With Thailand easing COVID-19 restrictions from mid-2022 on residents and foreign tourists, the sales of skincare products are expected to rebound. Against this backdrop, the Thailand skincare market is projected to grow at a compound annual growth rate (CAGR) of 3.8%, from THB82.3 billion ($2.6 billion) in 2021 to THB99.3 billion ($3.2 billion) in 2026, forecasts GlobalData, a leading data and analytics company.

Likitha Nalluri, Consumer Analyst at GlobalData, comments: “As protective face masks continue to be mandatory, the demand for facial care formulations that alleviate skin problems caused by the prolonged use of masks will continue to be in demand. Moreover, multifunctional hand care creams and lotions that soften skin and protect against germs will gain traction. In addition, Thailand’s large aging population presents strong opportunities for anti-aging skincare products.”

GlobalData’s latest report, ‘Thailand Skincare – Market Assessment and Forecasts to 2026’ reveals that the market growth will be primarily driven by the ‘depilatories’ category with the fastest value CAGR of 4% over 2021-2026. The category will be followed by ‘facial care’, which is expected to record a CAGR of 3.9% during the same period.

‘Hypermarkets & supermarkets’ was the leading distribution channel in the Thailand skincare market in 2021, followed by ‘health & beauty’ stores and ‘direct sellers’. Beiersdorf Ag, Unilever, and L’Oreal S.A. were the top three companies by value in 2021, and Nivea and Artistry were the leading brands.

Nalluri concludes: “Even as COVID-19 cases subside and more consumers return to their workplace, consumer demand for do-it-yourself (DIY) advanced skincare solutions is expected to continue and be complemented by the increasing demand for multifunctional products for on-the-go usage.

“The ‘e-retail’ channel will continue to gain traction even as customer footfall in offline retail recovers. This entails the need for companies to equally focus on online and offline sales and marketing and promotional campaigns. In addition, the pandemic has lent more momentum to the clean beauty trend, manifesting in the rising consumer preference for skincare formulations with natural and sustainable ingredients.”