Logo
Empowering Beauty with Nature's Touch: The global natural cosmetics market is transforming beauty with sustainable and eco-friendly practises with pioneering companies like L'Or?al, Est?e Lauder, Natura & Co., Unilever, Procter & Gamble, etc.
May, 31
2023

150 view

Empowering Beauty with Nature's Touch: The global natural cosmetics market is transforming beauty with sustainable and eco-friendly practises with pioneering companies like L'Or?al, Est?e Lauder, Natura & Co., Unilever, Procter & Gamble, etc.

 

natural cosmetics market
Natural cosmetics products have become a prominent force within the beauty industry, representing a growing preference among consumers for wholesome and environmentally conscious alternatives. These products are crafted using natural, plant-derived ingredients, carefully selected for their beneficial properties and formulated without the use of synthetic additives, such as parabens, phthalates, and sulfates. The global demand for natural cosmetics has surged as consumers increasingly prioritize their well-being and seek out products that align with their values of sustainability, health, and ethical consumption. In response to this burgeoning demand, the natural cosmetics market has flourished, offering a wide array of skincare, haircare, and personal care products that harness the potency of nature's bountiful resources. From nourishing botanical extracts to organic oils and butters, these products provide a gentle and holistic approach to beauty, offering consumers the assurance of products that are free from potentially harmful chemicals. With an emphasis on transparency, quality, and efficacy, natural cosmetics have not only carved a niche in the industry but have also paved the way for a transformative shift towards a more sustainable and nature-centric beauty culture. The global natural cosmetics market has witnessed substantial growth in recent years, reflecting the increasing consumer demand for safe, sustainable, and environmentally-friendly personal care products. Natural cosmetics, derived from plant-based ingredients and formulated without the use of synthetic additives, have gained significant popularity as they offer a harmonious balance between enhancing personal beauty and maintaining ecological integrity. With a focus on preserving the planet's resources and minimizing the ecological footprint, the global natural cosmetics market has emerged as a key player in the global beauty industry, catering to a diverse range of health-conscious consumers seeking natural alternatives that align with their values of ethical sourcing, sustainability, and holistic well-being. As an essential component of the thriving natural products movement, the market exhibits immense potential for expansion, innovation, and continued growth in the foreseeable future.

According to the research report, "Global Natural Cosmetic Market Research Report, 2028," published by Actual Market Research, the market is anticipated to cross USD 61 Billion, increasing from USD 43.50 Billion in 2022. The market is expected to grow at a CAGR of 6.15% by 2023–2028. Natural cosmetics have been used for centuries, with ancient civilizations like the Egyptians, Greeks, and Romans incorporating plant-based ingredients in their beauty rituals. Cleopatra, for instance, was known for her use of natural oils and botanical extracts. Nowadays, natural cosmetics rely on a diverse range of plant-based ingredients, such as aloe vera, shea butter, jojoba oil, lavender, chamomile, and tea tree oil. These ingredients offer various benefits, including moisturization, antioxidant protection, soothing properties, and antimicrobial effects. With the increasing concern for environmental sustainability, consumers are opting for products that have minimal impact on the environment. Natural cosmetics, often formulated with organic and sustainably sourced ingredients, meet this demand, as they are produced through environmentally friendly practices and are biodegradable. The wellness industry has experienced significant growth in recent years, with consumers adopting a holistic approach to health and beauty. Natural cosmetics align with these wellness trends, offering products that not only enhance beauty but also promote overall well-being through the use of nourishing, plant-based ingredients. In addition to that, social media platforms and beauty influencers have played a crucial role in driving the demand for natural cosmetics. Influencers often highlight the benefits of natural products, sharing personal experiences and promoting the use of natural cosmetics to their followers, leading to increased awareness and adoption. Celebrities and public figures endorsing or creating their own natural cosmetics brands have also significantly influenced consumer purchasing decisions. Celebrity endorsements and partnerships create brand awareness and generate trust, driving the demand for natural cosmetics.

