Personal care product market to rise to $650 billion by 2024
The global personal care product market is expected to reach U.S. $650.10 billion by 2024 and is growing on account of rising awareness regarding personal health and hygiene, according to a new report by Hexa Research (hexaresearch.com). Increasing sales of these products through e-commerce channels is anticipated to foster the growth of the market. Additionally, innovative packaging designs of this products are expected to boost the market.
In 2016, Asia Pacific held the largest market share and expected to maintain its dominance over the forecast period. North America personal care products market is anticipated to show steady growth rate on account of increasing demand for luxury personal care products. The increase in consumer spending power and massive advertising & promotional activities is expected to drive the growth of the market.
Market players are focusing on mergers and acquisition strategies to expand their presence in global market. For instance, in 2015, Unilever acquired REN, Kate Somerville, Dermalogica and Murad to enter in global skincare market. In addition, German manufacturer Henkel acquired Blendax, Pert and Shamtu hair care portfolios from Procter & Gamble to expand into eastern Europe, Middle East and Africa. Furthermore, companies are extensively investing in R&D for product innovation and new product development. For instance, according to Cosmetics Europe, a personal care association, annually large enterprises invest approximately 1.5% to 4.5% of their turnover on R&D activities.
Personal care products are bifurcated into skincare, hair care, oral care, fragrance and others. Skin and hair care product segment accounted for nearly 50% market share. Products such as creams, lotions, powders and moisturizers are included within skin care. Hair care products are used for maintaining hair health as well as used for enhancing the attractiveness of hairs.
Fragrances are anticipated to grow at the fastest CAGR over the forecast period. It includes a mixture of aromatic compounds, essential oils and other substances. Other segment includes toiletries products, color cosmetics and grooming. Rising demand for anti-aging products is expected to open new opportunities for the growth of the market over the next few years.