Why Are Wigs Selling So Well Online?

An overwhelming amount of data illustrates the growth of the wig market in the U.S., yet our beauty supply retail store’s wig sales have continued to decline. This paradox can easily be explained by looking at the B2C online wig market. The common belief that low-cost products are sold online while high-end products are handled offline does not hold true in the wig industry. Unlike traditional wholesale and retail industries, which have expanded their product ranges with low-cost items, B2C online companies have boosted sales by prioritizing high-priced, high-quality products. In this issue, we will explore this trend through leading wig-specialized online sites and discuss potential countermeasures.

 

The Shift in Trends According to Industry Experts

 

1. Rise of Online Sales and Direct Selling by Manufacturers

In the past, wigs were typically sold in beauty supply retail stores through wholesale and retail distribution channels. However, today, both large platforms like Amazon and wig-specialized brands are expanding their sales by engaging directly with consumers via their own websites. Notably, manufacturers have begun selling directly online, enabling them to offer competitive prices by bypassing distribution margins. As a result, the presence of offline stores is steadily shrinking.

2. Rapidly Changing Trends and Limits of Distribution Speed

Beauty and fashion trends are evolving at a much faster pace than before. In the past, a single style would remain popular for several months, but now, trends change in real-time through social media. When a popular influencer on TikTok or Instagram highlights a particular style, consumers quickly respond by adopting the trend. The issue, however, is that offline retail stores struggle to quickly adapt to these changes. Products that miss the trend lead to sluggish sales, creating a vicious cycle that burdens store operations. In contrast, large wig-specialized online sites employ developers who meet directly with consumers in target regions to share trends, and collaborate closely with manufacturing factories to stay ahead of real-time trends.

 

Data-Driven Wig Demand

The wig industry is experiencing unprecedented growth, reaching record-breaking sales figures. According to the report “Global Hair Wigs and Extensions Market Value Forecast from 2020 to 2026,” co-released by TikTok Keyword Insights and Statista, the global wig market, currently dominated by North America, is projected to grow by 30% between 2024 and 2026. Furthermore, during the third quarter of 2024, the average growth rate of wig-related hashtags surged by an impressive 900% on TikTok, underscoring the rapid increase in consumer interest in wigs. Notably, the search volume for the keyword ‘wig’ skyrocketed by 114.81% from June to October 2024, showing a strong correlation with the rise in the global wig market value (Statista).

 

In other words, Plenty of Opportunities Remain. Adapting and Responding to Market Changes Is Key

The wig market is evolving, and consumer purchasing intent remains still strong. However, consumers are now buying products in different ways and expecting new experiences. Instead of sticking to traditional distribution structures, it is essential to implement flexible strategies that keep track of changing trends.

As the online wig market grows rapidly, more sites are steadily gaining customers and enhancing their competitiveness. To explore the strengths of sites that are likely attracting existing beauty supply store customers, we analyzed three of the top 15 online wig sites selected by fashion magazine ELLE and summarized their notable strategies.

 

1. Luvmehair.com

Luvmehair.com is an online wig site founded in 2014 by Helena Lee. After graduating from college, Helena noticed the challenges women face in the wig industry and began developing products to address those issues. In 2020, the brand achieved a remarkable milestone by selling 10,000 units of its headband wig series in just one day.

Product Features and Price Range

• Most products are made from 100% virgin human hair
• Key product lines include the PartingMax series, headband wigs, and glueless wigs
• Average price range is $80–$150

Purchase Benefits and Customer Service

• Free express shipping on orders over $50
• Free returns within 30 days, with return policies varying based on membership levels
• Discount codes and promotions for new subscribers and loyal customers

Hair Academy & Online Community

• The brand operates a Hair Academy, offering various free styling guides from how to wear wigs to achieving natural-looking styles.
• Through live channels, they engage with customers in real-time, sharing wig-related information and tips.

 

2. Unice.com

UNice.com quickly gained popularity from its early days by using high-quality Remy hair to provide natural and durable wigs at reasonable prices.

