There are many searches audiences perform before starting any business in the beauty and cosmetic industry like:
- What is interesting about the beauty industry?
- How big is the beauty industry?
- What is the biggest problem for beauty industry?
What sells the most in the beauty industry?
Beauty industry growth
We will try to cover all the best facts and figures in this blog post that will helps business owners and marketers to make the decisions.
What is the beauty industry?
The Beauty industry covers a wide variety of personal products (cosmetics, skin care; hair care; fragrances), beauty electrical appliances (hair dryers; brushes; combs), services (salons; day spas) and related functions (packaging; supply chain). Not all segments of the beauty industry will be represented on this guide.
As per Market research reports, search terms like BEAUTY, COSMETICS, PERSONAL CARE (bath, shower, soap, deodorant, depilatories), TOILETRIES, MAKE-UP, COLOR COSMETICS, SKIN CARE, HAIR CARE, ORAL CARE, SUN CARE, PERFUME, FRAGRANCE, MEN’S GROOMING, etc. come under this industry.
As per Market research reports, search terms like BEAUTY, COSMETICS, PERSONAL CARE (bath, shower, soap, deodorant, depilatories), TOILETRIES, MAKE-UP, COLOR COSMETICS, SKIN CARE, HAIR CARE, ORAL CARE, SUN CARE, PERFUME, FRAGRANCE, MEN’S GROOMING, etc. come under this industry.
Why is the beauty industry growing
Globally, the industry is strong and only getting stronger. How big is the beauty industry? Up from $483B in 2020 to $511B in 2021 — and with an annual compounded growth rate of 4.75% worldwide — it’s predicted to exceed $716B by 2025. And $784.6B by 2027.
According to Forbes.com, selfies and constant picture-taking cause consumers to need to look their best all the time and that’s one of the factors encouraging beauty industry growth.
According to Forbes.com, selfies and constant picture-taking cause consumers to need to look their best all the time and that’s one of the factors encouraging beauty industry growth.
What is the beauty industry worth 2022?
Revenue in the Beauty & Personal Care market amounts to US$85.06bn in 2022. The market is expected to grow annually by 3.93% (CAGR 2022-2026). The market’s largest segment is the segment Personal Care with a market volume of US$40.33bn in 2022.
How successful is the beauty industry?
In the United States alone, the beauty services sector employs over 670,000 people, and its job growth outlook is “faster than average” according to BLS data at a rate of 13% (2016-2026). According to a study, it was worth $532.43 billion in 2017 and is expected to reach a market value of $805.61 billion by 2023.
Which beauty industry makes the most money?
It’s no secret that a cosmetic surgeon is one of the highest-paid jobs in the world. As of 2021, Allied Physicians Salary Survey reported that cosmetic surgeons could earn $820,000 a year, depending on their specialty.
How much does it cost to start a beauty business?
Expect to set aside $40,000 to $250,000 to purchase an existing salon (dependent on location, size, and condition of the property and equipment). Bump that up to $100,000 to $500,000 on average to build a salon from the ground up.
Future trends in the beauty industry
If you are looking for What are the latest trends in the beauty industry?
Today, there are three big systemic shifts that will redefine the future of the beauty industry. While they represent the future, these shifts should come as no surprise. But, the breadth of forms they’re taking are creating micro-trends that represent serious opportunity.
Today, there are three big systemic shifts that will redefine the future of the beauty industry. While they represent the future, these shifts should come as no surprise. But, the breadth of forms they’re taking are creating micro-trends that represent serious opportunity.
- NATURAL: As with organic food and household supplies, more consumers are becoming interested in natural beauty products. That’s because a focus on health today isn’t confined to what consumers put in their bodies. Now, we’re just as aware of what we put on our bodies. But, how shoppers are looking for more natural beauty products is already evolving.
- PERSONAL: The same shoppers who are redefining what healthier, natural beauty products look like are themselves younger, more racially, culturally, and ethnically diverse, and cosmopolitan consumers.
- CONNECTED: The same shoppers who are redefining what healthier, natural beauty products look like are themselves younger, more racially, culturally, and ethnically diverse, and cosmopolitan consumers.
- Inclusivity.
- AI technology.
- Personalized Experiences.
- Subscription services.
- Clean beauty.
- Big data.
- Influencers.
- Brand partnerships.
Beauty industry statistics, market share, and worth
- More than nearly any other fast-moving consumer goods (FMCG) sector, the beauty industry is guided by trends. And over the last few years, multiple trends have emerged with the promise that they will redefine the future of beauty.
