50+ Beauty Industry Statistics And Trends [2024]

June 7, 2024 0 Comments

Cosmetics, hair care, skin care, oral care, fragrance- all of these comprise the beauty industry.

Before Covid, 85% of beauty products were purchased in-store.

Now the times have changed, Cosmetic retailers make $17.09 billion from online sales.

E-commerce in the beauty industry has increased 4x between 2015 and 2022.

There are so many brands in the market, how do you choose?

Social Media Influencers?

About 4 in 5 beauty shoppers reported using Instagram daily.

67% of people said they are more likely to trust the brands promoted or reviewed by their favorite influencers.

Want to dig deeper? Let’s get started with the latest beauty industry statistics!

Top Beauty Industry Statistics: Editor’s Pick

Kylie Cosmetics is the most followed beauty brand on Instagram
  1. The beauty industry generates over $100 billion in revenue worldwide. [1]
  2. The beauty industry’s net worth is estimated at $528.6 billion worldwide as of 2022. [4]
  3. Asia Pacific and North America account for more than 70% of the total market size. [4]
  4. Beauty companies reported spending an estimated $7.7 billion on advertising in 2022. [11]
  5. Statistics suggest L’Oreal is the top beauty, with a net worth of $250 billion as of 2023. [5]
  6. The skincare industry takes up to 39% of the beauty industry market. [6]
  7. Cosmetics account for 32% of the total brand industry. [7]
  8. Makeup sales generate about $77.8 billion of the total $380.2 billion global cosmetics market. [7]
  9. The fragrance industry makes up 13.7% of the beauty industry. [7]

General Beauty Industry Statistics

Markets are flooding with beauty brands, right?!

How much is the beauty industry worth?

The beauty industry generates over $100 billion in revenue worldwide. [1]

Despite beauty industry revenue decreasing by 8% in 2020, the beauty industry is expected to rise up to $120 billion by 2025. [1]

Statista reports that by 2025 the combined global beauty and personal care market is projected to grow by $750 billion. [4]

The beauty industry’s net worth is estimated at $528.6 billion worldwide as of 2022. [4]

Asia Pacific and North America account for more than 70% of the total market size. [4]

Beauty industry worth over the years
Source: Statista

Beauty Industry Segmentation

The beauty industry has 7 major categories including- skincare products, makeup, perfume, hair care products, deodorants, oral care, and toiletries.

  • Cosmetics account for 32% of the total brand industry. [7]
  • The natural cosmetics segment is expected to reach $54.5 billion by 2027.
  • The skincare segment accounts for 24.3% of the market share.
  • Makeup sales generate about $77.8 billion of the total $380.2 billion global cosmetics market.
  • The fragrance industry makes up 13.7% of the beauty industry. 
Major categories of beauty industry
Source: Commonthreadco.com

Skincare Care Products Statistics

  • The skincare industry takes up to 39% of the beauty industry market. [6]
  • The skincare industry was worth $100.13 billion in 2021. [6]
  • The skincare industry market value is projected to reach $177 billion by 2025. [6]
  • The skincare category has grown the fastest and was worth $145 billion globally in 2022. [6]

Hair Care Industry

Did the hair care industry break during the pandemic?

Statistics suggest, not really! 

The hair care remained strong even during the pandemic, with projected growth at a CAGR of 3.35% between 2020 and 2025. [2]

While the hairdressing and nail salon market decreased by 13% in 2020. [3]

Beauty Marketing & ECommerce Statistics

Beauty companies reported spending an estimated $7.7 billion on advertising in 2022. [11]

The fact to be noted is beauty advertising grows at a rate of 2.2% per year. [11]

It is reported that the true luxury and ultra luxury beauty market has the potential to double, from around $20 billion today to around $40 billion by 2027. [9]

E-commerce in the beauty industry has increased 4x between 2015 and 2022. [8]

Before Covid, 85% of beauty products were purchased in-store. [8]

Now the times have changed, Cosmetic retailers make $17.09 billion from online sales. [9]

Do you want your favorite brands to understand your demands and personalize your products? 75% of customers do! [10]

Impact of Social Media on the Beauty Industry

YouTube is the number one source for beauty shoppers for beauty-related content

YouTube is the #1 source for beauty shoppers for beauty-related content. [12]

As market trends and priorities are changing, 42% of respondents to McKinsey’s 2023 survey of consumers across China, France, Germany, Italy, the UK, and the US said they enjoy trying new brands.

