The survey questioned 3,500 women between the ages of 16 and 60 to find out how the credit crunch was influencing their beauty regimes as well as the sorts of products they use and the budgets.
Accordingly, it seems that female consumers are turning to affordable classic brands that they know and trust, and that have been proven to be valuable thanks to simple but effective ingredients in the formulation
Assessing skin care regimes
The survey found that on average women use three products as part of their daily beauty routine, spending approximately £14 (€18) per month, which equates to approximately 47 pence per day.
But, indicative of the economic climate, the survey also revealed that 35 per cent of those surveyed are now spending less than £5 a month on their skin care regime, while a third spend between £5 – 10 a month and 20 per cent spend up to £20 a month.
The market for luxury personal care products, which has boomed in recent years thanks to strong economic growth, continues to account for a considerable slice of the market, with 15 per cent of the women saying they spend more than £20 per month on skin care products
Whether or not this type of spend can be sustained for luxury products remains to be seen, but with many middle class investors hit hard by the current financial turmoil, many industry experts believe spend on luxury personal care products is likely to be impacted.
Move towards simple products
Interestingly the survey also underlined the fact that consumers are moving away from products that are marketed on the strength of significant scientific research and technological backing, in favour of simpler and more trusted brands.
Of the women surveyed, 53 per cent said that they would purchase a product with fewer and simpler ingredients, while only 9 per cent said they were likely to go for products that contained the latest technology or scientifically-developed ingredients.
Ponds Institute concludes from the survey results that products that perform more than one task and reduce spend are becoming increasingly popular with cash conscious consumers.