Smaller beauty businesses risk benefits if not leveraging AI

Artificial intelligence (AI) is rapidly becoming a staple in the beauty industry, with virtual try-on and skin analysis tools becoming increasingly common. However, as large corporations seamlessly integrate these technologies, there is a rising apprehension that smaller businesses may be left behind, according to data from the British Beauty Council. Given that microbusinesses constitute over three-quarters of the industry, ensuring their access to and comprehension of these innovations is vital for preserving fair competition.

The Value of Beauty Report 2023 by Oxford Economics identifies AI development as a significant hurdle for the personal care sector, particularly for small and medium-sized enterprises (SMEs). With a notable 25 percent increase in beauty SMEs between 2015 and 2022, industry bodies like the British Beauty Council are collaborating with entities such as the E-commerce Trade Commission to explore avenues for unlocking the untapped potential of AI for smaller beauty ventures, the council said in a thought piece.

Victoria Brownlie, Chief of Policy, underscores the time and resource constraints faced by small businesses, highlighting AI's potential to alleviate these challenges by automating tasks and enabling staff to focus on strategic endeavors. She notes, "AI can provide a vital role in addressing this, giving staff more time to do the hands-on jobs they need."

The British Beauty Council, a non-profit organization founded in 2018, is devoted to addressing the collective issues within the beauty industry. As the pioneering industry-wide group focused on advocating legislative matters with policymakers, the organization endeavors to involve the sector in enhancing the industry's reputation.