Clean Beauty Market Trends

Global Clean Beauty Market Overview

Clean Beauty Market Size was valued at USD 6.32 billion in 2023. The Clean Beauty Industry is projected to grow from USD 7.11 Billion in 2024 to USD 34.8 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 14.62% during the forecast period (2024 - 2032). The wide sales of clean beauty products through various distribution channels are expected to fuel its market growth during the forecast period.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Clean Beauty Market Trends

• The Growing Women Working Population

The growing women working population across different age groups from different regions has increased the usage of clean beauty which in turn has increased its sales and eventually contributing to its market growth. For instance, according to U.S. Bureau of Labor Statistics, in 2019, 57.4% of all women participated in the labour force. This was 2.6 percentage points below the peak of 60.0 percent in 1999, but it was an increase from the 57.1 percent who participated in 2018. In comparison, the labour force participation rate for men was 69.2 percent in 2019, which was little different from the year before and 17.4 percentage points lower than its peak of 86.6 percent in 1948. The substantial increase in women's labour force participation throughout the second half of the 20th century was a significant change in the labour market. From the 1960s through the 1980s, women's labour market participation rose significantly overall before ebbing in the 1990s. Women's labour market participation started to gradually decrease towards the turn of the twenty-first century, reaching a recent low of 56.7 percent in 2015.

Over the years, there have been some significant changes in how women participate in the labour market. Women, for instance, increased significantly in their likelihood to seek higher education: from 1970 to 2019, the proportion of women in the labour force between the ages of 25 and 64 who held a college degree quadrupled, whereas the percentage of men with a college degree hardly increased. Women are now more likely than men to work full-time, year-round jobs. Women with children are now far more prevalent in the labour sector. Additionally, throughout time, women's wages as a percentage of men's earnings have increased: in 1979, women working full-time earned 62 percent of what men earned, and in 2019, that percentage rose to 82 percent. The baby-boom generation, defined as those born between 1946 and 1964, has just started to retire in large numbers, which has caused their labour market participation rate to decline during the past eight to ten years. Hence, the growing women working population has increased the usage of clean beauty which in turn is expected to boost its market growth.

Clean Beauty Market Segment Insights

Clean Beauty Product Type Insights

The Clean Beauty Market segmentation, based on product type, includes face products, skincare, lip products, fragrances, hair care, nail care and oral care. The skincare segment held the majority share in 2022 owing to the increasing awareness among consumers regarding the benefits associated with the usage of skincare products such as utilizing natural skincare products rejuvenate the skin and enhance its natural beauty. The products are available in a variety of formats, such as moisturizers, cleansers, scrubs, etc. However, all the clean beauty products offer various benefits which in turn are expected to offer lucrative opportunities for market growth in the upcoming years.

March 2023:  Cavinkare, new brand from FMCG and personal care firm launched Truthsome. This company sells products for skin care and hair care that are "clean beauty," meaning they don't include any toxic chemicals and have the highest level of efficacy.

Clean Beauty Form Insights

The Clean Beauty Market segmentation, based on form, includes powder, liquid and gel. The powder segment held the majority share in 2022 in respect to the Clean Beauty Market revenue. This is mainly owing to the growing strategies adopted by major players to strengthen its foothold in the market and better serve the customers which in turn is likely to boost its market growth in the future. As a part of this, in July 2022, Juice Beauty launched Revitalising Acacia + Rose Powder Mask, that was developed in partnership with Kate Hudson, has just gone on sale. Kate and Karen Behnke, the founder of Juice Beauty, have always admired one another. 15 years ago, when Kate began using Juice Beauty products as part of her daily routine, Karen first exposed Kate to the clean beauty movement. Since then, the two have been discussing how they may collaborate.

Clean Beauty Consumer Group Insights

The Clean Beauty Market segmentation, based on consumer group, includes gen x, gen z millennials and baby boomers. The millennials segment held the majority share in 2022 and is expected to be the fastest growing segment during the forecast period. The growth of the millennials segment is mainly attributed owing to the growing preferences among consumers to buy clean beauty products which in turn would boost its market growth. As a part of this, these consumers choose cosmetics and personal care items made with natural or organic toxic-free, pure, chemical free, additive free, non-chemical as well as plant-based ingredients materials that were obtained and produced in accordance with ethical and environmental standards. Consumers of all ages and from all nations are becoming more concerned about these issues, but millennials are the most vocal. More than 4,500 people were polled by AlixPartners in China, France, Germany, the UK, and the US to assess preferences for health and wellness across most important consumer product segments, geographical regions, age groups, and value chain stages. Almost three quarters (72%) of all respondents, regardless of age, agreed it was crucial to buy healthy or clean goods for beauty and personal care.

Clean Beauty End User Insights

The Clean Beauty Market segmentation, based on end user, includes men, women and kids. The women segment held the majority share in 2022 in respect to the Clean Beauty Market revenue. This is mainly owing to the wide usage of clean beauty products among the women, which in turn would boost its market growth. As a part of this, of more than 1,000 women of various ages, races, and ethnicities, nearly 50% already use clean cosmetic products, and more than 60% would be willing to spend money on one.

