E-commerce websites and online shops in cosmetics are booming in Iran as more customers are choosing to buy online more than other traditional methods. Iran is among the top 10 countries with the highest makeup and cosmetic usage in the world. After Saudi Arabia, Iran comes second place as the highest cosmetic consumer in the Middle East.
The demand for cosmetic products are still rising and has been rising really fast for some time. Many question marks rise as why Iran and Saudi Arabia have this much of consumer usage of makeup and cosmetics, but that could be a talk for another time. Giving to the fact that the majority of the makeup consumers are in fact the younger generation and more engaged with technology, launching an online shop has become a hot business model for tech entrepreneurs. Some consumers need to test a makeup product before buying, however some tend to buy the exact same product repeatable times which can also be a good sell point for online sellers.
The cosmetic market in Iran is huge, giving the few dozen online shops active in this market, there is a plenty of room to wiggle. Though the percentage of the consumers buying online is a tiny fraction of the offline buyers, online shopping culture is still wide spreading, meaning more potential and market size for these e-commerce websites.
Iran’s leading e-commerce giant Digikala launched it’s beauty and cosmetic section for some time now. The company anticipated a high number of sales from this section and the numbers had not disappointed. Digikala has one of the widest range of products in this category throughout the country. Price cuts, limited time sales and free delivery has also helped Digikala to compete with offline shops in beauty and health products.
DigiKala’s most fierce competitor is also in this game with fast growing product range in its Beauty & Health section. Bamilo is also one of the market leaders when it comes to fashion online, a product category Digikala has yet to enter. Bamilo went into cosmetics after fashion giving some synergy between its products. Bamilo’s prices sometimes proved to be the lowest in the online market.