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The beauty and personal care products market size is forecast to increase by USD 50.9 billion at a CAGR of 4.37% between 2023 and 2028. The beauty and personal care market is experiencing significant growth, driven by several trends and challenges. One notable trend is the increasing preference for anti-pollution skincare products, as consumers become increasingly aware of the negative effects of environmental pollutants on skin health. Another trend is the emergence of beauty and personal care products made from natural ingredients, as consumers seek alternatives to conventional products with potentially harmful synthetic ingredients. However, the market also faces challenges, such as the adverse health effects associated with some chemical ingredients commonly used in beauty and personal care products. Additionally, the popularity of home-made remedies and DIY beauty treatments continues to gain traction, posing competition for commercial brands. The skincare market, in particular, is expected to dominate the beauty and personal care industry, with haircare products following closely. The Organic Beauty Products segment is also expected to grow significantly due to increasing consumer awareness and demand for natural and organic products.
The global beauty and personal care market is witnessing significant growth due to the increasing awareness among consumers about the importance of self-care and the desire for high-quality products. The market is segmented into skin care, color cosmetics, and hair care. Millennials and Gen Z are key consumers in this market, driving the demand for cosmetics with natural, nontoxic, and organic ingredients. Sales channels have expanded beyond traditional retail stores to include e-commerce platforms and specialty stores. Male consumers are also contributing to the market growth with their increasing interest in grooming and personal care products. The trend towards vegan cosmetics and eco-friendly products is gaining popularity, with consumers seeking sustainable and ethical options.
Also, product innovation is a key strategy for companies, with a focus on natural formulations and merger and acquisition activities. The European Commission's regulations on cosmetics have led to the development of new organic beauty products. Home-made remedies and DIY beauty treatments are also gaining traction, but conventional beauty products continue to dominate the market.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.
The skincare products segment is estimated to witness significant growth during the forecast period. The market is experiencing significant growth, with a focus on nontoxic and organic ingredients becoming increasingly prominent. This trend is particularly evident in the skincare segment, which is projected to expand steadily over the next five years. Consumers are becoming more conscious of what they put on their bodies, leading to an increased demand for products made with natural and eco-friendly ingredients. Additionally, there is a growing market for vegan cosmetics, as more men are entering the beauty space. Sales channels have also evolved, with online sales continuing to gain traction. Manufacturers are responding to this trend by continually innovating and launching new products to meet the evolving needs of consumers.
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The Skincare products segment was valued at USD 48 billion in 2018 and showed a gradual increase during the forecast period.
APAC is estimated to contribute 54% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The market in the Asia Pacific (APAC) region is projected to expand at a significant pace during the forecast period, surpassing other regions. This noteworthy growth can be attributed to the increasing consumer awareness regarding the advantages of using beauty and personal care products, as well as the escalating consumption of high-end beauty and personal care items. Furthermore, the region's rising disposable income, urbanization, and burgeoning e-commerce sector are key drivers propelling the demand for these products in APAC. China, Japan, South Korea, and India are the primary revenue-generating countries within this market. The trend towards using nontoxic ingredients, organic ingredients, vegan cosmetics, and eco-friendly products is gaining momentum among consumers in APAC.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The growing popularity of anti-pollution skincare products is the key driver of the market. Consumers worldwide are increasingly concerned about the impact of air pollution on their skin and hair health. Skin care and color cosmetics industries have responded by introducing anti-pollution products that shield consumers from the harmful effects of outdoor and indoor pollutants. Millennials, in particular, are driving the demand for such products, as they prioritize natural ingredients and eco-friendly solutions.
Moreover, hair care products, too, are following suit, with offerings that protect against environmental stressors. These reports highlight the importance of natural ingredients and the increasing preference for sustainable and ethical products. With the rise of pollution-related health concerns, the beauty industry is poised to provide innovative solutions to help consumers maintain their skin and hair health despite the challenges posed by air pollution.