The global market is segmented into five major regions including North America, Europe, Asia-Pacific, South America and Middle East & Africa. Among them, Europe region is dominating the market in 2022 with more than 35% share. Europe is a mature and highly regulated market for natural cosmetics. Countries like Germany, France, and the United Kingdom have seen substantial growth in demand for natural and organic beauty products, driven by eco-consciousness, sustainability, and stringent regulations on cosmetic ingredients. European consumers place a strong emphasis on ethical and sustainable practices, leading to the popularity of natural cosmetics. Germany is known for its rigorous regulations on cosmetics, including natural and organic products. The country has a well-established market for certified natural cosmetics, and German consumers prioritize eco-friendly and sustainable choices. Also, France is renowned for its natural skincare heritage, with a long history of utilizing plant-based ingredients in beauty products. The country has a thriving market for organic and natural cosmetics, with a strong emphasis on luxury and quality. Further, North America is a significant market for natural cosmetics, driven by the increasing consumer awareness of the potential health risks associated with synthetic ingredients. The United States, in particular, has witnessed a surge in demand for natural and organic beauty products, with consumers seeking safer alternatives. The region also benefits from a well-established distribution network and the presence of prominent natural cosmetics brands. The United States has a robust natural cosmetics market, with a strong focus on clean beauty, natural ingredients, and sustainability. It is home to several influential natural cosmetics brands and retailers. On the other hand, Canada has a significant demand for natural cosmetics, driven by consumers seeking environmentally friendly and cruelty-free options. The rise of indie and niche natural cosmetics brands is a notable development in North America. These smaller, independent brands focus on unique formulations, sustainable practices, and transparency, catering to the growing demand for niche and specialized natural beauty products. The Asia Pacific region is experiencing rapid growth in the natural cosmetics market. Countries like Japan, South Korea, and China have seen a significant shift towards natural and organic beauty products, driven by factors such as rising disposable incomes, increasing awareness of personal health and wellness, and a preference for clean and eco-friendly options. The region is also known for its innovative skincare and beauty routines, which often incorporate natural ingredients. South Korea is a trendsetter in the beauty industry, including natural cosmetics. K-beauty has popularized natural and botanical ingredients, innovative formulations, and multi-step skincare routines. Japan has a deep-rooted culture of natural and holistic beauty, incorporating traditional ingredients like rice bran, green tea, and camellia oil. Japanese consumers value natural skincare products and place importance on simplicity and effectiveness.

South America is emerging as a promising market for natural cosmetics. Countries like Brazil, Colombia and Argentina are witnessing a growing demand for natural and organic beauty products, driven by a combination of factors, including a rich biodiversity of botanical resources, increasing consumer awareness, and a preference for sustainable and environmentally friendly products. Among the region, Brazil is known for its rich biodiversity, and the region's natural cosmetics market often highlights indigenous ingredients such as a?ai, cupua?u, and Amazonian clay. The country also has a strong focus on sustainable sourcing and fair trade practices. The concept of "green beauty" has gained traction in South America, with a focus on sustainable and eco-friendly cosmetics. Consumers in the region are seeking products with clean formulations, biodegradable packaging, and ingredients sourced from local communities, highlighting a shift towards environmentally conscious choices. However, the Middle East and Africa region show increasing interest in natural cosmetics, fuelled by a rising consumer awareness of the benefits of natural and organic ingredients. Countries like the United Arab Emirates and South Africa are witnessing a shift towards natural beauty products, driven by a combination of factors, including a preference for halal-certified products, the influence of social media, and growing wellness trends. The United Arab Emirates is witnessing an increased demand for natural cosmetics, driven by a desire for halal-certified products that adhere to Islamic principles. The region's consumers prioritize ethical sourcing, clean formulations, and sustainability. South Africa has a burgeoning market for natural and organic cosmetics, with a focus on indigenous African botanical ingredients like rooibos, marula oil, and baobab. The country also emphasizes fair trade and community empowerment. In the Middle East, there has been a notable increase in the demand for halal-certified natural cosmetics. Brands are catering to this market by offering halal-certified products that adhere to Islamic principles, addressing the specific needs and preferences of Muslim consumers in the region.

Based on the product type, the global market has been segmented into major categories including skin care, hair care, color cosmetics and others. Among them, skin care segment is leading the market with prominent market share in 2022. The higher number of population living in the snowy parts of the world is the primary reason for the growth. Climatic conditions such as heat and humidity, drying effects of air conditioners are affecting skin conditions of people inhabiting globally. Additionally, acne problems due to oily skin, dust, and pollution are driving consumers towards natural and organic treatments, in turn, contributing towards the growth of natural cosmetics market. Also, the growing awareness of the side effects caused by many chemical substances in cosmetics is majorly driving the growth of the natural & organic cosmetics market. Consumers are observed shifting towards natural products that are free from synthetic ingredients. There are certain common chemicals in skin care products, such as parabens, synthetic colors, and phthalates which are harmful to the human body. For instance, parabens are mainly used as a preservative in cosmetics but are of greatest concern to disrupt the hormone function linked to increased risk of breast cancer and reproductive toxicity. On the other hand, there are various natural ingredients such as vegetable oils, essential oils, and various botanical extracts which assist in providing healthy skin without causing any harm to the skin or body. However, the color cosmetic segment is anticipated to expand at a CAGR of more than 6% followed by color cosmetics over the forecast period.

