Color Cosmetics Market is segmented By Target Market (Prestige Product, Mass Product), By Type (Organic, Inorganic), By Distribution Channel (Offline, Online), By Application (Nail Product, Hair Product, Lip Product, Face Product, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031
Color Cosmetics Market Overview
A Report by DataM Intelligence estimates the Global Color Cosmetics market to grow at a high CAGR Of 3.6% during the forecast period 2024- 2031. The market is expected to grow because it becomes important in different industries like Nail Products, Hair Products, Lip Products, Face Products. The competitive rivalry intensifies with Amway, Coty Inc.., KRYOLAN, and others operating in the market.
Colour cosmetics are colorants that are used in daily beauty and personal care products such as skin care, make-up, haircare, personal hygiene, and fragrances. These cosmetics are used for enhancing physical appearance, defining features, and conceal flaws while providing a healthy and refreshed appearance. Increasing demand for cosmetics among women has improved the prospects of the market in recent years. The rising awareness about cosmetic products and focus on personal grooming has changed the consumption pattern, lifestyle, and purchasing power of consumers. Moreover, rising awareness regarding personal hygiene due to the coronavirus pandemic has progressed the demand for cosmetic products, thus driving the market growth.
Color Cosmetics Market Scope
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Metrics |
Details |
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Market CAGR |
3.6% |
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Segments Covered |
By Target Market, By Type, By Distribution Channel, By Application and By Region |
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Report Insights Covered |
Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights. |
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Fastest Growing Region |
Asia Pacific |
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Largest Market Share |
North America |
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Color Cosmetics Market Dynamics
Increasing awareness in millennials towards appearance is driving the growth of the market
Color cosmetics are gaining popularity, particularly among the young population owing to increasing interest in physical appearance. Women are the largest targeted consumer group for these formulations with young girls adopting a wide range of color cosmetics in daily life. Increasing disposable income and quality of living are other macro factors driving the sales of color cosmetic formulations globally. The promotion and marketing activities led by leading companies are propelling the interest for these products among consumers, thus surging the demand. Furthermore, the growth of social media and the entertainment industry led to a significant rise in sales of color cosmetics.
The expansion of digital marketing has been an important driver of this industry. Manufacturers are collaborating with social influencers for their marketing and press strategies. This strong digital campaign has been shifting the shopping behavior of the consumers towards the e-commerce portals. Instagram, YouTube, Facebook, Twitter, Pinterest, and Beauty Blogs are the main digital marketing channels, which are influencing consumers to try new cosmetic products. For instance, the Google search for “foundation for me” has been doubled from 2013 to 2018. Thus, the digital platform is a crucial marketing tool for the producer, where they directly interact with the consumers.
Growing awareness regarding the preservation and protection of environment protection and animals has influenced manufacturers to shift towards plant-based cosmetic products, thus affecting the market growth. The ill effects of chemical-based cosmetics on the skin and body have also led to a decline in sales of cosmetic products. Governments of many countries have mandated regulations over the use of resources and environmental protection. Another factor that acts towards restraining the market is the spread of coronavirus that has led to a disturbance in the supply chain, thus affecting the market growth.
Color Cosmetics Market Segmentation Analysis
Face products segment to hold a major share in the market
The face product segment dominated the market in 2020 due to growing consumer awareness about beauty trends and improving lifestyles. These products include face powder, moisturizer, face cream, and others. The rising trend of beautifying the face to improve facial structure, hide ageing lines, and mask dark circles is leading to high demand for cosmetic products. Plastic surgery is too expensive and the availability of these cosmetics at cheaper rates has caused increased consumption of cosmetic products, further supporting market growth.
The lip product segment is also expected to have significant growth during the forecast period. The growing purchasing power in developing countries and rising beauty trend among the younger generation is supporting the colour cosmetic market. Lip products include lipstick, lip balm, lip liner, and others, consumption of these lip products have been increasing due to improved daily lifestyle among consumers. Moreover, the growth rate of working women is further expected to drive the market.
Color Cosmetics Market Geographical Share
The presence of a large millennial crowd has led the Asia Pacific to the top of the market
The Asia Pacific is the largest regional market for color cosmetics with China, Japan and India being the major contributors by dollar sales in 2020. The economic development within these countries has led to an improvement in the lifestyle of consumers causing high demand for cosmetic products for the face, body, lip, and eyes. Moreover, the growing middle-class population is further fueling the demand for cosmetic products. The cosmetic industry in China is dominant in the region due to changing demographics and a rising number of younger populations that are more affluent towards colour cosmetic products.
North America is estimated to have a significant share in the global market, which can be attributed to the rapid technological advancement and high disposable income in the region. The increased demand for organic products has been leading the manufacturers towards the innovation of new products. This demand along with the feasible economic status of countries within the region is driving the colour cosmetic market. The presence of social influencers and techniques for digital marketing through various portals is supporting the market within the region. Moreover, big companies such as Morphe, Glossier, and Kylie cosmetics have generated major revenue through promotional activities on social media.
Color Cosmetics Market Companies and Competitive Landscape
Key players operating in the industry are L'Oréal S.A, Unilever, Avon Products Inc., Estée Lauder Inc., and others. Companies profiled are involved in product innovation, social marketing, acquisition, and collaboration thus gaining a competitive edge in the global market. For example, In July 2020, Avon introduced a new product called ANEW Skin Reset Plumping Shots that is clinically proven to restore collagen for healthy skin. This product provides a concentration of patented Protinol technology that restores seven years of collagen loss in seven days and gives plumper and firmer-looking skin. Moreover, in 2020, Amway launched a new range of Attitude Color cosmetics that will comprise matte and crème lipsticks along with six hues of nail enamels. To propel growth and meet the evolving demands of young consumers, the company expanded the product offerings with new-age solutions under the premium beauty brand ‘Attitude’.
COVID-19 Impact on Color Cosmetics Market
Pandemic had a negative impact on the global color cosmetics market
The global spread of covid-19 caused a halt in consumer purchases and business activities. As the pandemic led to lockdowns, resulting in less exposure of people to the world outside the houses, resulted in a reduced need for cosmetics. The shut of speciality beauty stores, which gave consumers the option to test products on board, further resulted in the decline of sales. The supply chain of the cosmetics industry has taken a massive hit due to the lockdown that is likely to leave a lasting impact. This has led to consumer reliance on cosmetics being drastically reduced. For example, In China, according to the McKinsey report, the cosmetic industry declined up to 80% in February, and in March, a 20% decline was seen on a year-on-year basis. Moreover, retail sales are down due to lockdown, the online purchase of cosmetic products have seen a swift increase, still, the revenue is not much or high customer traffic that will bridge the gap instigated by negligible offline purchasing. Even the online sales were hit due to increased prices of the makeup products. Leading companies like Amorepacific, reported losses for the first quarter due to the outbreak of a pandemic, with sales taking a dip of 22% while Shiseido Company reported a drop in net sales of 15.8%. Furthermore, some other associated impacts of coronavirus include the temporary closure of salons because of the lockdown imposed by governments across the globe.
