The global cosmetic ingredient market is projected to expand at a high CAGR during 2021-2028. The growth of the market is attributed to increasing demand for natural and organic cosmetic ingredients.
Cosmetic ingredients are composed of natural, organic, synthetic, and artificial ingredients that are essential for the manufacture of beauty products. Cosmetic ingredients are special combinations of active ingredients used in cosmetic formulations and ingredients to improve the appearance of people. Increasing purchasing power, rising awareness about beautification, growing per capita income, and urbanized population are expected to accelerate the growth of the global cosmetics industry during the forecast period.
Market Trends, Drivers, Restraints, Opportunity
- Key industry factors such as increased disposable income, high population growth, increased consumer awareness, and increased R&D are expected to drive the market.
- Increasing consumer focus towards personal grooming and appearance and development of natural and organic ingredients led consumers to prefer clean labels for cosmetic formulations.
- Excessive use of cosmetics causes severe dryness, skin irritation, and blistering.
- Strict regulations, increasing consumer awareness about synthetic ingredients used in cosmetics, and the threat of toxic ingredients in counterfeit cosmetics are expected to hinder the growth of the cosmetic ingredients industry during the forecast period.
- New cosmetic ingredient series are gradually being introduced to the market, due to increasing consumer awareness about various cosmetic ingredients. Alpha hydroxy acid (AHA) and beta-hydroxy acid (BHA) are popular chemical exfoliators; however, new generation acids including polyhydroxy acid (PHA) are becoming popular in the raw material market. Additionally, growing interest in herbal retinol alternatives is significantly accelerating the growth of the cosmetic ingredients market during the forecast period.
Scope of the Report
The report on the global cosmetic ingredient market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Global cosmetic ingredient market segment insights
Based on product type, the market is segregated into surfactants, emulsifiers, emollients, antimicrobials, UV absorbers, conditioning polymers, botanical extract, and others. The surfactants segment holds a major market share and is expected to maintain its dominant position during the forecast period. Approximately 10% of the surfactants produced globally are used in cosmetics. Demand in terms of the value of surfactants is rising steadily, due to the increasing production of cosmetics. Cosmetic companies prefer biopolymers, due to their environmental-friendly properties. Proteins, polysaccharides, natural rubber, and gum are all-natural polymers. Polymers are vibrant cosmetic ingredients, as they come in many forms and are widely used in skincare, hair care, and men's care.
Based on the nature of the product, the market is divided into natural and synthetic ingredients. Consumers are shifting towards organic and natural beauty products; hence the natural ingredient market segment is expected to provide significant growth opportunities for the global functional cosmetic ingredients market during the forecast period.
Based on applications, the market is divided into skincare, oral care, make-up, fragrance, hair care, and others. The perfume and fragrance sector has a considerable market share and this trend is expected to continue during the forecast period. Factors such as increasing consumer attitude towards personal grooming and increasing demand for personalized perfumes are expected to play an important role in perfume manufacturing. The perfume and fragrance segment maintains its market position.
Based on regions, the market is divided into North America, Asia-Pacific, Latin America, Middle East and Africa, and Europe. The market demand for cosmetic ingredients in the Middle East is expected to increase during the forecast period. Economic development, improvements in per capita income, and living standards are expected to increase the regional market share of cosmetic ingredients.
Segments Covered in the Report
The global cosmetic ingredient market has been segmented on the basis of:
- UV absorbers
- Conditioning Polymers
- Botanical extract
- Natural ingredients
- Synthetic ingredients
- Oral care
By Key Players
- North America
- Middle East and Africa
- Latin America
- L’oreal Group
- Oriflame Holding AG
- Revlon Inc.
- Avon Products Inc.
- Proctor and Gamble (P&G)
- BASF SE
- Croda International Plc.
- Evonik Industries AG
- Lonza Group Ltd.
In the competitive environment, companies are adopting different strategies to capture the market and offer tough competition to their competitors. These companies are focusing on R&D activities to eliminate product side effects on the human body. Some of the key players in the market are: L’oreal Group, Oriflame Holding AG, Revlon Inc., Avon Products Inc., Unilever, Proctor and Gamble (P&G), BASF SE, Croda International Plc., Evonik Industries AG, and Lonza Group Ltd.