Clean Beauty Market Set to Reach $8.10 Billion by 2023: Rising Consumer Awareness Drives Demand - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "Global Clean Beauty Market (by Product Type, Distribution Channel, & Region): Insights and Forecast with Potential Impact of COVID-19 (2023-2028)" report has been added to ResearchAndMarkets.com's offering.

The global clean beauty market is poised for substantial growth and is expected to reach a market value of US$8.10 billion by 2023, with a remarkable CAGR of 12.13% over the projected period. Clean beauty, characterized by non-toxic ingredients and full ingredient transparency, has become a significant trend among consumers who are increasingly conscious of the products they use on their skin and hair.

Clean Beauty Defined

Clean beauty products are those that are free of harmful ingredients and provide complete disclosure of all ingredients on their labels. While clean beauty products embrace lab-created ingredients if they are deemed safe, they prioritize the absence of toxins.

Consumer-Driven Demand

Consumers have grown more discerning about product ingredients, fueling the demand for clean beauty products. In recent years, there has been a shift from makeup to skincare, driving greater awareness of product ingredients. Younger consumers, in particular, exhibit a preference for clean products.

Segmentation Highlights

Product Types: The global clean beauty market encompasses five key segments: Skin Care, Hair Care, Cosmetics, Fragrances, and Others. Skin Care leads the market, benefiting from increasing awareness of the harmful effects of chemicals and synthetic products. Cosmetics, however, is poised to be the fastest-growing segment due to rising disposable income, growing beauty consciousness among consumers, and the influence of social media.

Distribution Channels: Specialty Stores currently hold the largest market share, with online sales expected to experience the highest growth. Online shopping offers convenience, a wide product selection, and doorstep delivery, making it a preferred channel for consumers.

Geographic Coverage

The global clean beauty market is divided into four regions: Asia Pacific, Europe, North America, and the Rest of the World. Asia Pacific leads the market and is anticipated to be the fastest-growing region, driven by conscious consumers who demand clean beauty products. In Europe, sustainability-focused trends like refill and zero waste beauty are gaining traction, leading to continued growth in the clean beauty market.

Key Drivers and Challenges

Driver: Increasing Consumer Awareness towards Natural Products

Rising consumer awareness and a preference for clean beauty products are driving market growth. Consumers are increasingly choosing brands that prioritize product safety and sustainability.

Challenge: Absence of a Regulatory Body or Industry-wide Standards

The lack of industry-wide standards has led to ambiguity in the definition of "clean beauty," causing confusion among consumers. Clear and uniform industry standards are needed to boost consumer confidence.

Trend: Growing Integration of AR, VR, and AI in Beauty Industry

The use of Augmented Reality (AR), Virtual Reality (VR), and Artificial Intelligence (AI) technologies is gaining popularity in the beauty industry. These technologies provide personalized shopping experiences, enhancing the customer journey.

Impact of COVID-19

The COVID-19 pandemic initially disrupted supply chains and production but later led to increased awareness of clean beauty. As consumers reevaluated their choices during lockdowns, the clean beauty market experienced positive growth. E-commerce of clean beauty products is expected to continue to thrive in the post-COVID era.

Key Players

The global clean beauty market is fragmented, with key players including e.l.f. Beauty, Inc., The Honest Company, Inc., Estee Lauder Companies Inc., Natura & Co (Avon Products, Inc.), LVMH (Sephora), Orveon (BareMinerals), Beautycounter, Credo Beauty, Ilia Beauty, NakedPoppy, Ere Perez, and RMS Beauty.

Top Impacting Factors

Growth Drivers

• Surging Gen Z and Millennial Population
• Increasing Social Media Influence and Digital Ad Spending
• Increasing Consumer Awareness towards Natural Products
• Growing E-commerce

Challenges

• Absence of a Regulatory Body or Industry-wide Standards
• Threat From Counterfeit Beauty Products

Trends

• Growing Integration of AR, VR, and AI in Beauty Industry
• Product Personalization
• Rising Demand for Eco-Friendly Products
• Search Engine Marketing

For more information about this report visit https://www.researchandmarkets.com/r/3otoym

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