This trend is especially worrisome, the story reports, because in past downturns, cosmetics have been the last little splurges to go—even in a weak market, consumers would regularly indulge in, say, an expensive tube of lipstick or a hair product over dropping serious money on a new bag.
Financial analysts are viewing this as an "economic transformation," the last layer in a series of cuts the population is using to offset skyrocketing energy and food prices.
Among the downward trends: Purchasing beauty products at mass retail markets or super centers over department stores, implementing a "family usage approach" (for example, one shampoo for everyone instead of several to suit individual's needs) and cutting back on non-essentials such as styling gel and fragrance.
"We don't expect any relief for consumers or the industry until the second quarter of 2009," said one researcher.
YIKES.
Source: WWD
