According to Fortune Business Insights, the global perfume market size is projected to reach USD 43.2 billion by 2028, exhibiting a CAGR of 5% during the forecast period. Robust demand for beauty products and accessories among consumers is expected to boost market growth.
Perfumes are pleasant-smelling solutions made by using oils, fragrances, and other ingredients to create a pleasing aroma. Increasing demand for high-quality beauty and grooming products globally is expected to boost market growth. Several manufacturers globally aim to provide innovative products to consumers to satisfy their demand. For example, Givaudan introduced a creative scent technology named ‘VivaScentz’ in June 2020 to satisfy consumer demand for different scent categories. The demand for long-lasting scents is expected to boost its sales drastically. Further, the incorporation of strong fragrances, oils, and other materials is expected to attract consumer demand. Additionally, rising demand for waterless scent is expected to surge the product demand. These factors are likely to propel market progress.
Fortune Business Insights™ lists out all the perfume market companies that are presently striving to reduce the impact of Covid-19 pandemic on the market:
- L’Oréal S.A.(Clichy, France)
- Unilever Plc (London, U.K.)
- Coty Inc. (New York, U.S.)
- The Proctor and Gamble Co. (Ohio, U.S.)
- The Estee Lauder Companies Inc. (New York, U.S.)
- Natura & Co. (Sao Paulo, Brazil)
- Avon Products Inc. (New York, U.S.)
- Puig SA (Barcelona, Spain)
- Revlon Inc. (New York, U.S.)
- Chanel Limited (Paris, France)
- Shiseido Company Limited (Tokyo, Japan)
- Beiersdorf AG (Hamburg, Germany)
Highlights of the Report
The report provides a detailed analysis of the top segments and the latest trends in the market. It comprehensively discusses the driving and restraining factors and the impact of COVID-19 on the market. Additionally, it examines the regional developments and the strategies undertaken by the market's key players.
Drivers and Restraints
Announcement of Innovative Solutions to Bolster Market Growth
Manufacturers focus on providing excellent and innovative fragrance solutions to consumers to enhance their experience. The incorporation of strong flavors and oils eliminates odors and boosts the scent's shelf-life. Companies launch different fragrance solutions utilizing artificial intelligence technology that satisfies the fragrance preferences of consumers. For example, SEPHORA, LVMH announced ‘MAISON 21G’ in April 2021. It is an innovative AI-powered solution aimed at satisfying consumer's fragrance preferences. Further, the adoption of online retail is likely to fuel product demand globally. Online retail offers consumers an enormous choice that shall satisfy their demand for aromatic fragrances and boost convenience. These factors are likely to drive the perfume market growth.
However, huge research and development costs and uncertain consumer behavior may hinder market progress.
Type, Product, Distribution Channel, End-User, and Region are studied for the Market
By type, the market is segmented into extrait de parfum, eau fraiche, eau de toilette, eau de cologne, and eau de perfume. By product, it is bifurcated into premium and mass. Based on the end-user, it is classified into women and men. As per the distribution channel, it is categorized into offline and online. Regionally, it is clubbed into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.
Rising Demand for Premium Products to Foster Market Growth in North America
North America is projected to dominate the perfume market share due to rising demand for premium consumer products. The market stood at USD 10.50 billion in 2020. Evolving consumer preferences and rising spending capacity are likely to boost the product demand. In addition, increasing the standard of living in Canada, Mexico, and the U.S. is expected to boost the market growth.
In Asia Pacific, increasing disposable income, young population, rising awareness regarding the benefits of the product is likely to fuel the product demand. Additionally, rising demand for premium brands is expected to boost market progress.
Rеаѕоnѕ to Get thіѕ Rероrt:
- A qualitative and quantitative market study based on segmentation that includes both economic and non-economic factors
- Data on market value for each section and sub-segment
- Indicates the region and market segment that is likely to expand the fastest and dominate the market.
- The consumption of the product/service in each region is highlighted, as are the factors affecting the market within each region.
- The competitive landscape includes the top players' market rankings, as well as new service/product launches, collaborations, company expansions, and acquisitions made by the companies profiled in the last few years.
Prominent Companies Incorporate Expansion Strategies to Expand their Market Reach
The prominent companies operating in the market devise acquisition strategies to expand their market reach. For example, MINISO CO. LTD set up its fourth new store in India in December 2020. This strategy may enable the companies to boost their reach globally. The adoption of research and development enables companies to utilize effective ingredients and improve their product quality. This strategy enables companies to improve their brand image. Additionally, the adoption of technologically advanced production techniques can boost the companies' product quality, reduce labor costs, improve operational efficiency, and satisfy organizational efficiency. This strategy may enable companies to boost their market position.
- April 2021- Scoots & Co. completed the acquisition of The Garden Fragrance Company for creating novel sales channels for brands, toiletries, and partner's cosmetics.
Frequently Asked Questions (FAQs):
1. What was the value of the global perfume market in 2020?
Answer: Fortune Business Insights says that the global market stood at USD 29.8 billion in 2020.
2. At what CAGR is the market projected to grow in the forecast period (2021-2028)?
Answer: The market is projected to grow at a CAGR of 5.0% in the forecast period (2021-2028).
3. Which is the leading segment under the end-user criterion in the market?
Answer: The women segment under the end-user criterion is expected to lead the market.
4. What are the key factors driving the market?
Answer: Introduction of innovative cosmetic solutions is driving the global market. Additionally, rising consumer preference for online shopping will help the market in its future development.
5. Who are the top players in the market?
Answer: L’Oreal, Unilever, Coty, Procter & Gamble, and Estee Lauder the top players in the market.
Halt on Manufacturing to Impede Market Progress
This market is expected to be negatively affected during the COVID-19 pandemic due to stringent lockdown restrictions imposed by governments. As a result, halt on production and transport has led to the lack of raw materials and supplies. However, lockdown relaxations lead to the adoption of reduced capacities and part-time shifts to help manufacturers recover losses and regain market position. In addition, the rising demand for strong scent and beauty solutions may boost product demand. These factors are likely to boost market growth during the pandemic.
Browse Detailed Summary of Research Report:
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