How Much We Spend On Cosmetics?

How Much We Spend On Cosmetics
Research Summary. The cosmetics industry is one of the most valuable markets globally, and the United States is largely to thank for that. With more and more people across the nation buying personal care and beauty products, the cosmetics industry is growing fast. After extensive research, our data analysis team found:

Approximately $49.2 billion is generated by cosmetics sales in the United States each year.
On average, Americans spend between $244 and $313 on cosmetics every month,
The global cosmetics industry is valued at $571.10 billion,
The cosmetics industry is growing at a rate of 3.8% each year,
Personal care products make up 44.4%, with a market volume of $253.3 billion of the cosmetics industry, representing the largest segment of the market.
In 2020, the beauty and cosmetics market fell by 8% as a result of COVID-19.

For further analysis, we broke down the data in the following ways: Consumers | Segments | Trends and Projections How Much We Spend On Cosmetics

How much is cosmetic worth?

Cosmetics Market Size, Share & COVID-19 Impact Analysis, By Category (Hair Care, Skin Care, Makeup, and Others), By Gender (Men and Women), By Distribution Channel (Specialty Stores, Hypermarkets/Supermarkets, Online Channels, and Others), and Regional Forecasts, 2021-2028 The global cosmetics market size was USD 277.67 billion in 2020 and is projected to grow from USD 287.94 billion in 2021 to USD 415.29 billion in 2028 at a CAGR of 5.0% during the 2021-2028 period.

The rise in CAGR is attributable to this market’s demand and growth, returning to pre-pandemic levels once the pandemic is over.
The global impact of COVID-19 has been unprecedented and staggering, with cosmetics witnessing a negative impact on demand across all regions amid the pandemic.
Based on our analysis, the global market exhibited lower growth of -10.57% in 2020 compared to the average year-on-year growth during 2017-2019.

Cosmetics products have become essential goods in life as they can enhance the individual’s overall appearance and thereby help achieve a positive impact on the personality. The manufacturing of such items has been controlled by a handful of multinational corporations.

They offer a wide variety of products, including face care,, and lip care, among others, which are essential to fulfill the particular requirements of the end-user.
Moreover, increasing launches of anti-aging products, the development of innovative and convenient packaging designs, and compact containers that can be easily carried on the go are also attracting consumers.

The hair type, skin tone, eye color, and shape of lips vary for each person. Therefore, manufacturers are focusing on developing and having a diverse product portfolio that can cater to the specific requirements of every individual. Product Sales Declined during COVID-19 due to Store Closures The cosmetic industry has been stunned by the COVID-19 crisis resulting in a significant decline in the demand for cosmetic products.

Additionally, the consumer purchasing pattern has dramatically changed across the beauty and personal care space due to the strict lockdown and widespread store closures in the first half of 2020. As per Estee Lauder Companies Inc.’s news published in April 2020, most retail stores operated by the company or its customers had to be closed down since mid-March 2020 across its operating regions, including The Americas and Europe, and the Middle East & Africa.

As per the same source, the company’s travel retail business was affected negatively due to strict restrictions imposed on travel, particularly air travel. However, the company took efforts to participate in COVID-19 relief activities through funds and product donations.

Estée Lauder’s production site, located at Whitman, the UK, started to manufacture hand sanitizers under its brands Jo Malone London and Estée Lauder due to its heightened demand, which would donate to employees and front-line workers. Retail store closures led to a rapid shift towards online channels that provided growth opportunities to manufacturers.

As per L’Oréal’s 2020-annual-results published in February 2021, the company’s sales increased by 62% for e-commerce across all divisions and all regions, accounting for about 26.6% of the total company’s sales for 2020. Therefore, players operating in the beauty market are trying to streamline their supply chain during the pandemic period and focus on increasing online sales.

How much cosmetic waste?

The Ugly Side of Beauty Products – Beauty routine is one of the most popular content categories on social media, with about 2 million mentions through a hashtag on Instagram alone. In South Korea, on average, women own at least ten bottles of various beauty products for skincare.

