US beauty growth was driven by a boom in fragrance demand in the first half of 2026, according to new data from market research firm Circana.
Prestige retail beauty sales increased by 7% to US$17.1bn during the first six months of the year, with mass retail sales also rising 7% to $39.2bn.
Growth was also driven by skin care and self-care-focused products, and unit demand remained positive on both sides of the business, which Circana claimed “underscored the resilience of beauty spending despite ongoing consumer selectivity”.
Larissa Jensen, Global Beauty Industry Advisor at Circana, said: "Beauty continues to benefit from consumers' willingness to shop across price tiers, selectively investing in products that deliver the strongest emotional and functional value.”
How fragrance dominated the charts in the first half of 2026
Fragrance remained one of the strongest-performing beauty categories overall in the first half of 2026 – with a Cosmetics Business report arguing that perfumes are poised to become the new ‘lipstick effect’.
In prestige retail, fragrance dollar sales grew 6%, driven primarily by premiumisation rather than an increase in purchases, with average prices rising 5% while unit sales remained flat.
Consumers were also noted as trading up into higher-concentration formats, with eau de parfum (EDP) and perfume posting double-digit growth.
Luxury fragrance also remained a bright spot, with both dollar and unit sales increasing, fuelled largely by women's fragrance purchases.
Jensen added: "Fragrance remains a key avenue for affordable luxury and self-expression, while skin care is benefiting from consumers' growing focus on whole-body wellness, preventative treatments and daily rituals."
In the mass retail market, fragrance was the fastest-growing beauty category, with sales increasing 15% and units rising 7%.
Growth was driven by both increased consumer demand and higher pricing, underscoring fragrance's broad appeal in 2026, according to Circana.
Skin care sales fuelled prestige growth in the first half of 2026
Skin care was the fastest-growing category in prestige beauty during the first half of the year, according to Circana, with sales increasing 9% and units up double-digits.
Prestige retail growth was broad-based across skin care, led by body care and sun care.
Body care sales rose 16%, supported by strong gains in body cleansers, body lotions and deodorants, while sun care increased 19% as consumers continued to prioritise preventative skin care.
Core facial skin care routines are driving overall category performance, with face creams, facial cleansers and eye treatment all posting solid growth.
A Circana statement read: “Skin care’s upward trend also played out in the mass retail side of the business, as skin care outperformed the mass beauty market overall.
“All the core skin care segments, from facial products to hand and body lotion and sunscreen products, experienced both dollar and unit sales gains.”
Make-up sees middling performance
The make-up category delivered a more moderate performance compared with fragrance and skin care, but both prestige and mass channels continued to see pockets of strength, Circana’s data showed.
In prestige retail, make-up sales increased 3%, even as unit demand softened slightly.
Face cosmetics outperformed the broader category, with bronzer and blush posting double-digit gains, while lip liner continued its strong momentum as the fastest-growing segment in make-up.
In mass retail, make-up sales increased 5%, although units declined overall.
Growth was concentrated in trend-driven products that are also selling well in prestige, such as lip liner, blush, bronzer and make-up combo products.
Circana stated that these results “highlight consumers' continued interest in affordable experimentation and category innovation”.
Hair care sales accelerate in H1 2026
Prestige hair care was among the fastest-growing beauty categories in the first half of 2026, with sales increasing 11% and units growing 8%.
Hair treatments remained the primary growth driver in prestige retail, led by growth in hair serums, which increased 60%.
Masks, oils, leave-in treatments, and scalp-focused products also saw demand as consumers prioritised hair health and repair-focused regimens.
Hair care experienced softer results in the mass retail market.
Dollar sales increased 7%, and unit sales dipped, driven in part by consumers seeking value-focused solutions.
Shampoo and conditioner combo packs remained particularly strong, generating double-digit growth in both dollars and units.
Jensen added: “Looking ahead, beauty industry growth will continue to be shaped by strong consumer engagement in key segments alongside the ongoing evolution of how consumers shop.
“As e-commerce and social platforms play a larger role in discovery and purchase, brands that create seamless paths from inspiration to transaction will be best positioned to capture future growth.”
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