When beauty stays on the table: how Iran's middle and lower deciles coped with inflation

This chart traces the trend in the household spending share on beauty over the years 1396 to 1402 (2017–2024) across three income deciles: the first, fifth, and tenth; but contrary to the common assumption that focuses on the tenth decile, the middle decile of society, namely the fifth, shows us a more striking account of cultural resistance to inflation.

While the country over this period has experienced major inflation surges—from single-digit inflation in 1396 (2017/18) to the 50 percent mark in 1402 (2023/24)—the fifth decile has been able to keep its beauty spending share at around 1.3 to 1.4 percent; a share that, with limited fluctuations, is a sign of the stability of cultural preference in the middle class of society. Even the first decile, which is under additional economic pressure, over six years has seen its beauty spending share fall by only about 0.2 percent (from 1.33% in 1396 (2017/18) to 1.14% in 1402 (2023/24)), and that in the face of price surges, a drop in purchasing power, and the prioritization of more essential needs.

This persistence points to a deep social-psychological pattern; people, especially in the middle deciles, are willing to sacrifice part of their consumption spending to preserve “identity, grooming, and a good feeling.” Beauty expenses—whether in the form of cosmetics, beauty services, or even cosmetic surgeries—are not only a consumption choice, but a kind of mechanism of cultural resistance; a way to preserve social standing, self-confidence, and psychological vitality amid economic instability.

This trend once again confirms the “lipstick effect”: on days when households shrink their table, they do not set aside small but effective pleasures. For the middle class, beauty remains a symbol of “feeling good”; and for lower deciles, the last bastion of self-respect against the erosion of livelihood. This means that if cultural and economic policymakers want to understand society’s pulse, they must read lifestyle changes from these same small and meaningful baskets.