Since the COVID-19 outbreak, ‘health & wellness’ has been a top priority for the consumers in India. With organic and natural products set to lead, the Indian skincare market is projected to expand from INR192bn ($2.6bn) in 2021 to INR312.4bn ($3.7bn) by 2026 at a compound annual growth rate (CAGR) of 10.2% during 2021–2026, says GlobalData, a leading data and analytics company.

GlobalData’s report, ‘India Skincare Market Size by Categories, Distribution Channel, Market Share and Forecast, 2021-2026’ reveals that the market growth will be driven largely by the facial care category, which is forecast to register the fastest value CAGR of 10.4% over 2021–2026, trailed closely by the body care category with a projected CAGR of 10.2%.

Likitha Nalluri, Consumer Analyst at GlobalData, says: “With the onset of the global pandemic, health and wellness has become a top priority for Indian consumers, and this trend is strongly influencing the personal care sector. Consumers are opting for natural and effective products to ensure that their skin care routines do not adversely impact their health. Moreover, Indian consumers are gaining a deeper understanding about the origin and effect of cosmetics ingredients, which is reflected in their purchasing patterns.”

‘Convenience stores’ was the leading distribution channel in the Indian skincare market in 2021, followed by departmental stores, and direct sellers.

While the per capita expenditure (PCE) on skincare in India doubled from $0.5 in 2016 to $1 in 2021, it is far below the global average ($9.8) and the regional average ($9.2). The PCE on skincare in India will reach $1.3 by 2026.

​Unilever, L’Oréal S.A., and Reckitt Benckiser Group plc were the top three companies in the Indian Skincare market by value in 2021. Fair & Lovely and Garnier​ were the top brands of the year.

Nalluri concludes: “Consumers have become more conscious of beauty practices in India and across the globe through social media. During the pandemic-induced lockdowns, many consumers began spending more time researching and experimenting with homemade beauty preparations to augment their skincare regime. Brands that can provide natural and high-quality products along with instructions on how customers can customize the product for their own at-home skin care routines can gain an edge over competitors.”