The ‘lipstick effect’ has remained the undisputed gauge of the beauty industry’s resilience, but the bellwether for affordable treat splurges may have finally been dethroned by a new upstart in 2026 – perfumes.
For those unaware of the lipstick effect, the theory is that consumers are still willing to buy cheaper luxury goods to make themselves feel good when they have to cut costs in other areas of their lives.
This has typically manifested in the colour cosmetics category, particularly luxury houses’ beauty offerings, so consumers could feel part of the so-called ‘magic’ without spending thousands-of-pounds on high-end fashion items.
Tickets are now available for the 25th anniversary of the Pure Beauty Awards, taking place on 15 October 2026 at the Grosvenor House Hotel in London, UK. Join the beauty industry for an evening of recognition and celebration as this year’s winners are revealed. Click here to secure your place.
However, in 2026, the fragrance market has hit a new stride, says Jean Madar, Director and co-founder of fragrance specialist Interparfums.
“The current state of the fragrance market is
Not yet a Subscriber?
This is a small extract of the full article which is available ONLY to premium content subscribers. Click below to get premium content on Cosmetics Business.
Subscribe now Already a subscriber? Sign in here.
