The Beauty and Personal Care industry which had seen a slowdown for a few years is on a fast rising path again. A new research report from Inkwood Research indicates that the market was worth $432.68 billion as of 2016, and is forecast to grow at a CAGR of 7.10% to reach $699.45 billion in 2023.

The skin care market still dominates the show with a 30% share in beauty in personal care products. A glimpse through the looking glass elucidates the driving forces in ascending growth trends.

Shown in the slideshow above: 1. (L) Nugg Beauty’s single-use packaging; (R) Too Faced Cosmetics Shadow Insurance Eye Shadow Primer, from the brand’s Instagram; 2. Infographic by Inkwood Research; Infographic by Inkwood Research 

Packaging Trends – Innovation is fun!

Innovative packaging is a major trend in the beauty and personal care industry. Companies like Too Faced have stormed the social media with their ritzy packaging. Eco friendly packing and smaller sized products are also a major draw.

Single use and travel size packing has attracted biggies like MAC and Indies like nugg. In Japan and South Korea, besides the regulatory necessities, social factors such as an aging population, and an on the move lifestyle have also driven innovations in packaging.

Online Sales Opening New Frontiers

Traditional cosmetic companies like Estee Lauder and L’Oreal are growing rapidly via the online channels. Barriers like customer perceptions and lack of a clear view of colors on an online platform have been overcome steadily with the help of technology. Sephora used an Instagram layout showing different customers in different skin tones wearing the same color lipstick. Competitive pricing and customer reviews have added a push to the online sales channel.

The e-commerce industry has witnessed a tremendous growth in countries like China, USA, UK, Japan, Germany, leading the online sales bandwagon due to its younger population and cashless economy. Sales in the online beauty and personal care products channel are expected to grow over 10%.

See the Global Beauty and Personal Care Products Market Forecast 2016 – 2013 by Inkwood Research.

ABOUT THE AUTHOR

Pranali Kadam is an editor at Inkwood Research, a market research and consulting firm, specializing in syndicated and customized research reports across a range of industries.