All the companies which deal with fashion and beauty products have done a great job in building retailer stores physically but those who have dominated in the field of E-commerce are more delightful in this period of pandemic. During this pandemic, they have proven that their online stores have made more businesses than physical stores. Whereas those owners who were working in beauty retailer stores have reached the corner of destruction and are almost closed now, as they are unable to attract any customers.
Nature of Current Beauty Products Business Model differs from others. Fashion business with physical stores often gives direct discounts to clients and do not involve any middle man to boast their business. They want to establish their own standard with quality and cheap prices.
But those who are working in online stores and E-commerce stores involve middlemen by offering a handsome commission for every single customer and hence they are growing their business rapidly and earning more profits.
There is another business strategy that is working very fine and getting trend not only in the United States but in the whole world. Top fashion models have started their own brands for beauty products and people follow them and shop for those products for which they are dealing.
They are selling top quality beauty products at cheap prices and hence enhancing clients and making more profits. Different beauty brands are also hiring them to advertise their products by giving high amounts for products show.
Most of the advertising of these brands is carrying by social media, influencers, and online advertising. This tactic has worked greatly to enhance business revenue. Tula is also doing the same and has been successful until now.
As lock down was imposed in different parts of the world, it seemed that beauty and makeup business will get dimmed but still, people are too much caring about their skin and body care and they are anxiously focusing on their outlook grooming. This grooming is not for attending some parties and events but they intend to look gorgeous even on video calls. Women are more caring than men in their body grooming nowadays.
Those companies and brands that were already involved in online business are earning better than any famous physical store. Those who have just started in the period of lockdown are also doing a better and fantastic job.
It is hoped, if new brands maintain their quality standard and don’t prefer quantity over quality will get larger exposure to the masses and will capture their clients for long time even after Covid-19.
There has been another impact of this Covid-19 pandemic, that is, famous brands who were selling their beauty products on high prices have to cut down their profits to compete with the other newly introduced brands. Since now this era has become more competitive than before as it has provided people an opportunity to research well and spent time surfing internet for buying their products online. Hence, they found better products at cheap prices.
E-commerce beauty business has proved itself more profitable globally especially during Coronavirus epidemic.
In this way, overall beauty and fashion business bloomed in very short time. Big players are getting more and more clients and new brands started a courageous opening of their online stores.
Some brands like Tula who deal with skincare products observed a huge increase than the sales it had in last year. Today’s sale is about 4 to 5 hundred percent greater than last year (A figure given By CEO Tula). Their supplier was in tough times to fulfill the order supplies. As everyone heard about Amazon (the biggest online store worldwide) increased their sales than all of its history and they have made their own authority and consequently Amazon reduced even commissions of its affiliates.
Is this End of Physical Beauty Stores Business?
Question arises in these days whether physical stores business die or it will be needed in future. To the extent I think, people will have to carry their business by adopting both formats online and physical too. As new brands successfully introduced themselves during quarantine, they will need physical stores too after days of lockdown.
If they will not establish their stores, people will forget even their names. So, to double their business revenue, online stores as well as physical stores are necessary. To ensure maximum profits, sufficient supplies surety will be needed for their business at every corner of markets.