Chanel for cheap? Why should fear Beauty Stores Push Amazon
Warning stores: Amazon Gunning for your beauty business - and that's not all.
The online giant has to define the prestige cosmetics industry by big discounts on high-end brands such as Chanel and Clinique for a mass audience for the first time again.
It's no secret that Amazon is a habit of shaking has full range sectors: His groundbreaking Kindle e-reader always has the business changed the sale of books (and helped borders out of business), while its low-price model consumer electronics merchant has forced Best Buy BBY -0.53%, to reinvent the one its store concept.
In addition, the e-tailer has almost single-handedly showrooming if the consumer to check the trend of products in the brick and mortar stores to buy later at least sparked online retailers like Amazon.
Industry observers are now waiting to see what Amazon do on the market for prestige beauty that is dominated by department stores, which, if not some event promotions per year, not on their lines of upscale makeup sale.
Except for gift with purchase, and friends and family discounts, common language, "prestige beauty offers not preclude [the product]" Karen Grant, vice president and global beauty industry analyst of the market research firm NPD Group, said Forbes.
But the beauty of the Amazon is still in recovery this year that buyers may soon be able to get these luxury brands for less.
"This is where the Amazon," which became known as the low price leader in online - "can dramatically alter [the company]" the Wal-Mart of the Web, said Grant.
It is no wonder that Amazon wants a piece of the action. The prestige beauty market in the USA possible, including the make-up department, perfumes and skin care, achieved turnover of $ 10600000000 in the 12 months to April 2013 following NPD study.