What a month! From Taylor Swift appearing on her first podcast, announcing a new album and posting THOSE engagement photos on Instagram, it would be easy for us to end our August round up right here. However, even with all of this (rather focused) excitement, the beauty, fragrance, skincare and broader FMCG industries haven’t stalled.
As August draws to a close, it’s clear that consumer demands for value, differentiation and individuality mean that brands must move beyond surface-level trends and embrace a more profound understanding of modern consumers.
Throughout 2025, we’ve noticed that the focus is shifting from “what’s next” to: how do we build resilience, earn trust and deliver meaningful value to meet the complex and discerning needs of our consumers?
We have been on hand to support brands in delivering exceptional and innovative campaigns and experiences that take consumers from passive shopper, to brand advocate. As August draws to a close, we’re looking at some of the main trends that have dominated this month. Let’s dive in.
Throughout 2025, the beauty category has remained relatively resilient. It’s considered a moderate luxury that consumers are reluctant to cut. However, economic headwinds are impacting consumers, meaning the pressure to justify pricing is mounting this August.
Equally, a PwC report found that while 83% of consumers feel haircare is affordable, this figure drops to 67% for fragrances. This indicates a higher scrutiny of value for more premium categories, forcing brands to rethink their value proposition beyond the product itself.
European brands are tackling this challenge by shifting their focus from simple product volume, to good old-fashioned storytelling. This renewed value narrative means they’re no longer selling a cream or a scent; they’re selling a solution rooted in scientific efficacy and complete transparency.
A direct reflection of this is the surge in “sea science” and biotech ingredients. This is a strategic move to justify a higher price point for skincare by offering high-performance, sustainably sourced alternatives that appeal to the aspirational consumer, described by PwC as “a shopper who prioritizes health, convenience and sustainability, even amid economic constraint”. Dubbed ‘Clean Beauty 2.0’, sustainability is a baseline expectation, not a differentiator, with brands providing clear, data-backed evidence of their ethical and environmental claims.
As 2025 progresses, it is clear that success lies in investing heavily in consumer segmentation and emphasizing unique value drivers. As McKinsey advises: “brands will need to increase their investments in customer segmentation, emphasize their unique value drivers in marketing campaigns, and create entry points for aspirational and increasingly discerning beauty shoppers alike.”
The UK beauty sector has defied economic gravity this year, growing at an impressive rate - four times faster than the national economy! Yet, as the British Beauty Council’s Value of Beauty report for 2025 predicts, a slowdown in job growth and consumer spending on personal care, will begin to test brands. While consumers aren’t cutting back entirely, they are becoming more strategic in their spending, with a phenomenon emerging this August: High/Low Beauty - in other words, hybrid consumer behavior.
This consumer behavior is a key area for strategic focus. Our partner, Boots, published a Beauty Trends Report for 2025, noting that over a third of their Advantage Card members are simultaneously buying both budget-friendly makeup and premium cosmetics. This certainly doesn’t indicate a lack of brand loyalty; it’s actually a new form of brand loyalty that is both highly-curated and purpose-driven. Consumers are prepared to invest in a ‘hero’ product, for example, a serum, foundation or high-end fragrance - while seeking out affordable options for everyday essentials.
This trend is further amplified by the influence of social media, the rise of the viral dupe, and product reviews via user-generated content, providing the blueprint for this High/Low Beauty strategy.
In the UK, the path to long-term growth is an omnichannel strategy that empowers the discerning shopper. Retailers and brands must offer a seamless blend of physical and digital experiences, where consumers can discover a viral trend online and then “test, trial and receive in-person advice” in store. This reinforces the value of both a luxury splurge and the savvy, budget-friendly purchase. This holiday season is a perfect time to test this theory, solidifying a brand’s place in a consumer’s carefully curated routine before we head into 2026.
The North American market is a hub of innovation, but with rapid technological advancements taking place throughout the region, the pressure to deliver genuine value rises too. As PwC’s research highlights: top-performing companies are twice as likely to have adopted an AI-specific model. This challenge is moving beyond technological adoption for its own sake and using it to solve core consumer problems. In the North American market, this is an ongoing demand for hyper-personalized, effortless consumer experiences.
Personalization is now a baseline expectation, rather than a perk. A McKinsey study found that 71% of consumers expect a personalized shopping experience. August’s trends demonstrate how brands are addressing this with both AI and AR.
For example, the launch of Louis Vuitton’s La Beauté, although a luxury play, represents a move towards exclusive, highly tailored experiences. On the other hand, the proliferation of AR-powered virtual try-ons and AI skin diagnostics - as seen in partnerships such as Coty’s with Perfect Corp - is democratizing personalization.
It’s clear that forward-thinking brands are leaning in and using these tools, not just to sell more products, but to build trust and authority among an increasingly discerning consumer base.
In 2025 and beyond, the North American market is expected to continue to use data and AI to deliver a connected commerce experience for consumers. This means linking consumer data from all touchpoints - online reviews, social media engagement and in-store purchases - to provide a 360-degree view of the North American consumer. As Mintel notes, marketers are “revitalizing their strategies by embracing AI and data analytics to create hyper-personalized experiences.” Brands that can master this will be the ones that build lasting, valuable relationships with consumers.
August represents a blueprint for growth
The trends observed globally throughout August are not isolated; they’re interconnected, strategic threads revealing a way forward for brand marketers. The one-size-fits-all strategy is over, paving the way for agile, authentic strategies, and brands that are deeply attuned to the nuances of their customer base.
On a more macro level, the global market is moving towards a strategic balance between high-tech innovation and a return to fundamental consumer trust. In Europe, this means using biotech to provide transparent, scientifically-backed efficacy that justifies premium pricing in a cautious economy. In the UK, brands must begin looking at offering both aspirational luxury and accessible, relatable essentials that fit into the “High/Low Beauty” journey of a savvy shopper’s routine. And, in North America, we’re seeing an ongoing call to action for brands to use AI to build a personalized, consultative relationship with consumers, transforming transactions into tailored experiences.
Ultimately, successful companies worldwide will be those that view challenges as an opportunity to redefine their value proposition. By recognizing that consumer loyalty is no longer earned through blanket advertising and endless promotions, but through a genuine commitment to sustainability, efficacy and transparency, brands will begin to undergo a profound transformation. Brands that listen, adapt and innovate will lead the industry to its next phase of growth - not following trends.
We truly understand the discerning nature of consumers, which is why we’re setting trends with some of the leading brands on the planet, helping them serve the needs of their discerning consumers with ease. Let’s see how we can help you, shall we? Get in touch today.