Simultaneously, the number of synthetic chemicals we put daily on our skin in beautifying goods reaches 515,
It’s obvious that beauty products have an ugly environmental impact.
According to statistics from the Zero Waste Week research, plastic packaging waste from the beauty industry reaches over 120 billion units of packaging annually.

Climate change is inevitable if brands don’t reconsider their approaches and shift to ecological and sustainable standards. The occurring landfills destroy over 72.843 square meters of forests every year. And it’s not hard to guess that these figures multiply.

Unfortunately, the beauty waste decided to conquer all elements. The Great Pacific Garbage Patch reaches 1.6 million square kilometers, floating just in the middle of the ocean, gradually killing sea life and resulting in microplastics in human bodies through the fish we consume. Unfortunately, it’s not just plastic pollution when it comes to marine creatures.

The chemical and toxic ingredients destroy coral reefs, decrease fish populations, and negatively affect photosynthesis in algae. And while more brands are beginning to give preference to eco-friendly packaging and reduce their impact on the planet, the majority of beauty companies still stick to the use of non-recyclable plastic.

What is the average profit margin for cosmetics?

Cosmetics Profit Margin | Guide for Startups The average profit margin in cosmetics is 10%-15% minimum, whereas if we talk about luxury brands, the profit margin is more than 50%, The cosmetic Industry in India is a prospering sector and is expected to grow with more than 9.5% CAGR for 2022-2028,

How rich is rare beauty?

🚨 Rare Beauty is estimated to reach $1 BILLION of dollars made Only from reported social media by the end of 2023.

How big is the clean beauty industry?

DUBLIN-( BUSINESS WIRE )-The “Global Clean Beauty Market: Analysis By Product Type (Skin Care, Hair Care, Cosmetics, Fragrances, and Others), By Distribution Channel (Speciality Stores, Hypermarkets & Supermarkets, Online, and Others), By Region Size And Trends With Impact Of COVID-19 And Forecast up to 2028” report has been added to ResearchAndMarkets.com’s offering.

The global clean beauty market was valued at US$7.22 billion in 2022. The market value is expected to reach US$14.36 billion by 2028. Clean beauty means that the product is non-toxic, free of harmful ingredients, and has all the ingredients mentioned in the labeling. Clean beauty doesn’t shy away from synthetic (or lab-created) ingredients – as long as those synthetic ingredients are safe.

Consumers are paying close attention to the ingredients in products, which is driving strong demand for clean beauty products. Over the past couple of years, consumers have spent more time focusing on skincare versus makeup which has driven increased awareness of ingredients in products.

Surging Gen Z and Millennial Population Increasing Social Media Influence and Digital Ad Spending Increasing Consumer Awareness towards Natural Products Growing E-commerce Increasing Disposable Income Favorable Government Regulations and Initiatives

Challenges

Absence of a Regulatory Body or Industry-wide Standards Threat From Counterfeit Beauty Products

Market Trends

Growing Integration of AR, VR, and AI in Beauty Industry Growing Product Innovations Product Personalization Rising Demand for Eco-Friendly Products Search Engine Marketing Brand Collaboration/ Partnership Increasing Focus on Sustainable Packaging Blue Beauty Increasing Demand for Cleanical Products

Companies Mentioned

Estee Lauder Companies Inc. e.l.f. Beauty, Inc. The Honest Company, Inc. LVMH (Sephora) Natura & Co (Avon Products, Inc.) Credo Beauty Orveon (BareMinerals) Beautycounter Ilia Beauty Ere Perez RMS Beauty NakedPoppy

Market Segmentation Analysis:

