Aug 28 2018
Consumers have become increasingly image-conscious due to social media. This has boosted the popularity of beauty-related services.
The increasing influence of social media on consumers’ everyday lives has been a key driver for the ever-growing obsession with appearance. Over the past five years, Facebook, Instagram and other social media giants have been instrumental in changing how consumers view their appearance. This has boosted demand for hairdressing and beauty services, as more consumers try to maintain their appearance or cultivate a specific image on social media. This ha s prompted revenue for the Hairdressing and Beauty Services industry to grow by an annualised 0.8% over the five years through 2018-19.
Revenue for the Plastic Surgeons industry has grown more strongly, increasing by an annualised 6.2% over the five years through 2018-19. The stigma around plastic surgery has lessened, with more consumers becoming interested in plastic surgery procedures. The growing obesity epidemic in Australia has also prompted a surge in liposuction procedures, as consumers have been attempting to ‘reset’ their body weight. Approximately 66.1% of the Australian population is expected to be above the recommended body mass index in 2019. This number is projected to increase to 73.9% by 2024. As a result, liposuction procedures are forecast to be a key driver of revenue for plastic surgeons over the next five years.
Plastic surgery providers have also been trying to capture a wider market by attempting to remove the stigma around plastic surgery for men. Currently, the largest plastic surgery product segments for men are liposuction and breast reduction. Some providers have attempted to advertise botulinum toxin, or Botox, to men as ‘Brotox’. Currently, men are expected to make up approximately 10% of all Botox sales. However, this campaign, if successful, could provide a large revenue stream for plastic surgeons over the next five years.
To compete with plastic surgeons, some hairdressing and beauty services operators have also begun offering plastic surgery procedures such as Botox. However, some of these operators are unregulated, which has increased concern for consumers’ health and safety. Several tragedies have occurred over the past five years as a result of unregulated plastic surgical procedures, prompting calls for stricter regulations. Regulations were tightened in 2016 and further regulation proposals were made in 2018 to increase consumer confidence and prevent needless tragedies.
Australia’s ageing population is also expected to increase demand for both hairdressing and beauty services and plastic surgery, as image-conscious consumers pay significant sums of money to hide visible signs of ageing. Hair colouring and anti-ageing procedures are forecast to become more popular as a result. Discretionary income is also projected to grow over the next five years, becoming a potential key revenue growth driver for both hairdressing and beauty services and plastic surgeons.
Industries mentioned in this report: