Global sales of premium skin care, fragrance, make-up, hair care, sun care, deodorant, baby care, bath, and shower products are expected to grow at a CAGR [1] of 4% between 2015 and 2019, according to market research firm Technavio. [2]
Technavio’s market research analysts estimate the global premium cosmetics market to surpass US$ 126 billion. The Americas is the largest market for premium cosmetics worldwide, accounting for 35% of the overall market. The US is the key contributing country in the region, accounting for 48% of the overall market revenue.
Sales of the global premium cosmetics market are driven by the growth of the middle-class worldwide and the concomitant growth of its aspirational spending. Innovation is also a key factor of growth in this market. “Vendors are constantly coming up with new products in almost all the beauty segments,” says Arushi Thakur, Industry Manager, Consumer & Retail, Technavio Research.
Also, customization and personalization continue to play a dominant role in the growth of the market. Personalization of fragrances and skin care products has formed a key part of the premium segment. According to Technavio, social media and celebrity endorsements have also contributed to the growth of the market.
Technavio also found the premium sun care segment to be one of the top growing segments in the premium cosmetics market during the forecast period. One of the major drivers for this market is the growing health and wellness trend worldwide.
