Shoppers are returning to optional goods and services, like designer jewelry and cosmetic procedures as the economy begins to show signs of a rebound, according to a Wall Street Journal article. While lower-income individuals may still be shying away from “elective” spending, those whose investments are looking up in Grand Rapids and the rest of the country are returning to cosmetic procedures, like those made by Allergan, to help their faces look as healthy as their pocketbooks.
Allergan, which produces cosmetic treatments like Botox, which reduces wrinkles and Latisse to promote eyelash growth, as well as breast implants, saw sales of its products rise in the last quarter—breast implant revenue was up 10%, while Botox sales rose 4%. While in the past, 50% of Allergan’s breast implant revenue came from individuals using credit, as estimated in the article, the estimate for today is lower—between 30-40%. This likely means consumers whose pocketbooks are healthy have returned to cosmetic procedures while those who are still struggling, are avoiding using their credit lines to purchase these treatments or are simply cutting back.