Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Global Lip Care Products Packaging Market – Insights
Lip care products offer protection and nourishment to the lips against dust, harmful sun rays, and drying effects caused due to wind and cold. These products are composed of paraffin, beeswax, camphor, flavors, sunscreens, dyes, fragrances, and variety of other ingredients. Increasing demand in multi-functional, organic lip care products backed by rise in health concerns have boosted the usage of lip care products, in turn fueling the growth of global lip care products packaging market.
The lip care products packaging market is backed by increasing importance of presentable appearance and grooming among the people, which is establishing opportunities for the cosmetics industry, in turn fueling the growth of lip care products packaging market over the forecast period. However, chemicals used for producing lip care products including lip stick, lip gloss, lip balm, and other products, hinders the growth of global lip care packaging market. Chemicals such as lead, cadmium chromium, petrolatum, parabens, and other chemicals that are harmful to human health can significantly hamper the growth of lip care products market. In 2010, the U.S. Food and Drug Administration (FDA), reported use of lead in around 400 lipsticks and has restricted the use of more than 10 ppm lead in lip products.
By packaging type, plastic packaging has dominated the lip care packaging market in 2016 with a market share of 45.12% and is expected to continue its dominance over the forecast period. Plastic packaging is widely used in lip care product packaging market, owing to its inexpensive nature and easy availability. Innovations in the plastic packaging for lip care products have further gained consumer traction. For instance, in 2016, Eco Lips Company launched an organic lip balm in refillable packaging made of recycled plastic named POGO.
By application type, the non-medicated lip care product accounted for more than around 60% of the market share in global lip care products packaging market in 2016. The demand for inexpensive and appealing lip care products have driven the non-medicated segment. Major consumption of the personal care and cosmetics products is witnessed in the younger population and thereby the use of lip products of numerous brands and ranges, which are non-medicated, is highly concentrated among young people. According to Palo Alto Medical Foundation (PAMF), in 2013, on an average teenagers used around 15-25 cosmetics per day.
Based on material type, the plastic material segment was the leading market for lip care products packaging in 2016 and is expected to maintain its lead during the forecast period. Polyethylene (PE), Poly Ethylene Terephthalate (PET), and Polyvinyl Chloride (PVC) are some of the major materials used in production of plastic packaging for lip care products. However, there is also growing demand for metal packaging in lip care packaging, due to growing demand for premium products. The commonly used materials used in manufacturing metal packaging for lip care products are aluminum and steel.
In terms of revenue, Asia Pacific dominated the lip care products packaging market in 2016 with a market share of 33.90%. It is also anticipated to have the fastest growth with a CAGR of 5.14% over the forecast period. Factors such as increased affordability, availability of variety of lip care products, and growing presence of local and international brands backed by rapidly growing population have driven the growth of lip care products packaging market in this region. According to National Bureau of Statistics China (NBSC), more than half of the Indian population dwells in the urban economies, which is anticipated to increase up to 60% by 2030. Furthermore, according to United Nations, Department of Economics and Social Affairs (UN DESA), Asian economies such as China and India accounted for the highest growth in urban population, in 2013. Hence, the rapidly growing urban population is playing a pivotal role in the growth of the cosmetic industry, which is expected to have a positive impact on the growth of the packaging industry as well. For instance, India is anticipated to add 404 million urban dwellers and China around 292 million by 2050.
Figure1. Global Lip Care Products Packaging Market Share, by Region, 2016 (%)
SOURCE: COHERENT MARKET INSIGHTS ANALYSIS, 2017
The major players operating in the global lip care products packaging market include Pack Tech A/S, HCP Packaging CO. Ltd., Arminak & Associates LLC, Eastar Cosmetics Packaging, IMS Ningbo Limited, and The Packaging Company.