Online beauty and personal care: Key market research findings
- APAC dominates the market geographically
- Skin care products account for a majority of the market’s share
- Key vendors – Amazon, L’Oréal, Estée Lauder, P&G, and Sephora
Technavio’s market research analysts predict the global online beauty and personal care market to grow at a CAGR of over 16% between 2016 and 2020. The growth of this market can be accredited to the surge in the demand for halal beauty and personal care products online. Even though the market for halal cosmetics was a very niche one a few years back, it has been gaining traction in recent years, mainly in Southeast Asian countries like Indonesia, Malaysia, and Singapore. A number of countries are now formulating regulations and making it mandatory for manufacturers operating in this space to certify their cosmetic products as halal. During 2015, the global online beauty and personal care market was dominated by APAC with a 36% stake in the overall market share. Increased levels of consumer experimentation with new products in the region will contribute to the growth of the online beauty and personal care market in APAC during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the online beauty and personal care segments based on the product type.
“The market is currently witnessing an upsurge in the demand for dermocosmetic products. Dermocosmetics are products that combine cosmetic action with dermatological functions. It is a branch of dermatology concerned with the aesthetic appearance of the skin. Western Europe represents almost 60% of the dermocosmetics market. At present, France is the market leader in terms of revenue, followed by Italy, Germany, and Spain,” says Chandrakumar Badala Jaganathan, Lead Analyst, Chemicals & Materials, Technavio Research.
By 2020, the skin care products segment will continue its dominance over the global online beauty and personal care market by accounting for more than 27% of the overall market revenue. The skin care products segment includes facial creams and body lotions. Facial creams include skin brightening, anti-aging, and sun protection products. These products are used to enhance the skin quality, rejuvenate the cells, prevent wrinkles, and brighten the skin. The availability of many new improved products in the market will enhance the sales of skin care products, leading to the growth of this market segment.
The key vendors in the global online beauty and personal care market include Amazon, L’Oréal, Estée Lauder, P&G, and Sephora. This market is characterized by the presence of both national and international vendors. E-retailers in the market space sell multi-brands along with their home brand or private label consumer products to consumers through their online portals. The increased adoption of m-commerce and network marketing will reflect positively on the growth of the market players during the forecast period. The possibility of many start-ups and large firms entering the market are high, considering the high growth potential of the market.
A more detailed analysis is available in the Technavio report, Global Online Beauty and Personal Care Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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