Sales in the prestige beauty market remain promising, according to The NPD Group, which reports that in the second quarter of 2014, sales of U.S. prestige beauty products reached $2.5 billion, a 5% increase from Q2 2013, with sales growth across each of the three primary categories.

“The robust performance of prestige beauty in the second quarter is quite encouraging,” says Karen Grant, vice president and global industry analyst, The NPD Group, Inc.—and a member of Beauty Packaging’s Board of Advisors.  “Primary prestige segments continue to be market drivers, but the industry is realizing the opportunities and revenue that lie among smaller, more specialized segments. “With the current momentum as a platform, we expect the next two quarters to be positive, leading to annual performance a bit softer but in line with the low to mid-single-digit growth trend of 2013.”

Face products were the growth drivers in makeup, accounting for nearly half of category sales. Eye and lip makeup combined for nearly 46% of the category dollar sales, almost as much as face makeup. Nail was the only makeup segment with sales declines in Q2’14.

While skincare sales remain on the soft side, Grant says there are highlights within the face segment and sets/kits. Fragrances remain strong in Prestige, accounting for 65% of total prestige fragrance sales.