Daily Insights

Huda Beauty’s Wishful Thinking

By: Victoria Mauriello | Feb 12, 2020

Although consumer interest in color cosmetics wanes, skin care is on the rise, accounting for 60% of total prestige beauty sales growth in 2018. Moreover, according to Gartner’s Digital IQ Index: Beauty US 2019, traffic to skin care sites has increased by 38% since the first quarter of 2017, outpacing that of leading color cosmetics brands. 

Huda Beauty, falling prey to category-wide dynamics, slowed its growth from 50% to 25% from 2018 to 2019. Perhaps looking for wider growth opportunities, Huda Kattan recently moved into the skin care category with her new line, Wishful

Initially launching with just one product, Wishful is a big shift from Huda’s current makeup line, Huda Beauty. With Wishful, Huda is placing an emphasis on simplicitya departure from Huda Beauty’s shimmery eye palettes and bold lip colors. She states, “We are not going to have products for every single skin issue. We’re not going after acne, we’re not going after wrinkles or hyperpigmentation—what we’re going after is soft, smooth skin [and] diminished pores.” 

Wishful will be sold in about 2,000 of Huda Beauty’s existing retail partner locations, including Sephora, Harrods, and Boots, which will likely play a key role in determining the line’s success. In the US, Sephora has the second-highest share of online skin care sales, and the retailer is making bets to grow its share of the category. Sephora recently announced plans to open 100 new stores that highlight skin care and hair care over color cosmetics. As competition accelerates across all beauty categories, multi-axis brands should prioritize investments for high-growth skin care categories. Color cosmetics brands, in contrast, should monitor skin care line launches from color peers and explore how to best position their products as compliments to growing categories.