Amazon enters another category in retail: skin care.
The company on Wednesday said it launched its first dedicated skin care Belei, which will sell items including moisturizer, eye cream and stain treatments, ranging in price from $ $ 9 to $ 40.
Amazon has increasingly added its own brands, including those for clothing, shoes, foods, baby diapers and mattresses. The move threatens the other brands currently selling on the platform, as Amazon has the ability to Other rivals selling the same products at higher prices may also be threatened as turnover changes to Amazon's cheaper alternative.
Amazon currently has 1[ads1]38 private labels, according to TJI, a subscription business that tracks Amazon's Further Publishing Publishers.
"Our goal is to help customers spend less time and money searching for the best skin care solutions," Kara Trousdale, head of private beauty marks on Amazon, said in a statement.
As Amazon grows more in brick and mortar, it can begin to put its own brands on shelves in stores as well. This is something that has already begun at Amazon 4-Star, a place in New York that sells a wide variety of items from stationary to kitchen utensils. Amazon has not been able to change the products sold at Whole Foods stores, so much because the grocery store leases say it must primarily sell food there. But it is apparently looking to launch a new grocery store business where there is more autonomy to choose what to sell there.
For Amazon, the transition to skin care offers the opportunity to sell goods in higher margins than groceries. It can affect such beauty brands as Procter & Gamble's Olay, Estee Lauder and Clinique, which make similar face salons and cleaning cloths, as well as outlets such as Sephora and Ulta, who also sell skin care.
The Prestige beauty industry in the US reached $ 18.8 billion last year, up 6 percent year on year, according to data from the NPD Group. Sales in the skin care category increased by 13 per cent, says NPD Group, and contributes 60 per cent of the total industry. Skincare sales amounted to $ 5.6 billion in 2018.