Global Hair Oil Market Grows Steadily at a CAGR of 5.08%

Introduction

Rising disposable incomes and improving living standards, especially in emerging economies like India, China, and Brazil, are driving the expansion of the global hair oil market. With increased financial capacity, consumers are more inclined to purchase high-quality personal care products, including hair oils that offer nourishment, shine, and scalp care.

In addition, the surging impact of social media and beauty influencers is significantly shaping consumer behavior and enhancing product visibility. Digital platforms are enabling brands to connect with larger audiences and promote the benefits of regular hair oiling routines, thereby supporting market growth. The increasing emphasis on male grooming is also contributing to market expansion, as companies develop hair oil products tailored specifically for men.

Market Dynamics

Rising hair fall and scalp issues drive the global market

The growing prevalence of hair and scalp problems worldwide is driving a strong surge in the demand for hair oils. Factors such as unhealthy diets, frequent use of heat styling tools, and rising pollution levels are contributing to early hair thinning and various scalp conditions. In response, more consumers are turning to natural solutions like hair oils for both prevention and care.

• As reported by the American Academy of Dermatology (2023), over 80 million people in the U.S. are affected by hereditary hair loss, with pollution now acknowledged as a major environmental factor causing hair and scalp damage. Additionally, data from Gitnux reveals that nearly 85% of men experience prominent hair thinning by age 50, while around 40% of women notice hair loss by age 40.

This growing concern has led to increased adoption of hair oils infused with nourishing and therapeutic ingredients such as coconut, argan, castor, and bhringraj.

Innovation in formulation creates tremendous opportunities

The global haircare market is undergoing a transformation, with consumers now seeking products that go beyond basic nourishment. There is a rising demand for multifunctional hair oils that deliver a range of benefits, including frizz management, heat protection, scalp care, and styling support, all in one product.

• A notable innovation in this space is the launch of Shakira’s Isima line in June 2025, featuring the Delicia Reparative Hair Oil. This product blends Brazilian hemisqualane and Chilean rosehip oil to deliver 96-hour frizz control, intense shine, thermal protection, and deep hair repair. It also integrates advanced technologies such as Nanopeptide-3, GluconaBond, and FiberSeal, specifically designed to cater to textured and complex hair types.

These science-backed, high-performance formulations reflect a growing market shift toward premium, multifunctional hair oils, opening significant opportunities for brands that prioritize clean, effective, and specialized hair care innovations.

Regional Analysis

In the Asia-Pacific region, the market is witnessing robust growth driven by cultural practices, increasing beauty consciousness, and rising disposable incomes. India remains a dominant market, where oiling hair is deeply rooted in tradition, and brands like Parachute, Dabur, and Indulekha continue to lead. However, consumer preference is rapidly shifting toward herbal and premium oils, such as onion oil, almond oil, and argan oil, with startups like Mamaearth and WOW Skin Science gaining strong traction.

In China and Southeast Asia, demand is growing for multifunctional hair oils that promote hair growth and repair damage caused by frequent coloring and styling. The rise of K-beauty and J-beauty trends has also influenced the demand for lightweight, non-greasy oils enriched with natural ingredients like camellia and rice bran. E-commerce platforms like Shopee and Nykaa are key enablers of this regional growth.

Key Highlights

• The global hair oil market size was valued at USD 51 billion in 2024 and is projected to grow from USD 4.74 billion in 2025 to reach USD 7.04 billion by 2033, growing at a CAGR of 5.08% during the forecast period (2025–2033).
• By product type, the global hair oil market is segmented into coconut oil, almond oil, argan oil, and others.
• By category, it is divided into non-medicated and medicated.
• By packaging type, the market includes bottles, tubes, pumps, sachets, and others.
• By end-user, the segments are men, women, and unisex.
• By distribution channel, the market is classified into offline and online.
• Asia-Pacific is the highest shareholder in the global market.

Competitive Players

1. Dabur India Ltd.
2. Marico Limited
3. Emami Limited
4. Unilever PLC
5. Procter & Gamble (P&G)
6. L’Oréal S.A.
7. Bajaj Consumer Care Ltd.
8. Himalaya Drug Company
9. Patanjali Ayurved Ltd.
10. Godrej Consumer Products Limited
11. Kama Ayurveda

Recent Developments

• In July 2025, Diffar’s Tokyo Balance Hair Oil debuted as a luxury, perfume-infused treatment blending premium Japanese botanicals. Following a successful Brooklyn pop-up, it’s now available online, offering a sensorial experience alongside frizz control and shine enhancement. The launch marks a strategic move into upscale, niche haircare, tapping both fragrance aficionados and beauty-indie consumers.

Segmentation

1. By Product Type
   1. Coconut Oil
   2. Almond Oil
   3. Argan Oil
   4. Others
2. By Category
   1. Non-Medicated
   2. Medicated
3. By Packaging Type
   1. Bottles
   2. Tubes
   3. Pumps
   4. Sachets
   5. Others
4. By End-User
   1. Men
   2. Women
   3. Unisex
5. By Distribution Channel
   1. Offline
   2. Online