Mintel associate director, south east Asia, beauty and personal care Sharon Kwek.

Beauty brands needed to liven up the retail space and speak to the lifestyle of consumers  in order to increase sales, research by Mintel has shown.

The latest Mintel research shows that enjoyment supersedes product when it comes to what Aussies are prepared to spend their leftover money on, with the entertainment industry expected to hit AU$43.7 billion in 2025.

Mintel associate director, south east Asia, beauty and personal care Sharon Kwek said there was “a fantastic opportunity to merge beauty and entertainment”.

 “Be it interactive video campaigns or co-branding efforts, beauty brands need to be interpreted as fun,” she said.

“They need to reinvent beauty services and derma skincare. Positive emotional marketing should be a part of aesthetics services moving forward, aside from beauty benefits. The same goes for dermatology-backed brands.”

Mintel research shows that in New Zealand, 75 per  cent  of consumers love trying new experiences compared to 47 per cent  of consumers in Japan, while 74 per cent  of Aussie consumers agree that experiences are more important to them than material possessions.

Aussies would rather spend their leftover money on experiences such as entertainment or going out for a meal, than on beauty products (11 per cent), the research showed.

“Mintel recommends beauty brands lean into experiential to stand out from the congested beauty market, rather than just focusing on clean, or proving dermatological efficacy or safety,” Kwek said.

She said brands needed to take into consideration the full process of shopping for beauty – pre-purchase, the process of buying and post-purchase.

“They need to target consumers’ in-between moments to offer them physical and emotional third places,” she said.

“This can be done through adventure by encouraging interactions with retail spaces, both offline and online; playfulness by making beauty a fun experience that stimulates positive emotional and mental wellbeing; and pleasurable beauty services.”

While having fun is important, the ANZ beauty market should continue to flex its muscle when it came to its clean beauty reputation, Kwek said.

Australia leads the way when it comes to botanical/herbal beauty launches with 34 per cent  in this category compared to 27 per cent in the rest of the world.

Ethical/animal friendly products (for vegans or no-animal testing) are also important, with 27 per cent of claims by new Australian beauty launches that they are ethical to animals, compared to 20 per cent of the rest of the world.

But while having more fun is the key learning from Mintel research, all beauty brands still need to be associated with safety as well, Kwek said.

“Brands earn a longer and stronger relationship with their consumers when they are interpreted as a friend that consumers can connect with or a representation of what they value in life, compared to being seen as just a professional beauty brand in the industry,” she said.

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