| Ukrainian market of professional cosmetics |
|
According to the experts’ appraisal, for the period of 2005-2008 Ukrainian market of professional cosmetics had shown annual increase 30-40% in money terms at the expense of growth of quantity of orders at beauty salons and opening of new establishments. The totals of 2008 showed that the market of professional cosmetics made up about 370 million dollars (according to the rating of the market players). Another 150 million dollars were the result of sales of salon cosmetics to masters with private practice. Thus the market volume made up approximately 520 million dollars.
Demand for salon cosmetics Beauty salons of business, premium and lux class as well as private masters work with professional cosmetics of famous brands. Economy class salons purchase as a rule professional no-name products, though they do not refuse cheap products of famous trade marks. As a rule beauty salons work with products of no less than four trade marks for each type of services. An exception to the rules is monobrand salons, which not only offer services, but also import products of some special trade mark or are the distributors of some certain brand. Another channel of professional cosmetics realization is sale of professional products for home use to ultimate customers, this sale return makes up 20-40% of the total sale proceeds. Influence of economic circumstances Decrease in consumption of salon services affected for the most part the segment of premium class professional cosmetics. In experts’ opinion, sellers of expensive trade marks had lost about 30-40% of proceeds during the first seven months of 2009, since there was noticed reduction in number of beauty salons offering services of high cost segment. Those beauty salons, which kept working lost about 40% of proceeds from rendering of services and sale of products for home use. In 2009 brands and prices regulation took place and the winners have become those beauty salons, which decided on correspondence of their services prices and the class of their salon. The most stable occurred to be nail bars and beauty enterprises of apparative cosmetology. Considerable decrease is noticed in SPA industry and tanning services. Beauty salons tried optimizing their costs: they started to cooperate with suppliers, who offered cheaper products, they also cut purchase amount. Now owners of beauty salons tend to get rid of storage expenses and confine themselves to purchases based on current demand for services. In addition to purchase volume reduction distributors of professional cosmetics note that beauty salons and private masters switch to more affordable consumables and at the same time they try not to raise prices for rendered services that is rather difficult under conditions of rise in cost of imported cosmetic products. To keep the existing clients and to attract new ones beauty salons offer various discounts, cheap express treatments, non-standard services. Distributors in their turn are quickly adapting to new market demands, they enlarge their assortment at the expense of cheaper brands. To keep and to support the demand for professional cosmetics from the side of beauty salons and private masters some distributors improve the terms of cooperation increasing percent of home-use lines proceeds. A lot of distributors switch from discount systems to product bonus, i.e. they prefer to present additional goods free of charge instead of knocking down the price. Future prospects In 2010 all the market players count on stabilization and activization of sales. But in tote the return to pre-crisis level is expected not earlier than in 2011. Number of Ukrainian companies presenting different brands of professional cosmetics Cosmetology – 176 companies Hairdressing art – 83 companies Nail service – 85 companies |



.jpg)



