07 Jul 2020
Posted in Consumer
Indian make-up sector is expected to reach US$2.09bn by 2024, says GlobalData
The make-up sector in India is expected to grow from INR88.8bn (US$1.26bn) in 2019 to INR161.3bn (US$2.09bn) by 2024, recording a compounded annual growth rate (CAGR) of 12.7%, says GlobalData, a leading data and analytics company.
GlobalData’s report, ‘India Make-Up – Market Assessment and Forecasts to 2024’ reveals that ‘lip make-up’ was the largest category with value sales of INR50.7bn (US$720mn) in 2019. However, ‘nail make-up’ category is forecast to witness the fastest value growth at a CAGR of 13.4% during 2019–2024 and is closely followed by face make-up and eye make-up categories with CAGR of 13.1% and 12.5% respectively during the same period.
Anchal Bisht, Consumer Analyst at GlobalData, says: “Ever-increasing appeal for better looks and rising disposable incomes has fueled demand for make-up products. Growing awareness of negative effects of harsh chemical ingredients are pushing a growing number of consumers to herbal and natural products.”
The value share of India in the global make-up sector is expected to increase from 2.2% in 2019 to 2.9% by 2024. Similarly, the country’s share at regional level is expected to rise from 6.7% in 2019 to 8% by 2024.
Unilever, L’Oréal S.A. and Revlon, Inc. are the leading major players in value terms in the Indian make-up sector. Lakme, owned by Unilever, was the most popular brand in the Indian make-up sector in 2019 followed by Revlon and Elle18 in the same year.
‘Department stores’ is the leading distribution channel in the Indian make-up sector, in value terms and accounted the majority share of 27.8% in 2019. It is followed by convenience stores and health & beauty stores which held share of 20.6% and 20.1% respectively in the same year.
Bisht concludes: “Indian consumers are opting for make-up products according to their skin type and requirements. Growing consumer awareness of cosmetic brands has enhanced their willingness to purchase premium make-up products, supported by increasing purchasing power, a trend expected to gain further grounds and drive the demand for unique and high quality beauty products in the foreseeable future.”