NielsenIQ: AAPI Consumer Spend Drives Market Growth

As beauty broadens its audience to encompass more multicultural consumers, one cohort has emerged with tremendous spending power.

According to a new report from NielsenIQ, Asian American consumers spend 22.75 percent more than the average consumer on beauty, making them the demographic cohort with the most buying power on the beauty market.

“We talk a lot about multicultural consumer targeting, and we really should be thinking about Asian American consumers,” said Anna Mayo, beauty vertical client director at NielsenIQ. “They are a huge growth driver with a really high spending power.”

Beyond a wider budget for beauty, Asian American consumers are leading the omnichannel charge, as well as other trends. “They’re trendsetters, especially in the digital realm. The industry is so obsessed with skin care, and Asian American consumers really trended forward on skin care ahead of the curve,” Mayo continued.

Here, key findings from the report:

Asian American consumers spend $375.36, on average, versus the total U.S.’s $305.79.

The average American consumer spends $11.19 per trip, as opposed to $14.23 for Asian American consumers.

Asian American shoppers make roughly one less trip annually at 26.4, whereas the average consumer makes 27.3.

Beauty product purchase patterns for skin care products are 34 percent higher than the general consumer.

Online shopping has a 62.46 percent buyer penetration with Asian American consumers, making them the second highest segment of online beauty shoppers.

For more from WWD.com, see:

Black, Hispanic Shoppers Driving Beauty Sales, According to NielsenIQ

Nielsen: E-commerce Is Reversing Slowdown in Mass Beauty and Personal Care

Five New Beauty Products from AAPI-Founded Brands

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