The emergence of beauty and personal care products with natural ingredients is the upcoming trend in the market. The market is witnessing significant growth as consumers increasingly prioritize natural ingredients due to growing health consciousness and awareness of the potential harmful effects of toxic chemicals. Millennials, in particular, are driving this trend, as they seek out less harsh products with low chemical compositions.
In response, companies are focusing on manufacturing cosmetics and personal care items free from parabens, toluene, formaldehyde, artificial fragrances, dibutyl phthalate (DBP), petroleum-based chemicals, butylated hydroxyanisole (BHA), and sulfates. For instance, companies offer a comprehensive range of skincare products formulated with natural and organic ingredients. Their product line caters to various skin concerns, including acne, dryness, pigmentation, aging, oiliness, and skin sensitivity. Similarly, the demand for color cosmetics and hair care products with natural ingredients is also on the rise.
Adverse health effects of chemical/synthetic ingredients is a key challenge affecting the market growth. The market caters to the needs of consumers seeking effective solutions for skin care and color cosmetics, as well as hair care. However, there is a growing concern regarding the use of synthetic chemicals in these products. Chemicals such as ammonia, peroxides, p-phenylenediamine, diaminobenzene, toluene-2,5-diamine, and resorcinol are commonly found in synthetic beauty and personal care products.
However, these chemicals can cause various issues, including skin irritation, allergies, hair dryness, hair fall, and even some forms of cancer. Millennials, in particular, are increasingly seeking natural and organic alternatives due to heightened awareness of the potential health risks associated with synthetic ingredients. As a result, the demand for cosmetics and personal care products with natural ingredients is on the rise.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Avon Products: The company offers beauty and personal care products that includes matte lipstick, ageless day cream, milk and honey hand body lotion and almond oil.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The beauty and personal care industry is experiencing significant growth, driven by consumers' increasing focus on natural and nontoxic ingredients. Skin care, color cosmetics, and hair care are the major product segments, with millennials and Gen Z leading the demand. Consumers are increasingly seeking cosmetics with natural ingredients, such as organic and vegan formulations, and eschewing products with parabens, silicones, nanoparticles, PEG, and chemical filters. Ecofriendly products and those free from side effects are gaining popularity. Hair care solutions catering to male consumers are also witnessing growth. Product innovation is a key trend, with companies introducing natural formulations and eco-friendly packaging.
Further, merger and acquisition activities have been common in the industry, with the European Commission approving several deals in recent years. DIY beauty treatments and home remedies are also gaining traction, while conventional beauty products face increasing competition from organic beauty products sold through specialty stores and e-commerce platforms. International trade is also playing a role in the market's growth, with brands gaining popularity.
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Market Scope |
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Report Coverage |
Details |
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Page number |
175 |
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Base year |
2023 |
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Historic period |
2018-2022 |
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Forecast period |
2024-2028 |
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Growth momentum & CAGR |
Accelerate at a CAGR of 4.37% |
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Market growth 2024-2028 |
USD 50.9 billion |
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Market structure |
Fragmented |
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YoY growth 2023-2024(%) |
4.12 |
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Regional analysis |
APAC, North America, Europe, South America, and Middle East and Africa |
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Performing market contribution |
APAC at 54% |
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Key countries |
US, China, UK, India, and Japan |
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Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
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Key companies profiled |
AMOREPACIFIC Group Inc., Avon Products, Beiersdorf AG, Chanel Ltd., Coty Inc., Edgewell Personal Care Co., Helios Lifestyle Pvt Ltd., Johnson and Johnson Services Inc., Kao Corp., LOreal SA, LVMH Group., Natura and Co Holding SA, Oriflame Cosmetics S.A., Revlon Inc., Shiseido Co. Ltd., The Estee Lauder Companies Inc., The Procter and Gamble Co., Unilever PLC, and VI JOHN GROUP |
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Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
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Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Product
7 Market Segmentation by Channel
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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