India Cosmetic Market Anticipated To Get More Than Double By 2021

by Dolly K. Digital Marketing Executive

As the Indian Cosmetic market is going to double in size by 2021, the influx of new and imported products is set to increase. This will eventually mean that the companies will have to be more careful about cosmetic regulatory compliance for selling their products.

The standard of living among Indian people and the altering lifestyle is leading to the increasing demand for cosmetic products. A surge has been observed in the demand of cosmetics like skin care products, hair care products and fragrance products. This is giving an elevated impetus to the Indian cosmetic industry. The increasing awareness for the beauty products, enhanced premiums on the personal growth products, the changes that are being made in the consumption patterns and the lifestyles, along with the increasing buying power among the women group is boosting the cosmetic industry.

The market is also maintaining a very healthy growth because of the ever-increasing preferences for the specific cosmetic products like organic, ayurvedic and herbal products. Some of the important sectors that are expected to show growth are the colour cosmetics, specialised skin care, makeup cosmetics products along with fragrance products. The Indian cosmetic industry is growing at a very rapid rate of about 13-18 percent CAGR which is more than the US market and European market. As per India cosmetic market outlook 2021, the growth is anticipated to get more than double in 2021. The whole Indian cosmetic market consists of five sectors:

Skincare
Haircare
Fragrance
Colour cosmetics
Oral care

Among all these sectors, the hair care sector occupies a large part of the market share followed by oral care, skincare, Fragrance and the colour cosmetics. The enhanced purchasing power along with the disposable income, growing awareness about beauty products and urbanization is making volume sales of the cosmetic products. Another important factor is ever-increasing customer base and affordability of the Indian people

Indian women are also showing keen interest in long term beauty investment due to which most of the high expense international beauty products are also reporting a rise in their sales. Not only women today's Men are also showing a rising interest in a beauty products, especially skincare products and hair care products.

As per data, the per capita consumption of cosmetics in India is about US$0.68 whereas in Hong Kong it is US$40, in Japan US$ 12 and in China, it is US$ 1.5. India is a price-sensitive market and all mass-market products occupy the major part of the cosmetic market.

Many domestic and international companies are targeting the rural population to increase the volume of sales in sectors like lip care, nail care and some other mass skincare products. In the urban population also there is consistent evolution, as they are making a shift from common products to specific products and are ready to spend more.

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