Premium Beauty and Personal Care in Canada

PROSPECTS

The premium segment is expected to benefit from favourable trends

Premium beauty and personal care in Canada recorded healthy growth in 2018, with value sales supported by the premiumisation trend and the rising number of affluent immigrants and tourists. Both of these trends are expected to continue to support growth over the forecast period.

A healthy outlook for premium skin care

Premium skin care remained a strong category in 2018, benefiting from consumer demand for face masks and anti-agers and supported by new product launches that generated excitement amongst consumers. Older consumers are interested in maintaining their skin health and appearance as they age, whilst younger consumers, including a growing number of men, are turning to skin care products to prevent skin damage from elements such excessive sun exposure, and also because of the pleasurable feeling these products offer.

Premium sets/kits offers strong growth potential

Premium sets/kits is expected to deliver gains over the forecast period, chiefly driven by strong seasonal sales. Such sets/kits are commonly available in premium retailers across all channels and promoted heavily during the Christmas shopping period.

COMPETITIVE LANDSCAPE

L'Oréal Canada continues to lead the premium segment

L'Oréal Canada continued to lead premium beauty and personal care in value terms in 2018, thanks to its strong portfolio of premium brands, including Lancôme, Biotherm and Matrix, as well as its fast-growing premium pharma brands, including Vichy and La Roche-Posay. L'Oréal`s brands are continually innovating and bolstering the company’s success.

The importance of technology

To enhance its customer relationships, digital services have become amongst L'Oréal’s priorities in the premium segment. In 2018, the company acquired Canadian beauty technology company ModiFace, which specialises in augmented reality and artificial intelligence applied to the beauty industry.

Retail channels innovate in response to the changing market

Shoppers Drug Mart, Canada’s leading drugstore/parapharmacy chain, launched its new e-commerce platform in 2018, featuring single destination shopping for the luxury and premium brands available through Beauty Boutique, including Dior, Lancôme, Yves Saint Laurent and Burberry. The launch further enhances the availability and accessibility of premium beauty and personal care products to Canadian shoppers.

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