04.27.22
Demand for plant-based skincare products is projected to surpass a valuation of $683 million in 2021, and surge at a CAGR of around 7.5% through the end of 2031, according to a recent report published by Fact.MR.
Demand for vegan and plant-based beauty will experience exceptional rise in the worldwide personal care industry over the decade. Rising awareness about various organic and natural products is a reason, said the report.
Due to the ongoing Covid-19 pandemic, manufacturers are gradually prioritizing digital channels to reach more customers. The market is expected to see an increase in sales via online channels, which is anticipated to rise at a CAGR of 9.9%. E-Commerce is playing an important role in the market, ensuring the availability of products at doorsteps, where businesses are finding it very difficult to maintain sales and efficient distribution channels.
Europe Leads Market Study
The North America market is estimated to be valued at $319.2 million in 2021, and expand at a CAGR of 5.7% through 2031, due to expansion in retail chains, both physical and digital.
Europe is one of the dominant players in the market, and is projected to reach $ 339.6 million by 2031.
Strong production footprint of key market participants in China has made it hold the largest market share of 41.6% in the East Asia market.
The market is segmented based on product type, where creams and lotions hold a high share of 32.1%.
According to a senior analyst, “rising consumer awareness related to the benefits derived from using natural products is convincing manufacturers to make innovative plant-based skincare products with safe and organic ingredients.”
Competitive Landscape with P&G, L'Oreal
Consumers have become more beauty conscious and increased their spending on skincare products. They are gradually adopting natural beauty care products due to changes in lifestyle and growing emphasis on external beauty, ensuring prevention from allergies and other skin problems.
Consumers are seeking organic products that can be applied on the face and remain all day, yet have no side effects on the skin or body. This has convinced manufacturers to provide large varieties of plant-based products that address the need and requirements of customers and offer products that enhance customer loyalty.
Procter & Gamble acquired New Zealand-based skincare company Snowberry in 2018. The company is known for offering skincare products such as cleansers, exfoliators, moisturizers, toners, and brighteners, focusing on anti-aging and helping in exfoliating skin, and are purely made from natural ingredients
L'Oréal entered a partnership with Clue, a wellness app. The reason behind this was to help consumers understand the relationship between the menstrual cycle and skin health.
These insights are based on a report entitled, "Plant-Based Products Market Forecast, Trends to 2031" by Fact.MR.