The beauty industry remained largely resistant to strong economic and political headwinds, generating US $465 billion in sales in 2014, according to Euromonitor International latest data. With 5 per cent growth, the global market saw continued penetration of staple products in emerging markets, consumers upgrading to more superior products and the adoption of more extensive beauty routines across all product segments.
China and Brazil remain the most promising markets with absolute growth expected to exceed US $10 billion by 2019. However, strong growth is also expected in Indonesia and India, as well as in the United States and Saudi Arabia. Argentina, Iran, Mexico, Thailand and Turkey also show excellent prospects for further growth.
Consumers spend most on skin care
Skin care remains the largest segment across most markets, with global sales expected to reach over US $ 130 billion by 2019. “Of all beauty segments, consumers continue to spend most on skin care items at $15 per person annually, compared to US $10 for hair care and $7 for colour cosmetics,” said Euromonitor International’s Head of Beauty and Personal Care, Irina Barbalova. “One third of global beauty revenues by 2019 will come from skin care, compared to 23 per cent between 2009 and 2014.”
Asian markets remain the main growth driver for skincare products. According to Euromonitor, 80 per cent of global skin care revenue gains by 2019 will come from Asia, with China set to account for 75 per cent of the total regional absolute growth. “ Indonesia and India will be the next growth frontiers to watch, with Indonesia expected to enter the top 10 global skin care markets by 2019,” added Barbalova.
However, the skin care market is not only growing but also transforming in terms of product diversification and exploration of innovative growth concepts. According to Euromonitor, technological developments have encouraged a demand for personalisation and unique product engagement, and Asia continues to inspire innovation in terms of new formats, textures and product benefits.