Product Features and Price Range

• Most products are made from 12A grade Remy human hair
• Key product lines include lace front wigs and glueless wigs
• Main price range is $80~$150

Purchase Benefits and Customer Service

• Free express shipping on orders over $50 (products delivered within 72 hours)
• Free returns within 30 days
• Student discounts, various free gifts, and regular promotions offered

TikTok Reviews and Customer Engagement

• UNice offers customers the opportunity to review products and earn revenue through links via their TikTok account. This allows customers to showcase their styling, share product links, and simultaneously promote the products while generating income.

 

3. Hairvivi.com

Hairvivi.com focuses on offering natural and convenient glueless wigs, with all wigs shipped pre-styled for easy wear by customers.

Product Features and Price Range

• The average price range is $300~$500, with an active “Buy Now, Pay Later” option available
• All wigs are shipped after undergoing a premium hair spa treatment

Customer Service and Benefits

• One free repair service within 3 months
• Cashback offered for submitting photo reviews

Membership Program

• Silver ($0~$1,000) / Gold ($1,001~$3,500) / Diamond (above $3,500)
• Silver members earn 1 point per $1 spent, while Diamond members earn 5 points per $1 spent
• Diamond members receive custom wig services and can choose their “Personalized Sale Day”

 

Retail Wig Sales Also Need a Makeover

Retail stores must evolve from simply being places that sell wigs to spaces that provide essential offerings and create value that customers cannot overlook.

1. Value-Centered Service Over Price Competition

A strategy of simply lowering prices is no longer effective. In fact, wigs that consistently sell online are not the cheapest, but those with strong quality and service backing them.

• Customized Service: Offering 1:1 consultation to recommend wigs based on the customer’s head shape, skin tone, and style preferences can enhance satisfaction with the purchase.
• Expert Staff: Hiring dedicated wig specialists to assist customers with wearing tips, care, and maintenance can provide added value. Regular wig maintenance and organization should not be overlooked.

2. Read Trends and Quickly Adapt

Wig sales must keep pace with current trends.

• Leverage Online Trends: Regularly check Instagram, TikTok, and online wig sites to stay updated on the latest trends.
• Enhance Visual Appeal: Use beautiful photos to greet consumers online, and in-store, enhance displays and lighting to make popular wigs stand out.
• Celebrity and Influencer Marketing: Display photos of celebrities wearing similar styles, and actively use online store channels to help customers make more intuitive choices.

3. Custom Discount Strategies That Shine Even in a Recession

Discounts should not always be about bulk sales, but rather tailored strategies that are more effective for individual customers.

• Personalized Discounts: Analyzing purchase history to offer special discounts to specific customers can be more effective.
• Special Discount Days: Hosting discount events on certain days or for specific groups, such as students or loyal customers, can help drive foot traffic and increase visits.

4. Creating a Multi-Sensory Store Experience

While it’s often assumed that Gen Z prefers online shopping, a survey by Retail Dive found that 69% of Gen Z consumers aged 18~24 visit offline stores weekly. They value the ability to see and experience products in person.

• Create an Experiential Space: Set up fitting zones where customers can try on wigs and choose their preferred style.
• Enhance Sensory Elements: Use lighting, music, and scent to make the store more appealing, encouraging longer visits.
• Encourage SNS Sharing: Create photo zones where customers can naturally take pictures and share them on social media, generating significant promotional effects.

5. Targeting Based on Local Context

Strategies should be tailored to the characteristics of each region.

• Targeting the Silver Consumer: To reach middle-aged and older customers who may not be familiar with online shopping, consistently offer classic-style wigs.
• Localized Marketing: Collaborating with local communities or beauty salons to promote the store and drive visits is an effective strategy. Just as online sites attract customers through ads, local advertising can also have a significant impact. Using regional magazines, flyers, radio ads, and leveraging local social media groups to spread word-of-mouth can be highly effective for increasing awareness.