Online Cosmetics Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 14.96 Billion |
| Market Size (2029) | USD 22.46 Billion |
| CAGR (2024 - 2029) | 8.47 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Online Cosmetics Market Analysis
The Online Cosmetics Market size is estimated at USD 14.96 billion in 2024, and is expected to reach USD 22.46 billion by 2029, growing at a CAGR of 8.47% during the forecast period (2024-2029).
- The strong Internet penetration has significantly contributed to driving consumer awareness about cosmetics. The rising number of active social media users around the globe on various social media platforms, including Instagram, Facebook, Snapchat, and Twitter, is supporting the demand for cosmetics via online mediums. Brands across the cosmetic industry are tapping into social media potential.
- Social media networks are transforming the digital marketing landscape and driving user engagement globally. Additionally, the trend of social media influencers showcasing their beauty regimens has increased over the past few years, and both local and international beauty companies have been turning to influencers to increase their brand awareness and reach potential consumers. This is especially visible with major color cosmetic brands operating globally, with the highest growth attributed to the trend of publishing makeup tutorials on social media.
- Rising consumer awareness about the safety of vegan and organic cosmetics encourages manufacturers to launch new offerings and expand their footprint in the emerging segment. For instance, in June 2021, SO'BiO étic, a socially conscious French cosmetics firm, launched an organic beauty line in the United States to provide environmentally friendly and healthful cosmetics. The company claims its products are free from glycol, parabens, silicones, nanoparticles, PEG, and chemical filters.
- Moreover, the online sales of natural and organic cosmetics products are booming around the globe, owing to the wide availability of products on the e-commerce platform, which offers a wide range of products and choices to consumers. Thus, the manufacturers are launching new online stores to meet consumer demand.
- For instance, in February 2022, NEXT, a British multinational retailer, built a partnership with a UK-based skincare manufacturer and launched a new beauty brand, 'Woah,' that consists of 16 vegan skincare products. Available online, the new beauty brand is designed to offer products including a melting cleansing balm, vitamin C serum, brightening toner, and hydration mask.
Online Cosmetics Market Trends
This section covers the major market trends shaping the Online Cosmetics Market according to our research experts:
Growing Inclination Towards Natural/Organic Products
- Although synthetic cosmetics products have a prominent share in the market, in recent years, consumers are shifting towards plant-based, cruelty-free, and natural cosmetics products due to increased health awareness. Growing concerns regarding the side effects of chemicals in conventional cosmetic products, which lead to ailments such as skin irritation, allergies, and dullness, have fueled the demand for natural and organic cosmetic products.
- Prolonged use of synthetic cosmetics may cause various health issues, such as irritation, hormonal imbalance, and toxicity. However, cosmetic products made of organic ingredients, such as plant extracts and natural oils, do not harm the skin. Natural cosmetic products that are free from chemicals and transparent about the sourcing of the ingredients have been preferred by consumers, which is likely to drive the demand for natural cosmetic products.
- To capitalize on this growing interest, the 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, among others.
- For instance, in April 2022, Shiseido revealed a new beauty brand Ulé, which sources pesticide-free botanicals from local vertical farms. The Shiseido-incubated French startup works with Tower Farm to procure exotic ingredients grown near Paris. Instead of shipping dried plant substances purchased in bulk, Ulé sources fresh botanicals from a vertical farm near Paris, where they are 'hand-harvested at their optimal potency.
Asia-Pacific is the Fastest Growing Market
- Asia-Pacific region is experiencing significant demand for online cosmetics products due to the increased number of smartphone users accompanied by strong penetration of internet services. Emerging economies such as China and India exhibit the highest number of online shoppers, owing to the ongoing developments in the e-commerce ecosystem of respective countries.
- For instance, according to recent research by the International Trade Administration (ITA) and the US Department of Commerce (USDoC), live streaming has significantly increased in popularity. It now accounts for around 10% of all Chinese cosmetic e-commerce as of 2021. Additionally, the improved standard of living owing to urbanization, and the increasing number of working women, push the demand for online cosmetic products.
- The middle-class population will likely purchase beauty products as they evolve rapidly based on the significant changes in their preferences. Thus, the rising middle-class population in the region is responsible for the burgeoning demand for online cosmetic products.
- Beauty products made from cruelty-free and vegan ingredients have recorded a high adoption rate in recent years and are becoming increasingly popular in Asian countries. Furthermore, several online players specialize in organic cosmetics, allowing a more comprehensive selection of both private label and international brands with one click from the comfort of the consumer's home.
- For instance, some of India's well-accepted online cosmetics players include Vanity Wagon, The Glocal Store, Just Herbs, Nykaa, and healthandglow.com, among others.
Online Cosmetics Industry Overview
The online cosmetics market is highly competitive, with a strong presence of regional and global players. Demand is mostly driven by high consumer awareness of cosmetic brands and affinity for online purchases. In the market studied, some prominent players are launching/acquiring portfolios that claim to be natural, organic, and sustainable to have higher penetration across online channels. Likewise, the key brands are partnering with e-commerce platforms and social media influencers to expand their reach and maintain their position in the market.
For instance, in July 2022, Homegrown beauty brand Nutriglow entered into a strategic partnership with e-commerce major Flipkart to sell its skincare and cosmetic products exclusively on the platform. Some of the major players identified in the market include Loreal SA, The Estee Lauder Companies, LVHM Moet Hennessy Louis Vuitton, Coty Inc, Revlon Inc, and more.
