Alpha Group - Competitors

Alpha Group Competition

Now Viewing Alpha Group's competition in: Cosmetics, Beauty Supply, and Perfume Stores

Recent Developments

Skin Care Consumers Want SPF Protection - Two of three American women wear sunscreen, a major product category for beauty stores, according to NPD Group. Caucasian women use SPF sun products most often, at 69 percent, followed by 64 percent of Hispanic women, and 45 percent of African American women. After moisturizing, sun protection is the most important benefit women look for in their facial skin care, according to NPD.

Court Rules eBay Not Responsible for Counterfeit Cosmetics - L'Oreal, owner of The Body Shop International, has lost a court battle in the war against online counterfeiting of luxury items. The cosmetic maker sued Internet auction site eBay in Belgium, Britain, France, Germany, and Spain in 2007 for not doing more to prevent users from selling fake fragrances and counterfeit cosmetics on its website. A Belgian court, the first to rule, dismissed all claims against eBay in August 2008, saying that the Internet auctioneer acted appropriately to remove counterfeit listings and doesn't have a "general monitoring obligation."

'Tweens Keen on Beauty Products - Girls start using beauty products as young as 10, according to NPD Group, making them an important target for cosmetic, beauty, and perfume stores. Beauty products young girls most often use include fragrances and body sprays, body washes and cleansers, and lip products, like lip gloss and balm. Some 40 percent say that they use allowance money for their beauty purchases, while 60 percent say that their parent or guardian buys their beauty products. The 'tween segment, which includes girls 8 through 12, spends roughly $500 million on beauty products annually.

Competitive Landscape

Demographics, consumer spending, and fashion trends drive demand. The profitability of individual stores depends on the ability to generate store traffic and effective merchandising. Large companies can offer a wide selection of products, and have advantages in purchasing, distribution, and marketing. Small companies can compete effectively by selling specialty products, providing superior customer service, or serving a local market. The industry is labor-intensive: average annual revenue per worker is about $85,000.

Full Industry Overview For Cosmetics, Beauty Supply, and Perfume Stores

Cosmetics, Beauty Supply, and Perfume Stores Industry Forecast

from Hoover's/D&B subsidiary First Research

US personal consumption expenditures on barbershops, beauty, and health clubs, which are indicators for cosmetics, beauty, and perfume stores, are forecast to grow at an annual compounded rate of 4.3 percent between 2008 and 2013.

Consumer Spending Growth on Beauty and Health Slow

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.