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Myer, Priceline dominate cosmetic spend


Department store, Myer, and Priceline lead the way in the multi-million dollar cosmetics industry accounting for three out of every ten dollars spent, according to Roy Morgan Research.

Each year Australian women spend hundreds of millions of dollars on cosmetics through both online and bricks and mortar purchasing.

Myer and Priceline carry a wide range of cosmetic brands both online and instore, in contrast to retailers Avon and Nutrimetics, which offer just one brand and retail channel combined.

Both have a party plan representative network and online presence accounting for a combined 9 per cent of dollars, the same share as David Jones.

StrawberryNET and eBay combined make up five per cent of dollars putting these online pureplay in the same league as many traditional retail stores.

Geoffrey Smith, GM consumer products, Roy Morgan Research, said the retail market for cosmetics is highly competitive.

“Traditional channels are under pressure from both domestic and international online retailers. Both Priceline Pharmacy and Myer have risen to the challenges to grow a commanding share of women’s cosmetics expenditure over many years.

“With the launch of Sephora on December 5 the market has a new, international retailer dedicated to women’s beauty. All cosmetics retailers need to understand their customers in terms of satisfaction and loyalty or risk losing them to the growing number of competitors.”


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