Premium Beauty and Personal Care in Algeria

PROSPECTS

Growth is projected for premium beauty and personal care in the forecast period

Premium beauty and personal care is set to post current value growth over the forecast period, driven by many positive trends. Lifestyle changes and increasing urbanisation will continue to drive the growth of premium beauty and personal care in Algeria in the coming years.

Growing import restrictions will remain a challenge to growth

Premium beauty and personal care has been experiencing a slowdown in value growth. Indeed, the country’s economic challenges, driven by the fall in global oil prices over the last three years, led to rising inflation and ongoing local currency devaluation.

Fragrances, colour cosmetics and skin care are the biggest categories

Premium fragrances, colour cosmetics and skin care are expected to continue shaping premium beauty and personal care over the forecast period in Algeria. Indeed, for these three categories in particular, Algerians have always shown higher demand for quality and a stronger willingness to spend compared with other categories.

COMPETITIVE LANDSCAPE

Puig continues to lead premium beauty and personal care

In Algeria, the international player Puig led premium beauty and personal care in value terms in 2018, thanks to its good performance in premium fragrances. Its leading position can be attributed to its powerful marketing budget, and the strong consumer awareness and trust that the company’s iconic brands enjoy, such as Carolina Herrera.

International brands remain dominant

International brands continued to account for the bulk of sales in premium beauty and personal care in 2018. This is mainly due to the long-standing presence of these brands in the country, which has helped them to generate strong consumer loyalty.

Premium beauty and personal care is threatened by illicit trade

Restrictions on imports of beauty and personal care products in Algeria have been growing in different ways, such as a rising tax on imports, a limit on the volumes authorised for import, or sometimes a total ban on imports for several months. As a result, this situation has encouraged smuggling, black market exchange activities and customs corruption.

Files are delivered directly into your account within a few minutes of purchase.