Beauty Oils Market

Beauty Oils Market Outlook (2023 to 2033)

The global beauty oils market is valued at US$ 5.74 billion in 2023 and is forecasted to reach US$ 10.28 billion by the end of 2033, advancing at a CAGR of 6% over the next ten years.

The best oils for the skin are the ones that effectively soften it or function as an occlusive to keep the skin moist. Beauty oils are widely utilized in skincare routines since they maintain the skin's health and softness. Citrus fruits such as lemon, orange, mint, and peppermint as well as plants such as lavender, are just a few of the elements used to make citrus oils.

• Symrise submitted several patent applications in October 2021 for the versatile cosmetic ingredient Hydrolite 7 green.

The market is expected to expand due to consumers' increased desire for organic and herbal products. The benefits they offer, including hydrating, antibacterial, and anti-inflammatory characteristics, are the main drivers for market growth. Increasing production of personal care items in countries such as China and India is expected to fuel market expansion.

China, Japan, India, and South Korea are expected to account for more than 80% of the beauty oils market in the Asia Pacific region. The rise in skin issues brought on by pollution, hereditary conditions, hormone imbalances, and other factors is also anticipated to fuel demand for essential oils.

Key market players heavily rely on new product releases to increase their market share.

• In October 2020, doTERRA introduced several new essential oil products and diffusers. The company launched three new initiatives aimed at assisting consumers in achieving their health goals.

Report Attributes	Details
Beauty Oils Market Size in 2022	US$ 5.41 Billion
Estimated Market Value (2023)	US$ 5.74 Billion
Projected Market Value (2033)	US$ 10.28 Billion
Global Market Growth Rate (2023 to 2033)	6% CAGR
United Kingdom Market Growth Rate (2023 to 2033)	6.6% CAGR
China Market Growth Rate (2023 to 2033)	6.7% CAGR
United States Market Growth Rate (2023 to 2033)	5.4% CAGR
South Korea Market Growth Rate (2023 to 2033)	6.3% CAGR
Key Companies Profiled	L'Oréal SA Burberry Group Clarins Group THE BODY SHOP Givaudan SA Biolandes SA Robertet Group Herbal Family KATO Flavours & Fragrances (KFF)

What are the Factors Driving the Demand for Beauty Oils?

“Anti-inflammatory and Anti-microbial Properties of Beauty Oils"

Demand for beauty oils is expected to grow during the forecast period driven by several factors. One of the primary drivers is the increasing demand for products that offer both aesthetic and functional benefits, including anti-inflammatory, moisturizing, and anti-microbial properties. Growing consumption of organic ingredients in personal care products is also contributing to the expansion of the market.

Another key factor fueling the growth of the market is the rising use of these products in both developing and developed economies. The market is also being propelled by the increasing prevalence of skin problems caused by pollution, hormonal imbalances, genetic disorders, and other factors. As a result, consumers are turning to beauty oils as a natural and effective solution to address their skin concerns. Overall, these factors are expected to drive the growth of the market in the coming years.

“Manufacturers’ Increasing Utilization of Social Media for Promotion of Beauty Oils”

The market is exhibiting growth due to several factors, including the rise of internet usage, the increasing popularity of social media marketing, and changing lifestyles. Many companies are leveraging social media platforms to reach potential customers and promote organic and herbal oils that are free of harmful chemicals, which has proven to be an effective strategy for attracting customers. This trend is further supported by the growing popularity of advertising activities that are promoting the benefits of beauty oils.

The market is currently experiencing a period of significant growth due to various factors. One of the primary drivers of this growth is the rise of internet usage and the increasing popularity of social media marketing. With more people spending time online and engaging with social media platforms, companies are using these channels to reach potential customers and promote their products.

• For example, the growing problem of hair loss has led to an increased demand for organic oils such as those from Mama Earth, which offers a variety of oils that help promote hair growth. Companies are capitalizing on this trend by marketing their products through social media platforms and other channels to reach their target audience. These factors are contributing to the growth of the market.

What are the Hindrances to the Demand Growth for Beauty Oils?

“Increasing Concerns Surrounding Use of Mineral Oil in Cosmetic Products”

Mineral oil is a popular component of many cosmetic products. Due to its possible effects on skin health, its use has alarmed scientists. Even purified mineral oil can provide a layer on the outermost layer of the skin to retain moisture, but it can also clog pores and make acne and blackheads more likely. Mineral oil can also trap bacteria on the skin or include other substances that worsen outbreaks.

Mineral oil comes in different grades, with the cosmetic grade being more refined than the technical grade. Mineral oil hydrocarbons are widely used in beauty oils and cosmetic goods, yet there is strong evidence that they pose serious harm to human health. These hydrocarbons pose a risk to health since they can be ingested by pores, nourishment, and air.

“High Cost and Limited Shelf Life of Beauty Oils”

Some beauty oils can be quite expensive, making them unaffordable for some consumers. This can limit consumption, especially in developing countries where affordability is a key factor for many consumers. Some consumers may experience allergic reactions or other adverse effects when using beauty oils. This can limit their willingness to use these products and impact market growth.

Many beauty oils have a limited shelf life and can spoil quickly, which can result in a high rate of product wastage and a loss of revenue for manufacturers. Despite the growing popularity of beauty oils, many consumers may not be aware of their benefits or how to use them properly. This lack of awareness can limit the demand for the products.

Country-wise Analysis

What Makes the United States a Lucrative Market for Beauty Oil Manufacturers?

