Black, Hispanic Shoppers Driving Beauty Sales, According to NielsenIQ

Black and Hispanic shoppers aren’t just driving beauty trends—they’re driving sales, too.

According to 2020 data from NielsenIQ, Black and Hispanic shoppers increased their beauty spend above the national average and are more likely to spend in certain categories, such as lip cosmetics and hair care.

Following the killing of George Floyd by Minneapolis police in May of last year, consumers began paying more attention to who was making their products and who was selling them, said Anna Mayo, NielsenIQ’s beauty vertical client director. “We saw that Black Lives Matter was one of the most discussed topics on Instagram last year, and same with Black-owned brands,” she said.

Retailers have done a better job meeting the needs of a multiracial consumer base, although Mayo added there was still progress to be made. “When we talk to Black consumers, there are still gaps in finding all the products that do all the things they want,” Mayo said. “Beauty supply stores are huge locations for them, because they can’t find their needs met in mass stores. Shade diversity has come a long way, but it’s not fulfilling all the needs.”

Here, a breakdown of Black and Hispanic consumers’ beauty spend.

1. Beauty and personal care grew 16 percent in dollar sales in 2020.
2. Hispanic shoppers spent 13 percent more than the national average consumer on beauty and personal care.
3. Hispanic shoppers increased beauty spend by 6.1 percent in 2020, versus the average 3.5 percent. Black shoppers increased their spend by 5.4 percent.
4. Among Hispanic consumers, those with income under $50,000 make up 38.8 percent of buying households and 39.6 percent of dollar sales.
5. For Black consumers, low-income (under $50,000) shoppers make up 43.4 percent of beauty buyers, and 39.1 percent of dollar sales.
6. Hispanic consumers purchase artificial nails and lip cosmetics 1.4 times more than the average shopper.
7. Black consumers are 2.4 times more likely to buy hair care and 1.9 times more likely to buy hair styling products.
8. 21 percent of Hispanic shoppers said they would buy more natural products, versus 11 percent of White shoppers.
9. 39 percent of Black shoppers plan to buy from Black-owned brands, while 29 percent hope to buy from brands that have spoken about Black Lives Matter.
10. Data from NielsenIQ partner Strategic Solutions International said 41 percent of Black women changed their hair routines during the coronavirus pandemic.

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