Bye, bye, beauty supply stores. Amazon is here to steal your lunch
Today, Amazon launched a new section on its website devoted to beauty professionals, offering stylists, barbers, hairdressers, and estheticians a new alternative to their local beauty supply store. In a blog post, Amazon announced that it would sell products from brands like OPI Professional and Wella Color Charm, which you might find at your local hair or nail salon. Customers will have to submit their credentials to Amazon before they will be able to gain access to the store.
While the average consumer buys their beauty products from retailers like Sephora and Ulta, the world of professional beauty suppliers is more fragmented. There are a couple of large online and brick-and-mortar retailers like Sally Beauty and Beauty Depot, and there’s also a network of smaller mom-and-pop type beauty suppliers. All of these stores are likely to take a hit from this new Amazon service, which will offer fast delivery through Amazon Prime and promises competitive prices.
Reuters reported earlier today that shares of beauty retailers took a hit after this announcement. Ulta Beauty Inc. share prices fell about 3% and Sally Beauty Holdings dropped 9%. In other words, Amazon may be about to steal their lunch.