Photo by Mark Peterson/Redux
Economic downturns don't typically slam the beauty industry, because it's not hard to justify snapping up relatively cheap new lipstick or eye shadow. This time around, though, the cosmetics market has lost its shine. Here's why:
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Photo by Rick Wilking/Reuters/Landov
Department store traffic in the U.S. fell by 1 percent in the past year, and is slowing even more at the malls.
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Photo by Benoit Decout/REA/Redux
With oil at more than $129 a barrel, the price of both the ingredients and packaging of cosmetics is rising.
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Twentysomething shoppers—the core buyers at cosmetics giants such as Sephora—are spending more of their cash on gadgets and cell phones.
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Photo by Robert Wright/The New York Times
Fragrance sales in the U.S. fell to $2.94 billion in 2007, the lowest level since 2003.
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Photo by Patrick Durand/Bloomberg News/Landov
L’Oréal’s U.S. revenues fell 7 percent in the first quarter of 2008, and Procter & Gamble’s stock has been in a slump all year.
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