What: BCG's illustrative video demonstrates the potential of AI in beauty retail through a conceptual beauty companion that personalizes product recommendations using human-like interactions.

Why it is important: With 80% of consumers expecting individualised experiences and 73% feeling overwhelmed by traditional shopping choices, this visualisation shows how AI could revolutionise the beauty retail experience.

The video shows how an AI beauty companion could transform cosmetic shopping. Through a simulated interaction, BCG demonstrates how AI models working in parallel could engage in natural conversations while making personalized recommendations from a product database. The concept combines skin diagnostic capabilities with product matching to replicate the experience of consulting a beauty advisor. The video illustrates how such a system could remember customer preferences and past interactions to create increasingly personalized experiences. For retailers, this type of technology could provide valuable consumer insights while offering a new channel for customer engagement and product recommendations

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IADS Notes: The concept aligns with current market developments in beauty retail. In February 2025, L'Oréal introduced lab-grade skin analysis to beauty counters, while Estée Lauder implemented AI across its brands. With research showing 87% of retailers using AI reporting revenue increases of 6% or more, BCG's visualisation demonstrates how beauty retail could evolve to meet growing consumer demands for personalization.

AI agents reinvent the consumer experience