“Increasing Prevalence of Early Aging and Premature Greying”

The market in the United States is anticipated to expand at a steady CAGR of 5.4% during the forecast period.

The market in North America is poised for rapid growth due to an increased demand for versatile and innovative products, driven by changing lifestyles and busy work schedules. The presence of great cosmetic companies in the country and ongoing research and development efforts to create new products will create fresh growth opportunities. Rising prevalence of early aging and hair greying, particularly among young people, is expected to drive the sales of hair care products.

Demand for natural and organic skincare products is also growing. Beauty oils, such as facial oils, body oils, and hair oils, are gaining popularity as they offer numerous benefits such as hydration, nourishment, and anti-aging properties. Sales of beauty oils in the country are expected to rise in the coming years due to factors such as rising disposable incomes, changing consumer preferences, and increasing awareness of the benefits of using natural and organic products.

The trend of using multi-purpose products is also contributing to the growth of the market as consumers seek products that offer versatility and convenience. Major players in the United States include L'Oreal, Estée Lauder, The Body Shop, and Kiehl's, among others.

What are the Demand Projections for Beauty Oils in India?

“High Demand for Natural Skincare Products Driving Sales of Beauty Oils with Ayurvedic Ingredients”

Demand for beauty oils in India is anticipated to increase at a robust CAGR of 7.1% during the projected period.

Growth of the market in the Asia Pacific region is attributed to growing urbanization, population growth, and economic development. Demand for organic and natural skin care products is on the rise in the country. Beauty oils, such as facial oils, hair oils, and body oils, are becoming increasingly popular as they offer numerous benefits.

Use of traditional Ayurvedic ingredients in beauty oils is also contributing to market growth, as consumers seek products that are based on traditional Indian remedies and ingredients. Key players in the market in India include Kama Ayurveda, Forest Essentials, and Just Herbs, among others. Multinational companies such as L'Oreal, Unilever, and Procter & Gamble are also tapping into the Indian market with their range of products.

Category-wise Analysis

Why is Demand for Orange Oil High in the Beauty Oils Industry?

“Antioxidant Properties of Orange Oil Contributing to Increasing Product Usage for Aromatherapy”

Demand for orange oil is projected to rise at a CAGR of 6.5% during the forecast period.

Orange oil is a popular ingredient in the beauty oils market due to its many benefits for the skin, hair, and overall well-being. Orange oil is rich in vitamins, minerals, and antioxidants that help nourish and protect the skin and promote healthy hair growth. It is known for its refreshing and uplifting aroma, which makes it a popular ingredient in aromatherapy and beauty products. Orange oil is commonly used in facial oils, hair oils, body oils, and even perfumes.

In skincare, orange oil is used to brighten and even out skin tone, reduce the appearance of fine lines and wrinkles, and improve skin elasticity. It is also used to treat acne-prone skin and reduce the appearance of blemishes. In hair care, orange oil is used to promote hair growth, strengthen hair follicles, and prevent hair loss.

Orange oil is often blended with other natural oils, such as jojoba oil, argan oil, and coconut oil, to create nourishing and moisturizing beauty oils. Use of natural and organic ingredients, such as orange oil, is a growing trend in the market, as consumers seek products that are gentle, effective, and environmentally friendly. Major players in the market that use orange oil in their products include The Body Shop, Kiehl's, and Aveda.

Why Do e-Commerce Platforms Account for High Sales of Beauty Oils?

“Millennials’ Use of e-Commerce Platforms for Skin and Hair Care Product Purchases Increasing Significantly"

Sales of beauty oils through the e-commerce segment are expected to expand at a CAGR of 7.9% from 2023 to 2033.

While leading manufacturers continue to use traditional sales channels such as supermarkets and brick-and-mortar stores, change is obvious because today's millennials want everything at their fingertips.

The broad product selection and variety of brands available online are factors in the growth of online commerce. As more importers and wholesalers build websites for online sales in addition to the already-existing over-the-counter sales, the popularity of e-commerce sales is expected to rise over the next few years. The market is primarily driven by beauty oils' potential for improved health.

Competitive Landscape

Companies manufacturing beauty oils have invested a lot in enhancing product quality and innovation in terms of ingredients, usability, and packaging. To accomplish consolidation and maximize offers, major firms are focusing on product innovation and merger and acquisition activity. To dominate local markets, these players collaborate with regional competitors.

• The 'Beauty Activations' brand accelerator project was launched by Symrise Cosmetic Ingredients in May 2022 to collaborate with North American cosmetics brands. With the collaboration between Symrise and the Beauty Activations platform, it is anticipated that brands will be provided with comprehensive marketing analytics, exclusive formulas, and a variety of award-winning ingredients.
• LVMH, Natura & Co., Henkel, L'Oreal, and Unilever worked together to create a mechanism for evaluating and grading the environmental effects of the cosmetics sector in September 2021.

Key Segments of Beauty Oils Industry Research

• By Product Type :

  • Lemon
  • Orange
  • Mint
  • Peppermint
  • Lavender

• By Industrial Use :

  • Hair Products
  • Makeup Products
  • Skincare
  • Perfumes
  • Others

• By Sales Channel :

  • Modern Trade
  • Franchise Outlets
  • Specialty Stores
  • e-Commerce

• By Region :

  • North America
  • Latin America
  • Europe
  • Asia Pacific & China
  • Middle East & Africa