Cosmetics Market Size, Share & Trends Analysis Report By Product (Skin Care, Hair Care, Makeup, Fragrance), By End-use, By Distribution Channel, By Region, And Segment Forecasts, 2022 - 2028

Report Overview

The global cosmetics market size was valued at USD 254.08 billion in 2021 and is anticipated to register a CAGR of 5.3% from 2022 to 2028. The extensive growth in the acceptance of skincare and personal care products coupled with the rise in the aging population across the globe is one of the major factors that propel the market growth during the forecast period. The rising fashion trends and significant product innovation in formulation and formats of cosmetic products such as hair color and other skincare products further contribute to the growth of the market. However, the side effects of regular usage of cosmetic products due to the presence of harmful chemicals are projected to restrain the market growth during the forecast period.

The COVID-19 pandemic has negatively impacted the global cosmetics market due to the disruption in the supply chain, manufacturing, and government restrictions on opening retail stores across the globe. Moreover, the major players in the market experienced a decline in the sales revenue of cosmetic products during the COVID-19 pandemic, which further impacted the market. For instance, L'Oréal S.A. reported net sales decreased by around 7.0% in fiscal 2020 due to the challenging environment as a result of the COVID-19 pandemic. However, the global cosmetics market is projected to recover in the future and witness strong growth due to resumed activities, sales, trade, and manufacturing across the globe.

In addition, the significant rise in the brand recognition and influence of cosmetic products through social platforms is further projected to propel the market growth during the forecast period. The increasing awareness regarding natural ingredients-based cosmetics and their effects on the human body further supports the inclination of consumers’ toward the natural product propels the market growth. The aging population further creates significant growth in the market as the aged people mostly use the hair dye for recoloring their hair and various anti-aging creams and other products.

Additionally, the growing trend towards organic cosmetics products across the globe is further projected to provide substantial opportunity to the market in the near future. The increasing awareness regarding organic cosmetics and their positive effect on skin supports the inclination of consumers toward the organic cosmetics product from chemical-based cosmetic products that further propelling the market growth. Moreover, the significant demand for fragrance products among celebrities and millennials further supported the market growth during the forecast period. Additionally, growing product development and innovation by cosmetic manufacturers further create significant opportunities for the market in the future.

The growing awareness regarding skincare cosmetics products and their positive effect on the skin is further acting as a motivating aspect during the forecast period. In addition, rising beauty awareness among men and monetary autonomy among women are other substantial factors contributing to the cosmetics products demand during the forecast period.    

Product Insights

Based on the product, the global cosmetics market is further classified into skincare, haircare, makeup, fragrance, and others (hygiene and personal care products). Among these, the skincare segment contributed to a larger market share of over 40% in 2021. There is a significant trend toward skincare cosmetics such as face creams, powders, and sunscreen lotions due to their availability in several varieties. This is the major factor that contributes to the largest market share. Moreover, the significant popularity of personalized skincare products among developed economies such as the U.S., U.K., and others further contributed to the segmental growth. Moreover, the availability of skincare products with active ingredients that have healing and nurturing properties further supported the growth of the market.

The hair care segment is forecast to expand with a significant CAGR of 6.2% from 2022 to 2028 in terms of revenue. The significant rise in the fashion trends of changing hair colors with proper hair cosmetics across the globe is one of the major factors that propel the market growth during the forecast period. Therefore, the ease of the application of hair color cosmetics is further projected to grow significantly in the upcoming years. Moreover, the significant rise in hair fall and scalp-related issues among people across the globe is further projected to contribute to the growing demand for hair care products during the forecast period.

Moreover, the fragrance segment is forecast to expand with a CAGR of 4.3% from 2022 to 2028. The increasing consumer spending on premium and luxury personal care products, such as fragrances due to the high-income level, is one of the major supporting factors in the market. Moreover, the growing popularity of fragrance products among men is further projected to provide ample growth to the market during the forecast period.   

End-use Insights

Based on the end-use, the global cosmetics market is further classified into men and women. Among these, the women segment contributed to a larger market share of over 60% in 2021. The significant trend toward skincare and makeup cosmetics products among women is one of the major factors that contributed to the largest market share. The high expenditure of women on cosmetics and beauty products as compared to men further supports the largest market share. Therefore, a significant portion of the women population uses different cosmetics products, such as natural ingredients-based hair makeup and skin products, across the globe that further contributing to the highest share of the segment.

