Global Cosmetics Market Size, Share, Growth Analysis, By Category(Skin, Sun Care Products), By Gender(Men, Women), By Distribution channel(Specialty stores, hypermarket/supermarkets) - Industry Forecast 2022-2028

The Global Cosmetics Market is segmented on the basis of category, distribution channel, gender, and region. On the basis of category, the market is segmented into skin and sun care products, hair care products, deodorants & fragrances, and makeup & color cosmetics. By distribution channel, it is divided into hypermarkets/supermarkets, specialty stores, pharmacies, online sales channels, and others. By gender, it is categorized into men, women, and unisex.By distribution channel, the market is segmented into Specialty stores, hypermarket/supermarkets, online channels, and others (drug store, brand outlets). As per region, the market is studied across North America, Europe, Asia-Pacific, Latin America, and MEA.

Analysis by Category

In 2021, the skin and sun care products sector held the greatest share of the cosmetics market; however, the deodorants and fragrances market is predicted to grow at the fastest CAGR over the forecast period. A substantial amount of skin care products are included in people's everyday healthcare regimens; which encourages its adoption and continues to contribute to the segmental growth of the cosmetics market. An increase in beauty awareness and consciousness is further driving the demand for skin care products. Hence, such aforementioned factors are likely to drive the growth of the market in the upcoming years.

Analysis by Gender

In terms of gender, the women segment led the market in 2021 and is predicted to continue to rise at the fastest CAGR during the forecast period. The segmental growth of the market is fueled by the convergence of technology, beauty, and lifestyle. Increased consciousness of women toward well-being and looks is one of the key aspects that contributes to the segmental growth of the market. Furthermore, the global cosmetics industry has experienced consistent and sustained growth over the years, owing to an increase in the number of beauty-conscious females.

Analysis by Distribution

In terms of distribution channels, hypermarkets/supermarkets dominated the market in 2021, and this trend is likely to continue throughout the projection period. Hypermarkets/supermarkets are gaining popularity due to the availability of a large assortment of consumer goods under one roof, ample parking space, and convenient working hours. Furthermore, urbanization, an increase in the working-class population, and competitive pricing have increased the attraction of hypermarkets in both developed and emerging nations.

Based on the geography, the global cosmetics market is segmented into North America, Asia Pacific, Europe, Latin America, and Middle East & Africa. Among these regions, the North American region accounts for the majority of the market share. The region is one of the most well-known hubs for high-profile cosmetics brands. In comparison to the rest of the world, North American countries, among other things, have a high use of various cosmetics items. Europe accounted for a considerable proportion of the cosmetics market due to the introduction of a wide range of products and rapid technological advancement. The United States is the second-largest market in the region, owing to the presence of a large number of dominating companies. Various factors such as the rising usage of anti-aging cosmetics and the rising demand for luxury and clean-label products in Europe have fueled the rise of the cosmetics business in the region. Germany has seen considerable growth in cosmetics as people become more interested in organic products.

Further, the Asia-Pacific is expected to significantly contribute to the market growth, owing to its diversity and dynamic market range, as well as high demand for a wide range of products. Furthermore, cosmetics are in high demand due to a large number of clients and important market participants in countries such as China, India, Japan, and South Korea. China held the greatest share of the cosmetics sector due to increased demand for skincare products such as face masks and anti-wrinkle creams. Hence, such factors contribute to the regional growth of the market.

Driver

• Increasing Beauty Consciousness: cosmetics business is booming owing to the rising awareness and demand for cosmetics like skin care, beauty care, hair care, and other beauty-related products. The expansion of Korean cosmetic companies into Western countries, as well as the introduction of new cosmetic products containing natural components, are expected to greatly drive market growth. Consumer preferences have shifted swiftly away from synthesized commodities and toward eco-friendly items acceptable for all. "Green labeling" refers to the usage of bioengineered substances in cosmetics. Bioengineered components are derived from plants and refined using biotechnology to rethink natural cosmetics.
• Another primary driver driving market growth is people's growing care about their appearance, which correlates with a growing desire for personalized cosmetic items. As a result of the growing influence of social media, rapid urbanization, and rising purchasing power, people are also eager to spend on new, unique, and premium products. This, together with the burgeoning e-commerce sector, is providing manufacturers with lucrative opportunities to expand their product range and consumer base. The industry is also expanding due to substantial growth in the elderly population and a greater emphasis on maintaining a youthful appearance.
• Rise in the use of cosmetics among men in their daily routine, such as changing lifestyles: the male population is increasingly adopting cosmetics into their daily routines, contributing to the expansion of the market. As a result, cosmetics have grown in importance in daily life. All of these factors are likely to fuel market expansion and demand over the forecast period.

