Future of Beauty Shopping 2025-2030: Global & Europe Outlook on E-commerce Growth, Phygital Retail, AI Personalization, and Luxury’s Evolution

Steady Growth in Mature Markets

The global beauty industry remains robust, McKinsey State of Beauty 2025 report suggests about 5% annual CAGR through 2030. Even as economic uncertainties loom, consumers continue to prioritize personal care – a resilience often explained by the classic “lipstick effect” – small affordable luxuries – while premium beauty and skincare anchor repeat purchase and high LTV in mature markets. Europe’s beauty market is growing in line with global trends (estimated at 2–5% annually), reaching roughly $148 billion in 2025 according to
Statista
. Notably, the UK’s beauty sector saw an 11% surge in 2023 despite economic challenges, underlining how beauty has become a staple rather than a mere indulgence (
Oxford Economics
, July 2024). Eastern Europe catching up fast, experiencing double growth vs the West & driving the European market.

Regional Dynamics

Growth is not uniform worldwide. Industry leaders are eyeing emerging markets – for example, India beauty e-commerce, GCC/Middle East prestige, and China recovery require localized assortments, price-pack architecture, and retail media strategies to unlock incremental demand without cannibalizing core channels. Meanwhile, Europe’s growth, while solid, may be tempered by economic conditions that dampen volume expansion. In practice, this means global brands must recalibrate strategies to tap into high-growth regions ensuring local relevance while sustaining momentum in mature markets.

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Source: State of Beauty 2025 Executive Survey, McKinsey

Digital Surge in Europe

One fundamental trend is the digital transformation of beauty retail, especially in Europe. According to Statista, in 2025, an estimated 37% of all beauty and personal care sales in Europe will occur online – a testament to how quickly European consumers have embraced e-commerce, virtual try-ons, and online reviews/UGC in their purchase journey. This digital shift is even more pronounced than the global average (
McKinsey & Company
estimates about one-third of global beauty sales online by 2030). European shoppers are seamlessly switching between
TikTok
tutorials, AR try-on apps, and personalized skincare quizzes – all while expecting brands to be tech-savvy and sustainable. Both globally and in Europe, omnichannel convenience and online engagement are becoming the norm, setting the stage for the next evolution of beauty retail.

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Source: McKinsey analysis, State of Beauty 2025 Report

Exponential Tech Disruption in Beauty Retail and Why We Underestimate It

Technology – especially artificial intelligence (AI) – is transforming beauty shopping at a pace that’s hard for humans to gasp. We tend to think linearly, but tech adoption is happening exponentially, meaning each year’s progress builds on an ever-larger base. In the beauty industry, AI is already booming: the market for AI in beauty is projected to grow from ~$3.7B in 2024 to $9.4B in 2029 – roughly a 21% CAGR, which is essentially exponential growth (Source:
Research and Markets On
). Innovations like AI-driven trend analysis, virtual try-on algorithms, and personalization engines are improving at lightning speed.

GenAI product finders, AI shade/skin diagnostics, and agentic commerce (autonomous shopping agents handling reorders, bundles, and price alerts) will compress the path-to-purchase and lift conversion. Expect rapid rollout of hyper-personalized routines, dynamic content on PDPs, AI clienteling in stores, and predictive inventory – raising availability and lowering stockouts.

As one commentator put it, The development of gen AI has been extremely fast, and AI agents are quickly moving from mere information tools to ones that can plan and act on our behalf.

The result? Many industry forecasts likely underestimate how radically shopping will change in five years, because humans struggle to envision compounding advances.

