Mexican Beauty Brands: Riding the Wave of Opportunity
A new era of prosperity is unfolding for Mexican beauty founders. As international powerhouses like Charlotte Tilbury, Ulta Beauty, and Unilever deepen their foothold in the Mexican market, homegrown brands are primed for a moment of glory. Fueled by increasing wealth and a steady influx of migrants seeking a new life, Mexico’s beauty industry is vibrant and evolving, with domestic brands ready to capture this growing momentum.
An Industry Poised for Growth
According to Rémi Martini, co-founder of the fashion and beauty line Sarelly Sarelly, “Mexico has long been unfairly criticized as a haven for narco-trafficking, but today, we have the chance to showcase that the future of fashion and beauty lies within our borders.” With consumer preferences leaning towards local brands, names like Sarelly Sarelly, OD Beauty, Aora Mexico, Xinu, and House of Bo are set to flourish in this evolving landscape.
Political and Economic Factors Favoring Growth
Political shifts and economic conditions are further enhancing the prospect for Mexican brands. Karina Gonzalez Ulloa, beauty and lifestyle editor at Vogue Mexico, observes a notable trend: “With changing political climates, Mexicans are embracing their identity and expressing pride in their heritage.” The unemployment rate in Mexico also hit a stunning low of 2.4 percent in 2024, as the beauty sector continues to thrive, driven by increasing demand for premium, specialized products, as reported by Euromonitor.
The recent boom in domestic brands is evident, particularly among younger consumers who gravitate towards bold and vibrant colors. With the Día de los Muertos holiday in November becoming a focal point for purchasing colorful makeup, retailers like Sephora and El Palacio de Hierro are expanding their presence in Mexico. Since 2023, Sephora has opened between seven and ten new stores annually, with plans for more locations in Puerto Vallarta, Ciudad Juarez, and Hermosillo.
The TikTok Revolution
Mexican beauty brands are also leveraging platforms like TikTok Shop to gain traction. Martini highlights the immense growth Sarelly Sarelly experienced after launching on the app. “We witnessed a double-digit increase in our sales on Amazon without any extra marketing efforts,” he explained. This success has motivated the brand to invest in live streams and promotions, creating a wave of credibility before entering larger retail spaces like the US-based retailer Credo.
Local brands hold a unique advantage, understanding the cultural nuances and preferences of Mexican consumers. Gonzalez Ulloa cites Aora Mexico’s innovative use of chili ingredients in their lip products as a testament to this cultural pride. “There’s a trend of wanting to celebrate our local ingredients,” she states.
Navigating Global Markets
At the intersection of geography and politics, Mexico enjoys a significant opportunity given its proximity to the US—the largest economy and beauty market globally. Foreign brands looking to expand find Mexico an attractive launchpad due to fewer restrictions on imports.
Unilever‘s recent commitment to invest $1.5 billion, including a new beauty-product factory in Nuevo Leon, underlines the potential seen in Mexico’s beauty landscape. Despite a projected GDP growth sluggishness of around 2 percent, overall disposable income is rising, and affluent expats flock to Mexico, creating a burgeoning market of beauty-savvy millennials and Gen-Z consumers.
While established global brands dominate retail spaces, TikTok Shop is reshaping the playing field. Local brands unable to penetrate Sephora or department stores can quickly establish a presence on the app. Agencies like Outlandish are stepping up by facilitating content creation tailored to these brands, bridging language barriers for wider outreach.
Seizing the Latino Market in the U.S.
Mexican brands are also well-equipped to tap the expanding Latino market in the U.S. As reported by L’Oréal’s CEO, Nicolas Hieronimus, the U.S. already represents a significant market, with the Latino population increasingly driving beauty consumption.
Research from Nielsen IQ shows that Spanish-speaking customers in the U.S. outspend their non-Hispanic counterparts, particularly in categories such as hair care, fragrance, and cosmetics. Nevertheless, few mainstream brands explicitly target Latinx consumers, presenting an opportunity for Mexican brands like Sarelly Sarelly, which gained popularity rapidly through engaging Spanish-language content on TikTok.
“The community is craving authentic connections,” Martini emphasizes, adding that fidelities to heritage-driven brands hold considerable weight. “To position yourself as a defining Hispanic brand, you must resonate within your home market before branching out internationally.”
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