Beauty & Personal Care Products Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Beauty & Personal Care Products Market size was estimated at USD 513.7 billion in 2023 and is projected to reach USD 830.2 billion in 2030 at a CAGR of 6.9% during the forecast period 2024-2030.

The beauty and personal care products market has seen substantial growth, particularly among millennials who increasingly incorporate skincare, color cosmetics, and hair care into their daily grooming routines. The surge in popularity of cosmetics made with natural, non-toxic, and organic ingredients has significantly bolstered market expansion. Furthermore, the easy availability of these products through a variety of sales channels, including specialty stores, pharmacies, and beauty salons, has driven value sales growth.

A notable trend within this market is the rising interest from male consumers in skincare and grooming products aimed at improving their physical appearance and maintaining healthier skin. This demographic shift presents promising growth opportunities. Additionally, increased investments in research and development for innovative and effective products are further propelling market growth.

Consumer awareness and demand for vegan, organic, natural, and eco-friendly cosmetics have encouraged manufacturers to launch new products and expand their market presence. For instance, in June 2022, the socially responsible French beauty company SO'BiO étic introduced its organic beauty line in the U.S., offering products free from glycol, parabens, silicones, nanoparticles, PEG, and chemical filters. This launch reflects the growing consumer preference for clean, safe, and environmentally friendly beauty products.

Despite the positive trends, the market faces challenges due to the potential adverse side effects associated with conventional beauty and personal care products that contain harsh chemicals. Long-term use of such products can lead to skin issues and hair problems, such as hair fall, premature greying, and dryness. This growing consumer awareness of the side effects of conventional products is one of the primary factors limiting their market growth.

Sustainability, natural and organic ingredients, health, and convenience are key consumer trends shaping the beauty and personal care market. There is a noticeable shift towards natural, organic, and vegan products as consumers seek to avoid the harmful effects of synthetic chemicals. This trend is driven mainly by Millennials and Gen Z, who show a strong preference for organic and natural beauty products compared to the general population. According to a blog by ESW in July 2022, 45% of consumers in these age groups prefer natural skincare, surpassing the 33% of the overall U.S. consumer population.

The COVID-19 pandemic significantly impacted the beauty and personal care market by disrupting production and supply chains. Strict movement restrictions, social distancing, and stay-home policies exacerbated the situation, leading to a halt in new orders from retailers and a significant drop in sales through both online and offline channels.

In summary, the beauty and personal care market is growing due to a shift towards natural, organic, and eco-friendly products. While the market faces challenges from the side effects of conventional products and the impact of the COVID-19 pandemic, ongoing innovations and evolving consumer demands are expected to drive continued expansion.

Delvens Industry Expert's Standpoint

The beauty and personal care products market is experiencing robust growth driven by the widespread daily use of items such as fragrances, antiperspirants, soaps, and cosmetics, with high market penetration in most regions. This industry is essential, as evidenced by high usage rates among both men and women, demonstrating its broad appeal. The increasing global population provides a vast consumer base, fostering market expansion. Companies are diversifying their product portfolios and embracing digital transformation to meet dynamic consumer preferences, offering varied price ranges and key ingredients to enhance the buying experience.

The rise of new product releases and the development of online infrastructures, such as the launch of India's beauty e-commerce platform Tira by Reliance Retail, further bolster market growth. These strategies ensure that each consumer set finds relatable products in the commercial world, improving the buying experience even for those with specific preferences. Companies are increasingly investing in creating functional online buying spaces for consumers, leveraging the supply chain of existing e-commerce firms or developing in-house websites.

Furthermore, the focus on sustainability and natural ingredients aligns with evolving consumer demands for eco-friendly and health-conscious products. This trend is expected to drive innovation and sustained growth in the future. The market's ability to adapt to changing consumer expectations, alongside the development of a robust online and offline presence, positions it well for continued expansion. Overall, the beauty and personal care products market is poised for significant growth, driven by demographic trends, product innovation, and strategic investments in digital transformation and sustainability initiatives.

Market Portfolio

Key Findings

• On the basis of type, the organic beauty and personal care products segment is set to significantly boost the overall market by addressing consumer concerns about safety, sustainability, and environmental impact. Unlike conventional products laden with petroleum-based ingredients, organic cosmetics are formulated with naturally sourced ingredients that are gentle on the skin and support biodiversity conservation. This shift is driven by increasing consumer awareness of the benefits of using cruelty-free and eco-friendly products, which is expected to drive adoption globally. The projected growth rate of type segment indicating a rising preference for organic alternatives. Moreover, the expanding presence of companies specializing in clean beauty products enhances market competitiveness by offering innovative and diverse product lines. Overall, the growth of the organic segment not only meets consumer demand for safer, environmentally responsible choices but also reshapes industry dynamics towards sustainable practices and healthier lifestyles.

