Global Skincare Products Market Grows Steadily at a CAGR of 4.79%

Introduction

Skincare products are used to enhance and maintain the appearance of human skin. Cleansers, toners, body lotions, oils and serums, and creams containing retinol, alpha-hydroxy acids, and beta-hydroxy acids are just a few of the many products available on the market. These products promote the regular replacement of aging skin cells, fight wrinkles, fine lines, and age spots, and safeguard the skin’s overall health.

Market Dynamics

Diversified Product Line and Clean Label trend Drives the Global Market

Many shoppers look up terms like "natural," "local," or "organic" before making a purchase. A different study found that about 88% of consumers are willing to pay more for products made with natural ingredients. According to a 2018 survey conducted by graduate school students in the Fashion Institute of Technology's cosmetics and fragrance marketing and management program, 90% of consumers believed that natural or naturally derived beauty ingredients were better for them and were actively seeking skincare products with such ingredients. The availability of organic skincare products with various specifications specifically designed for different skin types—dry, normal, and oily—is one of the significant factors fueling the growth of the market under study.

Use of Cannabinoids for Maintaining Healthy Skin Creates Tremendous Opportunities

Healthy skin may be significantly influenced by the endocannabinoid system, which affects skin metabolism and inflammation. Cannabinoids may be used as gentler, more organic treatments for sensitive, dehydrated, or chronically inflamed skin conditions in new skincare routines and nutritional supplements. Cannabinoids are fully functional on the skin. They have been shown to reduce allergic reactions in skin cells and skin inflammation.

Regional Analysis

Asia-Pacific is the most significant shareholder in the global skincare products market and is expected to grow at a CAGR of 6.74% during the forecast period. As China's middle class has been expanding and consumers of skin and personal care products more generally, tier 2 and tier 3 cities are seeing increased penetration. Tier 1 megacities in China have the highest consumption of facial care products. Chinese consumers are less brand loyal and more price sensitive than their counterparts in the US or Europe, even though some are willing to pay more for branded or premium goods. As a result, the product category's overall revenue has increased. Even though Chinese consumers now frequently use shower gel, soap continues to rule the Chinese bath market. According to different survey results, more than half of Chinese people still mix their soap and shower gel before using it, which presents a market opportunity for innovation to satisfy consumer demand.

Europe is expected to grow at a CAGR of 1.70%, generating USD 35.42 billion during the forecast period. Online shopping has expanded beyond the desktop as supermarket operators like Edeka and Rewe have rolled out app development for younger and busier consumers. The manufacturers also make the most of online platforms by selling their products through their websites and listing them on well-known e-retail websites to broaden the reach of their brands and their product offerings. German beauty brands are renowned worldwide for being organic and sustainable due to the nation's industry's reliance on farm-based manufacturing.

American consumers spend much money on skin and personal care products and are eager to try new ones, usually those that make clean-label and free-from claims, which drives up sales of these goods across the country. Due to growing consumer awareness of the benefits of these products, the country is seeing an increase in skincare use, particularly in the premium category. The US is the primary source of revenue in North America because of the sizeable sales of anti-aging creams, face oils, facial serums, and skin-lightening products. Basic skin and body care products like cleansers, moisturizers, and treatments like exfoliators, scrubs, and masks saw the most significant increases since last year. The body care market is primarily driven by pricey body wash, shower gel, and body lotion products because there are high-income groups in the US.

Key Highlights

• The global skincare products market was valued at USD 163.23 billion in 2023. It is expected to reach USD 248.73 billion in 2032, growing at a CAGR of 4.79% over the forecast period (2024-2032).
• Based on product type, the global skincare products market is bifurcated into facial care, lip care, and body care. The facial care segment is the highest contributor to the market and is expected to grow at a CAGR of 4.45% during the forecast period.
• Based on category, the global skincare products market is bifurcated into premium skincare products and mass skincare products. The mass skincare products segment owns the highest market share and is expected to grow at a CAGR of 3.75% during the forecast period.
• Based on distribution channels, the global skincare products market is bifurcated into specialist retail stores, supermarkets/hypermarkets, convenience stores, pharmacies/drug stores, and online retail channels. The specialist retail store segment owns the highest market share and is expected to grow at a CAGR of 4.14% during the forecast period.
• Asia-Pacific is the most significant shareholder in the global skincare products market and is expected to grow at a CAGR of 6.74% during the forecast period.

Competitive Players

1. Beiersdorf AG
2. Loreal SA
3. Unilever PLC
4. The Estee Lauder Companies Inc.
5. Amorepacific Corporation
6. Shiseido Company Limited
7. Johnson and Johnson Services Inc.
8. Kao Corporation
9. Colgate-Palmolive Company
10. Amway Corporation
11. Natura and Co.
12. Herbalife Nutrition Ltd.

Recent Developments

Recent Developments

• January 2024 - With over a century of experience in skincare and a recommendation from dermatologists, Eucerin made a formal debut in the face care market with the launch of its new Immersive Hydration Collection.
• March 2024 - Jergens® Natural Glow® Skincare kicked off the Spring season and officially started off the time of year when people are preparing their skin for the sunny moments ahead! Glow Day is also the ideal moment to focus on skin health and discover a UV-free solution that may generate natural-looking color without harming skin because UV tanning has recently become more popular.

Segmentation

1. By Product Type
   1. Facial Care
   2. Lip Care
   3. Body Care
   4. Cleansers and Face Wash
   5. Sunscreen
   6. Shaving Lotions & Creams
   7. Others
2. By Category
   1. Premium Skincare Products
   2. Mass Skincare Products
3. Packaging Type
   1. Tube
   2. Bottle
   3. Jars
   4. others
4. Price Range
   1. Economy
   2. Mid-Range
   3. Premium
5. By Distribution Channel
   1. Specialist Retail Stores
   2. Supermarkets/Hypermarkets
   3. Convenience Stores
   4. Pharmacies/Drug Stores
   5. Online Retail Channels
   6. Other Channels