By Product Type: The report provides the bifurcation of the market into five product types: Skin Care, Hair Care, Cosmetics, Fragrances, and Others. Skincare held the major share of the market, whereas cosmetics is expected to be the fastest-growing segment in the forthcoming years. The skin care market’s growth is supported by the growing knowledge of the harmful effects of chemicals and synthetic products. Furthermore, the growing e-commerce sector is expected to enhance market growth even more. The growth in clean cosmetics products accrued to rising disposable income and an increasing population. Moreover, rising financial independence among women and beauty consciousness among men are other significant factors contributing to product demand. Furthermore, the influence of clean cosmetics products with the help of social media is anticipated to further fuel the product demand during forecasted years. By Distribution Channel: The report further provides the analysis based on distribution channel: Speciality Stores, Hypermarkets & Supermarkets, Online, and Others. Specialty stores held the highest share of the market, whereas online is expected to be the fastest-growing segment in the forecasted period. Moreover, specialty retail stores such as Sephora and Ulta are becoming more popular with consumers of luxury beauty and cosmetics products. Also, specialty stores are popular as they let the consumer shop the way they want to shop, across brands. People’s shopping power has been significantly affected by the internet distribution channel, which provides benefits such as doorstep delivery, simple payment options, substantial savings, and the availability of a wide range of products on a single platform. This may generate tremendous opportunities to fuel the global clean beauty market during the projection period. By Region: The report provides insight into the clean beauty market based on the regions namely, Asia Pacific, Europe, North America, and Rest of the World. Asia Pacific held the major share of the clean beauty market in 2022. It is also expected to be the fastest-growing region in the forthcoming years. Given the increase in conscious consumers, brands are now being held accountable for their claims while also making an effort to cater to the shifting demand for clean beauty products. And this trend gives the power back to the consumers along with the brand to build a more sustainable environment. The concept of clean beauty is picking up in India. The demand for products that suit Indian skin types and hair, a need that largely remained unfulfilled by international brands, is increasing and providing the opportunity for local companies. As sustainability continues to take center stage with beauty brands, trends like refill and reuse and dissolvable or zero waste beauty are gaining traction in Europe. As the clean beauty industry continues to grow, it is expected that future innovations would transcend only using clean ingredients and focus on managing the waste that had generated over the years.

For more information about this report visit https://www.researchandmarkets.com/r/6kbqdw-clean?w=4 About ResearchAndMarkets.com ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

How sustainable is makeup?

Eco Friendly Makeup

Eco Friendly Makeup

According to Forbes the global cosmetic industry is worth about $532 billion, and estimated to grow to a market value of almost $805 billion by 2023. However, with the makeup industry is responsible for high levels of water usage, global emissions and single use plastic; this mass consumption of finite resources currently makes the cosmetic industry one of the least sustainable in the world. The makeup industry is far from sustainable, but the tide is turning. Whilst the historical origins of cosmetics lie in ancient Egyptian and Roman times, it was the Hollywood film era of the 1920s that sparked a global industry ; technological advancements at the time enabled a rise in production; along with regulation of products.

Companies in the US were (and still are) governed by the Food and Drug Administration (FDA) under the 1938’s Food, Drug, and Cosmetic Act; which was updated in 1960 to account for the growing number of side effects and carcinogenic potential within makeup products,
In Europe, the EU has the 2009 “Cosmetic Regulation”.

Post World War 2 cosmetic corporations focussed on the emerging female market; using advertisements endorsing the benefits of being “attractive” and the global makeup industry has been growing ever since, both in terms of its revenue and negative environmental impact. The Hollywood film era of the 1920s sparked a global make up industry The Derm Review documents a, common in many cosmetic products, and below we highlight three to really avoid. Petroleum Goop’s interview with Karen Behnke (author of Juice Beauty) reveals that petrochemicals are incredibly prevalent in beauty products,

They are a huge health concern, take 1,4-dioxane for example; a substance known to potentially contribute to some cancers; it’s a kidney toxin, neurotoxin and a respiratory toxin. The Environmental Working Group (EWG) found that an alarming 22 percent of all conventional personal care products contain unsafe levels of 1,4-dioxane.

Parabens Awareness has grown considerably about the existence of parabens within cosmetics. Parabens are known to be xenoestrogens, i.e. they mimic oestrogen in the body. This has been linked to breast cancer and reproductive issues. Researchers believe there is a relationship between parabens and tumors.

It also appears that parabens can be stored in the body, resulting in a cumulative effect that can damage health over time.
While there is currently no scientific evidence to confirm that parabens directly cause cancer, research is ongoing.
Phthalates Phthalates are substances widely used as plasticizers.

