Premium Beauty and Personal Care in Uzbekistan

PRE-COVID-19 PERFORMANCE

Premium beauty and personal care struggles to compete against high quality mass products in 2019

Premium beauty and personal care remained niche, and value sales were low in comparison to the total value of beauty and personal care sales, as continued economic uncertainty and rising inflation prevailed in 2019. This high inflation resulted in further price hikes for premium brands, limiting affordability among the expanding middle class and even making some of the more affluent Uzbekistanis to trade down to mass products in order to save money.

Mono-brand Chanel wins big on premium fragrances focus in 2019

Coty, Puig and LVMH Moët Hennessy Louis Vuitton retained their podium places due to their wider stable of brands, however they saw company value sales shares losing out to the growth of Chanel in 2019. Chanel was the single leading brand thanks to its top share of the premier fragrances value sales in 2019.

Some strong growth from low value start in urban areas

Premium colour cosmetics, adult sun care, and baby and child-specific products were the fastest growing categories in premium beauty and personal care in 2019. Colour cosmetics benefitted from further participation of women in Uzbekistan’s workforce.

2020 AND BEYOND

COVID-19 impact

Value sales of premium beauty and personal care are now expected to decrease by 7% in 2020 at constant 2019 prices in light of the impact of COVID-19. Value sales will contract painfully as selective retail stores remain closured and social distancing measures will cause downgrading from premium to lower price point items and dampened demand for this category in particular.

Affected products within premium beauty and personal care

Premium fragrances which is by far the category leader with highest value sales, is expected to also see the sharpest negative effects value sales decrease due to COVID-19 in 2020. Fragrances are associated with social status and the product area will suffer from being viewed as non-essential, and thus suffering from consumers reducing non-essential spending in 2020 and throughout the forecast period.

Recovery and opportunities

Premium beauty and personal care will see a double digit reduction in value sales growth in 2020 as social distancing measure and economic uncertainty drastically affect the category. Of particular consequence will be the closure of non-essential shops and fewer public interactions, which combined will lessen opportunities to wear or even purchase premium fragrances which make up the bulk of the overall category value sales.

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