"My take is that revenue will be flat to slightly up in comparison to 2024 - low single-digit growth at max. 2024 was up 4% from projections, which surprised everyone in the beauty industry and across CPG in general. However, with rising costs of living and tariffs - which will start to trickle down to the consumer right in time for the holiday season - consumers have less disposable income to spend, and so they are making extremely conscious decisions about where to spend that."
"Honestly, it's both. But during the holidays I always tilt heavier toward new customers compared to the rest of the year. Holiday is one of the rare moments where consumer behavior naturally shifts - people are browsing, sampling and purchasing outside of their usual go-to brands. That inevitably creates an opportunity to drive trial [testing] at scale. For new customers, holiday is the perfect entry point. They're either buying a gift and discovering the brand in the pro"
Marketers expect flat to low single-digit revenue growth for the 2025 holiday season after 2024 exceeded projections by about 4%. Rising costs of living and tariffs are expected to reduce disposable income and make consumers more deliberate about spending. Holiday strategies will blend acquisition and retention but tilt toward acquiring new customers because seasonal browsing, sampling and gifting drive trial at scale. Brands will use holiday promotions to convert first-time buyers while balancing discounts and margin pressures. Channel choices and discount levels will be guided by conservative revenue expectations and the need to maximize efficient customer acquisition amid tighter consumer budgets.
Read at Digiday
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