Reuters Blogs

Shop Talk

Retailers, consumers and prices

August 27th, 2009

How about some lipstick to go with that lawn mower?

Posted by: Nicole Maestri

shld1Sears, the low-priced retailer known for its selection of Craftsman tools and kitchen appliances, is jumping on the beauty bandwagon.

The retailer is debuting beauty departments  — called Sears Beauty — in 13 mall locations in Chicago, Los Angeles and New York.

Sears Beauty will sell cosmetics, skin care, bath and body products, and fragrances by brands like L’Oreal, Maybelline, and CoverGirl. The offering, Sears says, is designed to help shoppers “achieve their ideal beauty results.”

Sears isn’t alone in wanting to help shoppers put their best face forward. JC Penney has installed Sephora locations inside many of its department stores, while Wal-Mart has reached a deal to sell an exclusive line of Hard Candy makeup in its discount stores.

Retailers look at cosmetics as a way to drive consumers into their stores more frequently, because shoppers typically need to purchase a new lipstick or restock their favorite body wash more often than they need to buy a new suit or replace their ride-on lawn mower.

To mark the opening of the beauty departments, Sears is offering a free cosmetic bag and brush set with any $25 cosmetics, fragrance or bath purchase, and a $10 Sears reward card with any $50 cosmetics, fragrance, or bath purchase.

(Photo: Reuters)

March 23rd, 2009

Looking great trumps smelling good

Posted by: Aarthi Sivaraman

It looks like fewer people were willing to give up great skin than their favorite perfume in 2008. MEXICO/

According to a survey by research firm NPD Group, total U.S. sales of beauty products (sold mainly in department stores) fell 3 percent to $8.38 billion in 2008.

But perfume sales faced the steepest decline, falling 6 percent to $2.68 billion, with lower sales of both men and women’s fragrances. That was despite demand for higher-priced perfume gift sets and a 9 percent rise in new scents for women like Viva La Juicy and the Harajuku Lovers collection.

Makeup also faced a decline in sales — 3 percent — with weak demand for items for the face, eyes and lips.

““The economic realities of 2008 have created fundamental shifts in the behavior of our consumers and the way they approach beauty,” said Karen Grant, senior global industry analyst and vice president of beauty for NPD.

But take heart! Consumers still seem keen to flaunt good skin. Sales of skin care products were even with the year before at $2.4 billion, and captured 1 percentage point more market share of total beauty sales.  Anti-aging, allergy relief, and whitening or brightening products did particularly well.

Items priced above $70 and natural and spa-type skincare brands showed strong growth, the study showed.

(Photo/Reuters)

September 24th, 2008

Browsing for butter, lip balm on Walmart.com

Posted by: Nicole Maestri

grocery.jpgYou can look but you can’t buy — online at least.

Wal-Mart has started allowing visitors to its website to browse some of the groceries, health and beauty, and pet products that the discount giant sells in its stores.

Instead of being able to buy the items online, Walmart.com browsers can check to see if the products are in stock at a store near them.

Walmart.com spokesman Ravi Jariwala said the new feature will help consumers save time and plan their shopping trips before they hit a Wal-Mart store. He also said allowing website visitors to check if a product is in stock at a local store has become one of the most frequently used features on its website.

The products that Wal-Mart has added to its website are actually the ones that have been driving Wal-Mart’s U.S. sales this year.

Shoppers, pressured by the housing market meltdown, spiking gas prices, rising grocery bills and an uncertain job market, have been heading to Wal-Mart in search of low prices on everyday necessities, like food and toilet paper.

Now, before heading to Wal-Mart, they can check to see if their favorite brand of bacon or cereal is actually in stock.