Beauty and personal care services are often treated as a single category, but consumers do not think about them that way when it comes to budgeting. L.E.K. Consulting recently conducted a consumer study on pricing perceptions within multiple beauty service categories.
Consumer Products
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Consumer products companies face structural challenges,
including slowing growth, market fragmentation, and higher consumer expectations. They must also manage inflation, private-label expansion, and greater price sensitivity. As a result, value creation is shifting from scale to precision, with growth now driven by targeted engagement and disciplined execution.
Improved performance and value creation requires both innovative growth strategies and disciplined portfolio optimization and margin management. Leading organizations integrate data and AI into core decisions for pricing, promotions, and demand forecasting to improve speed and accuracy. Success now depends on personalization and insight-driven execution, rather than broad reach and intuition.
80%
of consumers
are more likely to purchase from brands offering personalised experiences
92%
of retailers
are increasing investments in generative AI for personalisation
30.5%
Retail AI adoption is projected to grow to $31.18 billion by 2028
at a CAGR of 30.5%
Sources: L.E.K. research and analysis, Epsilon, Salesforce, Retail Insider
L.E.K. partners with consumer products companies to turn these shifts into measurable results by accelerating growth, strengthening competitive advantage, unlocking profit opportunities, and mitigating risk. We support clients in refining brand and portfolio strategies, optimizing channel mix, and executing value-enhancing deals by improving operational, digital, and supply chain performance.
Our deep industry and sub-sector expertise, from health & wellness to food & beverage, underpins every engagement, with senior leaders actively involved to enable fast, confident decision-making. Combining global perspective with an agile delivery model, we bring both strategic insight and executional speed to dynamic, fast-moving markets. Across billions of dollars in transactions, including M&A, partnerships, and divestitures We consistently convert strategy into tangible business impact.
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