European cosmetics brands have raised prices recently to reflect the euro's strengthening against the US dollar, while US and Japanese cosmetic brands show no signs of changing prices for now.
"Many European cosmetics brands have increased product prices by 3 [percent] to 8 percent this year after the euro continued making new record highs against the US dollar," said Chen Yi-ping (陳怡萍), a public relations specialist at Pacific Sogo Department Store Group (太平洋崇光百貨).
Pu Mei-yu (普美玉), deputy manager of the Hsinyi branch of Shin Kong Mitsukoshi Department Store (新光三越百貨), agreed, confirming that some European cosmetics importers moved to raise prices last year.
The euro traded at US$1.2734 against the US dollar last Friday in New York. It traded at around US$1.0828 exactly one year ago.
European cosmetics brands -- including Sisley, Christine Dior, Clarins, Chanel and Biotherm -- raised prices on basic cosmetics items ranging from face cleansing products and lotions to facial treatments and make-up.
"This is the second time we have raised our cosmetic and make-up prices in mid-January following the first wave of adjustment last year, in an attempt to reflect the costs added by a strong euro," said Tseng Wei-yu (
Tseng didn't rule out the possibility that Sisley will raise prices again, if the euro continues to appreciate against the greenback.
Consumers have had a mixed reaction to the price hikes, with some people saying they would stick to brands they are used to while others have thought about changing to other products.
"Unless the hike is way too much, like over 25 percent at one time, I would not risk my face by switching to other products that may not fit my skin, just because of a small-scale price rise," said Gina Lin (林郁芬), an office worker in her thirties who uses European brands including Biotherm and Vichy.
Lin purchases beauty products about once every two months and spends an average of NT$3,000 to NT$4,000 a time.
Another consumer said high prices do not necessarily guarantee satisfactory effects.
"I would turn to other quality brands with reasonable prices as I don't have a high loyalty to a certain brand," said Sabrina Lin (
North American and Japanese brands such as MAC and Shiseido said they have no plans to raise prices at present.
"Although we have also encountered pressure from the yen's appreciation in the past few months, we will not adjust prices in the first half of this year," said Mary Huang (
Sales of skin-care and make-up products through channels such as department stores, the Internet, open-shelf products and direct marketing may amount to over NT$20 billion a year, according to an estimate by Sogo.
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