In terms of end user, women held the largest market share in 2022. The increase in number of working female population might be a significant factor towards this growth. Moreover, the increasing choice of better appearance with the help of clothing and cosmetics has achieved a high volume of sales across the globe and fuelling the demand for the natural cosmetics even further in the developing countries. For instance, the Indian market for natural cosmetics is expected to be driven by the high appeal of natural cosmetics among female working population as more Indian women are entering the workforce and earning higher incomes which have led to increased demand for high-quality natural cosmetic products that are both effective and affordable. Besides that, Indian women are becoming increasingly aware of the benefits of natural and traditional ingredients in personal care products, which are driving the demand for natural cosmetics in the Indian market. Also, mass urbanization coupled with the growing middle-income population group is the key factor for the rising consumption of cosmetics, which accelerates the demand for natural & organic cosmetics shortly. Moreover, the increasing per capita disposable income of the consumers has led to the rising sales of natural & organic cosmetics.

Based on the distribution channel segmentations, specialty stores dedicated to natural and organic products play a crucial role in the distribution of natural cosmetics. These stores offer a wide range of natural beauty brands and provide expert guidance and product knowledge to consumers seeking natural alternatives. Traditional retail chains, including supermarkets and hypermarkets, have recognized the growing demand for natural cosmetics. They often dedicate sections within their stores to natural and organic beauty products, providing consumers with a convenient one-stop shopping experience. Health and wellness stores, including natural food stores, pharmacies, and vitamin shops, often stock natural cosmetics alongside other health-oriented products. These stores cater to health-conscious consumers who prioritize clean and natural ingredients for their personal care routines. Beauty specialty retailers, such as Sephora and Ulta Beauty, have expanded their offerings to include natural cosmetics brands. These retailers provide a platform for natural beauty brands to reach a broader consumer base, leveraging their established presence and expertise in the beauty industry. Many spas and salons incorporate natural and organic skincare and hair care products into their services. Natural cosmetics brands often collaborate with spas and salons to provide exclusive treatments and retail their products within these establishments. Duty-free shops at airports and travel retail outlets also offer natural cosmetics products, catering to international travellers who are looking for convenient and tax-free shopping options. However, e-commerce platforms have become a significant sales channel for natural cosmetics. Online retailers offer convenience, a vast product selection, and the ability to compare prices and read customer reviews. Many natural cosmetics brands have their own online stores, while others are available through popular e-commerce platforms.

Start-up Scenario:
• Beautycounter is a U.S.-based start-up that focuses on clean beauty and transparency. They are committed to formulating products without harmful chemicals and advocating for stronger regulations in the beauty industry. Their range includes skincare, makeup, and personal care products.
• Herbivore Botanicals is a natural skincare start-up based in the United States. They offer a range of products made with natural ingredients and plant-based extracts. Herbivore Botanicals is known for their minimalist packaging and commitment to using ethically sourced and sustainable ingredients.
• GLOSSYBOX is a subscription-based beauty start-up that offers curated boxes of beauty products, including natural and organic cosmetics. They partner with various brands to provide consumers with a diverse selection of natural beauty products on a monthly basis.
• Tata Harper is a luxury natural skincare brand founded by Tata Harper in Vermont, USA. The brand focuses on using high-quality botanical ingredients grown on their own farm and formulating products without synthetic chemicals. They are known for their commitment to sustainability and environmental stewardship.
• RMS Beauty, created by makeup artist Rose-Marie Swift, is a clean beauty start-up offering a range of organic makeup products. The brand emphasizes the use of natural and organic ingredients, with a focus on enhancing the skin's natural radiance.
• HUM Nutrition is a wellness-focused start-up that offers dietary supplements designed to support beauty and overall well-being. They create natural and plant-based supplements targeting specific beauty concerns, such as skin health, hair growth, and nail strength.
• BYBI Beauty is a UK-based start-up that specializes in natural skincare products. They focus on sustainable and eco-friendly practices, using ingredients sourced responsibly and packaging made from recyclable materials. BYBI Beauty is known for their innovative formulas and ethical approach to beauty.
• Axiology is a natural and vegan lipstick brand known for its clean, cruelty-free, and sustainable formulations. They create lipsticks using plant-based ingredients and eco-friendly packaging, aiming to provide consumers with a luxurious, ethical, and clean beauty experience.