Minimalistic and natural beauty products-based ‘J-beauty’ has been gaining a lot of popularity in Japan in recent times. Consequently, the market is forecast to grow from J¥521.9bn (US$4.9bn) in 2020 to J¥554.6bn (US$5.8bn) in 2025 at a compound annual growth rate (CAGR) of 1.2% over the 5-year period, says GlobalData, a leading data and analytics company.

GlobalData’s report, ‘Japan Make-up – Market Assessment and Forecasts to 2025’ reveals that the market is majorly driven by growth in the eye make-up category, which is forecast to register the fastest value CAGR of 1.7% during 2020–2025. The category is followed by face make-up, which is projected to record a CAGR of 1.2% during the same period.

Sukanyashri Kabali, Consumer Analyst at GlobalData, says: “Consumers in Japan are going back to their traditions through the J-beauty trend and choosing products inspired by ancient beauty techniques. This will continue to support the interest in natural and local ingredients. Furthermore, with consumers going back to the age-old Japanese philosophy of ‘less is more’, they are increasingly looking for minimalistic and mild products. Therefore, companies are launching light and natural-looking make-up products such as Shiseido’s Maquillage line of glossy compact powder, which the company claims to be light and non-shiny, providing a natural luster.”

‘Parapharmacies/drugstores’ was the leading distribution channel in the Japanese make-up market in 2020, followed by ‘hypermarkets & supermarkets’ and e-retailers.

Per capita expenditure of make-up in Japan increased from US$37 in 2015 to US$39 in 2020 which was higher than both the global level (US$7.5) and the regional level (US$4.3). Additionally, per capita expenditure of make-up in Japan is expected to increase and reach US$47.6 by 2025.

​Kao Corporation, Shiseido Company, Limited, and L’Oréal S.A. were the top three companies in the Japanese make-up market by value in 2020, while Shiseido and Kanebo were the leading brands.

Ms. Kabali concludes: “Japanese consumers are extremely health-conscious, which also reflects in their beauty purchases. Consumers are drawn towards products which have a positive impact on health and wellbeing. Hybrid products with skincare properties and natural/chemical-free make-up products are expected to increase in demand among these health-conscious consumers.”