The lipstick effect is the name given to the the tendency for consumers to purchase small, comforting items such as lipstick rather than large luxury items in a recession. The purchase of a small item is supposed to give the same effect (well almost) as buying a whole new outfit, when times are hard. A little treat now and then is also a great way to stop yourself splurging on clothes that you cannot afford.
It doesn't have to be lipstick though, a piece of costume jewellery or especially
handmade jewellery is also a great way to give yourself a treat and add a bit of sparkle to your outfit.
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