Jenna Anderson
Mr. Reuter
Economics
18 April 2017
King Kylie on the Rise
The makeup industry is growing at a rapid speed, with the US being the single-handed largest buyer of beauty products in the world. It is estimated that we spent over $62 billion on cosmetics and beauty related services in 2016(Bates). There is such a high demand for these products because people want to achieve the look of chiseled cheek bones, full lips, and long lashes. There is a lot of buzz over these products due to YouTube videos and online reviews of the products. The one brand that is growing quickly currently is Kylie Cosmetics by Kylie Jenner.
In spring of 2014, tragedy struck America when Kylie Jenner lip injection rumors spread like a wildfire. From these came infinite lip plumping products, the Kylie Jenner lip challenge, and a multi-million dollar company called Kylie Cosmetics, which sells one of the most popular lip kits ever. The lip kits include a lipstick and lip liner, and come in over 30 different shades, and Jenner also releases limited edition shades for holidays and family members. The demand for Kylie’s lipsticks started because she claimed she never had lip injections, she just used good lipstick. Although this was a lie, her products have withstood all of the tests and tend to be very high quality compared to the knock off versions like Colourpop lipsticks. These lip kits are so popular that they often sell out within hours - one time even 7 minutes according to Jenner’s Twitter. One lip kit that immediately sold out called “22” had such scarcity that it was being sold online for $3,000. The scarcity of the product produced a shortage, so the demand and price went up for it.
Jenner’s name has been under some scrutiny for the price of her products, because it is said that they’re unreasonably high and that there are cheaper alternatives that are just as nice. There are many users that have compared the lip kits to other products, and some say that it’s not worth the price, but her products continue to sell out. There is such a high demand for products like these because of the Kylie Jenner name that comes with it. Her makeup is considered a luxury good, not a necessity because there are other cheaper alternatives, but her fans pay the price for the high quality and the brand name.
As her brand continues to grow, and reviews continue to be positive, the Kylie Cosmetics brand is steadily growing and releasing new products like Kylighter highlighter, eyeshadow palettes, glosses, blushes, and there’s much more to come as she continues to develop her company. As an A-list celebrity, it’s a little easier for Jenner to get her brand out there. She’s used her fame to her advantage to create a successful business become an entrepreneur.
Works Cited
Bates, Shelby. "Capitalism, Consumerism And Kylie Jenner's Lip Kits." Odyssey. N.p., 21 Apr. 2016. Web. 18 Apr. 2017.
Canal, Emily. "Kylie Jenner's Lip Kits, Social Status, And The Economics Of Scarcity." Forbes. Forbes Magazine, 03 Mar. 2016. Web. 18 Apr. 2017.
Schaefer, Kayleen. "Kylie Jenner Built a Business Empire out of Lip Kits and Fan Worship." Vanities. Vanity Fair, 30 Jan. 2017. Web. 18 Apr. 2017.
Coming from experience of sitting on her website for hours waiting for the moment Kylie's new products are released only to have them sold out in seconds, I can agree that there is a very high demand for this makeup line. This high demand has given little elasticity to her brand for now because almost all of her products sell out and consumers are avidly waiting to buy them again once they are restocked. But, because people can only buy so much of one product, once enough people own her products they will be sold out less and less.
ReplyDeleteThe demand for this product is so high since the Jenners are very famous. The lip glosses are mostly bought by young adults. There are alternative products that cost less, but most people still buy the more expensive product. There is always a shortage on these lip kits, since there is more demand than supply for this product. Great Topic!
ReplyDeleteI didn’t know that the US has the highest amount of makeup being bought. I would’ve thought it would be Great Britain or Australia due to the amount of people there that are beauty gurus versus the amount of beauty gurus in the United States. I also had no idea that the shade “22” was selling for so much. Although her products are pretty, I have heard that they’re slightly drying and tend to crack off, which would make a makeup product not get sold as much, however, as you said, she was using her fame to her advantage and that could be why the sales of the lip kits and other products are still being sold at a higher rate.
ReplyDeleteThere was also a large decrease in demand when bad reviews of her glosses were released. The applicator was too long for the bottle, so when people opened their $30 glosses for the first time, they saw a frayed and crushed brush which made for a difficult application. This exploded all over Twitter, but she responded with great customer service and replacement for those who ordered it. She also started releasing more new makeup and advertising more to make up for the decrease in demand and consumer approval.
ReplyDeleteMany girls look up to and idolize the Jenners so when they started to make their own brands people wanted them. All though there may be dupes for Kylies make up products it takes away from the fact that its Kylies brand. The fact that she's Kylie Jenner puts a big impact on her branding. Many people have watched her on the Kardashians since the Jenner girls were younger. Being a big star and having a rich and famous family really puts a big impact on her branding. Kylies strategy of only stocking so many lip kits is a good idea because then everyone will be trying their very hardest to get the products.
ReplyDeleteI have heard many good things about the quality of the Kylie lip kits. I watched Buzzfeed and beauty gurus on YouTube test out Kylie Cosmetics lip kits and other beauty products. I like the colors of lip kits, but I have never bothered to buy one because I really like my Kat Von D matte lipstick that I wear every day. I know investing in cosmetics quality is definitely worth it, so maybe I will try some Kylie Cosmetics products. I think the Kardashian/Jenner fame and reality TV show has made the them all national icons. From this, the Kardashian/Jenner clan has made unbelievable amounts of money from their branding, endorsements, businesses, etc. They certainly know how to build and maintain an empire.
ReplyDeleteIt was interesting to learn that US is the largest buyer of beauty products since I did not know that. I agree that there is a high demand especially because of who she is and her family. The Kardashian/Jenner family are known to start new clothing, beauty, and other lines in order to expand and grow their revenue. Being a fan of the Kardashian/Jenner family, I also wanted to buy a lip kip even though it was difficult to get my hands on. Personally, I prefer to splurge on my beauty and skincare products because usually the higher end products are better for your skin and are higher quality than alternatives such as drugstore products. So buying a more expensive, higher quality lip and makeup products would be worth it to me.
ReplyDeleteIt's amazing how people are actually willing to buy these "High-end" lip kits for $3000! It's not worth it in my opinion. I'll be honest, I've always wanted to try the lip kit, but they are too expensive, and have had quite a few flops. Having the Jenner/Kardashian name also does create a lot of media, and there are fans out there who are really willing to spend an insane amount of money in order to create "perfect" lips. There have been many other rumors that she has been copying others' colors, and such. She, however, has made more money than they have. There might a lot of criticism towards her, but she is laughing her way to the bank.
ReplyDeleteTo me, Kylie seems to be using this makeup more as a way to get her 'Kylie Jenner' name out there than using it an actual business. I've seen quite a few reviews of the makeup, and many people say it's really bad quality. Even more often than not the makeup ends up breaking in the mail or something and refunds aren't given. The reason I believe she charges so high is because she knows she can. She could probably charge what an average price of makeup products would be and still be successful. However, she's totally consciously doing that cause she knows being Kylie Jenner that she can make a greater deal of money if she makes everything super limited and super expensive. I'm no makeup expert, but I totally feel there are other options at much lower prices and overall better quality than what Kylie is doing. She's really using this Kylie Cosmetics to spread her fame out rather than using it as an actual business. She could care less about the quality or prices because she knows her fans will buy it if it has her name on it. In a weird way, Kylie making things hard to get and very expensive (though I believe it's unfair) is actually a weirdly smart move on her, because as soon as something hits the store or market, no matter the price people will buy it because they want to be able to say they have Kylie Cosmetics. It really all comes down to how much you care about a celebrity and their rep and how far you'll go for their products.
ReplyDelete