Shoppers more likely to stay loyal to cosmetics than other goods

Cosmetics manufacturers can rest assured as consumers are more likely to stay loyal to their beauty care brands than medicines or household goods, according to a ShopSmart survey.

Even in these uncertain economic times only 30 per cent of women are willing to switch cosmetics brands, according to the survey.

Personal care may suffer more than cosmetics

However, the figure is slightly higher for personal care products with 48 per cent of women saying they would switch personal care brands.

In contrast, 68 percent of women interviewed said they would be willing to change their over-the-counter medicine choice – a finding that came as a shock to editor of ShopSmart Lisa Lee Freeman.

“We were surprised to find that women are so readily willing to switch medications,” she said.

Brand loyalty was also weak in the food category with two thirds of women saying they would change their milk and egg purchases in order to cut down the household spending bill.

The survey was conducted over the phone by the Consumer Reports National Research Centre earlier this summer.

Rising finished products costs

These findings come at a time when many cosmetics and personal care manufacturers are increasing their prices as a result of high raw material and energy costs.

At the same time private labels are attempting to increase their market share; taking advantage of the small but significant consumer base wanting to cut down on their spending on such products.

A recent Citigroup report suggested that the average price difference between private label and brand-name products in this category is currently 21 percent.

It will be interesting to see whether consumers will continue to shoulder the price increases of their favourite branded cosmetics goods.