This is How to Pivot if You Run a Lipstick-Like Business

In 2001, seeing an uptick in lipstick sales in spite of the recession, Leonard Lauder of renowned cosmetic company, Esteé Lauder, coined the term ‘lipstick index.’ The principle in effect meant that because people see lipstick as an affordable luxury, its sales will remain strong even in difficult times.

Leonard Lauder
Leonard Lauder had proposed that lipsticks will always sell in difficult times because they are an affordable luxury item, but he was wrong. Image courtesy of The Cubist Catalogue for the Metropolitan Museum of Art

It is clear now that his definition of ‘difficult times’ did not include the Coronavirus pandemic.

Of all the products in the beauty, skincare and cosmetic industry, lipsticks and lip care products have been the worst hit according to reports and studies. The reason is simple: most countries have made the use of face masks mandatory as they try to return to normal life. Even when masks, which cover virtually half of your face, are not mandatory, it is highly advised to have one on to reduce the risk of contracting the virus.

A man with a mask on his face
Wearing a mask has made the use of lipstick almost an unnecessary chore. Image courtesy of Tai’s Captures on Unsplash

But, like other discretionary products, the industry is optimistic, hoping that this phase will blow over soon and life will get back to normal. If only optimism alone would keep business doors open and bring in customers that are the engine of any industry.

So, you produce a lipstick-like product. How do you stay in business?
So, you produce a lipstick-like product. How do you stay in business? Image courtesy of Amanda Dalbjörn on Unsplash

What then do you do if you run a lipstick-like business, classified under highly non-essential, discretionary products?

Modify

Lipsticks may not be a necessity at the moment, but lip glosses and balms definitely are. Partially masked faces do not solve chapped, dry lips and the masks are going to come down at some point, right?

A hand holding a lip balm to illustrate how lipstick brands are surviving in the coronavirus
Creating a product or service similar to what you currently offer may be the difference between closed doors and a thriving business. Image courtesy of Kedar Dhond 📷 on Unsplash

Lipstick brands and businesses whose products have been deemed non-essential in a time like this may have to consider nearly-similar products they can immediately offer consumers that would be useful to them and would not be a great shift away from their brand vision.

Improve

What is worse than leaving lipstick stains everywhere? Having lipstick stains all over your mask and possibly on your face!

One of the reasons why even cosmetic enthusiasts are shying away from lipsticks is the smear it leaves all over the mask. But so do powders, you may say. Well, it features above the mask,  so we can overlook it. But of what use is a lipstick-stained mask when no one can see it?

Woman with eyeliner and lipstick to illustrate how companies like lipstick brands can stay alive in the coronavirus
Improving existing products to take care of complaints and concerns, like creating a matte, non-smear lipstick line, would help to keep your business relevant even if you are not offering an essential product. Image courtesy of Rodger Shija from Pixabay

This is why demand for matte, non-smear lipsticks are on the rise. Just as brands would have to release non-smear lipsticks to bring in sales, so also would your business need to improve on existing products to give consumers a good reason to spend on a commodity that will not have any significant impact on their lives during this time.

Expand

Again, research and trends have revealed that eye makeup is the new lipstick. Sales of mascara and eyeshadow have skyrocketed since the pandemic. Modifying your products to reflect what consumers really need is good, but introducing new products related to your brand which will be useful for them is even better.

Picutre of a fully made up woman in a green turtleneck to illustrate how lipstick companies can remain relevant during the coronavirus
Diversify into other products/services that are in line with your brand and which your consumers want. Image courtesy of Jennifer Enujiugha from Pexels

Retaining relevancy in current times involves more than moving your business online or offering discounts. It is an entire process that starts with asking, “what does my ideal customer need now that I can offer?” If the answer is not your product, then, that is where the change should begin.