Dubai, UAE – Online sales of beauty products in the MENA region experienced significant growth, surpassing global trends In the first half of 2023.
According to a press release from Admitad, a partner network, global sales in the beauty and self-care industry increased by more than 15% during this period. However, the MENA region stood out with a year-over-year growth rate of over 20% in online beauty product orders.
Admitad conducted a comprehensive analysis, studying the sales of 450 global brands and 185 MENA-based brands, including renowned companies like Sephora, Alibaba, and Lancome.
The research was based on over 6.5 million orders globally and more than 400,000 orders in the MENA region, generated by network partners working with beauty brands and retail websites.
While global online beauty sales showed strong but moderate growth, increasing by 11% in 2022, the first half of 2023 saw a substantial boost, reaching a growth rate of 15%. Gross Merchandise Value (GMV) also increased by 8% globally and 12% in the MENA region.
MENA’s beauty industry exhibited remarkable catch-up growth, surpassing global activity levels. Beauty product orders in the region surged by 20%, and consumer spending on cosmetics and self-care products rose by 5%. The average order value for online beauty products in MENA remained stable at approximately $92. UAE and Saudi Arabia emerged as the top countries in the region with the highest order values.
Global orders for beauty products from Google contextual ads grew by more than 30% in 2023. Messengers, especially Telegram, saw remarkable sales growth, with the number of orders doubling. Sales from affiliate stores increased by 45%, with these channels attracting more local purchases than the global average.
Mobile app recommendations played a unique role in local purchases, accounting for over 5% of sales and doubling in number over the year. Content platforms also saw substantial growth, with sales based on recommendations from articles and banners on media websites increasing by more than 10%.
MENA residents embraced discounts, increasing their use of coupons by 15% in 2023.
In the global beauty industry, mobile sales accounted for 46% of total sales in 2023, with this figure steadily rising. However, in the MENA region, mobile sales represented only about 25% of beauty and self-care purchases in 2023, presenting an opportunity for local brands to tap into the growing mobile audience.
The outlook for online sales in the beauty industry remains positive, both globally and in MENA. Admitad experts predict that 2023 may even surpass the success of 2022 for MENA beauty brands, with online sales potentially increasing by up to 23%.