ID: MRFR/CR/2290-CR | September 2022 | Region: Global | 100 Pages
Cosmetics market size is anticipated to reach USD 395.14 million by 2028, registering a CAGR of 5.34% during 2021-2028.
$395.14 Million
5.34%
Asia Pacific
2021-2028
The global cosmetics market size is projected to register a CAGR of 5.34% and reach a value of USD 395.14 Million by 2028. Cosmetics are a mixture of chemical compounds. However, certain cosmetics are derived from natural sources as well. Cosmetics are applied for cleansing, beautifying, promoting attractiveness, and enhancing appearance. Cosmetics manufacturers are offering makeup products for both adults and children. There are various types of cosmetic products such as skin cosmetics, hair cosmetics, nail cosmetics, eye cosmetics, and others.
Increasing consumer spending on cosmetics and personal care products followed by an increasing working women population is majorly driving the market growth. The growth of the organized retail sector in Asia-Pacific is further boosting market growth. The growing trend of natural and organic cosmetic products is expected to create new opportunities for the vendors active in the global market. Also, the high influence of social media and marketing strategies provide a lucrative market to the existing players. However, side effects caused by chemicals is restricting the growth of the market.
COVID-19 Impact Analysis
The advent of the global pandemic, COVID-19, resulted in a global crisis. Impacting over 213 countries, the pandemic has created an economic backdrop worldwide and is deemed to create a chaotic environment, thereby resulting in the advent of global rescission. With the rapidly increasing number of cases, the Global Cosmetics Markets is getting affected in many ways.
The outbreak of COVID-19 has resulted in a lockdown across regions, border restrictions, and breakdown of transportation networks. The essential goods, such as sanitizers, masks, and household essentials like toilet paper and bread, were stocked up by customers. Most of the customer's budget was shifted to essential goods, and a major downfall in non-essential businesses was observed. As more cities went into lockdown, non-essential businesses were ordered to remain closed during the first half of the pandemic. Cosmetics being an essential personal care product, the demand for the same was not affected largely. However, the steps taken in most of the geographies to slow down the spread of the novel coronavirus affected the supply chain in the market
Market Dynamics
The global cosmetics market is expected to register a CAGR of 5.34% during the forecast period. Increasing consumer spending on cosmetics and personal care products followed by an increasing working women population is majorly driving the market growth. The growth of the organized retail sector in Asia-Pacific is further boosting market growth. The growing trend of natural and organic cosmetic products is expected to create new opportunities for the vendors active in the global market. Also, the high influence of social media and marketing strategies provide a lucrative market to the existing players. However, side effects caused by chemicals are restricting the growth of the market.
Cosmetics and personal care are one of the fastest-growing consumer product industries across the globe. In the recent past, the per capita spending on cosmetics & personal care products has increased at a significant rate due to the growing appearance consciousness among the consumers, particularly the young population, coupled with rising per capita disposable income. The high adoption of smartphones and easy access to the internet has further increased spending on personal care products through web portals. According to the India Brand Equity Foundation (IBEF), the Indian personal care and grooming market is expected to reach USD 20 billion by 2028 owing to rapid urbanization, a rise in per capita disposable income, and changing lifestyles. Also, according to a survey in 2020, the average annual expenditure on cosmetics amounted to approximately USD 190 per consumer in the US. The consumption pattern among the young population has changed with an aspiration to look good, which is expected to drive personal care products and, consequently, cosmetic products. Moreover, the growing youth population, increasing adoption of social media platforms, the launch of innovative products, and easy availability of products across the globe are also expected to support the growth of the global cosmetics market.
There are harmful ingredients or chemicals present in professional and over-the-counter products that include resorcinol, ethanolamine (MEA), ammonia, persulfates, parabens, propylene glycol, and metals such as nickel. Some of these ingredients or chemicals can cause serious problems. For instance, resorcinol irritates the skin and interferes with normal hormone production. Propylene glycol is also known to cause dermatitis. Also, hair color consists of dyes, modifiers, antioxidants, and fragrances, in addition to a variety of chemicals existing in slight proportions that impart a specific quality to the hair, such as softening it. Many of the chemicals used in hair color might prove toxic to the end user leading to irritation or allergic reactions. Also, there are other damaging chemicals present in hair dye that can cause side effects, such as light tingling, itching and burning, allergic reactions, and blistering and rashes. Thus, the side effects and allergic reactions caused by some of the chemicals used in cosmetics are likely to hamper the growth of the global cosmetics market during the forecast period. Moreover, many eye-makeup products are found to contain harmful chemicals that can gradually hamper vision. The increasing adoption of chemical-free products is found to restrain the growth of the conventional eye-makeup products market. Coal tar dyes used in eye-makeup products are carcinogenic. Benzalkonium chloride is another chemical widely used in eye-makeup products that causes eye irritations. Increasing awareness of harmful ingredients present in cosmetics might restrict market growth. The adoption of organic and natural cosmetics will result in narrowing down the scope of the cosmetics market. Additionally, minimal makeup or nude makeup trends have encouraged consumers to adopt a makeup-free lifestyle due to which the cosmetics market is experiencing a slight downfall..
Report Attribute/Metric | Details |
---|---|
Market Size | USD 395.14 million |
CAGR | 5.34% |
Base Year | 2020 |
Forecast Period | 2021-2028 |
Historical Data | 2019 |
Forecast Units | Value (USD Billion) |
Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
Segments Covered | By Product Type, Category, Distribution Channel and Region |
Geographies Covered | North America, Europe, Asia-Pacific, and Rest of the World (RoW) |
Key Vendors | The Estée Lauder Companies Inc. (US), Procter & Gamble Co. (US), L'oréal Group (France), Shiseido Co. Ltd. (Japan), Beiersdorf AG (Germany), Revlon Inc. (US), Kao Corporation (Japan), Coty Inc. (US), Avon Products Inc. (UK), Amway Corporation (US), Skinfood (South Korea) |
Key Market Opportunities | Increasing Demand For Natural & Organic Cosmetics, Influence Of Social Media And Innovative Marketing Strategies |
Key Market Drivers | Increasing Consumer Spending On Cosmetics & Personal Care Products, Increasing Working Women Population In Emerging Countries, Growth Of The Organized Retail Sector In Asia-Pacific |
Cosmetics market can rise at 5.34% CAGR by 2028.
Cosmetics market is estimated to reach a valuation of approx. USD 395.14 Million by the end of 2028.
The major contenders in the global market are L'Oréal S.A (France), The Procter & Gamble Company (US), Unilever plc. (UK), The Estee Lauder Companies Inc. (US), Shiseido Company, Limited (Japan), LVMH Moët Hennessy (France), Kao Corporation. (Japan), Oriflame Holding AG (Switzerland), Avon Products, Inc. (UK), and Revlon, Inc. (US).
Rise in consumer awareness to support cosmetics market.
APAC cosmetics market revenue to rise at considerable pace in the review period.