Online sales from store by 6x as digital and AI driven business is increasing worldwide.
CHICAGO, April 01, 2026NielsenIQ (NYSE: NIQ), the global leader in consumer intelligence, today released its State of Beauty 2026 report, which shows the global beauty market has grown by 10% year-on-year, with E-commerce growing six times faster than retail sales. The findings highlight the rapid transformation of digital-first, AI-driven business in key global markets.
As consumer expectations continue to evolve toward convenience, personalization, and seamless digital experiences, beauty brands are under increasing pressure to adapt. From AI-driven product discovery to social commerce and mass purchasing, the shopping experience is becoming more dynamic – requiring products to move faster and engage customers across an increasingly complex environment.
Key findings from the State of Beauty 2026 report:
Global beauty sales increased by 10% year-on-year, driven by strong digital acceleration
E-commerce is growing 6x faster than retail, changing channel strategies
49% of consumers are willing to pay more for locally made products, reflecting the growing demand for authenticity and trust.
52% will pay a premium for convenience, as time-saving solutions drive purchasing decisions
63% of consumers prioritize mental health, reflecting continued growth in overall well-being
“Beauty is entering a new phase of growth defined by increasing rigor and sophistication,” Tara James Taylor, SVP, Beauty Vertical, NIQ. “Consumers are more willing to spend money, looking for products that offer real value, convenience, and health. At the same time, AI and digital commerce are changing the way consumers discover and evaluate products, changing the benefits to products that appear clearly and consistently throughout the digital environment.”
Digital behavior is accelerating this change. More than half of consumers are already reviewing AI-enabled shopping tools, and 49% are already receiving beauty recommendations from AI-powered products. Social commerce is growing rapidly, with 53% of consumers buying through social platforms and 22% buying directly through the TikTok Shop. In China, Livestreaming accounts for 70% of beauty sales on platforms such as Douyin, highlighting the growing importance of content-driven commerce.
These changes define how products are found, verified, and purchased, and they turn online communication into an immediate change and drive sustainable growth for the group.
As AI, social commerce, and the digital environment transform the customer journey, brands that invest in intuitive, transparent, and data-driven experiences will be well-positioned to build trust and capture growth in the future of beauty.
About the Report
Picture of NIQ 2026 State of Beauty Report is based on retail sales data across 9 categories in 52 markets, supplemented by consumer panels and advanced data collection methods including web scraping to capture a comprehensive view of global beauty shopping behavior.
To download the full review, visit: click here.
Questions: The State of Beauty 2026
What is driving the growth of the global beauty market?
The global beauty market grew by 10% annually, driven mainly by the rapid growth of e-commerce, which is growing six times faster than retail sales. Digital channels, social commerce, and AI-enabled discovery are accelerating customer engagement and conversion.
How is AI influencing beauty purchasing decisions?
AI continues to shape the way consumers discover and evaluate products. More than half of consumers are exploring AI-enabled shopping tools, and 49% are already getting beauty recommendations from artificial intelligence – helping to drive decisions and personalize the shopping experience.
What role does social enterprise play in the growth of beauty?
Social enterprise is a major factor in the group’s expansion. More than half of consumers (53%) now shop through social platforms, and 22% shop directly through the TikTok Shop. In markets like China, flow rules, with most of the beauty sales on platforms like Douyin driven by content.
What do today’s beauty consumers prioritize?
Consumers are becoming more intentional and driven by value. Priorities include convenience, authenticity, and health—52% are willing to pay more for convenience, 49% for locally made products, and 63% consider mental health important to their beauty choices.
How should brands respond to these shifts?
Brands need to implement digital-first strategies, aligned with consumer expectations. This includes investing in AI-enabled experiences, strengthening presence across social and E-commerce platforms, and providing transparent, transparent and value-driven offerings.
What makes NIQ data and information unique?
NIQ combines the most extensive customer and store data with advanced AI and analytics to help companies understand what customers buy, why they buy them, and what to do next. This enables brands to move from insight to implementation with greater speed and confidence.
About NIQ
NielsenIQ (NYSE: NIQ) is a leading consumer intelligence company, providing a comprehensive and reliable understanding of consumer purchasing behavior and uncovering new avenues for growth. By combining unparalleled global data and customer and sales metrics with decades of AI experience, NIQ builds decision-making systems that help companies turn complex data into confident action.
With operations in more than 90 countries, NIQ covers approximately 82% of the world’s population and more than $7.4 trillion in global consumer spending. With cloud-based platforms, advanced analytics and AI-driven insights, NIQ offers The Full View™—helping businesses and marketers understand what customers buy, why they buy them, and what to do next.
For more information, please visit www.niq.com.
Expected Statement:
This news release on the State Of Beauty 2026 reportmay contain forward-looking statements about expected consumer behavior, market trends, and industry developments. These statements reflect current expectations and estimates based on available data, historical trends, and various assumptions. Words such as “anticipate,” “anticipate,” “plans,” “believe,” “anticipate,” “strategy,” “anticipate,” “anticipate,” and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future results and are subject to inherent uncertainties, including changes in consumer preferences, economic conditions, technological advances, and competitive forces. Actual results may differ materially from those expressed or implied in these statements. Although we strive to base our insights on reliable data and best practices, we make no commitment to update forward-looking statements to reflect future events or conditions, except as required by applicable law.
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