Reasons to Read

Discover why growth in the US beauty market no longer guarantees a stronger business, and uncover the widening split between companies that are gaining ground and those falling behind. Read this report to find answers to these key questions:

• Why are some companies continuing to gain market share while others lose both share and profitability at the same time?
• How is the shift toward proven, ingredient-backed formulations changing which brands earn consumer trust and shelf space?
• Why is e-commerce growing faster than the overall beauty market, and how close is online shopping to overtaking physical stores?
• Which retail channels are shrinking, and how much of that decline comes from store closures and pharmacy economics rather than weaker beauty demand?
• How are AI-powered tools reshaping the competitive gap between large and small retailers?
• Where is store expansion accelerating, and which retailers are pulling back their physical footprint instead?

Companies mentioned in this report include: Ulta Beauty; Sephora; Bath & Body Works; Sally Beauty Holdings; L’Oréal; Estée Lauder Companies; Coty; e.l.f. Beauty.

• This report is a part of our 2026 series of Market Navigator reports, which provide deep dives on major retail sectors and on US retail overall. Click here to see more Market Navigators and check back as we publish more.