Restraint

• An increase in awareness of probable side effects of cosmetics and skin concerns among customers and access to surgical options is likely to limit the market growth. Everyday use of cosmetics possesses a harmful impact on the skin. Hair loss can be caused by the long-term use of chemical-rich shampoos and conditioners, for example. Furthermore, chemical-based cosmetics may not be suitable for everyone when compared to natural ones. Such issues are projected to stifle the cosmetics market's expansion during the study period.

The major players operating in the global cosmetics market are Procter & Gamble, L'Oreal S.A., The Estee Lauder Companies Inc., Coty Inc., Shiseido Company, Limited, Colgate-Palmolive Company, Kao Corporation, Beiersdorf Group, Unilever, Amorepacific, Johnson & Johnson Services, Inc., Revlon, Inc., LMVH, Oriflame Cosmetics Global SA, Espa, Henkel AG & Co. KGaA, Mary Kay, Natura&Co, CHANEL, and KOSÉ Corporation among others. These players are adopting various organic and inorganic growth strategies to sustain themselves in the competitive market. For instance, in November 2021, Estée Lauder Companies Inc. partnered with Florida A&M University for a new talent and development program to build the next generation of Black beauty leaders in Travel Retail. This development was in line with the company’s commitment to Racial Equity. This enabled the company to create an exclusive internship and scholarship program with Florida A&M University. Further, in the same month, in November 2021, Procter & Gamble announced the deal to acquire the Indie skincare brand Farmacy Beauty. With this acquisition, the company wishes to double down on the skin care products it offers in the market.

Top Player's Company Profiles

• Avon Products, Inc. (UK)
• Kao Corporation (Japan)
• L’oréal S.A. (France)
• Oriflame Cosmetics S.A. (Switzerland)
• Revlon, Inc. (US)
• Shiseido Company, Limited (Japan)
• Skin food co., ltd. (Korea)
• The Estee Lauder Companies Inc (US)
• The Procter & Gamble Company (US)
• Unilever PLC (UK)

Recent Development

• In April 2022, L'Oréal Group unveiled Colorsonic, a portable, lightweight device that uses a novel, mess-free method to mix and apply hair color, delivering consistent hair color results for customers at home, and Coloright, an AI-connected hair color system for salon stylists that use Virtual Try-on to project desired shades and an algorithm that results in an on-demand, customized hair color.
• In March 2022, Kao Corporation and istyle Inc. announced to use of the sebum RNA monitoring technology developed by Kao and launch a joint initiative to develop a system that enables the efficient selection of cosmetics based on the skin RNA types.

• Increasing trends in the adoption of vegan cosmetics owing to the growing popularity of the vegan diet and rising health concerns about the dangers of petroleum-based ingredients are one of the major trends in the market. Vegan cosmetics are organic beauty products made with plant-based extracts and non-toxic ingredients. As a result, numerous companies are teaming up with dermatologists to manufacture optimal cosmetics, which is predicted to positively influence the industry forward.
• A number of market participants are starting digital marketing campaigns, creating interactive commercials, and exerting significant effort to promote their products through social media, which is likely to increase consumer demand for the product. Consumers are drawn to e-commerce to purchase personal care items due to the growing influence of social media and expanding internet usage. For instance, Grupo Boticário, a Brazilian manufacturer of cosmetics, bought Beleza na Web, an online store that would enable it to sell its goods. To satisfy consumer demand, producers are concentrating on providing a wide range of items through an online channel.

SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.

According to our analysis, based on the category segment, the skin and sun care segment dominated the global cosmetics market in 2021 and is anticipated to maintain its dominance throughout the forecast period. Whereas, based on geography, in 2021, North America dominated the global cosmetics market owing to the region's highly aware and economically stable population.