AR virtual try-on on mobile
Source: L’Oréal at VivaTech 2025, MBA Digital Marketing & Business blog

Early Adopters vs. Laggards

The impact of this tech acceleration will be uneven – brands that move quickly will leap ahead, and those that don’t will fall behind. In fact, experts warn that the gap between tech “leaders” and “laggards” in beauty will only widen. As McKinsey put in their « How beauty players can scale gen AI » report:

“The fast will become faster, more responsive, and better equipped to anticipate and deliver what consumers want, while those left behind may find it harder to hold on”

This suggests an urgent imperative for beauty retailers: invest in AI and emerging tech now, or risk irrelevance. Notably, according to McKinsey, as of 2025 only 10% of beauty executives use AI regularly, while 60% are still just exploring. This will change drastically in the next few years. Early adopters standardize CDPs, clean rooms, and retail media measurement; laggards stay stuck in last-click logic. Expect an S-curve as AI assistants, guided selling, and 1:1 journeys become baseline expectations. In other words, today’s experiments (AI-driven product recommendations, chatbot advisors, etc.) will quickly become tomorrow’s industry standard.

AR, VR and Mixed Reality – The Tomorrow is Phygital

Alongside AI, augmented reality (AR) and related technologies are reaching a tipping point in beauty retail. Phygital retail is here: AR try-on, smart mirrors, and virtual shade match de-risk beauty purchases, while in-store demos and services deliver the human touch. Net effect: higher confidence, fewer returns.

Virtual try-on tools have moved from novelty to mainstream – over 100 million AR try-on sessions were logged by
L’Oréal
in 2023 (up 150% from the year before). Shoppers are getting comfortable with using their phone or smart mirrors to visualize makeup, hair color, or skincare effects in real time. This was accelerated by the pandemic, but even now “it’s becoming part of consumers’ habit,” notes Nicolas Hieronimus, L’Oréal CEO, with virtual try-ons expanding beyond makeup into skincare. Importantly, this growth is exponential: once the technology proved useful, adoption exploded rather than increasing steadily. As hardware and software improve, mixed reality experiences will only get more immersive.

Consumers show significant interest in mixed-reality shopping. Surveys indicate that among tech-enabled shoppers, a sizable segment (30%-40%) are “very or extremely interested” in using AR/VR to enhance how they shop – for example, seeing how a product would look on them or in their home before buying (Source:
PYMNTS
). Tech-enabled shoppers eager for AR/VR, brands should pilot immersive PDPs, virtual advisors, and in-app live demos—then retarget viewers with retail media to close the loop.

Big tech is betting on this future e.g. Apple’s Vision Pro headset includes commerce-integrated experiences. Still, it’s crucial to note that physical reality isn’t going away – people largely don’t want to give up the physical world… they want to use technology to improve their interactions in the physical world. In beauty, this means AR/AI will complement, not replace, in-person experiences. A consumer might virtually sample dozens of lipstick shades online, then go in-store to purchase the perfect one they discovered. Or vice versa – test in-store and purchase online. The brands that thrive will be those that seamlessly integrate these exponential technologies into a cohesive shopping journey, meeting customers’ rising expectations for both high-tech convenience and human touch.

Omnichannel and Evolving Sales Channels

Online Takes the Lead, But Stores Reinvent Themselves: By 2030, online ~1/3 of beauty, according to McKinsey, claiming the largest share of any channel; physical stores shift to experience hubs, consultation bars, and content studios. Measure success with service bookings, sampling-to-sale, and cross-channel CLV, not only same-store sales.

In Europe, as noted, online is capturing nearly half of beauty spend by mid-decade (Source:
Storyly
). This surge in e-commerce reflects consumers’ love of convenience – endless assortment, quick price comparisons, subscription refills, and one-click checkouts. Marketplaces and online pure players have become go-to destinations for replenishment orders or discovering niche brands. However, this doesn’t mean brick-and-mortar beauty retail is dead; far from it. In fact, shoppers still prefer physical stores for product discovery and initial purchase in many cases (Source: McKinsey). The tactile experience of swatching a lipstick, the olfactory delight of a perfume counter, or the personalized advice from a beauty consultant are hard to fully replicate online. State of Beauty 2025: Solving a shifting growth puzzle report by McKinsey puts it:

