey Smith, General Manager – Consumer Products, Roy Morgan Research, says:
“The retail market for cosmetics is very competitive with traditional channels under pressure from both domestic and international online retailers. Both Priceline Pharmacy and Myer have risen to the challenges to grow a commanding share of women’s cosmetics expenditure over many years.
“With the launch of Sephora on December 5 the market will have a new, international retailer dedicated to women’s beauty. All cosmetics retailers need to understand their customers in terms of satisfaction and loyalty or risk losing them to the growing number of competitors.”
Roy Morgan Research
Roy Morgan Research is Australia's best known and longest established market research and public opinion survey company. Roy Morgan Single Source is thorough, accurate, and provides comprehensive, directly applicable information about current and future customers. It is unique in that it directs all the questions to each individual from a base survey sample of around 55,000 interviews in Australia and 15,000 interviews in New Zealand annually - the largest Single Source databases in the world. The questions asked relate to lifestyle and attitudes, media consumption habits (including TV, radio, newspapers, magazines, cinema, catalogues, pay TV and the Internet), brand and product usage, purchase intentions, retail visitations, service provider preferences, financial information and recreation and leisure activities. This lead product is supported by a nationally networked, consultancy-orientated market research capability.
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