Skin care products are used to enhance and maintain the appearance of human skin. There are a variety of products available in the market such as cleansers, toners, body lotions, oils and serums, and creams with alpha-hydroxy acids, beta-hydroxy acids, and retinol as some of their key ingredients. These products aid in regular replenishment of the dying skin cells and counter the signs of aging such as wrinkles, fines lines and age spots while maintaining the overall skin health.
The growing skincare awareness across the globe is the main factor influencing the robust growth of the global skincare products market. Awareness about skin-friendly beauty products and the benefits of skin nourishment is growing the opportunities for the global skin care products market. Individuals are concentrating on self-care during the stay-at-home orders implemented by various countries on the grounds of the new coronavirus pandemic. According to the Automat, which is a personalised shopping platform stated that the demand for the skin care products have increased 13% by the last year which denotes that the global skin care products market is seeking upward growth trajectory during the forecast period.
The global skin care products market is expected to surpass US$ 189.89 Bn by the end of 2028 in terms of revenue, exhibiting a CAGR of 4.37% during the forecast period (2021 to 2028).
Drivers
One of the key factors expected to stimulate the market growth is the growing concern about personal grooming among all the age group people is driving the demand for skincare products.
Rising concern regarding skin nourishment due to many factors such as increasing occurrence of acne, black spots, dullness, and fine lines are causing higher demand for the skincare products from the young and teenage consumers. According to a survey conducted in February 2021 in the United States, skin care was the most shopped-for beauty category across 18 to 24 age group. Skin brightening products, toners and scrubs are witnessing higher demand from the younger population, whereas products that provide the solution to wrinkles or cracked heels are gaining major traction, owing to its increasing demand from the aged population. Changing lifestyle and spending patterns of consumers on premium beauty care products is expected to drive the growth of the skin care products.
With the growing demand for organic ingredients, consumers across the world are inclined towards organic skincare products, which is expected to drive the market growth during the forecast period. Furthermore, the rising awareness about the harmful effects of chemicals and synthetic products is another factor to drive the growth of the market. Most consumers tend to buy products with natural or organic labeling, which drives the market growth.
Among regions, Asia Pacific held a dominant position in the global skin care products market in 2020, accounting for 49.8% market share in terms of revenue, followed by Europe, and North America. For instance, according to the Ministry of Micro, Small & Medium Enterprises (MSME) report in 2021, the expansion of the natural oleo-chemical and synthetic chemicals manufacturing industries in India and China, both of which are backed by regulatory support, is expected to ensure continuous raw material access to skin care product manufacturers. This is expected to be a positive factor for the market growth in Asia Pacific over the forecast period.
Figure 1. Global Skin Care Products Market Revenue Share (%), By Region, 2020
Market Restraints
Personal care products have become a necessary part of the everyday life for many people. But a lot of the skincare products that that are used in the day-to-day life come with a lot of chemicals that are directly or indirectly hazardous for the skin if it is used for a longer duration. The excessive use of chemical rich or inorganic skin care products could lead to diseases like skin cancer, allergies, rashes, and tumors. A report by the National Institute for Occupational Safety and Health (NIOSH) conducts research and makes recommendations for the prevention of work-related injury and illness revealed that the skin may absorb up to 60 percent of the chemicals from the products which are constantly in contact with the skin. According to the report published by NCBI (National Centre for Biotechnology Information )The most common chemical found in beauty products is parabens, which is used as preservative in deodorants, moisturizers, shampoos, body wash and makeup, and increases the chances of breast cancer. Men who use products containing parabens can have lower sperm counts and less testosterone. It could also cause endocrine disruption. The side effects caused by the skin care products are the major restraint for the skin care products market.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2020 | Market Size in 2021: | US$ 140.76 Bn |
| Historical Data for: | 2017, 2018, and 2019 | Forecast Period: | 2021 to 2028 |
| Forecast Period 2021 to 2028 CAGR: | 4.37% | 2028 Value Projection: | US$ 189.89 Bn |
| Geographies covered: |
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| Companies covered: |
Unilever Plc., Coty Inc., Johnson & Johnson Inc., Proctor & Gamble Co., L’Oreal S.A., Revlon Inc., Kao Corporation, Avon Products Inc., Beiersdorf AG., Colgate Palmolive Company, Natura & co., and Estee Lauder Inc. |
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| Restraints & Challenges: |
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Market Trends
Natural ingredient-based cosmetics are creating overspreading across the skincare market with products like wrinkle-defying creams, anti-aging creams, and vitamin-enriched skin nourishment creams. Reducing carbon footprint through compostable packaging is proving to be a unique selling point for skincare products. Powders, oil cleansers, and other cosmetic products such as lotions and creams packed with waterless formulations are further serving as a growth multiplier for the skincare market. Products such as sunscreen lotions, acne and pigmentation removal creams, vitamin C serums, and many such products are also getting popular among the customers. Winter skincare products and Ayurvedic skincare products have shown substantial growth due to their effectiveness. For instance, according to the Maharishi Ayurveda study report during pre-covid, the Ayurvedic market typically witnessed a 15-20 percent increase annually, and post-covid it has reached 50-90% growth. Consumers are shifting there preference from the allopathic skin care products to ayurveda skin care products because of its natural qualities and no side effects.