“consumers still prefer brick-and-mortar stores for discovery… while e-commerce (specifically marketplaces) [is] a go-to for replenishment”

What’s changing is the role of physical stores. More shoppers treat stores as experiential showrooms – places to experience products rather than necessarily to buy on the spot. This phenomenon, known as “showrooming,” has retailers reimagining store layouts and purposes. Some stores now prioritize immersive brand experiences and relationship-building over immediate sales. For example, Samsung’s flagship 837 space in New York is a purchase-free technology playground, full of VR demos and interactive exhibits but not a single product to buy on site. In beauty, we see analogous concepts: e.g. boutiques offering skin consultations, makeovers, events, and content creation stations, encouraging visitors to engage deeply with the brand.
Nordstrom
Local hubs (though in fashion) demonstrate this service-centric model – no inventory, just styling services, refreshments, and a community space, with purchases delivered to your door later.

Notino phygital beauty store interior with skincare consultation bar by Lancome
Notino store providing immersive shopping experience

Because the customer journey now zigs and zags across channels, retailers are focusing on omnichannel experiences. This means ensuring a customer can fluidly move from an Instagram video to a website to an in-store visit, all as part of one continuum.

200 years of
Douglas
heritage: today leverages marketplace expansion and app loyalty to grow e-com mix >30%.


Notino
, born an online pure-play turned phygital & is now operating close to 30 brick stores across Europe. Today Notino is operating top sales doors across multiple countries, challenging the « classic » beauty businesses using local fulfillment, price intelligence, and service-led stores to win share.

Brands are investing to connect data across these touchpoints, so that your online profile and preferences inform the in-store experience and vice versa. The goal is a 360° view of the customer enabling “phygital” perks: think booking an in-store skincare consultation via app, receiving a follow-up email with product links, and then re-ordering via a smart speaker later. According to McKinsey, rather than racing to the bottom with fast shipping and discounts, brands should differentiate by “creating compelling omnichannel shopping experiences”, possibly including new tools like AI-driven shopping assistants.

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One emerging concept is “agentic commerce,” where AI agents help consumers shop – for instance, an AI that learns your beauty preferences and finds deals or handles reorders autonomously. While still nascent, this could become common in five years. Imagine your smart device automatically curating a selection of skincare products each season based on your needs. Executives are also eyeing “clienteling” tools powered by AI – arming store associates with customer data and intelligent suggestions in real time to provide white-glove service that blends the best of tech and human intuition.

Social Commerce and New Channels

Another major channel development is the rise of social commerce. Platforms like Instagram and TikTok aren’t just influencing purchases – they’re becoming direct shopping channels. Beauty content garners huge engagement on social: TikTok beauty videos see an astonishing 7.5% engagement rate on average, and brands that master this space can see viral growth. Influencer-led tutorials, “Get Ready With Me” streams, and user-generated content are the new word-of-mouth, often more powerful than traditional ads. A significant share of younger consumers now trust TikTok or peer reviews over brand marketing – e.g. in Spain, 44% of beauty consumers turn to social media or influencers for recommendations (far outstripping those influenced by TV or print) (source: Storyly).

Social commerce drives discovery and instant conversion. Build shoppable short-video, creator seeding, and live shopping with clear attribution to LTV uplift, not just viral views. To capitalize, companies are integrating shopping features into social content (e.g. clickable product tags in videos) and even replicating social-media-like experiences on their own sites. By embedding shoppable stories and videos on their apps and websites, brands can keep customers engaged without relying solely on third-party platforms.
TikTok Shop
is an emerging player developing rapidly, conquering top positions in beauty sales in UK and is expanding further across Europe.

