In the third quarter of 2021, U.S. prestige beauty industry revenue reached $4.9 billion, a 25 percent increase versus the prior year, according to The NPD Group.

Some of the most notable highlights include a 24 percent increase in makeup sales to $1.7 billion with items such as blush, bronzer, highlighter, and tinted moisturizer growing in the double digits. Makeup setting sprays and powders, as well as makeup remover, also grew in revenue, as did lipstick and lip gloss.

Fragrance sales continue to outperform other segments, with third-quarter revenues up 36 percent to $1.1 billion versus 2020. Sales were not only up year over year, but they also increased 38 percent versus pre-pandemic 2019. Sales of fragrance “juice” rose by nearly 50 percent compared to prior year, driven by eau de parfums and perfumes.

Skin care sales grew 14 percent to $1.4 billion compared to the prior-year period with products for the body growing faster than those for the face, according to NPD. From body cleansers and creams to exfoliators and oils, body skin care sales increased during the quarter compared to 2020 and 2019. Other notable sales trends include a flurry of more targeted facial skin care products such as lip and eye treatments, as well as serums.

Hair care sales grew 36 percent to $619 million with styling products, including sprays and gels, continuing their upward climb as consumers returned to more aspects of normal life. Hair masks were the fastest-growing segment of the hair market as consumers place greater emphasis on hair health.

Larissa Jensen, beauty industry advisor, The NPD Group said of the quarter’s results, “Today, amid many uncertainties, we are seeing glimmers of normal life return which is helping the beauty industry to experience renewed growth across all its categories. Fragrance has emerged as the brightest star and is experiencing unprecedented growth against both 2020 and 2019. With the holiday season upon us, we can expect this momentum to continue through the fourth quarter.”

NPD is predicting a healthy holiday season, too. NPD said that beauty ranks as a top 10 physical gift for consumers and that 29 percent plan to spend more on gifting this year versus last year. All categories, NPD found, can expect some increased spending, including products that support consumers’ interest in being outside, such as apparel, footwear, accessories, and beauty. And, more than half of consumers plan to start their holiday shopping before Thanksgiving Day.