Nail Segment Experiences Largest Growth of Prestige Makeup Products, says The NPD Group

Prestige makeup sales within U.S. department stores grew 8% to $1.8 billion for the first half of 2012, according to The NPD Group.

While nail products continue to be the smallest segment, it experienced the largest growth of all segments, up 68%. All of its sub-segments grew: color enamel (+70%), nail care (+36%), and base/top coats (over +100%).

“Not a surprise that the nail segment takes the lead once again,” said Karen Grant, NPD vice president and senior global industry analyst. “Fun shades and colors like neons and metallics, along with funky textures and decals, have added to this growing trend.”

Makeup set sales, products comprised of more than one palette, brought in $61 million, 19% more than how it performed a year ago.

The eye segment saw gains of 5% in dollar sales, generating over $512 million.

Face, the largest segment contributing 49% of makeup dollar sales, increased 7% in dollars from last year.

“The trends in prestige makeup for the first half of 2012 are quite telling, especially when you take a close look at those categories in nail, lip, and eye, they exceed sales in the overall market. Underlying these trends is one consistent element — they have the lowest price points in the prestige marketplace,” said Grant.

According to NPD, the nail and eye categories are all under the average price of prestige makeup.

“In prestige makeup, the choices driving trends continue to indicate very calculated investments,” Grant said.


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