TikTok Shop beauty live-stream experience and shopping
TikTok Shop Beauty experience

Decline of Legacy Channels

On the flip side, some traditional channels are declining. According to McKinsey, department stores and drugstores are expected to see their share of beauty sales slip by 2030 as consumers shift to specialty retailers, marketplaces, direct-to-consumer (DTC) online, and boutique experiences. We’re already seeing closures or downsizing of beauty counters in some department stores, while specialty chains (like
SEPHORA
, Notino) pick up the slack. This doesn’t mean those formats vanish, but they must reinvent themselves (many department stores are curating niche brand sections or blending online-offline shopping through services like BOPIS/ROPIS click-and-collect and media-style store experiences that feed first-party data back into CRM). The net effect in the next 5 years is a more distributed sales landscape: fewer one-stop-shop department store trips, more purchasing happening either directly online or in highly specialized physical environments.

The sales channels of 2030 will be a far cry from 2010. Online will likely be the dominant channel by volume, yet physical retail will survive by transforming – into showrooms, experience centers, and service hubs. The winners will be those who weave these channels together, using technology to give shoppers the best of both worlds (the sensory, human element of stores with the convenience and personalization of digital).

Luxury Beauty and Couture: The Next Chapter

High-End Resilience and Evolution

The luxury segment of beauty (and fashion) deserves special focus, as it often foreshadows broader trends. In recent years, Prestige beauty outgrows mass as fragrance & skincare accelerate. Luxury e-commerce rises on trust, sampling, and clienteling – think invites, early access, concierge chat, and exclusive drops. For example, in the U.S., prestige beauty sales jumped 8% in early 2024 while mass-market sales were flat (source: Retail Dive). Categories like high-end fragrance and skincare have been especially strong – prestige fragrance sales rose 12% in that period. Even in Europe, where heritage luxury brands are household names, younger generations continue to covet premium products (witness the boom in luxury fragrances and “masstige” skincare).

What’s interesting is how luxury retail is evolving: even affluent consumers are embracing digital. One analysis found that towards the end of 2023, online sales of prestige fragrances were nearly double the pace of in-store sales (Source: Retail Dive). Luxury shoppers will happily buy a $300 cream or a niche perfume online once trust is established – especially for repeat purchases. Todays reality is something unthinkable just 5 years ago – Premium Luxury brands like
Estée Lauder
or
Lancôme
are live on
Amazon
across multiple regions globally. That said, luxury retail’s soul remains in tactile, high-touch experiences. Flagship boutiques, bespoke consultations, and exclusive events are still core to luxury brand equity. The future will see luxury brands doubling down on these experiential aspects, while also integrating cutting-edge tech to satisfy clientele who expect the best of everything.

The Human Touch in an AI World

Luxury beauty is an arena where the human element and brand heritage carry tremendous weight. Customers buying a YSL lipstick or a La Mer moisturizer aren’t just buying a formula – they’re buying into a story, a legacy of craftsmanship and prestige. Thus, even as AI and automation enter the scene, luxury brands must balance innovation with authenticity. AI can certainly enhance luxury retail – for instance, by powering ultra-personalized product recommendations or providing virtual skin diagnostics for a luxury skincare line, but it won’t replace the creative vision and emotional connection that luxury thrives on. Let AI handle prediction and personalization; keep creative direction, brand world-building, and storytelling human. Pair AI insights with creator-led content to amplify brand equity rather than commoditize it. As
Vogue Business
notes, tools like AI are becoming foundational in marketing and product development, yet

“strategy, creativity and brand ideation remain driven by humans”

In other words, technology will assist the artisans and marketers of luxury, not supplant them. The future of luxury beauty might include AI-curated bespoke fragrances or virtual try-on for couture makeup, but the essence of luxury – exclusivity, artistry, and personal service – will remain intact. One beauty PR executive put it simply: “Fundamentally, PR (and by extension luxury branding) is about trusted human relationships and creativity… That will never change.”. Those core values will continue to anchor luxury, even as brands use digital tools to amplify their storytelling and reach new audiences.