About 4 in 5 beauty shoppers reported using Instagram daily. [13]

67% of people said they are more likely to trust the brands promoted or reviewed by their favorite influencers. [13]

Will you buy products promoted by influencers
Source: Harvard Business School
  • It is interesting to note that 42% of consumers said that they would buy a product promoted by an influencer. [13]
  • While 43% said they are not sure[13]
  • 15% of customers reported not buying brands promoted by influencers. [13]

Kylie Cosmetics is the most followed beauty brand on Instagram. [14]

6% of consumers use augmented or virtual reality technology when purchasing cosmetics. [15]

Major Beauty Industry Companies

Which beauty brand do you think is making it big?

Statistics suggest L’Oreal is the top beauty, with a net worth of $250 billion as of 2023. [5]

Total L’Oreal worth is about 50% of the beauty industry’s total net worth. [5]

The next top brand is Estee Lauder with a net worth estimated at $70.18 billion. [5]

Here is the list of the major beauty brands with their net worth.  

CompaniesNet Worth ($ bn approx.)
L’Oreal250.22
Estee Lauder70.18
Givaudan30.63
ULTA Beauty23.43
IFF20.30
Source: Companiesmarketcap.com

FAQs 

How has e-commerce impacted the beauty industry?

E-commerce has revolutionized the beauty industry, with online sales skyrocketing. Between 2015 and 2022, e-commerce in the beauty industry increased fourfold. 

Before the COVID-19 pandemic, 85% of beauty products were purchased in-store, but now cosmetic retailers make $17.09 billion from online sales.

What role do social media influencers play in the beauty industry?

Social media influencers significantly impact the beauty industry by shaping consumer preferences and driving sales. About 4 in 5 beauty shoppers reported using Instagram daily, and 67% of people are more likely to trust brands promoted by their favorite influencers.

What is the current market value of the skin care segment in the beauty industry?

The skincare segment is a major part of the beauty industry, accounting for 39% of the market. In 2021, the skincare industry was worth $100.13 billion, and it has continued to grow rapidly, with projections estimating it will reach $177 billion by 2025. 

Which regions dominate the global beauty market?

The Asia Pacific and North America regions are the largest markets in the global beauty industry, together accounting for more than 70% of the total market size. 

What is the projected growth of the beauty and personal care market by 2025?

The combined global beauty and personal care market is projected to grow significantly, reaching $750 billion by 2025. This growth is driven by innovations in product offerings, increased consumer spending on beauty and personal care, and the expansion of e-commerce platforms, making beauty products more accessible worldwide.

Conclusion 

The beauty industry continues to thrive, driven by innovation, marketing, and a strong online presence. With a projected market growth and increasing influence of social media, the future of beauty looks bright. 

Whether through skincare, makeup, or hair care, the industry shows no signs of slowing down, offering vast opportunities for brands and consumers alike.

Sources

  1. Statista. Cosmetics industry – statistics & facts
  2. Mordor Intelligence. The Hair Care Market Report 
  3. IBISWorld. Hair & Nail Salons in the US – Market Size, Industry Analysis, Trends and Forecasts (2024-2029)
  4. Statista. Beauty & Personal Care – Worldwide
  5. Companiesmarketcap.com. Largest cosmetics and beauty companies
  6. GlobeNewswire. Skincare Market Size to Surpass USD 145.82 Billion by 2028
  7. Commonthreadco.com. 2022 Beauty Industry Trends & Cosmetics Marketing
  8. McKinsey. How COVID-19 is changing the world of beauty
  9. Digital Commerce 360. Health and Beauty E-commerce Statistics
  10. CB Insights. 14 Trends Changing The Face Of The Beauty Industry In 2021
  11. Bandt. Growth in beauty and personal luxury
  12. Think With Google. YouTube is No. 1 digital source for beauty content
  13. Harvard Business School. How Influencers Are Making Over Beauty Marketing
  14. Trackalytics. Leading beauty brands ranked by number of Instagram followers as of March 2022
  15. CB Insights. 14 Trends Changing The Face Of The Beauty Industry In 2021