Online Cosmetics Market Leaders
-
Loreal SA
-
The Estée Lauder Companies
-
LVMH Moet Hennessy Louis Vuitton
-
Coty Inc.
-
Revlon Inc
*Disclaimer: Major Players sorted in no particular order
Online Cosmetics Market News
- December 2022: Kao Corporation launched a cosmetic brand named UNLICS for Gen-Z men. The brand offers its products on the official UNLICS online retail site.
- October 2022: Este Lauder launched its new lipstick collection named Bloom Pure Color Envy Lipstick. The company claims that these products are limited editions and available in three different sizes.
- May 2022: L'Oréal Paris launched the Air Volume Mega Mascara. The brand claims it is a light, waterproof product with a cushiony brush that helps collect and coat each lash.
Online Cosmetics 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
- 4.1 Market Drivers
- 4.2 Market Restraints
-
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
-
5.1 Product Type
- 5.1.1 Facial Cosmetics
- 5.1.2 Eye Cosmetics
- 5.1.3 Lip Cosmetics
- 5.1.4 Nail Cosmetics
-
5.2 Category
- 5.2.1 Mass
- 5.2.2 Premium
-
5.3 Distribution Channel
- 5.3.1 Company Website
- 5.3.2 Retail Website
-
5.4 Geography
- 5.4.1 North America
- 5.4.1.1 United States
- 5.4.1.2 Canada
- 5.4.1.3 Mexico
- 5.4.1.4 Rest of North America
- 5.4.2 Europe
- 5.4.2.1 United Kingdom
- 5.4.2.2 Germany
- 5.4.2.3 Spain
- 5.4.2.4 France
- 5.4.2.5 Italy
- 5.4.2.6 Rest of Europe
- 5.4.3 Asia-Pacific
- 5.4.3.1 China
- 5.4.3.2 Japan
- 5.4.3.3 India
- 5.4.3.4 Australia
- 5.4.3.5 Rest of Asia-Pacific
- 5.4.4 South America
- 5.4.4.1 Brazil
- 5.4.4.2 Argentina
- 5.4.4.3 Rest of South America
- 5.4.5 Middle East & Africa
- 5.4.5.1 Saudi Arabia
- 5.4.5.2 South Africa
- 5.4.5.3 Rest of Middle East & Africa
6. COMPETITIVE LANDSCAPE
- 6.1 Strategies Adopted by Leading Players
- 6.2 Market Share Analysis
-
6.3 Company Profiles
- 6.3.1 Loreal SA
- 6.3.2 Shiseido Co.,Ltd.
- 6.3.3 The Estee Lauder Companies
- 6.3.4 Natura & Co.
- 6.3.5 Revlon
- 6.3.6 Oriflame Cosmetics AG
- 6.3.7 Coty, Inc.
- 6.3.8 Kao Corporation
- 6.3.9 Lotus Herbals
- 6.3.10 NARS Cosmetics
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. DISCLAIMER
** Subject To AvailablityOnline Cosmetics Industry Segmentation
As per the study scope, online cosmetics refer to different beauty-enhancing products, including facial cosmetics, eye cosmetics, and lip cosmetics, that are sold through company-owned websites and e-commerce websites.
The online cosmetics market is segmented by type, category, distribution channel, and geography. Based on type, the market is segmented into facial cosmetics, eye cosmetics, lip cosmetics, and nail cosmetics. By category, the market is segmented into mass and premium products. Based on distribution channels, the market is segmented into company and retail websites. It analyzes emerging and established economies worldwide, comprising North America, Europe, South America, Asia-Pacific, Middle-East, and Africa.
For each segment, the market sizing and forecasts have been done based on value (in USD million).
| Product Type | Facial Cosmetics | |
| Eye Cosmetics | ||
| Lip Cosmetics | ||
| Nail Cosmetics | ||
| Category | Mass | |
| Premium | ||
| Distribution Channel | Company Website | |
| Retail Website | ||
| Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Rest of North America | ||
| Geography | Europe | United Kingdom |
| Germany | ||
| Spain | ||
| France | ||
| Italy | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Geography | South America | Brazil |
| Argentina | ||
| Rest of South America | ||
| Geography | Middle East & Africa | Saudi Arabia |
| South Africa | ||
| Rest of Middle East & Africa |
Online Cosmetics Market Research FAQs
How big is the Online Cosmetics Market?
The Online Cosmetics Market size is expected to reach USD 14.96 billion in 2024 and grow at a CAGR of 8.47% to reach USD 22.46 billion by 2029.
What is the current Online Cosmetics Market size?
In 2024, the Online Cosmetics Market size is expected to reach USD 14.96 billion.
Who are the key players in Online Cosmetics Market?
Loreal SA, The Estée Lauder Companies, LVMH Moet Hennessy Louis Vuitton, Coty Inc. and Revlon Inc are the major companies operating in the Online Cosmetics Market.
Which is the fastest growing region in Online Cosmetics Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Online Cosmetics Market?
In 2024, the North America accounts for the largest market share in Online Cosmetics Market.
What years does this Online Cosmetics Market cover, and what was the market size in 2023?
In 2023, the Online Cosmetics Market size was estimated at USD 13.79 billion. The report covers the Online Cosmetics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Online Cosmetics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Online Cosmetics Industry Report
Statistics for the 2024 Online Cosmetics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Online Cosmetics analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