After Armani: The Future of Couture and Culture

The recent passing of Giorgio Armani, an icon of luxury fashion, is a poignant reminder that an era of founder-led couture houses is yielding to a new generation. Armani’s five-decade reign was defined by a distinctive philosophy – minimalist style, balancing elegance and strength, which loyal clients adopted as a lifestyle. With Armani gone at 91, his company has pledged to “protect what he built” and carry it forward with respect and love. This moment prompts a larger reflection: What is the future of luxury culture when its legendary founders retire or pass on? I believe, in the next 5 years, several outcomes are likely:

  • Heritage Preserved, New Creatives Emerge: Luxury houses will strive to preserve their brand DNA (Armani’s impeccable tailoring, Chanel’s classic chic, etc.) while appointing new creative leaders to write the next chapters. We’ve seen this with houses like Chanel surviving Coco Chanel’s death and thriving under designers who respected the heritage. Similarly, Armani’s successors (family heirs and long-time colleagues in this case) are expected to steer the brand, but inevitably they will inject new ideas. The culture of couture – with its emphasis on artistry, atelier craftsmanship, and seasonal fashion “storytelling” will continue, yet each new creative director may modernize aesthetics to resonate with younger consumers.
  • Independence vs. Consolidation: Armani was fiercely independent, turning down acquisition offers and maintaining control of his empire. With him gone, questions arise if the brand will stay independent or eventually join a larger luxury group. It has been recently discovered Maestro Armani wanted a large enterprise like L’Oréal or LVMH to take over after his passing. Luxury culture historically values exclusivity and a unique identity; being absorbed into a conglomerate can risk homogenization. This suggests that the cultural ethos of Armani – and brands like it – will be guarded in the short term. Long-term, however, market pressures and succession plans could lead to new ownership structures, which will test how well the brand’s core values endure. The outcome will shape whether the “culture” of these luxury houses remains as singular as under their founders.
  • Blend of Tradition and Innovation: The future of luxury couture will also be defined by how well brands blend time-honored traditions with modern innovation. Armani became a legend by marrying design flair with business acumen, and by being detail-obsessed from runway to advertising. Future luxury leaders must do the same in a new context – upholding timeless fundamentals (quality, elegance, elite brand image) while embracing changes like sustainability and digital engagement. For instance, we may see couture houses using 3D printing or AI-assisted design for efficiency, but the final garments will still be hand-finished and presented in theatrical fashion shows to preserve the magic. Likewise, luxury beauty brands will use AI to formulate products or customize routines, yet the “treatment” a customer receives – gorgeous packaging, expert consultation, the prestige of the brand name remains essential to justify the premium.

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Maestro Giorgio Armani

The culture of luxury is poised to evolve but not vanish. We’re likely to witness a handoff from the giants of yesterday to the visionaries of tomorrow, all under the watchful eyes of brand guardians who ensure continuity. Heritage and innovation will co-exist: the iconic brands will leverage new technology and respond to new cultural values (e.g. inclusivity, wellness), but they’ll do so in a way that feels luxurious and special. The passing of an icon like Armani underscores that people are the ultimate soul of these brands – and cultivating the next generation of creative talent and brand custodians is as critical as any tech upgrade. Luxury’s future will be shaped by those who can honor the past’s legacy while captivating the future’s consumer.

Winning Long-Term: What Won’t Change vs. What Will

To succeed in the next five years and beyond, beauty retailers and brands must recognize which fundamentals remain constant and which aspects will change drastically.

