Consumers in the beauty and personal care market are no longer satisfied with simply finding the product they are looking for. They now have a range of options that lets them compare prices, check ratings, and follow other shoppers’ experiences before deciding what to buy. As e-commerce expands in Saudi Arabia, competition among retailers is no longer based on product variety alone; it also encompasses price, delivery speed, product authenticity, and the entire shopping experience.

Nice One stands out in this landscape alongside competitors such as Sephora, Faces, and Nahdi, as well as general marketplaces such as Noon and Amazon, which offer consumers a wide range of beauty and personal care products. This variety gives consumers greater scope to compare options, but it also presents specialized retailers with the ongoing challenge of offering value that sets them apart.

Consumers are reshaping the competition

The shopping journey no longer begins and ends at a single store. Consumers may discover a product on social media, then research its ingredients, compare prices, and read customer reviews before deciding where to buy it. Combining online shopping with purchases from physical stores has also become a behavior that gives consumers greater flexibility to choose the channel that best suits their needs.

A shopper might prefer a physical store to check the shade of a makeup product or try a fragrance, then buy it online after finding a better price or a suitable offer. Understanding what drives purchasing decisions has therefore become essential to building customer loyalty, rather than simply a way to attract new visits.

Competition across price, experience, and trust

Competitors have different strengths. General marketplaces such as Noon and Amazon benefit from product variety and a broad selection, while specialized retailers such as Sephora and Faces draw on their expertise in the beauty sector and range of brands. Pharmacies such as Nahdi benefit from their physical presence and the trust they enjoy among some consumers. Online specialists such as Nice One, meanwhile, need to combine product variety, ease of use, attractive offers, and reliable service.

That does not mean the lowest price is always the deciding factor. Product authenticity and quality, clear information, return policies, and delivery speed can all influence a purchase—especially when it involves products applied to the skin or tied to personal preferences that are difficult to substitute. A platform may win a customer with an appealing offer, but keeping that customer requires an experience that meets expectations after the order is placed.

What do Nice One’s results reveal?

Nice One’s preliminary financial results for the third quarter of 2026 illustrate this challenge: revenue rose by about 2.7% compared with the same period a year earlier, while net profit fell by about 69.8%. Over the first nine months, revenue declined 3.4%, and the company recorded a net loss of SAR 9.5 million, compared with a profit of SAR 28.8 million in the corresponding period. The company cited the impact of competition on visits and orders, as well as logistics challenges and higher expenses in some areas.

These figures alone do not mean consumers have lost interest in the platform, but they underscore the importance of distinguishing between generating demand and making it profitable. In a market with many alternatives, companies need to understand which products customers are looking for, what prompts them to complete or abandon a purchase, and how offers, delivery, and stock availability affect their decisions.

From attracting customers to earning their loyalty

As Saudi Arabia’s beauty market continues to evolve, companies have an opportunity to build an end-to-end experience that goes beyond competing on discounts. This means improving product availability, providing reliable information, making use of customer reviews, developing delivery services, and using data to understand consumer behavior and tailor offers to their needs.

Ultimately, the biggest challenge will not be reaching consumers for the first time, but giving them enough reasons to come back. When choices converge and prices become similar, trust, the quality of the experience, and the ability to meet consumers’ needs become more important in building a sustainable competitive advantage.