The global organic personal care market size is projected to reach USD 25.11 billion by 2025, according to a new report by Grand View Research, Inc. It is anticipated to register a CAGR of 9.4% during the forecast period. Rising R&D expenditure to introduce improved plant and animal extracts into various products is expected to promote the demand. Furthermore, regulations promoting the use of organic materials in personal care industry is likely to propel the growth.
Growing demand for organic products has resulted in an increase in their availability in supermarkets, malls, and drugstores. In addition, growth in online market where consumers can access a wide range of products from any part of the world has been a primary reason for increase in accessibility and is expected to remain a key contributing factor for the market growth over the forecast period. Online stores also give consumers the opportunity to gain access to products that would otherwise not be available in local stores and malls, which has made them especially popular in emerging markets.
The market includes a variety of products such as hair care, oral care, skin care, cosmetics, and others. Other product segments include oils, body sprays, perfumes, and masculine and feminine hygiene products. Growing popularity of natural products is the key factor driving demand. Growth product distribution channels in urban areas has made these products easily accessible to consumers. As these products reflect the growing aspirations of better hygiene, health, and beauty in modern times, their adoption has exhibited significant growth. Furthermore, with the introduction of products such as flosses and mouthwashes, the demand for organic oral care products is expected to increase.
Demand for products that are free from synthetic fragrances, preservatives, parabens, petrochemicals, and harsh cleaners such as sodium lauryl sulfate has been on the rise over the past few years. Numerous major market players are involved in manufacturing a variety of personal care products, such as sunscreens, body lotions, shampoos, scrubs, anti-aging creams, makeup removers, masks and exfoliators, eye care products, lip care products, BB creams, face oils, and cleansers/toners.
North America was the largest regional segment of the organic personal care market in 2018, and is expected to continue leading over the forecast period, on account of rising demand for safe and natural products. Over the past few years, companies have been introducing new and innovative products specifically designed to cater to the various consumer needs. Major players such as L’Oréal, The Body Shop, and Estée Lauder have launched new organic products that target aging population.
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Further key findings from the report suggest:
Skin care application held the leading market share of over 33.7% in terms of revenue in 2018, owing to the ability of organic ingredients to impart antioxidation properties and improve skin health
The U.S. organic personal care market is anticipated to exceed USD 7.74 billion by 2025 owing to the presence of various manufacturers in the country
The global market is highly competitive with the presence of a number of multinational companies with wide product portfolios. Some of the key companies present in the market include Aveda Corporation, Burt’s Bees, and The Estée Lauder Companies Inc., among various others players.
The companies lay high emphasis on expanding their presence global scale, in an attempt to increase market shares and to drive revenues. For instance, Estee Lauder has acquired various companies such as BECCA Cosmetics, Too Faced, and Editions de Parfums Frédéric Malle, over the past few years to expand its product portfolio.
Grand View Research has segmented the global organic personal care market on the basis of product and region:
Organic Personal Care Product Outlook (Revenue, USD Million, 2014 - 2025)
Organic Personal Care Regional Outlook (Revenue, USD Million, 2014 - 2025)
Central & South America
Middle East & Africa
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