Figure 2. Global Skin Care Products Market Revenue Share (%), By Distribution Channel, 2020
On the basis of Distribution Channel, in 2020, powder segment held largest revenue share of 30.8% in the global skin care products market. The wide availability of all categories of skin care products under a single roof makes the hypermarket the largest distribution channel. The convenience and ease of shopping the skincare products is making the hypermarket to uplift the segmental growth.
Global Skin Care Products Market - Impact of Coronavirus (Covid-19) Pandemic
The global beauty industry (comprising skincare, color cosmetics, hair care, fragrances, and personal care) got disrupted by the COVID-19 crisis. Due to the lockdown over various parts of the countries worldwide companies are facing difficulties to meet there channel partners and close business deals. The industry has responded positively to the crisis, with brands switching their manufacturing to produce hand sanitizers and cleaning agents and offering free beauty services for frontline response workers. According to Forbes report in September 2019, the global beauty industry generates $532 billion a year and accounts for millions of jobs, directly and indirectly, but due to the Covid-19 impact this number is reduced a bit. The Covid-19 has led to the consumers to shift their preference from other distribution platforms to e-commerce platform, which is shifted the ground for the distribution channel for the skin care products market.
Competitive Section
Key players operating in the global skin care products market include Unilever Plc., Coty Inc., Johnson & Johnson Inc., Proctor & Gamble Co., L’Oreal S.A., Revlon Inc., Kao Corporation, Avon Products Inc., Beiersdorf AG., Colgate Palmolive Company, Natura & co., and Estee Lauder Inc.
Skin is one of the largest organs that receive the most damage owing to ultraviolet (UV) rays and pollution exposure. Consequently, there has been an increase among the masses towards engaging in a regular skin care regime, thus making it an integral part of personal well-being. This has led to the introduction of diversified products containing various chemical and herbal elements, aiming at overall enhancement and maintenance of healthy skin. Urban regions, in particular, have been witnessed increased consumer preference towards various skin care products owing to rising disposable income, aggressive promotional activities, and launch of innovative products by manufacturers.
Parents are becoming more conscious with the products that are being used for their infants. Skin care products manufacturing companies are developing more and more suitable products for the infants. For instance, In January 2022, Glowderma, a German skin care brand tied up with Sanosan, a global premium skin care brand to market and baby skin care products in India. The company has launched Sanosan Baby skin care product range exclusively for the North India and rest of the India, Sanosan Baby Skin care range includes Sanosan Baby Skin Care Cream and Sanosan Baby Care Lotion.
The online skin care products distribution channel also plays a crucial role in contributing towards the segment growth due to the wide products availability of premium skin care brands on different online shopping applications and websites. The products are being readily available on different platforms at discounted offers and are subjected to cashback and easy return policies. For instance, according to a press release by cosmetics design-Europe, a cosmetic news platform in Europe, the number of people purchasing skin care products is increased by 18% after the pandemic due to discounts offered by the retailers, which shows that consumers are more relaying on the online platforms for products shopping.
Key features of the study:
Detailed Segmentation:
“*” marked represents similar segmentation in other categories in the respective section.
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