Found in almost all polyvinyl chloride (PVC) products, Phthalates have also been used in perfumes, deodorants, hairsprays, gels, nail polish, aftershave lotions and lubricants. They serve mainly as fixing agents so that a nail polish flakes less quickly and a perfume lasts longer. From skin irritations to more serious health issues such as kidney problems and cancers, are attributed to a number of toxins found in make up. Do you want to have a direct impact on climate change? Sir David Attenborough said the best thing we can do is to rewild the planet. So we run reforestation and rewilding programs across the globe to restore wild ecosystems and capture carbon. Despite scientific research emerging to warn us of the dangers having synthetic and chemical ingredients in our cosmetics can have on human health; there is a lack of evidence on what they do to the natural environment.

Two particularly contentious ingredients are octinoxate and oxybenzone ; known for UV ray protection in sunscreens (but which also appear in foundations, hair dye, shampoo, nail polish and lip balms).
They have been labelled responsible for bleaching coral reefs by leaching from the skin of sunbathers into the ocean.

Which country wears most makeup?

This question is about cosmetics industry statistics, By Zippia Team – Feb.14, 2022 The United States spends the most on cosmetics. In 2018, US consumers spent a total of $89.71 billion on cosmetics. The next highest country, China, only spent $58.26 billion – with about 4 times as many consumers. How Much We Spend On Cosmetics

What is the target market for cosmetics?

Examples of Target Markets – Cosmetics includes a wide range of products from skincare items to makeup and beauty items. These are items that predominantly appeal to women and women are more likely to purchase beauty products than men; even though some men are interested in cosmetics.

Hence, from a generic point of view, a typical cosmetics business dealing in make-up items and other skincare products will primarily have women, aged 18 and above as its target market. Over time, men have shown keener interest in sports and sports betting than women. Therefore, businesses looking to provide sport betting services should, in a general sense, have men as their target market.

Other demographic variables like education and employment can also influence the mapping out of the target market. Typically, organizations dealing with alcoholic beverages tend to appeal more to men and this makes men the target market. Hence, it is not out of place to see men play the role of central characters in adverts for alcoholic beverages.

Organizations that manufacture baby food have a niche-based target market comprising new or expecting mothers. This target market is usually reflected in the product adverts and the overall brand image for these organizations. The target market for coffee-manufacturing businesses is adults; both male and female.

Coffee contains caffeine and other substances that can have damaging side effects for children and so, it is unrealistic for coffee industries to have children as their target market. It is no surprise to see confectionery businesses target children and families as their primary market.

Children typically have a sweet tooth and enjoy confectioneries like sweets, chocolates, and biscuits. Social media platforms like Facebook and Instagram have young and middle-aged individuals as the primary target market as these are individuals who prioritize having an online presence for conversational communication.

, most of which are still in high school and college and preferably females. The toy manufacturing industry has children and parents as its target market. Children are the end-users of the product hence, the product must appeal to them. However, parents have the purchasing power to make a buying decision and so, the toy company must emphasize the value of its product to them.

Is cosmetics a niche market?

Niche market for cosmetics – A cosmetic niche market is no different than a niche market in some other field. Essentially, a niche market is a sub set of a larger market. In practical terms, it is a smaller group of people with some specific characteristic that sets them apart.

So, if the general market is everyone who uses personal care products, a niche market would be men who use personal care products. Women who use personal care products is also a niche market, but it is so large that almost no one considers it niche. You could find further sub sets of these groups to find even more targeted niche markets.

For example, women with naturally red hair color could be a niche market. This group could be broken down even further as women with naturally red, curly hair, a focused niche indeed.

How big is the clean beauty market?

The global clean beauty market was valued at US$7.22 billion in 2022.
The market value is expected to reach US$14.36 billion by 2028.
Clean beauty means that the product is non-toxic, free of harmful ingredients, and has all the ingredients mentioned in the labeling.
Clean beauty doesn’t shy away from synthetic (or lab-created) ingredients – as long as those synthetic ingredients are safe.

Challenges

Absence of a Regulatory Body or Industry-wide Standards Threat From Counterfeit Beauty Products

Market Trends

Companies Mentioned

Market Segmentation Analysis: