The Lipstick Effect Absent During This Pandemic
With customers stuck inside their homes, they don't seem to be1to wear or purchase lipstick and instead are stocking up on sheet masks and hand sanitizer (消毒液). This is a change from typical customer behavior, with lipstick sales2 experiencing a boom during economic crises
In the four years from1929 to1933, industrial production in the United States halved whereas sales of cosmetics rose. A (n)3pattern emerged around the turn of this century. An executive at cosmetics giant Estee Lauder4a "lipstick index" after sales of expensive lipstick jumped following the 9/11 terror attacks. More5, sales of lipstick at John Lewis department stores in the United Kingdom rose 31 percent in the three months leading up to the end of June last year in the wake of Brexit.
6not everyone is counting on the lipstick effect to work this time around. With beauty retailer Mecca forced to close its 100 stores across Australia and New Zealand, owner Jo Horgan7that it's still too early to tell whether this effect will lead to sales growth.
In the past few months, Ms. Horgan's focus has been on Mecca's online offerings in an attempt to8a portion of last year's $444 million turnover (营业额). She has launched a(n)9host experience of free and personalized beauty consultations via FaceTime for Mecca customers.
"My gut feeling is that while people are self-isolating at home, they will start trying to look for ways to10 themselves and really enrich their soul by focusing on their skin, body and hair treatments, "she says.
A similar trend has been11in sales at online beauty retailer Adore Beauty, which has seen a considerable increase in new customers. This increase, however, has failed to12into lipstick sales. Founder Kate Morris said Adore Beauty had seen three times as many new customers as normal but that lipstick and lip gloss sales were down 24 percent.
"While everybody is talking about the lipstick effect, it is not what we are currently seeing.13we are seeing big jumps in anything hygiene related. People have got the14about washing their hands. We are selling triple the amount of hand wash and hand sanitizer than we were a month ago," she said.
Adore Beauty turned over more than $100 million last year and employs a staff of 170. Ms. Morris is looking to hire an additional ten staff members to cope with the increased demand while also trying to fund the further15of her brand.
She said the online retailer has also recorded big jumps in "essential" categories, with moisturizer up 73 percent last month and hair treatments up 43 percent.