Beauty and personal care industry in India - statistics & facts
As India's beauty and personal care market (BPC) rapidly expands, a new wave of trends and opportunities is reshaping the way consumers define beauty. India is ranked fourth globally for generating the highest revenue from the BPC market. Consumer perceptions of beauty have evolved from being saved for special occasions to being an essential aspect of everyday life. For that reason, India's beauty and personal care industry is on a remarkable growth trajectory, with revenue expected to approach 40 billion U.S. dollars by 2030. Personal care is the largest segment, followed by skin care and cosmetics.
Global heavyweights vs. homegrown challengers
The Indian beauty and personal care market is experiencing a fusion of global and domestic trends; the sector is an amalgamation of rapid evolution and varied influence. Because of their innovative formulations and unique skincare regimes, Korean and Japanese beauty products have also become more popular among Indian consumers. Some of these beloved brands are COSRX, Centella, and Bioré.
The cosmetics market worldwide is controlled by a handful of conglomerates like Unilever, Procter & Gamble, and L'Oreal. Although these are immensely successful in India, domestic counterparts have an equal footing, with newer, organic brands entering the market. Lakme leads as the most used cosmetics brand in the country, while local players like MamaEarth, Sugar Cosmetics, and Khadi Essentials are gaining popularity due to their better suitability for Indian skin and hair types. One local brand, Nykaa, has had a strong foothold over the years and is one of India's largest cosmetic and lifestyle brands.
Digital channels and shifting consumer priorities
Multiple factors, such as the digitalization and preference towards organic and sustainable products, are responsible for the significant transformation of the market. Thanks to online retailing, companies can now reach a wider audience, even in rural parts of the country. Online marketplaces are the most preferred channel for cosmetics shopping, while the prestige cosmetics and fragrances segment continues to expand as well.
Additionally, consumers are ditching synthetic cosmetics and shifting towards natural and organic products. A survey found that quality tops the list of purchase criteria for personal care in India, with brand reputation and skin compatibility also ranking high. Brands such as Forest Essentials and Kama Ayurveda have gained popularity among consumers preferring natural ingredients. This fast-evolving market is poised for sustained growth and offers immense potential for innovation and expansion in the coming years.
