by Active cosmetics comprise anti-aging creams, sun protection creams, spot removing gels, and fairness creams among others that protect and nourish the skin. These products contain active ingredients like antioxidants, peptides, retinoids, and exfoliants that visibly improve skin texture, minimize wrinkles, dark spots and blemishes. The increasing consumer awareness about damaging effects of pollution, sun exposure and stress on skin has boosted the demand for active cosmetic formulations that restore skin health from within. With rising disposable incomes, people are willing to spend more on premium skin care products with functional benefits. Additionally, growing cosmetics industry emphasis on launching eco-friendly and naturally derived active ingredients is supporting the active cosmetics market growth.
The global Active Cosmetics Market is estimated to be valued at US$ 10.08 Bn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends witnessed in the active cosmetics market is the rising focus on natural and organic formulations. Consumers today seek products containing botanical extracts, vitamins and other active ingredients that nourish skin naturally without harming the environment. This has prompted brands to replace synthetic ingredients with natural plant-based actives in their products. Several market leaders are investing in R&D to identify effective natural alternatives to petrochemical derivatives that deliver skin rejuvenation. Further, organic-certified active cosmetic lines marketing ethical and sustainable credentials are gaining widespread popularity.
Porter’s Analysis
Threat of new entrants: The market has a moderate threat of new entrants due to the high capital requirement and established presence of existing key players. However, the growing market demand provides opportunities for new players.
Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of substitutes and differentiation in products offered by manufacturers.
Bargaining power of suppliers: The suppliers have low to moderate bargaining power due to the availability of alternative supply options.
Threat of new substitutes: The threat from substitutes is low as active cosmetics provide additional advantages over regular cosmetics.
Competitive rivalry: The market is moderately competitive due to the presence of global and regional players.
Key Takeaways
The Global Active Cosmetics Market Size is expected to witness high growth. Regional analysis- North America dominates the global active cosmetics market owing to rising health awareness among consumers in the region. Europe and Asia Pacific are also expected to witness significant growth.
Key players- Key players operating in the active cosmetics market are Schneider Electric, Eaton, Emerson Electric, Toshiba, Siemens, General Electric, Delta Electronics, Huawei, ABB, and Vertiv. Focus on product innovation and investments in emerging economies are the key strategies adopted by these players.
