US Beauty Retailing: Themes, Concepts and Innovators—Personalization, Tech Integration and Wellness To Drive Change

The US beauty market is converging at the intersection of wellness, biotech, artificial intelligence (AI) and shifting consumer values, creating a redefined vision of beauty—one that is hyper-personalized, tech-integrated and wellness-aligned. Brands that fail to adapt risk obsolescence; those that do adapt will unlock new pathways for growth, engagement and innovation.

As part of our 2025 Market Navigator on beauty retailing in the US, we explore the key trends and themes in the space, our blue-sky thinking and the retail innovators we are watching.

Introduction

Blue-Sky Thinking

1. AI and Biotech Will Drive Hyper-Personalized Beauty Care
2. AI Avatars Will Evolve Into Digital Beauty Twins
3. Robots Will Automate Daily Beauty Routines With Precision and Speed
4. Lab-Grown Ingredients Will Make Rare Beauty Actives Accessible and Sustainable
5. Beauty Shopping Will Shift From Channels to Consumer Intent

Market Factors

1. An Aging Population Will Fuel Demand for Longevity-Focused Beauty
2. Self-Care and Wellness-Focused Beauty Are Driving Market Growth
3. GLP-1 Drugs Are Reshaping Consumers’ Beauty Needs
4. The Fragrance Category Emerges as a Resilient Growth Anchor
5. Geopolitical Uncertainty Is Reshaping Beauty Manufacturing Strategies
6. Subdued Inflation

Themes We Are Watching

1. AI Is Transforming the Beauty Value Chain Value Chain
2. Beauty is Moving from the Surface to the Cell
3. From Transactions to Relationships: Retailers Bet on Experience and Loyalty
4. Major Players Compete Amid a Hyper-Fragmented Beauty Landscape
5. Social Media Platforms Continue to Drive Beauty Discovery
6. The Personalization Movement Beyond One-Size-Fits-All

Retail Innovators

• Adeptmind
• Centric Software

What We Think

• Implications for Brands/Retailers
• Implications for Real Estate Firms
• Implications for Technology Vendors

Notes

11-page PDF report

1. Selected Beauty Companies: Tariff Exposure Overview
2. Consumer Price Index: Personal Care Products CPI vs. Total CPI (year-over-year % Change)
3. AI Applications Across the Beauty Sector Value Chain
4. Social Media Shoppers: Platforms Used to Purchase New Products in the Past Three Months (% of Respondents)​