Last week, the British Beauty Council published its 2024 "Value of Beauty" report, looking at the economic impact of the UK personal care industry in 2023 and 2024.
It highlights that the sector's direct contribution increased by 11% in 2023, or 3% after adjusting for inflation. By comparison, this is larger than publishing and the creative, arts and entertainment activities sectors.
The personal care industry had a GDP contribution of £27.2 billion, which was driven by a 10% increase in spending on personal care products and services by UK households.
My first reaction was to wonder if there was a correlation between these figures and trade mark applications. I have run quick searches based on applications in Class 3 (which broadly covers cosmetics and perfumery):
I can see that UK trade mark applications (nationals and IR designations) covering Class 3 amounted to 10,628 in 2022 and 10,979 in 2023. This represents a 3.30% increase, which matches the beauty industry growth reported by the "Value of Beauty" report (taking inflation into account).
Of course, this is far from accurate because (1) Class 3 covers some goods which are not strictly speaking beauty products such as toothpaste or laundry products; and (2) the beauty sector comprises goods/services falling within other classes such as 44 for beauty services or 8 for beauty care tools. Unfortunately digging out trade mark applications which strictly relate to the beauty sector would be a far larger - and longer! - exercise.
It does not come as a surprise that trade mark filings follow sector trends and it will be interesting to see whether the "beauty" trade mark growth continues in a similar fashion to that of the industry. The report predicts growth of 3% in 2024, which is higher than the 1% average for the economy...
Key findings from the Value of Beauty Report include: In 2023, the beauty and personal care industry made a direct contribution to UK GDP of £13.5 billion. The industry's activities supported an additional £13.6 billion of UK GDP through its supply chain and employee spending, implying a total contribution of £27.2 billion. Nearly half of the personal care industry's total GDP contribution in 2023 (£13.5 billion) was generated by the industry itself, representing 0.5% of the nation's GDP. The industry's workforce increased to 418,000 in 2023, a 10% increase on the previous year. As an employer, the beauty industry is more important than the real estate sector. Economic activity sustained by the beauty and personal care industry supported £7.3 billion in tax revenues, of which £3.6 billion was contributed directly by the sector and its workforce.
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