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 1396–1402 (2017–2024) across the first, fifth, and tenth income deciles; but contrary to the common assumption that focuses on the tenth decile, the middle decile of society, namely the fifth, offers a more striking account of consumption holding up against inflation.

While the country over this period experienced large inflationary jumps—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 a stable cultural preference in the middle class. Even the first decile, which is under added economic pressure, has over six years 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 more essential needs taking priority.

This persistence points to a deep socio-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 surgery—are not just a consumption choice, but a kind of cultural resistance mechanism; a way to preserve social dignity, 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 give up small but effective pleasures. For the middle class, beauty remains a symbol of a "good mood"; and for the lower deciles, the last bastion of self-esteem against the erosion of livelihoods. This means that cultural and economic policymakers, if they want to understand the pulse of society, must read lifestyle changes from these same small and meaningful baskets.