Fueled by self-care trends, ‘SkinTok’ videos and a focus on social responsibility, Gen Z is making a significant mark on the US beauty industry.
The US beauty market is projected to generate revenues of $100.3 billion in 2024.1 While making up 20% of the US population and boasting a remarkable spending power of $360 billion, this generation – born between late 1990s and early 2010s – has established itself as a significant force in the beauty industry.2
How has this younger generation gained such influence in the beauty market? Gen Z's impact is more pronounced than that of Baby Boomers and Millennials, largely due to their multicultural demographic. With nearly half coming from a racially diverse background, they emphasize inclusivity and actively support brands that prioritize diversity.3
Moreover, the growing acceptance of gender-neutral beauty and the emergence of male makeup influencers are broadening the cosmetic market in catering to a more unisex demographic.4
Gen Z’s impact extends beyond traditional beauty consumption; their digital upbringing has fundamentally altered how shopping and consumer experiences unfold across various sectors, including technology and finance. Platforms like TikTok and Instagram have become their go-to sources for product discovery, allowing users to seamlessly engage with brands directly rather than relying on third-party retailers.
Similarly, financial institutions are adapting strategies to capture the attention of this mobile-first generation, partnering with financial content creators to foster engagement and trust and expanding payment options to function as mobile friendly.2
At the heart of this beauty revolution lies a distinct emphasis on sustainability formulation and packaging innovation. Gen Z led in skincare by 41% in 2021 with a preference for clean, sensitive skin friendly formulations and driven a demand for intelligent packaging solutions that include skincare step routines and product information all in one platform.5
Their focus on eco-friendly corporate responsibility encourages brands to adopt refillable and recyclable options, reflecting transparency and environmental practices. Additionally, ’dupe culture’ highlights the need for high-quality yet affordable products, pushing brands to rethink packaging strategies.
As beauty brands adapt, understanding Gen Z's needs is crucial. This generation seeks multifunctional products with seamless shopping experiences, both online and in-store. While navigating this competitive landscape may seem daunting, leveraging data-driven insights and innovative packaging through strategic partnerships can give brands the edge to thrive in a rapidly evolving market.
Decoding Gen Z’s values and lifestyle: the key to innovative packaging design
To stay ahead in the competitive beauty landscape, brands must tap into the core values and lifestyles that drive Gen Z’s consumer behavior. This generation is not only shaped by societal shifts and lifestyle changes but is also deeply influenced by health and wellness trends, environmental concerns, and a desire for convenience. Together, these factors shape their beauty habits, compelling brands to innovate and create packaging that aligns with Gen Z’s expectations.
For Gen Z, mental health is a top priority. A recent survey found that 54% of this generation considers their emotional wellbeing very important, prompting them to spend time and money on self-care practices.6 As a result, we’re seeing brands creating packaging that enhances skincare routines and combines wellness to attract and engage this generation. This shift toward thoughtful design not only meets their desire for effective products but also excites them about their self-care rituals.
Here’s a closer look at how Gen Z’s evolving lifestyle and consumer behavior are influencing the latest packaging trends shaping the beauty and personal care industry.
Beauty & Personal Care packaging trends
1. Ergonomic shapes
Wellness is vital to Gen Z's values, but their rejection of traditional beauty norms and embrace of gender-neutrality underscores a strong demand for inclusivity. This generation has actively called for better representation from beauty brands, especially for consumers with darker skin tones who often struggle to find products that seamlessly blend with their complexion.
Additionally, we're seeing an increase in ergonomic and organic designs that are easier to hold and enhance accessibility for individuals with fine motor skills, making beauty and personal care products more enjoyable for everyone.
A perfect exemplification of this blend of wellness and ergonomic design is Bella Hadid’s latest fragrance line, Orebella. Diagnosed with Lyme disease that causes the model to experience joint pain and discomfort, the packaging features an organic gem shape that fits comfortably in the hand, allowing users to easily activate a bi-phase formula designed specifically for those with sensitive skin and releasing feel-good chemicals.
This thoughtfully crafted fragrance not only promotes the wearer’s aura through aromatherapy but also stands out for its commitment to ethical practices; it is PETA-certified for cruelty-free claims and holds a Forest for All Forever sustainable packaging certificate, showcasing the brand’s transparency regarding its environmental impact.7
2. Smart Packaging Solutions
Gen Z’s tech-driven approach to online shopping has influence the reshaping of e-commerce’s Direct-To-Consumer business model, utilizing social media platforms like TikTok as comprehensive shopping hubs. Retailers such as Walmart and Amazon have experienced an 86% increase in beauty brand searches, driven by Gen Z's immediate exposure to new products through social media content and direct engagement with DTC websites.8 The integration of marketplaces within TikTok and Meta empowers this generation to make informed decisions, as they can access reviews from trusted creators, read user comments, and conveniently utilize the ‘Shop TikTok’ button – all in one location.
This trend extends to smart packaging, enhancing product visibility and simplifying the restocking process with a single tap. By integrating NFC or QR codes, beauty packaging provides instant access to essential product information, including ingredient lists and clean-beauty certifications. Additionally, video demonstrations guide users on effectively incorporating products into their skincare routines, bridging the gap between physical items and digital experiences.