Clean Beauty Distribution Channel Insights

The Clean Beauty Market segmentation, based on distribution channel, includes supermarkets & hypermarkets, convenience stores, specialty stores, online and others. The specialty stores segment dominated the Clean Beauty Market revenue during the forecast period with a share of around 40% in 2032. As a part of this, one of the most well-known cosmetics boutiques in the world, Sephora has 2,500 locations across more than 33 countries. Up to USD 5.01 billion in retail sales were produced by the brand in the U.S. alone in 2020. It's remarkable that the company now carries 80 clean beauty brands across their line of skin care, cosmetics, and hair care items given their standing in the beauty market. Ilia, Kosas, Lawless, Westman Atelier, and other clean beauty brands are some of Sephora's best-selling options. The brands cater to customers searching for both basic cosmetics and fully-fledged artistry makeup, with prices ranging from low to expensive.

Figure 2: Clean Beauty Market, by Distribution Channel, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Clean Beauty Regional Insights

By Region, the market is segmented into North America, Europe, Asia-Pacific and Rest of the World. North Clean Beauty market accounted for USD 8.42 billion in 2032 and is expected to exhibit an 11.24% CAGR during the study period. North America is expected to hold the largest share in the Clean Beauty Market during the forecast period, this is mainly owing to the growing innovations by the key players operating across the region. In May 2023, Justhuman, a direct-to-consumer clean beauty business, launched a variety of hair and personal care items simultaneously in India and the USA. Roshini Sanah Jaiswal, who also holds the positions of promoter and chief restructuring officer for Jagatjit Industries, is the creator of the business, which was formed out of a personal endeavour. The name Justhuman strongly conveys the organisation's mission and conjures a potent message. The company was founded in 2021. Further, the Clean Beauty Market in USA held the largest market share, and the Mexico Clean Beauty market was the fastest-growing market in the North America region

Further, the major countries studied are: The U.S, Mexico, Canada, Germany, UK France, Italy, Spain, China, Japan, India, Australia & New Zealand, and Brazil.

Figure 3: CLEAN BEAUTY MARKET SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Clean Beauty market accounts for the second-largest market share in 2022. This is mainly owing to the increasing promotion event across the region supporting the clean beauty market in the upcoming years. As a part of this, the goal of Clean Beauty in London, a one-of-a-kind professional event, is to inspire and unite suppliers and beauty companies to jointly develop tomorrow's clean beauty trends. The potent and unheard-of phenomena of clean beauty have upended the entire beauty industry, including skincare, haircare, body care, toiletries, and makeup. It has affected ingredients, production methods, formulae, and packaging. It had become crucial to be able to unite the entire beauty community around this idea to compete in a booming market with many complex criteria. Further, the Germany Clean Beauty market held the largest market share, and the UK Clean Beauty market was the fastest-growing market in the Europe region.

The Asia-Pacific Clean Beauty Market is expected to grow at a CAGR of 10.21% from 2023 to 2032. The increasing preferences among consumers for clean products across the men, women and kids is set to boost its market growth. In addition, numerous foreign firms have entered the Asian market and made progress in the sector. Moreover, China Clean Beauty market held the largest market share, and the Japan Clean Beauty market was the fastest-growing market in the Asia-Pacific region.

Clean Beauty Key Market Players & Competitive Insights

Major market participants are spending a lot of money on R&D to increase the range of their products, which will drive the clean beauty market's future expansion. Market participants are also introducing new products, signing agreements, buying businesses, raising investments, and working with other organizations to broaden their worldwide reach. To grow and survive in a more cutthroat and competitive market climate, clean beauty business competitors must provide affordable products.

One of the primary business strategies adopted by manufacturers in the global clean beauty industry to benefit clients and expand the clean beauty market sector is to manufacture locally to reduce operating costs. In recent years, clean beauty has provided enormous benefits to its consumers.

Key Companies in the Clean Beauty market includes

• L'Oreal S.A


• Clean Cosmetics


• Estée Lauder


• Inika Organic Australia


• Avon


• The Honest Company, Inc.


• Zuii Organic


• RMS Beauty


• Juice Beauty


• Ere Perez

Clean Beauty Industry Developments

May 2023: Skin Story, a clean beauty and lifestyle brand with headquarters in Dubai, United Arab Emirates, launched in India, capping previous efforts by the company to expand into both developed and developing nations. The action, which industry insiders characterized as a positive development given the quick rise of a new generation of clean beauty aficionados in India, is expected to create enormous market prospects for skin story and their line of products.

In 2023, the clock is ticking for firms looking to launch new products and ensuring they are top of mind for shoppers as Black Friday approaches. Despite attempts by companies such as Amazon, most individuals will not begin shopping for the holidays until about November. However, many firms are currently launching new products and marketing initiatives. That's because companies need time to educate customers about their new product offers and persuade them to add these things to their holiday shopping list.

Clean Beauty Market Segmentation

Clean Beauty Product Type Outlook

• Face Products
  
  
  
  • Foundation
  
  
  • Face Powder
  
  
  • Others
  
  
  
  


• Skincare
  
  
  
  • Cleanser
  
  
  • Moisturizer
  
  
  • Serum
  
  
  • Others
  
  
  
  


• Lip Products
  
  
  
  • Lipstick
  
  
  • Lip Balm
  
  
  • Others
  
  
  
  


• Fragrances


• Hair Care


• Nail Care


• Oral Care

Clean Beauty Form Outlook

• Powder


• Liquid


• Gel

Clean Beauty Consumer Group Outlook

• Gen X


• Gen Z


• Millennials


• Baby Boomers

Clean Beauty End User Outlook

• Men


• Women


• Kids

Clean Beauty Distribution Channel Outlook

• Supermarkets & Hypermarkets


• Convenience Stores


• Specialty Stores


• Online


• Others

Clean Beauty Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia & New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • Middle East
  
  
  •  Africa