- Revenue in the Beauty & Personal Care market amounts to US$534.00bn in 2022. The market is expected to grow annually by 5.86% (CAGR 2022-2026). The market’s largest segment is the segment Personal Care with a market volume of US$241.50bn in 2022.
- Today the global beauty industry is a $532 billion business. The U.S. currently is the world’s largest beauty market, with about 20% share, followed by China (13%) and Japan (8%). While projections for growth vary, most agree it will continue to advance at a 5% -to -7% compound-annual growth rate to reach or exceed $800 billion by 2025.
- Asians are the biggest consumers of cosmetic products (41% of the market in 2019).
- North Americans (24%) and West Europeans (18%) follow. France is the leading exporter and dominates the global cosmetics market, with a turnover of nearly £ 14 billion.
Who is the target market of beauty products?
- Unlike in the majority of consumer packaged goods categories, where women 35 to 54 years old are the core target market, millennial women not only are the heaviest buyers in the cosmetics category, but their habits are transforming the industry.
- The global skin care industry is worth $148.3 billion. With $27.2 billion in annual sales, L’Oréal is the top beauty company in the cosmetics industry.
- Women in the US spend an average of $3,756 on cosmetics every year. The sun’s UV rays account for 80% of skin aging.
- Americans spend $197.01 on beauty products on average.
- Women in the US spend roughly $313 per month on beauty products.
- As much as 82% of US men aged 18 and 44 use facial skincare products.
- In 2019, Sephora reached a mind-blowing 125,000 employees.
- Pre-COVID-19, nearly 85% of all beauty product shopping took place in brick-and-mortars
- The organic and natural beauty market is projected to reach a “respectable” $54 billion by 2027.
- Still, due to the pandemic, roughly 30% of beauty stores had to close indefinitely.
- Men in the US spend 22% less on beauty products compared to women.
- 48% of millennials use skincare products with CBD oil
35% of women aged 60 or older use makeup products every day - The global makeup market will probably be worth around $85 billion in 2024
- A standard bottle of shampoo consists of 90% of water
- 96% of beauty brands are active on social media
- The personal care industry for men is estimated to hit $166 billion by 2022.
- The organic market for beauty products alone is expected to achieve more than $22 billion globally by 2024.
- 46% of The Global Health and Beauty Industry Market Share Is Held by The Asia-Pacific Region.
- The worldwide fragrance market is estimated to reach $52.4 billion by 2025.
- Health and Beauty Industry Statistics Shows that Offline Sales Still Dominate the Market at 81%.
- One of Four Consumers Say They Prefer Eco-Friendly Skin Care Brands.
- The Average Amount Spent on Beauty Products by Teens Accounts for Around $44 Billion Each Year.
- One-Third of Health and Beauty Buyers Engage with Beauty Brands on Social Media.
- 82% of Health and Beauty Consumers Use Instagram at Least Daily.
- An Estimated 62% of Teens Will Follow Their Preferred Beauty Brands Across Social Media Outlets.
- The overall investment trend in the shampoo sector has gone from $197.99 million in 2019 to $1.08 billion in 2020, representing a 445% increase! The maturity of innovations like fatty acid, which is used to promote hair growth, add shine, and treat the scalp, is helping to drive shampoo-related industry growth.
The health and beauty market consists of multiple segments, each with its own revenue market share as follows (2021/2022).
- Hair care: 24%
- Skin care: 23.7%
- Cosmetics: 14.6%
- Fragrances: 9.5%
- Deodorants, Antiperspirants, and Femine Hygiene: 8.5%
- Oral Hygiene: 5.6%
- Other Segments: 14.1%
It is still an extremely concentrated industry, with the 20th largest manufacturer in the world still producing only 5.5% of the revenue of the largest one: French giant L’Oréal, which commands an eye-watering 20.2% market share in Western Europe.
Revenue of the Leading 20 Beauty Manufacturers Worldwide in 2018 (US $ Billions)
The global beauty and personal care products market size was valued at USD 482.8 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 7.7% from 2022 to 2030.
Consumers are wary of using products that contain harsh chemicals. That’s why the global market value of natural cosmetics is projected to hit $54B by 2027.
Terakeet analyzed 3,168 high-value, non-branded beauty industry search queries, which account for 112.7 million annual Google searches in the U.S. These keywords span three vital markets, including skincare, makeup, and hair care.
Terakeet analyzed 915 of the top keywords in the skincare market, representing 26.52 million annual U.S. searches. Four of the top five skincare market shareholders are online publishers. And the top five websites hold 40% of the total organic search market share.
Beauty And Personal Care Products Market Report Scope:
