Australia Skin Care Products Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 6.95 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Australia Skin Care Products Market Analysis
The Australia skin care products market size is expected to grow from USD 2.10 billion in 2023 to USD 2.94 billion by 2028, at a CAGR of 6.95% during the forecast period (2023-2028).
- Australian consumers are increasingly health conscious and prioritize skincare as part of their overall well-being. This awareness increases the demand for skin care products. Due to Australia's exposure to high levels of UV radiation, there's a lot of focus on protecting skin from the sun's rays. Sunscreens and suncare products are popular in the Australian skincare routine. Consumer purchases are nowadays primarily made based on the product's efficacy, long-lasting protection, and clinical properties.
- The demand for natural ingredients has been quite evident in the market, and this has led to consumers seeking products with nature-inspired ingredients, such as plant-inspired and premium botanical ingredients, coupled with multi-functional properties. In March 2022, Gen Z skincare brand 'Skin Proud' launched in Australia and is formulated with natural extracts such as pomegranate, raspberry, coconut oil, and rose water. The company claims that the products are vegan, PETA-approved cruelty-free.
- Additionally, the rising consumer awareness about using skincare products that are vegan, organic, and natural has encouraged manufacturers to launch new offerings and expand their footprint in the market. The presence of multiple stores of Sephora and Mecca Cosmetica across Sydney and Melbourne has exposed Australian consumers to international brands. Australian consumers are increasingly drawn toward the claims of these advanced products and the presence of active ingredients in them in the right concentration.
- Technological advancements are the major reason behind the growth of the professional skincare market. This is leading to consumer willingness to buy a broader range of complex-formulated and natural green products. Furthermore, the improving quality of life, the positive effects of skincare on self-esteem and social interaction, and the gradual consumer shift toward premium and luxury brands are a few factors that are likely to propel the market growth during the forecast period.
Australia Skin Care Products Market Trends
Growing Influence of Social Media and Impact of Digital Technology
- The emergence of evolving technologies, such as smartphones, personal computers, the internet, e-commerce, social media, communication strategies, and marketing campaigns, have changed the landscape of the skin care products market in Australia. The players operating in the market have been using influencer marketing on social media to influence customers and encourage advertisers and marketing practitioners to shift their brand conversations in the digital space. Social media has become an increasingly important platform for brands to showcase their products.
- Social media posts can reach a wide range of potential customers from all over the world and generate buzz, particularly in the personal care industry. Local beauty and personal care brands are partnering with social media platforms to reach a new range of customers. For instance, in November 2022, Hey Bud partnered with Pattern Australia, a leading e-commerce accelerator, to improve its e-commerce operations and increase sales through the online marketplace.
- User-generated content is being shared by brands on their social media pages. The internet and social media, in particular, have the potential to boost the sales of skincare products as consumer recommendations and influence make them powerful marketing platforms. The market relates to cleansers, moisturizers, body lotion, body wash, and so on, with leading brands, such as L'Oréal, Unilever, and Estee Lauder, turning to Facebook, Instagram, and YouTube, launching products and engaging consumers with tutorials and promotional campaigns. Additionally, the Australian government continued to invest in bolstering fundamental frameworks and providing targeted support for goals related to digital growth in the budget for 2021-2022.
- Consumers are more likely to discover new brands or products via advertisements and updates on brands' social media pages on platforms including Facebook and Twitter. Furthermore, skin care product consumers tend to take into consideration product reviews and other consumers' opinions in the form of recommendations, comments on social media, posts from expert bloggers, or celebrity endorsements before making their purchase decisions. Thus, the growing influence of social media coupled with digital technological advancements has been further augmenting the growth of the market over the review period.
Rising Demand for Natural and Organic Skincare Products
- Australia is an important and emerging market for organic and natural skincare products. Natural skincare products that are free from chemicals and transparent about the content have been preferred by consumers, which is likely to drive demand for natural skincare products across the country. This factor has resulted in a shift in preference from synthetic skincare products to organic products among consumers.
- To capitalize on this growing interest, manufacturers in the market have been revamping and expanding their product offerings by introducing a wide range of organic skincare products containing plant-based, clean-label ingredients, with claims such as "organic," "vegan," "natural," "chemical-free," and "cruelty-free." Due to the surge in demand for these skincare products, several players in the market are now offering organic skincare products across the country.
- Consumers are increasingly becoming aware of synthetic chemicals used in cosmetic formulations and their potential side effects leading to various health issues like skin irritation, allergies, skin dullness, toxicity, etc. This is paving the way for enhanced demand for natural and organic skin care products market. Cosmetic products made of organic and natural ingredients do not leave any harmful impact on the skin and, hence, are in great demand. Leading Australian brands are prioritizing transparency and minimizing environmental impact. For instance, Sukinis, a Melbourne-based skincare brand, is 100% carbon neutral, greywater-safe, and has biodegradable formulations. They even partnered with Greening Australia on the Reef Aid Programme to rebuild eroding land and restore coastal wetlands. Crop Natural also offers natural skincare with COSMOS certification (Natural and organic certification For Cosmetics), which ensures a sustainable manufacturing process with no water wastage and by-products. Skincare products such as lotions, body oils, scrubs, cleansers, and facial masques are expected to have the highest market share this is expected to continue for the upcoming years.
Australia Skin Care Products Industry Overview
The Australian skincare products market is highly fragmented, with some global and local players. The key players in the market include L'Oreal SA, Procter & Gamble Company, Johnson & Johnson Inc., Beiersdorf AG, and Unilever Plc, which hold a prominent share. The major strategy that they follow is product development followed by expansion of the company. The key players are also embarking on mergers and acquisitions as a strategy to strengthen their market dominance. For instance, in March 2022, the L'Occitane Group acquired a majority stake in the Australian skincare brand Grown Alchemist. The acquisition allows the company to connect with Grown Alchemist's international customers penetrate the company's existing market in regions like Australia and expand the brand's presence in new international markets.
Australia Skin Care Products Market Leaders
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L'Oreal SA
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Procter and Gamble Company
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Unilever PLC
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Beiersdorf AG
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Johnson & Johnson Inc.
*Disclaimer: Major Players sorted in no particular order
Australia Skin Care Products Market News
- March 2023: Shiseido's skincare brand Drunk Elephant launched its latest moisturizer, the Protini Polypeptide Cream, in Australia. This innovative product is enriched with Pygmy waterlily extract, essential amino acids, and a unique blend of signal peptides to provide deep hydration and restore your skin's natural vitality.
- February 2023: The Australian skincare brand STUFF unveiled a line of eight supercharged skincare products designed specifically for men. Among these offerings, the SPF 50+ Face Lotion stands out as a remarkable all-in-one solution, boasting paraben-free ingredients and eco-friendly, recyclable packaging.
- July 2022: The clinical skincare brand Tula Skincare, known for its products featuring probiotic extracts and superfoods, made its entry into the Australian and New Zealand markets through a strategic partnership with the esteemed beauty retailer Mecca.
Australia Skin Care Products Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Market Drivers
- 4.1.1 Growing Influence of Social Media and Impact of Digital Technology
- 4.1.2 Rising Demand for Natural and Organic Skincare Products
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4.2 Market Restraints
- 4.2.1 Enhanced Presence of Counterfeit Skin Care Products
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4.3 Porter's Five Forces Analysis
- 4.3.1 Threat of New Entrants
- 4.3.2 Bargaining Power of Buyers/Consumers
- 4.3.3 Bargaining Power of Suppliers
- 4.3.4 Threat of Substitute Products
- 4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 Type
- 5.1.1 Facial Care
- 5.1.2 Body Care
- 5.1.3 Other Types
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5.2 Distribution Channel
- 5.2.1 Supermarkets/Hypermarkets
- 5.2.2 Conveniences Stores
- 5.2.3 Specialist Retail Stores
- 5.2.4 Online Retail Stores
- 5.2.5 Other Distribution Channels
6. COMPETITIVE LANDSCAPE
- 6.1 Strategies Adopted by Market Players
- 6.2 Market Share Analysis
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6.3 Company Profiles
- 6.3.1 Procter and Gamble Company
- 6.3.2 L'Oreal SA
- 6.3.3 Unilever PLC
- 6.3.4 Beiersdorf AG
- 6.3.5 Johnson & Johnson Inc.
- 6.3.6 The Estée Lauder Companies Inc.
- 6.3.7 LOccitane Group
- 6.3.8 Shiseido Company Limited
- 6.3.9 Clarins SA
- 6.3.10 The Clorox Company
- 6.3.11 Miranda Kerr Pty Ltd (Kora Organics)
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Australia Skin Care Products Industry Segmentation
Skincare products are a range of products that support skin integrity, enhance appearance, and relieve skin conditions. These are applied to the skin to avoid symptoms of early aging, pimples, and black patches.
The Australian skin care products market is segmented by type and distribution channels. Based on type, the market is segmented into facial care, body care, and other types. Based on distribution channels, the market is segmented as supermarkets/hypermarkets, convenience stores, specialist stores, online retail stores, and other distribution channels.
The market sizing has been done in value terms in USD for all the abovementioned segments.
| Type | Facial Care |
| Body Care | |
| Other Types | |
| Distribution Channel | Supermarkets/Hypermarkets |
| Conveniences Stores | |
| Specialist Retail Stores | |
| Online Retail Stores | |
| Other Distribution Channels |
Australia Skin Care Products Market Research FAQs
What is the current Australia Skin Care Products Market size?
The Australia Skin Care Products Market is projected to register a CAGR of 6.95% during the forecast period (2024-2029)
Who are the key players in Australia Skin Care Products Market?
L'Oreal SA, Procter and Gamble Company, Unilever PLC, Beiersdorf AG and Johnson & Johnson Inc. are the major companies operating in the Australia Skin Care Products Market.
What years does this Australia Skin Care Products Market cover?
The report covers the Australia Skin Care Products Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Australia Skin Care Products Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the challenges faced in the Australia Skincare Market?
The challenges faced in the Australia Skincare Market are a) The market is likely competitive, with both established domestic and international brands vying for consumer attention b) Navigating complex regulations regarding ingredients, safety testing, and labeling can pose hurdles for companies, especially new entrants
Australia Skin Care Products Industry Report
The Australian skincare market is undergoing significant growth, underscored by heightened consumer awareness and an expanding array of product types, from facial and body care to specialized skincare items. These products aim to improve skin appearance, promote skin health, and prevent premature aging, with distribution across supermarkets, hypermarkets, convenience stores, specialist stores, and online platforms. The shift towards natural and organic skincare solutions highlights a broader consumer inclination towards health and sustainability, with products often featured as free from harmful chemicals and enriched with plant-based and premium botanical ingredients. As the market evolves, it retains its commitment to meeting diverse consumer preferences through varied retail formats for enhanced accessibility to quality skincare solutions. Insights drawn from Mordor Intelligence™ Industry Reports include a comprehensive market forecast and analysis, emphasizing the dynamic growth and segmentation of the market. To explore detailed perspectives on market trends and strategic market growth outlook, download the free sample report PDF.