Meiyume’s Smart Packaging Solution offers significant benefits for consumers and brands alike. Consumers can verify product authenticity, engage with the brand long after purchase, and easily restock their favorites. For brands, this solution delivers valuable insights into consumer behavior, enhances supply chain traceability, and helps combat counterfeiting. Together, these features elevate the consumer experience while reinforcing brand integrity.
3. Dermocosmetics formulation trend emerges in packaging design
Influenced by Skintok and insights from skinfluencers, including dermatologists, today's young generation recognizes that youthful skin requires more than just basic skincare. They're open to advanced cosmetic treatments, with 15% of Gen Z having undergone a cosmetic procedure and 14% opting for fillers or Botox.9 This awareness extends to post-care, driving the dermocosmetic trend, which emphasizes science-backed and natural ingredients to enhance youthful skin and maintain the benefits of cosmetic procedures.
Innovative packaging solutions, such as precision applicators with metal tips, advanced dropper systems, and intricate rotative designs, are enhancing the application experience in cosmetics and skincare. These designs ensure consumers dispense the ideal amount of product while minimizing the risk of cross-contamination and bacterial contamination. This focus on safety and usability not only improves the consumer experience but also aligns with the demand for clean and effective beauty solutions.
Anastasia Beverly Hills’ Blurring Serum Blush represents an ideal blend of high-quality skincare, color formula with high-end packaging design. Infused with skin-loving ingredients like Niacinamide and Pomegranate Peels Extract, this blush does more than deliver a vibrant color.
It works wonders for overall skin health by reducing inflammation, improving the skin barrier and fights off environmental damage while brightening the skin. Its precision tip applicator allows consumers to apply directly to their face, ensuring perfect placement and the ideal amount of product every time, eliminating waste and bacterial contamination.
4. Sustainability remains a crucial factor in supporting beauty brands
Recognized as the eco-conscious generation, Gen Z consumers are motivated by brands that adopt sustainable practices. A recent study indicates that nearly 60% of Gen Z and Millennial shoppers have stopped purchasing from brands lacking environmental credentials, and 66% are willing to pay more for sustainable products.10 This underscores the importance for brands to provide transparent credentials, fostering validation and trust among younger consumers – making it a decisive factor in their purchasing choices.
Such credentials add value to product quality and safety, not only for personal use but also for promoting a cleaner planet. With Gen Z increasingly informed about what constitutes sustainability, haircare formulas in shampoos and conditioners are gradually incorporating clean, organic ingredients suitable for various hair types while ensuring they are environmentally friendly and easily biodegradable.
The beauty market is also experiencing a rise in eco-friendly packaging solutions, such as paper packaging for moisturizer bars in body care, particularly in the fragrance category. Brands like Dries Van Noten are leading the way by creating renewable, biodegradable cartons made from natural wood fibers, while full-size purchases come with an exclusive ‘Archived Pouch’ made from upcycled materials from the brand’s Spring/Summer ‘18 collection.
Navigate emerging trends with a trusted beauty partner
At the heart of the beauty industry are the consumers who are the true trendsetters shaping the future of formulas and packaging. By staying attuned to their preferences and needs, beauty brands can craft innovative packaging that resonates with what consumers truly desire. When brands listen and respond to the voice of their consumers, they position themselves to not only anticipate market trends but also to create products that inspire and engage, leading to increased sales and lasting brand loyalty.11
Deciphering consumer trends can be challenging for beauty brands seeking to remain relevant in a fast-paced market. By understanding Gen Z's values, brands can effectively engage this influential group. Gen Z’s preferences emphasize the demand for clean, science-driven skincare formulas, driving packaging innovations that prioritize convenience without sacrificing quality.
To effectively navigate these evolving trends, brands should seek suppliers who are attuned to the latest market shifts and can drive packaging innovation essential for continued success–confidently preparing for the future by selecting the right insights provider and manufacturer.
Meiyume stands out as a premier partner in the beauty industry, offering insights-driven solutions encompassing primary and secondary packaging, original equipment manufacturing (OEM), original design manufacturing (ODM), and global sourcing, elevating brands to reach new heights.
References
1. Statista. Beauty & Personal Care – United States.
2. Emarketer. Guide to Gen Z: What matters to this generation and what it means for marketers
3. Nielsen IQ. Spend Z: Gen Z Changes Everything
4. Beauty Packaging. Evolving Perspectives of Beauty: Gen Z, Millenials, and Boomers
5. Klarna. New Klarna survey finds Boomers value sustainability more than Gen Z when shopping beauty brands. March 2021.
6. Linus. Gen Z is the Future of Health: What You Need to Know to Innovate for This Generation
7. Orebella. Our Formula: A Unique Approach to Fine Fragrance
8. Business of Fashion. How Marketplace Models are Driving Growth in Beauty.
9. Morning Consult. Is a Beauty Bubble on the Horizon?
10. New Beauty. Nearly 60% of Gen Z Buys Only Eco-Friendly Products
11. EHL Insights. Understanding Consumer Behavior: How to Influence the Decision Making Process
