4 Ways NYX Cosmetics Outshined Other Brands In The Cosmetic Industry

4 Ways NYX Cosmetics Outshined Other Brands In The Cosmetic Industry

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Being successful in any industry is no walk in the park. Your business is merely a drop in an ocean of competitors and it takes a lot for your brand to stay afloat. The $382 billion global beauty industry is no stranger to arduous competition, with new brands and products popping up in the market on a daily basis, promising to resolve any beauty woes faced by their consumers.

Source:Translate Media 

So what exactly does it take for a brand to strive among the rest and make it through the competition? Surely it takes more than one distinctive factor for a brand to not only hit the notch of success but maintain their relevance in the world of ever-changing lipsticks and eyeliners.

Source: Fashion Network

One brand that has proved their success in the beauty industry would be American cosmetic line, NYX Cosmetics. This intriguing brand has garnered the following of many, thanks to their strong social media presence and of course award winning cosmetics that have been raved by beauty bloggers and professional makeup artists.

But first, how did NYX Cosmetics get their start?

How The Brand Started

Toni Ko and her family moved to Los Angeles from South Korea to pursue a better life. Although difficult, Ko picked up the English language quickly and started getting accustomed to the culture of a new country. With her mother in the fragrance and cosmetics business, Ko picked up a few tricks of the trade here and there by working for her mother’s business during her adolescent years.

The idea of NYX Cosmetics came into inception when Ko noticed a massive gap in the beauty industry; the lack of quality makeup products at an affordable price range. Frustrated at the disappointing quality of products at drugstore prices, Ko started her own brand. Within a year, she managed to rake in $2 million in profit on her own, just by supplying what was missing in the beauty market to the public.

A few years down the road, profits for NYX cosmetics snowballed to a revenue growth of over $100 million and boasted availability in over 70 countries. Ko eventually made the largest sales in the beauty industry by selling her bankable business to the world’s largest cosmetic company, L’Oréal for a price tag of $500 million.  

However, it was not the case of overnight success for NYX Cosmetics. With almost a decade of experience in such a cut-throat industry, NYX Cosmetics has developed few strategies to their name, breezing through their competitors and winning the hearts of many. Here are four key ways this cosmetic brand reigned supreme in the industry.

Uncompromised Quality

Most of the time, the exorbitant price tag of luxury makeup is due to the brand name and packaging. Remove those features and it all boils down to quality and pigmentation. Luxury makeup is generally known to be of better quality compared to drugstore products, a frustrating issue that led to the creation of NYX Cosmetics. They pride themselves on being a brand that fuses affordability with quality, something that more consumers are starting to appreciate and demand for, especially with the popularity of beauty dupes.

NPD Group global beauty industry analyst, Karen Grant, stated that a successful beauty dupe could render a big profit value for a brand. Business of Fashion also stated that beauty dupes are “alternative products that are cheaper and more accessible, but close enough in colour and finish to pass for the real thing”.

A More Affordable Option For Price Conscious Millennials

One of the strongest suits that may have resulted in the catapult of NYX Cosmetics into the beauty industry is their affordable price point. As a youthful and vibrant brand, NYX Cosmetics’ main target audience demographic are millennials. Studies have shown that, not only is this generation internet savvy, they are also price conscious, possibly a result of backlash from the Great Recession, in which employment rates are low and wage growth is stagnant. This resulted in less spending power among a majority of millennials.

Performance chart nyx cosmetics


The chart above depicts a comparison between two cosmetic brands. As the price points showed, Tarte is a high-end brand whereas NYX Cosmetics is a drugstore brand, with the latter’s average price at nearly half of Tarte’s.  NYX Cosmetics’ higher sellout and replenishment rates could possibly indicate its popularity among thrifty millennials who are unable to justify spending $30 on an upscale mascara with a shelf life of three months.

More cosmetics users are on the hunt for affordable products that replicate the quality of high-end brands, and this is where NYX Cosmetics fits into the mould. “Why spend $32 on an electric blue eyeshadow that I may only wear for one season, when I can get a very similar feel with a drugstore eyeshadow for $5?” shared Gianna, a budget beauty blogger from Nouveau Cheap. Hence why profiles like dupethat on Instagram, which serve as a quick platform for viewers to search for beauty dupes has over one million followers.