• On the basis of Product, the Product segments are integral to the growth of the beauty and personal care products market, driven by consumer preferences for natural and effective solutions. Skincare products enriched with natural ingredients like herbs and plant extracts are increasingly favored for their ability to rejuvenate, protect, and address specific skin concerns such as aging, acne, and uneven tone. This trend reflects a broader shift towards safer, eco-friendly choices that promote healthier skin. Meanwhile, haircare products offer a diverse range of solutions from managing frizz and hair fall to treating dandruff and nourishing dry scalp, catering to various hair types and needs through products like shampoos, conditioners, and styling aids. The availability of these specialized products, coupled with ongoing innovations in formulations and ingredients, not only enhances consumer choice and satisfaction but also drives segment growth by meeting evolving beauty demands. Overall, the skincare and haircare segments are pivotal in shaping the market's trajectory towards more personalized, effective, and natural beauty solutions.

• On the basis of Distribution Channel, the distribution channels of specialty stores, supermarkets/hypermarkets, and e-commerce platforms play crucial roles in driving growth within the beauty and personal care products market. Specialty stores are experiencing increased sales by focusing on offering natural and chemical-free products, providing customers with a wide array of choices across various brands. The presence of knowledgeable store associates further enhances customer satisfaction by offering personalized recommendations and detailed ingredient information. Meanwhile, supermarkets and hypermarkets attract consumers with their convenience and extensive product offerings under one roof, making beauty and personal care items easily accessible in residential areas. Furthermore, the rapid growth of e-commerce channels is propelled by rising internet penetration and targeted marketing efforts, allowing companies to reach a broader audience and cater to diverse consumer preferences. The availability of discounts and promotional offers online also incentivizes consumers, boosting sales through this segment significantly. Overall, these distribution channels contribute synergistically to the market's expansion by enhancing accessibility, choice, and consumer engagement in purchasing beauty and personal care products.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. North America held the largest Beauty & Personal Care Products Market share due to its mature and dynamic industry, capturing a substantial global share. Growth is fueled by a growing population, rising incomes, and heightened consumer focus on personal appearance.

Regional Analysis

North America to Dominate the Market

• North America held the largest Beauty & Personal Care Products Market due to several key factors. The region benefits from a consumer base with high awareness and disposable income, fostering a robust beauty industry. Its well-developed infrastructure includes extensive retail networks, salons, and e-commerce platforms, ensuring widespread access to beauty products. Social media and beauty influencers wield significant influence, shaping consumer preferences and driving trends. North America's preference for premium and innovative beauty solutions, alongside a strong emphasis on self-care, solidifies its pivotal role in the global beauty market.

Competitive Landscape

• L’oreal Group
• Unilever
• Beiersdorf AG
• Mary Kay
• Avon
• Kao Corporation
• Revlon
• The Estée Lauder Companies
• L’occitane International S.A
• Procter & Gamble
• Coty Inc
• Sally Beauty Holdings Inc
• LVMH Moet Hennessy Louis Vuitton SA
• Shiseido
• Colgate-Palmolive Company.
• Kao Corporation
• L’occitane International S.A
• Shiseido Company, Limited;
• Church & Dwight Co. Inc.
• Henkel AG & Co. KGaA
• Johnson & Johnson
• Koninklijke Philips NV

Recent Developments

• In September 2022, L’Oréal Groupe has committed to a minority investment in Shinehigh Innovation, a pioneering biotech company located in China. This move aims to establish a lasting partnership focused on developing innovative and environmentally sustainable beauty solutions together.

• In February 2023, Shiseido Co., Ltd., partnered with Shoppers Stop Ltd.'s Global SS Beauty Brands to launch its makeup brand, NARS Cosmetics, in the Indian market. The strategic initiative involves opening 14 stores in New Delhi and Mumbai by 2023 and promoting NARS products through Sephora outlets.

Reasons to Acquire

• Increase your understanding of the market for identifying the most suitable strategies and decisions based on sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors.
   
• Gain authentic and granular data access for the Beauty & Personal Care Products Market to understand the trends and the factors involved in changing market situations.
   
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future.
   
• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

Report Scope