Did you know that lipstick sales are linked to the state of the economy? But not in the way you might think!!This is called Lipstick Theory. The first to suggest the relation between beauty products sales and the state of the economy was the former head of Estee Lauder – Leonard Lauder. If you expect lipstick sales go down during the hard times, you are wrong. On the contrary, they go up! And “the thinking behind the theory is that consumers turn to inexpensive luxury goods such as lipstick to console themselves” when the higher priced pleasures are out of their reach (www.cosmeticsdesign-europe.com).
Another surprising statistical fact has been recently revealed by Kline, a consulting & market research company. "Our data shows that for every 1% increase in the unemployment rate, women buy $25 million more lipstick during the year." (see this article)
Kline analyzed 50 years of lipstick sales and confirmed that the Lipstick Theory is real.
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1 comment:
Pretty impressive stuff. Interesting observations. I know when the economy struggles that I comfort myself with small "splurge" purchases like that, too. I wonder, also, if women tend to invest more in lipstick and beauty products because of the job searches that often come with economic downturn?
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