Why beauty ecommerce is leading the way in online retail

Beauty brands have cracked the code for social commerce. What can wider ecommerce markets learn from their successes?

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Key Takeaways:

  • The beauty industry is outperforming other major categories online
  • Its successes are largely driven by visual storytelling, creator-led content, and community building
  • Beauty’s ecommerce success can provide a roadmap for retailers looking to grow organically online

Beauty brands are having a moment on social media, with online beauty sales growing at roughly triple the rate of the wider retail sector, and haircare and skincare emerging as some of the sector’s strongest-performing categories.

As more consumers discover and buy products on social media platforms, the beauty sector is emerging as the clear winner of the social commerce boom. From visually led product demonstrations to user-generated content and authentic customer reviews, beauty brands have mastered the art of turning scrolling into sales.

But these strategies aren’t exclusive to beauty: the market’s success offers valuable lessons for retailers across every category. So, what’s driving beauty’s ecommerce triumph, and what can other brands learn from the sector’s glow-up?

Beauty emerges head and shoulders above traditional ecommerce

The beauty sector was initially one of the most difficult retail categories to crack online, due to virtual barriers preventing consumers from testing products and comparing shades in person. However, cut to today, and the beauty industry has become one of the biggest ecommerce success stories. 

According to a report by Retail Economics, health and beauty has comfortably outpaced much of the wider retail market, recording impressive year-on-year growth of 42.3% in 2026. The story is similar in overseas markets, with NielsenIQ State of Beauty 2026 revealing that the global beauty market is growing 10% year-on-year.

This growth stands in stark contrast to many traditional ecommerce categories, which have struggled to maintain the growth that was seen during the pandemic.

The winning formula behind beauty’s ecommerce boom

The formula behind the sector’s ecommerce success is no secret. Beauty products are highly visual, allowing brands and creators to demonstrate results and showcase products authentically, in a way that’s hard to replicate with traditional advertising.

Brands have also mastered the power of community-driven content. From micro-influencer collaborations to authentic user-led content, beauty companies are turning customers into brand ambassadors, creating a constant stream of trusted recommendations that drive awareness and sales.

It’s also a case of marketing to the right audience. Younger generations have been at the forefront of the social commerce boom, with McKinsey & Company research finding that Gen Z and Millennials are more likely to discover beauty products on platforms like TikTok Shop and Instagram than older consumers. 

Combined with their growing interest in skincare, make-up and hair-care, this has created fertile ground for brands savvy enough to leverage social discovery into ecommerce growth – providing a blueprint for other sectors to follow.

How brands can replicate beauty’s “show, don’t tell” formula

While beauty’s successes may be specific to the sector, Pierre Faucher, CEO of Intrepid Philippines and regional head of social commerce, believes retail brands can learn a lot from the industry’s playbook. 

Speaking in Marketing Interactive, Faucher says the biggest lesson is the power of showing products in action. Brands that effectively demonstrate how a product works are better positioned to drive purchases. This is especially true for retail categories that rely on technical features like cleaning products, consumer electronics, and home appliances.

He also believes creator-led commerce will play an increasingly crucial role across industries, too. However, brands will need to move from one-off influencer campaigns and focus on building long-term partnerships with creators that resonate with their audience. 

Finally, focusing on building a community around your brand is the best way to convert one-off buyers into loyal customers. For example, the make-up and skincare brand Glossier turns customers into contributors, using feedback from its online community to influence the development of products like its Milky Jelly Cleanser.  

Ultimately, the success of the online beauty sector isn’t down to one tactic; it’s the result of marketing social commerce. However, the lesson it gives to other online retail categories is clear: brands that build trust and create genuine connections with customers will be the best positioned to succeed.

Quick actions you can take today:

  • Show your products in action – Demonstrate how your products work using short-form videos. The more visually engaging, the better
  • Partner with the right creators – Build long-term relationships with creators that genuinely care about your product 
  • Turn customers into advocates – Encourage reviews, testimonials and user-generated content to provide social proof of your product
  • Build a community around your brand – Use social platforms like TikTok and Instagram to create conversations around your products
Written by:
Isobel O'Sullivan
Isobel O'Sullivan is a News Editor at Startups.co.uk with over five years of experience covering business and technology news. Since studying Digital Anthropology at University College London, she’s written for Tech.co, Expert Market, and Eco Experts, using her expertise to distil complex topics, and has had her work linked to in leading publications like the Financial Times and The Guardian.
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