Timeless Fundamentals (What Won’t Change):

  • Consumer Desire for Value and Efficacy: Shoppers will always seek products that work and make them feel good. Hype and gimmicks have short shelf lives; what endures is proven quality and real benefits. In fact, surveys show product efficacy and quality now top the list of purchase drivers, far above celebrity founders or blingy marketing. This means brands must continually earn trust – high-end or mass, a great formula or unique result is irreplaceable.
  • Human Creativity and Storytelling: No matter how advanced AI becomes, creativity, brand storytelling, and emotional connection stay human at the core. Consumers still respond to authentic brand narratives and personalities. As one industry expert noted, AI can streamline tasks and insights, but strategy, creativity and brand ideation remain driven by humans. The implication: companies should use tech to augment human creativity, not substitute for it. The spark of genius in a product idea or marketing campaign will come from human insight (often inspired by culture, art, subcultures) – this is a fundamental that tech can assist but not fully automate.
  • Relationship & Community: Building trusted relationships with customers and communities will continue to be a bedrock of success. From luxury houses cultivating client loyalty to indie brands fostering passionate fan communities on social media, the principle is the same: make your customers feel heard, valued, and part of something. “Consumers don’t just choose brands, they build relationships,” as one report emphasized (Source: Beauty Packaging). This will not change. Brands that listen and engage sincerely whether via attentive in-store service or active social media interaction will keep customers coming back.
  • Authentic Brand Identity: Amid all the change, knowing who you are as a brand and being consistent matters more than ever. In a world of countless choices, a clear and authentic brand point of view cuts through the noise. Whether it’s a luxury brand’s heritage or a clean beauty brand’s ethical stance, sticking to your core mission is crucial. As beauty strategists advise, “When brands create spaces (or experiences) that reflect their true fundamental nature, consumers can’t help but be enchanted.” (Source: Beauty Packaging). Consistency and authenticity breed trust – a timeless truth in retail.

Major Transformations (What Will Change Drastically):

  • Channel Mix & Shopping Habits: Expect an even more digital-heavy channel mix. With each passing year, a larger slice of beauty sales will happen online & via mobile. Brick & mortar will play a new role – more about experience, less about routine transactions. The lines between channels will blur (think shoppers using mobile apps while browsing in store – already 48% of consumers do this according to Beauty Packaging). Retailers must be everywhere the customer is, and integrate those touchpoints. A drastic change is the notion of single-channel strategies; in five years, any retailer not truly omnichannel (stores, web, apps, social, possibly metaverse/VR) will feel obsolete.
  • Personalization & AI-Driven Services: The days of one-size-fits-all are ending. Personalization at scale will be a game-changer. By 2030, consumers will expect product recommendations, regimens, and even formulations tailored to their individual needs (skin type, DNA, preferences) as a default. Already, 80% of consumers are more likely to repurchase from brands offering personalized experiences (Source: Storyly). This will only grow. AI will drive much of this – from micro-segmentation of customers to AI-created products meaning brands must invest in data and AI capabilities now. The winners will use AI to deliver customized marketing, custom product offerings, and bespoke digital services that make each customer feel like the brand was made for them. Companies slow to adapt will seem tone-deaf in a world where shoppers are used to TikTok-style personalization in every category.
  • Speed and Agility: The beauty trend cycle is accelerating. What used to take years (like a new ingredient trend) can explode in weeks due to TikTok virality or influencer reviews. Brands need agile innovation pipelines to capitalize on fast-moving trends (without losing quality). AI can help here too – for instance, aiding R&D by analyzing consumer feedback or formulating products faster. We’re entering an era of real-time trend response. Those who can’t keep up (or who forecast linearly and miss exponential upticks in demand) will be left with stockouts or stale products. Expect supply chains and product development processes to be overhauled for agility.
  • Sustainability and Ethics as Baseline: A tectonic shift in consumer expectations is the demand for sustainability, transparency, and ethics. What was once “nice-to-have” is now non-negotiable for many shoppers. 66% of beauty consumers (in Europe) actively seek environmentally friendly brands, and over half are willing to pay more for sustainable products (Source: Storyly). Five years from now, eco-conscious practices: from clean ingredients to refillable packaging to cruelty-free testing will be expected. Brands that do not authentically integrate sustainability will be penalized by consumers or even regulators. This is a drastic change from a decade ago, and it will only intensify. In the luxury realm, this might mean innovative biotech ingredients (like L’Oréal using biotech processes to replace petrochemicals) and in mass market, eliminating waste and unethical sourcing. Essentially, sustainability will move from a differentiator to an industry standard – a fundamental change in how beauty products are conceived, produced, and sold.

