The red lipstick in your vanity reflects the pulse of the global economy

What comes to mind when you think of red lipstick? For us, it’s Taylor Swift’s signature crimson pout, Marilyn Monroe’s iconic look with red lips and platinum waves, and Beyoncé radiating power. But red lipstick is more than a makeup product that adds oomph to your fit. It’s history, rebellion, and confidence all rolled into one tiny tube. It’s been a part of everything from Hollywood glamour to feminist movements, carrying a cultural weight that’s impossible to ignore.

In fact, lipsticks in general have come to symbolise power and confidence even in times of crisis. “Lipstick Index”, coined by Leonard Lauder, the then-chairman of Estée Lauder, refers to how, during financial crises, people often skip the big splurges and treat themselves to smaller, more affordable luxuries like lipstick. The soaring lipstick sales during tougher times is proof that this humble tube isn’t just about looking good—it’s about resilience, self-expression, and hope.

The history of “Lipstick Index”

In 2001, during the global recession, Lauder noticed an interesting trend that despite the financial strain and people cutting back on spending, cosmetic sales—especially lipsticks—were rising. That’s how the term “Lipstick Index,” an indication of how people tend to splurge on smaller, more affordable luxuries (like lipsticks) during times of financial hardship, came to be. 

But Lauder wasn’t the first to notice this. As early as the Second World War, a bright red lipstick shade called “Victory Red” became a symbol of patriotism in the U.S. Even when there were material shortages everywhere else, women were encouraged to wear lipstick as part of their wartime duties.

The logic was simple. "When times are tough, buying little items of delight gives a quick dopamine boost,” explains Delhi-based communications consultant, Divya Rai. She goes on to explain how people feel a sense of control over their lives, especially when larger factors like the economy, job market, and mental health are all in flux. Beauty content creator, Tarini Peshawaria, echoes this sentiment: “A girl can never have too many lipsticks! It’s an affordable luxury, a quick way to indulge without breaking the bank. Take the Sabyasachi and Estée Lauder collab—owning a piece of Sabya’s lipstick is something many can experience, even if the full outfit is out of reach. It’s all about the luxury of feeling like you’ve got something special."

But it’s not just not affordability that drives lipstick sales. “The feeling of looking good no matter how tough times get is a huge confidence booster," says Peshawaria. "Lipstick is one of those products that gives instant confidence. With skincare, you're looking at weeks for results, but with lipstick, it's three to four  seconds—instant gratification, instant self-care."

Bright lipstick shades, in particular, are the easiest to notice, making them a quick, pocket-friendly way to lift one’s appearance, during tough times. Plus, lipsticks sit in that sweet spot of makeup with a vast range of shades to choose from, making them a powerful means of self-expression.

A little luxury that means so much

 

If self-expression weren’t enough, lip products have long been associated with confidence and a sense of empowerment, especially since the rise of the feminist movement. In the 1920s, suffragette activists used makeup, including red lipstick, as a symbol of rebellion and empowerment in the face of a society that expected them to be meek and demure. Wearing lipstick became a way to assert their femininity and challenge the norms that dictated how women should present themselves.

But as Lauder himself noted, the phenomenon isn’t limited to lipsticks alone. During the pandemic, as masks became a daily essential, the focus of consumers shifted. With limited opportunities to wear lipstick, people turned their attention to skincare. In India, for instance, the rise of Korean skincare coincided with a noticeable increase in skincare purchases during the lockdown, highlighting how, even in times of uncertainty, people continue to seek self-expression and comfort through appearance. Beauty and skincare products become a simple form of self-care, allowing us to reclaim control and normalcy amid chaos.

In the end, the enduring appeal of the Lipstick Index lies in its simplicity. Whether it’s a bright pop of colour or the glow of healthy skin, small luxuries like these remind us that even in the toughest times, self-care is not just an indulgence—it’s an act of resilience. These little purchases reflect hope, perseverance, and the human desire to find light in the darkest moments. When economic uncertainty clouds our lives, a swipe of lipstick can feel like a tiny act of rebellion—a bold declaration that, even amid chaos, we deserve to feel good.

Lead image credits: Getty Images 

Also read: 10 iconic shades of red lipstick to elevate your everyday outfits

Also read: There is nothing like a red lip for that illusive self-love lift