Moreover, the men segment is forecast to expand with a significant CAGR of 5.7% during the forecast period. The growing trend for using cosmetics products among men across the globe is one of the major factors that drive market growth. Moreover, the growing trend toward trendy skincare, haircare, and fragrance products among men is further projected to enhance the market growth during the forecast period. Moreover, the significant brand endorsement of celebrities further encourages the men population toward cosmetic products that further provide significant growth opportunities to the market. 

Distribution Channel Insights

Based on the distribution channel, the global cosmetics market is further classified into offline and online. Among these, the offline segment contributed to a larger market share of over 75% in 2021. The significant affection of customers towards offline retail stores for cosmetics products acts as the key aspect that contributed to the major share of the segment. Moreover, the easy availability of cosmetics & personal care products in brick-and-mortar retail stores, including department stores, specialty-multi retailers, and salons and spas, sustained the enlargement of revenue in the offline channel segment.

Moreover, the online segment is forecast to expand with a significant CAGR of 6.1% during the forecast period. The major factor that propels the market growth includes the increasing e-commerce industry in emerging economies. In China and India, the online channel is gaining traction for cosmetics product browsing and shopping. Moreover, the growing partnership between major e-commerce companies and cosmetic product manufacturers in emerging economies is further projected to provide ample opportunities to the market in the near future. In addition, the growing popularity of e-commerce websites, coupled with the rising penetration of smartphones across the globe, is further expected to provide ample opportunity to the market in the near future.   

Regional Insights

In the global cosmetics market, Asia Pacific dominated the market revenue share in 2021, accounting for around 45% of the total revenue. The major factors that propel the market growth include the growing consumer spending on beauty & personal care products and the increasing trend of premium cosmetics brands among celebrities in the region. Moreover, the significant growth in the per capita income in emerging countries such as China, India, and others further supports the escalating industry growth. Moreover, the significant growth in the personal care industry in emerging countries further provides significant opportunities for the growth of the market during the forecast period.

Europe is forecast to expand with a significant CAGR of 4.5% from 2022 to 2028. The market is mainly driven due to the strong sales of cosmetics products through various brands such as Coty Inc., L'Oréal S.A. Estée Lauder Companies Inc., Revlon, Inc., along with new product launches from other brands, such as Procter & Gamble, Combe Inc., and Henkel AG & Co. KGaA. Additionally, the presence of a well-established offline retail chain for cosmetics products in Europe is another factor driving the market across the region.     

Key Companies & Market Share Insights

The cosmetics industry is always changing and updating. To stay head-on in the market, players tend to launch new strategies more frequently. Key players are focusing on increasing investments in advertisements through social sites to increase awareness regarding cosmetics in the market. In September 2021, Coty Inc. announced the partnership agreement with Perfect Corp. for the integration of a suite of AI and AR practices into the digital marketing toolkits of its cosmetics brands. Some of the prominent players in the global cosmetics market include:

• Coty Inc.

• L'Oréal S.A.

• Estée Lauder Companies Inc.

• Revlon, Inc.

• Avon Products Inc.

• Unilever PLC

• Shiseido Company, Limited

• Godrej

• Procter & Gamble

• Beiersdorf AG

• Henkel AG & Co. KGaA

• Kao Corp.

• Hoyu Co., Ltd.

Cosmetics Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2028. For this study, Grand View Research has segmented the cosmetics market based on product, end-use, distribution channel, and region:

• Product Outlook (Revenue, USD Million, 2017 - 2028)

  • Skin Care

  • Hair Care

  • Makeup

  • Fragrance

  • Others

• End-use Outlook (Revenue, USD Million, 2017 - 2028)

  • Men

  • Women

• Distribution Channel Outlook (Revenue, USD Million, 2017 - 2028)

  • Offline

  • Online

• Regional Outlook (Revenue, USD Million, 2017 - 2028)

  • North America

    • U.S.

  • Europe

    • Germany

    • France

    • U.K.

  • Asia Pacific

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa