Cosmetovigilance Market Size, Share & Trends Analysis Report By Service Type (Pre-marketing, Post-marketing), By Phase Type, By Category, By Service Provider, By Region, And Segment Forecasts, 2024 - 2030

Cosmetovigilance Market Size & Trends

The global cosmetovigilance market size was estimated at USD 10.99 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 4.91% from 2024 to 2030. The heightened importance of physical appearance, rising worldwide cosmetic product consumption, and personal disposable income are key drivers attributing to the market growth. In addition, the cosmetic surveillance driven by consumers' increasing adoption of cosmetic goods is further anticipated to fuel the demand in the near future.

Cosmetovigilance is the ongoing gathering, assessment, and monitoring of information about the safety of cosmetics as they relate to human health. Before cosmetic products hit the market, manufacturers must ensure that both the products' ingredients and finished products are safe. They must compile information on any negative side effects. Key drivers ascertaining the cosmetics penetration include rising average daily usage of social media, introduction of new products, and rising demand in developing economies. The global market is also anticipated to increase as a result of growing regulatory convergence.

Furthermore, developing nations such as India & China are seeing increased disposable incomes, changing lifestyles that encourage the enhancement of external beauty, and rising market awareness. India used to have very detailed rules that divided cosmetics into many categories for identification and monitoring. However, the rules have recently become more flexible in line with the cosmetics industry's expectations, and this portends significant growth in future.

In addition, it is expected that the advancement of cosmetovigilance software solutions, the introduction of novel products, the establishment of an efficient surveillance system, and the streamlining of the cosmetovigilance procedure will open new opportunities for market growth. Moreover, the authorities' imposition of tight rules surrounding reporting the effects of cosmetics is anticipated to have a favorable impact on the market's expansion. Also, the availability of bigger platforms and channels for reporting incidents related to the use of cosmetic products, coupled with an increase in incidents involving the use of hazardous materials in the manufacture of cosmetics, is estimated to have a positive impact on the market's growth on a global scale.

Market Concentration & Characteristics

The market growth stage is high, and the pace of the market growth is accelerating. These growth rates demonstrate a robust and accelerating expansion of the market, driven by factors such as the growing innovations in the aesthetic field and the rising usage of cosmetics globally.

The market is characterized by a significant level of merger and acquisition (M&A) activity among leading players. This trend is driven by the desire to gain market share, the need to consolidate in a rapidly growing market, and the increasing strategic importance of cosmetovigilance services. The increasing demand for pre-marketing and post-marketing services, along with the introduction of innovative software solutions, is also contributing to the market's strategic significance and driving M&A initiatives among key industry players.

The market is subject to increasing regulatory scrutiny. This is due to global harmonization, standardizing reporting criteria, adapting to industry changes, and allocating clear responsibilities among stakeholders.The regulations surrounding cosmetovigilance are becoming increasingly stringent, particularly in the EU, where cosmetovigilance is a public health policy aimed at detecting and preventing adverse effects of cosmetic products. For instance, the EU has imposed restrictions on the use of certain preservatives, such as Methylisothiazolinone, in rinse-off products due to safety concerns.

Cosmetovigilance does not have a direct product substitute. It is the continuous monitoring of cosmetic products' safety, involving the detection and prevention of adverse effects. This surveillance is essential for ensuring the safety of cosmetic products and is a legal obligation under various regulations.

The market sees a high degree of geographical expansion strategies, with key players such as HUED and VisualDx employing this approach to broaden their service reach. This strategy enhances service availability across diverse geographic areas, ensuring a more extensive market presence. For instance, in April 2022, See My Skin, in collaboration with partners HUED and VisualDx, improved the outcomes of skin healthcare for people of color. Furthermore, the market is fragmented with presence of numerous companies in developed and developing economies.

Service Type Insights

Based on service type, the post-marketing service segment held the market with the largest revenue share of 23.7% in 2023 and grew at a CAGR of 5.4% during the forecast period, owing to the increased need for cosmetovigilance services, to curb unfavorable effects (UEs) and substantial unfavorable effects (SUEs) associated with the use of cosmetics. Moreover, the process of analyzing and reporting the adverse reactions related to cosmetic products is mostly driven by the cosmetics industry. Furthermore, along with the adverse reaction reporting, post-marketing services also include case intake, case triage, and data entry and acquisition, also driving segment growth.

The pre-marketing segment is expected to grow at a lucrative CAGR during the forecast period, owing to the need to evaluate the safety and efficacy of the cosmetic product. These services will gain traction due to strong cosmetic product pipelines. Furthermore, market expansion will also be aided by the rising need for several pre-marketing services, such as the product information file, cosmetic product safety report, security assessment, and others.

Phase Type Insights

Based on phase type, the Phase IV segment led the market with the largest revenue share of 75.76% in 2023. These phases serve as an extra layer of safety for the cosmetics undergoing clinical trials. Phase IV of clinical trials is crucial because it allows for the identification of potential adverse medication reactions. Due to extensive drug testing on a large patient base, the data gathered and evaluated during this stage is therefore expected to be of the utmost relevance following the commercialization of the product.

The Phase III segment is expected to grow at a lucrative CAGR during the forecast period. Product efficacy is determined and established during phase III trials. Before the products commercialization, these trials also offer more details about potential interactions, safety, and efficacy. Thus, rising importance of Phase III and high number of drugs in Phase III clinical trials is projected to fuel segment growth.

Category Insights

Based on category, the skincare segment led the market with the largest revenue share of 32.95% in 2023, owing to rising demand for face creams, sunscreens, and body lotions. Furthermore, face creams and moisturizers are getting more and more popular all over the world as people become more conscious of their physical appearance and more worried about skin conditions and skin related diseases. All these aforementioned factors are driving segment growth.

The perfume & deodorants segment is expected to grow at a lucrative CAGR during the forecast period. The expansion of this market segment can be attributed to the growing number of side effects associated with perfume & deodorants products. The demand for safe and clinically proven perfume products will rise due to common side effects of these products such as hair migraine headaches, dizziness, skin rash, and others, which is expected to propel the market growth.

Service Provider Insights

Based on service provider, the contract outsourcing segment led the market with the largest revenue share of 59.54% in 2023. Associated advantages of outsourcing, such as risk reduction, resource flexibility, a decrease in initial outlays, and a decrease in fixed expenses. Solutions like process design Standard Operating Procedure (SOP), PV audits, and other specialized services are offered by contract outsourcing businesses. Contract outsourcing also facilitates the efficient use of internal resources, speeds up trial approval, and reduces the complexity of clinical studies.

As a result of substantial R&D for the creation of new pharmaceuticals by large pharmaceutical and biotechnology businesses, the in-house segment is predicted to experience moderate expansion in the forecast period. In upcoming years, this is anticipated to provide this industry with significant development potential.

Regional Insights

The North America region is expected to growth at a significant CAGR during the forecast period. High consumer expenditure on cosmetics and awareness of one's own health are credited for driving the regional growth.

U.S. Cosmetovigilance Market Trends

The cosmetovigilance market in U.S. is expected to grow at the fastest CAGR over the forecast period. Government support in areas surrounding reporting of unfavorable cosmetic consequences will also help business growth. Growing skepticism about the efficacy of cosmetic products' ingredients will spur regional market expansion.

Europe Cosmetovigilance Market Trends

The Europe region led the market with the revenue share of 37.48% in 2023. This dominance is attributed to high importance on cosmetic product regulations. According to EU regulations, businesses must gather and evaluate reports of unfavorable health impacts related to their advertised cosmetic items.

