Retailers, Are You Aware of the Lipstick Effect Study?

Retailers, Are You Aware of the Lipstick Effect Study?

Introduction:

Do you know why “Lipstick Effect Study” was conducted? It was conducted so that we can analyze the buying trends of humans during an economic recession. It was conducted in the early 2000s. And the results were shocking as they show how consumers change their priorities in buying certain products. Many studies were declared to understand this logic behind changed consumer behavior. They conduct a survey for customers to identify their typical buying significance compared to the one in economy inconstancy. They also research the most sold product during such time from retailers. And they found they were enormous sales in the cosmetic business. To be more specific, lipsticks were the most commonly sold item. Although retailers could not estimate their accurate historical sales figures, but their cumulative sales was observed during such hard times later on at different recession times. Although, these outcomes of the study have worked wonders for many retail shops, yet many are still unaware of its benefits that could help them in many ways. There are many reasons why and how it could be helpful for anyone. Some of their key importance and relative implications are: 

Why? A Psychological effect

The major focus of this study was mainly females. Women are known to be more sensitive as compared to men. They are also known to be more conscious about their appearance as compared to the opposite gender. They always wanted to look best no matter what situation or condition they are facing. During the past few decades, the sales of cosmetics were increasing speedily. And the main reason for their sale is that it shows a small item like lipstick instantly enhances the confidence of an individual. Lipsticks are known to provide an instant fresh look to the women. So, they are more frequent buyers of them, as the product alone beautifies the whole impression. Retailers can use this technique to sustain themselves during any harsh encounter. You can add a wide range of cosmetics items to facilitate them choose their favorite shade. In this way, you can maintain yourself to be the top choice of the customers of lipstick boxes

As a marketing tool

During the time of recession, the study showed that women tend to buy more cosmetics to change their frame of mind. The main reason was to satisfy themselves in any unfamiliar time even if it was in terms of appearance. The demand for cosmetics then starts rising. Considering the average woman’s psyche, they usually allocate a specific budget to cosmetics no matter how low or high their income is. They are always willing to spend extra when it comes to their beauty. You can play with their psychology of this repeated buying behavior to engage them into buying your items frequently. You can show your availability to them to facilitate them as well as to show your presence in the industry. 

Substitution between luxuries

It is a human desire to have luxuries in our living. We are more concerned to improve our lifestyles at any cost. But if the economy is in trouble how can one adopt a luxury? To come up with a solution a study that conducted in 2001 shows how much consumers are directed towards luxuries purchase during a hard time. And the result was that the customers substitute their luxuries to please themselves. It reveals how people shift their buying trends according to their changed income.  For example, instead of purchasing a branded wardrobe, they purchase branded cosmetics. Lipstick back then was known to be the repeated purchase. Even cosmetics was still considered expensive, but their low price as compared to other luxury item increased their sale. Retailers in the present could also use this technique of substitution, to improves their respective sales using a certain demanded item of the time. They can also make differentiation of their items by making their ideal lipstick packaging boxes. In this way, they will not only be able to enhance the visibility of an item but also reflects the product premium quality. 

Ideal retailers are the one that make the best choices of their selling items. They should know how to survive in the market no matter how hard the situation gets. The change in their selling item will not bring any harm to their image, but it will portray how they shift themselves according to the latest trends. Cosmetics are the most frequently sold item throughout the world. And their packaging not only enhances the presentation of the product but also makes them dissimilar from others. Many websites provide the facility of delivering customized packets to their customers. They offer a wide range of items in a variety of different shapes and sizes. You can order them in bulk at a competitive price. Another benefit of ordering them online is that they provide the facility of free shipping and transportation. That makes them more cost-effective.

Author Name: Mona Lisa

Author Bio: I have over 5years of digital marketing experience. I am skilled in Digital marketing, online advertising, PPC, SEO, brand management, and more. I am experienced in, blogging, WordPress, Woo-commerce, etc.