When it comes to Beauty, is AI a phase, a necessity—or an emerging overarching, expanding reality?

This timely topic was the subject of the recent AI Beauty Breakfast, held in New York. The event brought together leaders from beauty, retail, and media to explore how AI and data are transforming creativity, personalization, and the way brands connect with consumers.

Rather than a typical panel or presentation, it was an open discussion over breakfast with Hillary Hutcheson (RoC Skincare), Anna Mayo (NielsenIQ), and Irina Mazur (Revieve), sharing real stories of how technology is being used to create more meaningful consumer experiences.

‘The Future Is Not Just Multichannel—It’s AI-Native.’

Irina Mazur, Chief Commercial & Marketing Officer, Revieve, introduced the speakers and said, “We’re entering a new phase of consumer engagement — one in which discovery begins inside generative AI ecosystems… The future is not just multichannel — it’s AI-native.”

Something fundamental is shifting in beauty, according to Mazur, who hosted the meeting, “quietly, quickly, and far faster than most brands realize.” She added, “Discovery is no longer owned by search engines, influencers, or retail shelves. Increasingly, it begins inside generative AI ecosystems, where a single query can instantly surface routines, reviews, and recommended products in a way no content strategy has ever been able to control.”

Consumers Are Rewiring the Discovery Journey

According to Anna Mayo, VP, Beauty Vertical, NielsenIQ, consumers now make over 1 billion beauty-related queries per week on ChatGPT alone. A number once unimaginable is now the norm, said Mayo. “Nearly half of Gen Z and more than a third of Millennials rely on generative AI weekly to choose products, compare formulations, or diagnose their skin concerns.”

This trend, according to the panel, means the “‘top of funnel’ is no longer owned by TikTok or Google — it’s owned by AI-driven conversations. Beauty shoppers aren’t searching the way they used to; they’re asking questions. What’s new is who answers them.”

Important to note, speakers said that “while consumers overwhelmingly appreciate AI-driven personalization, their biggest concerns — misinformation and trust — remain unresolved. For brands, accuracy is becoming a strategic priority, not just a technical one.”

Digital Beauty Isn’t Just Growing — It’s Maturing

NielsenIQ’s omnichannel update revealed a digital ecosystem that has evolved beyond trend status. Online beauty grew +20.1% YoY, compared to just +1.8% in physical retail. Nearly half of U.S. beauty revenue now comes from digital channels.

The most telling signal: digital beauty is no longer synonymous with “ecommerce.” It now includes interactive diagnostics, predictive CRM, virtual trial, and AI-powered journeys that map consumer behavior in ways retailers could never track inside stores.

Try Before Investing

RoC Skincare demonstrated what this looks like in practice. Hilary Hutcheson, CMO of RoC Skincare, shared that after adopting an AI diagnostic and AI-supported CRM strategy, the brand achieved: +81% conversion uplift; +129% increase in AOV; 80% CRM opt-in rate; and3.06X ROI on predictive CRM.

Hutcheso’s advice to brands exploring AI: “Start with AI that improves your existing processes — segmentation, timing, testing — before investing in complex front-end AI experiences.”

The Era of AI-Driven Visibility Has Arrived

Revieve’s Mazur noted that as more than 25% of U.S. consumers now rely on AI tools for shopping decisions, brands must ensure their product information appears accurately within these systems. This shift, she said, is as significant as the rise of SEO in the early 2000s. “The brands that win the next phase of digital beauty will be those that optimize not just for search platforms, but for AI assistants, conversational interfaces, and generative discovery engines.”

Overall, the panel concluded: “AI hasn’t replaced the beauty experience. It’s simply become the front door to it.”

Photo: Shutterstock/ Beauty Hero