Beautifully Bankrupt
By Anaya Joshi
It's difficult to put a price on beauty, but it's certainly not cheap, and its importance can't be viewed through a single lens. There are cultural, psychological, and social influences that make beauty as desirable and elusive as money itself. That may be why the business of beauty is a $500 billion industry. According to Statistica, the average annual expenditure on personal care products and services per consumer household in the United States was around $866 in 2022. The cost is only expected to increase due to the rise of social media and beauty influencers.
According to Statistica, this phenomenon, known as "social commerce," has driven up spending on beauty products, especially among Gen Zers, who spend $2,048 annually on beauty. For some consumers, beauty is right up there with food in terms of importance. Their daily budget for beauty would undoubtedly catch the ire of financial coaches like Dave Ramsey. There is also a growing trend toward "clean beauty," where consumers prefer products made with natural, non-toxic ingredients. These trends are due, in part, to influencers who are paid by beauty brands and are sent products to review and "influence" their followers to purchase the items. As a result, many younger consumers feel compelled to invest in beauty regimens and procedures to keep up with societal ideals, regardless of the financial strain.
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In light of this inherent "conflict," it's worth noting that some influencers offer valuable insight that can help consumers save money. For example, Charlotte Tilbury has a product called "Hollywood Flawless Filter" that serves as a "complexion booster that blurs, smooths, and illuminates for a real-life filter effect" (Sephora). It retails for 49 dollars at Sephora and Ulta. However, another brand, Elf Cosmetics, has also developed a similar product called the "Halo Glow Liquid Filter Highlighter." Some influencers have claimed that these two are duplicates of each other, providing the same benefit. Yet one is a fraction of the price which means you can have smooth skin and still splurge on a Starbucks Latte. Sorry, Mr. Ramsey.
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In my observation, many luxury brands set prices based on the perceived quality of their products. However, what exactly determines quality? Some companies emphasize using premium ingredients or formulations, such as rare botanical extracts, advanced skincare technologies, and finely milled pigments. Also, luxury makeup brands often use elaborate packaging, including sophisticated containers, intricate designs, and premium materials, contributing to higher manufacturing expenses.
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So, how can you pursue beauty without going bankrupt? Let's be honest here. You really can't unless you broaden your definition of beauty, set limits on how much you will spend, and become selective about who influences your buying decisions. Without these standards, it's way too easy to chase societal trends that put a real financial strain on your wallet. You might look great on the outside, but no beauty treatment in the world will improve the way your bank account looks.
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