Integrating Marketing Efforts Into The Digital Age

In this digital age, social media can be a powerful tool for brands to boost sales and brand recognition when used properly, especially in the beauty industry. According to Forbes, social media influencer marketing is at its peak. “The cost of creating and publishing a social media message is almost zero today, and the amount of content being created is increasing exponentially”, global retail analyst, Deborah Weinswig told Forbes.

NYX Cosmetics is no stranger to having a strong social media presence and engagement, ranking third among other beauty brands and also boasting above $50 million in earned media value. In addition, their social media engagement grew an impressive 97% in 2017.

Being one of the first few brands to integrate social media into their marketing strategy, NYX Cosmetics had their first taste of influencer success back in 2008 when sales for a discontinued white eyeliner skyrocketed solely due to usage from just one beauty vlogger on Youtube.

NYX Cosmetics Instagram

Source: NYX Cosmetics Instagram

The Instagram post above is an example of how NYX Cosmetics features their products, by reposting images of beauty influencers using them.

Fast forward to a decade later and the brand has grown exponentially from its humble social media origins. NYX Cosmetics currently boasts over 12.8 million Instagram followers and 148,406 subscribers on their Youtube channel.

What Do You Do With 12.8 Million Followers?

These colossal numbers are not just a shiny trophy for NYX Cosmetics to display. From these figures, we are able to gauge the demographics of the brand to get a clearer understanding of their consumers.

age demographic NYX Cosmetics Instagram


The age range of NYX Cosmetic’s Instagram followers falls in the millennial category, not surprising for a youthful brand. Millennials are also no stranger to the contribution of the lucrative cosmetics industry. NPD has found that the surge in the beauty industry can be attributed to millennials who have increased purchase and usage of cosmetics by 25% in just two years. Despite being more price conscious, the millennials’ contribution to the expanding beauty industry could have been made possible by wallet-friendly brands, a market that NYX Cosmetics has realised and banked in on.

Understanding and Listening To Their Audience

Catering towards the demands of their consumer base is something that NYX Cosmetics has taken seriously. “These other cosmetics guys, they were old men. They were in the business to make money. A lot of them couldn’t tell the difference between a lipstick and lip liner”, shared Toni Ko, the founder of NYX Cosmetics. This brand has succeeded in grasping what most of their consumers are looking for when shopping for cosmetics. For example, diversity has been a main issue in the cosmetics industry, with more people vocalising their dissatisfaction with the lack of beauty products catering towards a wider spectrum of users with different skin tone. Noticing this gap in the market, NYX Cosmetics launched their Total Control Drop Foundation that came in a whopping 24 shades, making foundation more accessible for every skin color and undertone.

NYX Cosmetics bestseller

From left to right: Total Control Drop Foundation in shade Vanilla, Beige, Chesnut


According to data, the Total Drop Foundation range from NYX Cosmetics went out-of-stock at least three times and was replenished once, indicating popularity.

NYX Cosmetics lip oils

From left to right: #thisiseverything Lip Oil, Slip Tease Full Colour Lip Oil

With lip glosses showing an improvement in performance this year, NYX Cosmetics jumped at the opportunity by adding lip oils to their repertoire, a rising product that only a handful of luxury brands have introduced to the market. These lip oils also received similarly stellar performances as the Total Drop Foundation, going out-of-stock twice and was replenished once within a month.

The all-rounded brand showed no signs of slowing down, solidifying their top spot in the beauty industry using sufficient research even with other luxury brands clamouring for consumer attention. With data supporting their every move, NYX Cosmetics is able to gain leverage and strategise accordingly to determine where they stand in the shimmery and glitzy world of cosmetics.

Want to understand your consumers and tap into the cosmetic industry for your online store? Drop us an email at info@omnilytics.co and we’ll be in touch!


The data above were obtained from Omnilytics, real-time retail data platform. The numbers and statistics may vary, as the platform is updated everyday. The time period of the information taken were between 25 December 2017 to 15 February, 2019.

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