Ever wonder how a country in economic crisis manages to keep its beauty shops and salons constantly full? Other shops and stores might be closing their doors all around them, but hairdressers are in no apparent danger of being put out of business. This is probably due in large part to Spanish consumers’ commitment to looking good even when other things in life have to be cut out. A Euromonitor International country report on Spain states that “despite the poor economic situation Spanish consumers were still willing to spend money in order to take care of their hair.”Euromonitor mentions that consumers have adjusted by shifting from more expensive products to more affordable alternatives. Consumers have been forced to be creative by switching from regular sizes to family-size and bulk sizes in order to save.
Companies have also had to be creative in order to prosper during times of crisis. The report states that innovation, formulation and fragrance are the three top factors affecting hygiene purchase decisions in Spain, and it seems that Spanish companies are trying to find ways to help consumers get what they want in those areas to stay looking good without breaking the bank. The report states how companies like Mercadona have offered new brands (like Deliplus) as a response to this market demand, a decision which has paid off with increased percentage points in sales. The approach is a win-win where companies like Mercadona are still managing to turn a profit in their hygiene sectors while consumers are being given affordable alternatives to keep looking good, all the time.