The cosmetovigilance market in the UK is expected to grow at the fastest CAGR over the forecast period. The introduction of a centralized notification system has also greatly improved the state of the regulatory environment in the UK, which has benefited both international corporations and non-EU businesses. Thus, businesses' focus on introducing safe cosmetics will support the expansion of the local industry.

The Germany cosmetovigilance market is expected to grow at the fastest CAGR over the forecast period. This growth can be attributed to various factors such as strict regulation imposed by regulatory body against cosmetic product approvals in Germany.

The cosmetovigilance market in France is expected to grow at the fastest CAGR over the forecast period. This growth can be attributed to various factors such as poor oral habits including neglected interdental space, high prevalence of dental caries, favorable reimbursement for procedures, and well-established healthcare infrastructure.

Asia Pacific Cosmetovigilance Market Trends

The Asia Pacific region is expected to grow at the fastest CAGR during the forecast period. This growth can be attributed to the increase in disposable income levels and the rising number of CRO providing cosmetovigilance services in region.

The cosmetovigilance market in China is expected to grow at the fastest CAGR over the forecast period. This growth can be attributed to the presence of larger untapped opportunities, and rapidly improving healthcare infrastructure.

The Japan cosmetovigilance market is expected to grow at the fastest CAGR over the forecast period. This growth can be attributed to the presence of strict government regulation related for the safe use of cosmetic ingredients and cosmetics.

Key Cosmetovigilance Company Insights

Some of the key players operating in the market include Poseidon CRO; AxeRegel, PharSafer. The company's primary strategies involve a comprehensive understanding of the strengths and weaknesses of major market participants, anticipation of future market trends, identification of opportunities and challenges, and proactive decision-making based on insights into emerging technologies and evolving consumer preferences.

Proclinical, SKILLPHARMA S.R.L., and OC Vigilance are some of the emerging market players in the global market. These market players are continuously focused on niche segments, leveraging specialized technologies to differentiate themselves.

Recent Developments

• In December 2023, Biofrontera AG allowed a U.S. patent for a dermatological skin disease treatment using Photodynamic Therapy (PDT) with two light exposures at different wavelengths, protecting its drug Ameluz

• In June 2023, Anju Software and ClinChoice partnered to enhance eClinical solutions for clinical research. ClinChoice's acquisition of Cromsource led to the collaboration, enabling the delivery of adaptable and cost-efficient eClinical solutions, including TrialMaster, for streamlined clinical trial data management and regulatory compliance

• In December 2022, the Modernization of Cosmetics Regulation Act( MoCRA) replaced chapter VI of the U.S. Food, Drug, and Cosmetic Act and gives the civil government with increased rights to overseeing cosmetic industry

Cosmetovigilance Market Report Scope

Global Cosmetovigilance Market Report Segmentation

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 2018 to 2030. For this study, Grand View Research has segmented the global cosmetovigilance market report based on the phase type, service type, category, service provider and region:

• Phase Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Pre-clinical

  • Phase I

  • Phase II

  • Phase III

  • Phase IV

• Services Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Pre-marketing

    • Clinical Safety Testing

    • Document Writing

    • Risk Management

  • Post-marketing

    • Case Intake

    • Case Triage

    • Data Entry & Acquisition

    • Tracking & Reporting

• Category Outlook (Revenue, USD Million, 2018 - 2030)

  • Skincare

  • Makeup

  • Haircare

  • Perfume & Deodorants

• Service Provider Outlook (Revenue, USD Million, 2018 - 2030)

  • In-house

  • Contract Outsourcing

    • Contract Research Organizations (CROs)

    • Business Process Outsourcing Organizations (BPOs)

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

    • Italy

    • Denmark

    • Norway

    • Sweden

  • Asia Pacific

    • Japan

    • China

    • India

    • Australia

    • South Korea

    • Thailand

  • Latin America

    • Brazil

    • Mexico

    • Argentina

  • Middle East and Africa

    • South Africa

    • Saudi Arabia

    • UAE

    • Kuwait