Gen Z And Millennial Beauty Shoppers Are Price-Conscious Above All Else, Study Finds

Email teams struggling to sell beauty products to young consumers should keep costs in mind, judging by a new study from ESW.

Of those polled, 67% of Gen Z and millennial online beauty shoppers would rather wait for lower prices, even if it means the item they want is out of stock. 

Even 40% of “so-called power shoppers" — those who spend at least $2,500 online per year — are hunting for bargains. 

However, many of those power shoppers are willing to pay full price if they will be among the first to have the product (21%) or if it is offered in a limited edition (25%). 

“Creating limited edition products, or offering top customers early access to new products, can help brands overcome price sensitivity in the beauty industry’s key demographic,” says Clarissa Schealer, ESW’s vice president of sales, beauty, wellness & lifestyle brands.  

In addition, 23% of Gen Z and 24% of millennials in this study have made cross-border beauty purchases within the last 12 months. That includes 41% of consumers surveyed in China, 36% in the United Arab Emirates, 29% in Switzerland, 26% in Spain and 22% in India. 

These consumers purchased most from the U.S. and France, tied at 33% apiece, followed by Germany (27%) and the UK (25%). 

“Younger consumers are driving the growth in the direct-to-consumer beauty market, yet despite their spending power, they remain very price conscious,” Schealer concludes. 

ESW surveyed 16,557 shoppers in 16 countries in November 2022. 

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