What’s Essential Now for Long-Term Success

Given the above, here are key strategies to win in the long term:

  • Embrace and Invest in Technology: Make AI, AR, and data analytics core to your strategy. Use AI for hyper-personalization, trend-spotting, supply chain optimization – all to create a smarter, faster organization. Early adopters are reaping benefits (e.g. AI-driven targeting can boost conversion by up to 40% according to McKinsey). Don’t wait; pilot these tools now, learn, and scale up. Tech adoption itself is exponential – a learning organization will keep pace, a complacent one will fall exponentially behind.
  • Build Omnichannel Experiences: Tear down silos between online and offline. Create a seamless journey where a customer can smoothly transition from Instagram inspiration to your ecommerce store to an in-person consultation, with data continuity at each step. Offer compelling reasons for customers to visit physical locations (exclusive services, events, community) and equally rich reasons to engage digitally (interactive try-ons, live chats, loyalty perks). The aim is to be available wherever and whenever the customer prefers to shop.
  • Prioritize Authentic Engagement: Double down on customer experience and relationships. Train beauty advisors (and equip them with AI insights) to deliver exceptional service. Cultivate online communities and listen to feedback actively. Essentially, use high-tech tools to enable high-touch interactions. For example, leverage CRM data so that a returning client (VIP or not) is greeted with personalized recommendations and warmth, whether on a website chatbot or by a store associate with an iPad. Brands that make each customer feel seen and special will foster loyalty that outlasts any single product cycle.
  • Stay True to Your Brand and Values: In a fast-changing world, your brand’s core identity and values are your north star. If you’re a heritage luxury brand, maintain that aura of exclusivity and excellence even as you innovate. If you’re a clean indie brand, protect that integrity and transparency that won customers in the first place. Use new tools to amplify your brand story (e.g. AR to let people virtually “enter” your brand world, or content to share your craftsmanship), but never lose the plot. As one expert cleverly noted, “Consumer desire hasn’t changed, but the tools and methods we leverage to meet their desire have.” (Source: Beauty Packaging). Keep the desire (for beauty, for self-expression, for belonging) at the center, and let the tools serve that, not distract from it.
  • Foster Agility and Continuous Innovation: Build an organization culture that is agile, experimental, and forward-looking. Set up processes to quickly test and learn – be it launching a limited edition based on a viral meme or rolling out a new virtual service. Use data in real-time to adjust course. In practical terms, this might mean smaller production runs with flexibility, partnerships with tech startups, or empowerment of teams to respond to micro-trends. The pace of change will only get faster, so make resilience and adaptability a core competency. In the long run, the brands that thrive will be those that can both anticipate change and react swiftly when surprises arise.

The future of beauty shopping will be a thrilling blend of high-tech innovation and enduring human elements. We’ll see AI curating our routines and AR dazzling us with possibilities, all amidst global market growth and new consumer tribes. But amid the change, the heart of beauty retail remains the same: delighting customers, helping them feel confident and seen, and connecting through the universal desire to look and feel beautiful. The companies that understand this and leverage tomorrow’s tools to deliver on it will be the ones still winning hearts (and market share) five years from now and beyond.

  • McKinsey, State of Beauty 2025 Report
  • McKinsey, How Beauty Players Can Scale Gen AI in 2025 Report
  • Research and Markets, AI in Beauty and Cosmetics Report 2025
  • Pymnts, L’Oréal 2023 Results – AR Try-On Stats
  • Beauty Packaging, Beauty Retail 2025
  • Storyly Insights, European Beauty Industry 2025
  • Vogue Business, How AI will change beauty
  • Reuters, Giorgio Armani dies at 91
  • Retail Dive, Prestige vs Mass Beauty Trends

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