14 Jul 2020
Posted in Consumer
Japan’s skincare sector is forecast to reach US$22.2bn by 2024, says GlobalData
The Japanese skincare sector is expected to grow from J¥1.9bn (US$17.6bn) in 2019 to J¥2.11bn (US$22.2bn) by 2024 growing at a compound annual growth rate (CAGR) of 2.1%, says GlobalData, a leading data and analytics company.
GlobalData’s report, ‘Japan Skincare – Market Assessment and Forecasts to 2024’, reveals that ‘facial care’ category led the sector in terms of value and volume sales in 2019. ‘Body care’ category is forecast to register the fastest CAGR of 2.4% in value terms for the period 2019-2024 while ‘facial care’ category is forecast to register the fastest CAGR of 0.8% in volume terms for the period 2019-2024.
Anchal Bisht, Consumer Analyst at GlobalData, says: “Consumers in Japan render high importance to their skincare routine and seek premium products that aid in whitening skin tone and deliver the desired skin texture. While the demand for anti-aging products is on a rise due to the aging Japanese society, there is a growing interest in products that use natural ingredients across all consumer segments.”
‘Hypermarkets & supermarkets’ was the leading distribution channel in the Japanese skincare sector, with a value share of 28.2% in 2019, followed by parapharmacies/drugstores and E-retailer channels.
KOSE Corporation, Shiseido Company Limited and Kao are the top three players in the Japanese skincare sector; while Moisture Mild, Sekkisei, and Hyalocharge are the leading brands in value terms in the sector in 2019. Private labels accounted for only a small share of the market.
Ms Bisht concludes: “Japanese consumers are seeking skincare products, which help reduce damage, ageing and roughness on skin. Manufacturers are targeting age related consumer needs and developing effective skincare products to delay skin ageing. The manufacturers are also emphasizing on natural ingredients, which is expected to promote the growth of the skincare sector in Japan over the period 2019–2024.”