Research analysts forecast the Global Color Cosmetics Market to post a CAGR of more than 5% by 2019, according to their latest report.
To calculate the market size, the report takes into account revenue generated from retail sales of color cosmetics products.
Consumer and retail analysts highlight the following three major drivers that are influencing growth of the global color cosmetics market:
· Social media and celebrity endorsements
· Rising demand for luxury products
· Affordable indulgence among young consumers
· Social media and celebrity endorsements
According to the report, the presence of social media is a boon for any industry as social investments help brands be more efficient with their dollars. Consumers are now more engaged in social networking and blogs to educate themselves about the personal and beauty care products. In the nail make-up market, blogging sites like Nailed Blog dominate the online discussion forum for nail color brands. Close to 25% of the online users aged 22-25 years buy the products they see online.
“Celebrity endorsements are smart for business as they provide a channel between the customers and the manufacturers and help in highlighting the product. Gwen Stefani belted out seven new shades and finishes of nail polish with OPI. Shiseido signed Lady Gaga as chief brand ambassador in January 2015,” says lead cosmetics and toiletry analyst.
The report also states that around 25% of the Internet users aged 16-24 years discovered new brands through celebrity endorsements, and for the group aged 25-34 years it was 22%, while for the group aged 35-44 years it was 14%.
Rising demand for luxury products
Manufacturers are now expanding the luxury segment to cover the full spectrum of the cosmetics market, from bath products to nail polishes. Designers like Marc Jacobs and Tom Ford are extending their presence in the premium beauty segment. For instance, Marc Jacobs has opened a luxury store in Manhattan, US, dedicated solely to fragrances and other cosmetic products. In 2013, Tom Ford launched his own cosmetics line. Also, Giorgio Armani, Michael Kors, and Tory Burch have teamed with the top industry players to set up a different product portfolio. Estée Lauder is focusing more on younger consumers for its top brands Clinique and Estée Lauder by launching new products to boost revenue growth, for instance, the luxury brand New Dimension face and eye make-up kit launched in 2015.
Affordable indulgence among young consumers
The rising demand for color cosmetics among the younger population is one of the primary drivers of the market. The engagement is high among women aged 25-34 years who are interested in the benefits of the product and prefer long-lasting products and natural claims. Around 91% of girls between the ages of nine and 17 years use some sort of nail product, making it one of the most popular cosmetic items among teen girls. Fashion trends like nail art are transforming a nail into a stylish accessory.
According to researchers, “Other than the trending concepts like glitter, magnetic and metallic finishes, and nail art, women are generating high interest in natural nail care concepts, as well as products that help in ease of use and convenience. The improving economy is prompting consumers to indulge in nail care products as an affordable luxury.”
Market analysis of color cosmetics:
The rise in demand for natural and organic based color cosmetics is anticipated to fuel the market growth during the forecast period. The increasing health and wellness trend across the globe has also left its impression on the nail care industry. For instance, the Nourish brand of organic nail polish is infused with essential oils with antifungal properties aimed at promoting healthy nails.
Product segmentation and analysis of the color cosmetics market:
· Eye makeup
· Lip makeup
· Nail makeup
Facial makeup accounted for 38% of the market share during 2014 and is expected to reach a market value of around USD 32 billion by the end of 2019. Bronzer and blusher products were the top selling color cosmetics during 2014, with sales increasing due to the rise of the contouring trend made famous by celebrities such as Kim Kardashian.
Geographical segmentation and analysis of the global color cosmetics market
The Americas were the largest revenue contributor during 2014 with a market share of around 37%. Social media influence and the selfie trend are the primary drivers of the growth of color cosmetics in this region among teenagers.
Competitive landscape and key vendors
The global color cosmetics market is highly concentrated due to the presence of both key suppliers and private players operating across the globe. The market is expected to be more competitive during the forecast period, with several product launches, price wars, mergers, and acquisitions.
The key vendors in the market are
· EstÃ©e Lauder
Other vendors in the market include Amway, Clarins, Coty, Chanel, Kao, and Unilever.
Key questions answered in the report include:
· What will the market size and the growth rate be in 2019?
· What are the key factors driving the global color cosmetics market?
· What are the key market trends impacting the growth of the global color cosmetics market?
· What are the challenges to market growth?
· Who are the key vendors in the color cosmetics market?
· What are the market opportunities and threats faced by the vendors in the color cosmetics market?
· Trending factors influencing the market shares of the Americas, APAC, Europe, and MEA?
· What are the key outcomes of the five forces analysis of the global color cosmetics market