Walgreens Makeup: is showing growth in beauty product sales after revamping its approach to the category. The drugstore chain recently reported sales growth for beauty and personal care products of 16.6% and 11.6%, respectively, in the first quarter. Overall revenue reached $33.9 billion, compared to $31.44 billion a year earlier, and same-store retail sales increased 10.6%, the largest increase in most 20 years old.

While it didn’t break out the category in its previous quarter, it did reveal that in-store beauty sales also grew 15% in its third fiscal quarter of 2021. Additionally, revenue in the category from its UK subsidiary Boots were up 85% year-on-year during the period compared to the prior year when strict lockdown measures were in place.

The company attributed the rise in total U.S. sales in part to a “halo effect” from Covid-19 vaccines, of which Walgreens administered 15.4 million in the three months ended Nov. 30. After receiving a dose, customers hang around buying everything from beauty products to allergy medications, CEO Roz Brewer has said in previous earnings calls. Indeed, sales of non-pharmaceutical items — often referred to as storefront items — were down or flat for the healthcare industry as a whole before the coronavirus pandemic.

Beauty And Digitization

Walgreens has been revamping its approach to beauty since 2017 in the face of competition from specialty retailers and department stores like Ulta Beauty, Kohl’s and Target. Last year, it began stocking trendy brands like Boscia, repositioning its own brands under its No7 brand banner and increasing shelf space dedicated to beauty both in the US and abroad. overseas through its subsidiary Boots, the UK’s largest beauty retailer.

Beauty And Digitization

In 2020, it announced rebranding of its app and loyalty program and a new customer insights platform, powered by cloud tools from Adobe and Microsoft, to offer customer recommendations. more personalized products.

In the UK, the technology underpins Boots’ Digital Beauty Advisor, a self-diagnosis tool that analyzes users’ skin and delivers tailored cosmetics from No7 to meet their needs. Most recently, Walgreens launched a white-label two-hour delivery service in May that integrates with its website and app after rolling out nationwide partnerships with Postmates, DoorDash and Instacart.

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The power of Boots

Although Walgreens has lost some beauty sales to players like Ulta and Sephora in the US, the UK-based company’s Boots business has a stronger affinity for beauty and goodness. -be among consumers, Neil Saunders, chief executive of GlobalData, told Modern Retail last October.

Retail sales of Boots online and in stores open for at least a year increased 16.3% in the first quarter, compared to the same period a year ago. Boots’ digital sales also nearly doubled from the same quarter before the pandemic, but foot traffic did not fully reach 2019 levels. A recent Sky News report suggested that Walgreens was considering divesting or splitting the British chain as it continued to post strong sales of beauty products.

Stores are also an important way to reach beauty customers, Singh said. Cosmetics and perfumes are still mainly purchased in physical stores. The large number of Boots stores means they are a major destination for health and wellbeing during the pandemic, thanks to which the company can continue to attract people to beauty promotions and its loyalty program, added Singh.

Have You Seen Makeup Testers at the Drugstore?

One of the frustrating things about buying beauty products at the drugstore is, of course, the lack of testers to match shades and samples. Not being able to be sure that a product will work for you before you buy it can be scary.

Even though pharmacies tend to have a great return policy for cosmetics, I know that’s one of the biggest things that puts people off, especially when it comes to products like foundation, concealer and lipsticks.

Have You Seen Makeup Testers at the Drugstore_

Apparently, that’s not the case everywhere – some of my overseas blogger friends were stunned to learn that we didn’t have makeup testers in our pharmacies. It doesn’t take much more than buying and taking home a lipstick, then realizing it’s been opened and swatched by another customer, to agree that it’s something which should be more common.

Changing Beauty Trends During Covid-19

Have you bought a new lipstick recently? You’re not alone. The easing of mask mandates and increased socializing has sparked a shift in which beauty and personal products are popular right now. But these changes are not just limited to the type of cosmetics we buy. COVID-19 has changed the beauty landscape for good.

A study by McKinsey estimated that companies accelerated the digitalization of their products and operations by three to four years during the first months of COVID-19. For the beauty industry, where social media is a dominant force for setting new trends and influencing consumers, this acceleration has forced businesses to pivot faster than expected.

With the advent of social distancing, the tactile nature of testing makeup, applying skincare products, and browsing stores has had to evolve. Consumers found themselves selecting brands more critically to see who could offer new technologies that reflect the personalized feel of the shopping experience, while making strides towards sustainability and inclusion.

Making The Sustainable Choice

Brindley: Customers are more interested in skincare than they’ve ever been. It has been a growing market in the United States for three years. Customers want transparent products in terms of ingredients.

They are looking for products that are healthy for their skin because they are more engaged not only in what they put in their body, but also in what they put on their body. They reflect on their beauty routine from the perspective of hygiene, health and well-being.

We are seeing a massive increase in demand for vegan and cruelty-free products and for recycled packaging or products that can be reused. There is a real emergence of the importance of sustainability. This is another trend of the pandemic – accelerating the idea of a healthy planet. Customers are looking for beauty products that have a history of sustainability.

Conclusion

Walgreens accepts returns on all unopened makeup products within 30 days of purchase. The full amount you paid will be refund in cash if you have the original receipt. If you lost the receipt, you will only get a refund in the form of store credit and gift cards.

In the case of an open make-up, the store managers make the final decision whether or not to accept the return. The same applies if 30 days have already passed after purchase.

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