The active cosmetics market includes products such as anti-aging cosmetics, moisturizing cosmetics, sun care cosmetics, and skin care cosmetics. These products contain active ingredients that provide skincare benefits beyond basic cleansing, protection and moisturization. The global demand for active cosmetics is increasing owing to rising cosmetic consciousness among consumers. The increasing awareness regarding the anti-aging benefits offered by these products is also augmenting market growth.
The Global active cosmetics market is estimated to be valued at US$ 11.62 Mn in 2024 and is expected to exhibit a CAGR of 9.9% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Active Cosmetics Market Growth are Medtronic, Dexcom, Inc., Abbott, Novo Nordisk A/S, Ypsomed, GlySens Incorporated, and F. Hoffmann-La Roche Ltd., among others. The active ingredients market is highly competitive with the entry of local manufacturers offering products at competitive prices. Product innovation through advanced formulation of active ingredients is one of the key opportunities in the market. Technological advancements have led to development of multifunctional products and precise delivery of actives through nano-encapsulation which is improving the efficacy of cosmetic products.
Market drivers
Rising disposable incomes and growing expenditure on personal care products are driving the sales of higher value added active cosmetic products. The increasing utilization of advanced biomimetic and nanotechnology in ingredient formulation is enhancing the penetration and efficiency of active ingredients which is a major market driver. Consumer awareness regarding anti-aging benefits is prompting them to choose efficacious products based on advanced formulations. This is expected to remain a key factor catalyzing the demand over the forecast period.
Current challenges in active cosmetics market:
The active cosmetics market is facing various challenges currently including increasing raw material prices and supply chain disruptions caused due to the ongoing pandemic and geopolitical conflicts. Also, changing consumer preferences towards natural and organic products pose a challenge for manufacturers to align their product offerings. Rising awareness about the potential side effects of certain active ingredients is also compelling companies to invest more in product safety and quality.
SWOT Analysis
Strength: Wide product portfolio and growing preference for multifunctional cosmetics. Innovation is a key strength with new active ingredients and delivery systems being developed.
Weakness: High research and development costs involved. Potential side effects of certain active ingredients raise safety concerns.
Opportunity: Growing demand for customized and result-oriented cosmetic products especially in emerging markets. Increasing focus on anti-aging and skin care segments presents opportunities.
Threats: Intense competition from global as well as local players. Vulnerability to economic slowdowns affecting consumer spending on cosmetics.
The active cosmetic market in terms of value is currently concentrated most in North America owing to high consumer expenditue as well as presence of several global industry players in the region. Europe is another major geographical region accounting for a substantial share currently led by countries like Germany, France and Italy.
Asia Pacific region is poised to be the fastest growing geographical market for active cosmetics over the forecast period from 2024 to 2031. This is attributed to rising living standards, increasing working women population as well as growing awareness about cosmetic products in major countries like China, Japan and India driving the market growth in Asia Pacific.
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1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it