Essential Oil Aromatherapy Market

• Benefits offered by aromatherapy propels market growth.

Aromatherapy provides a variety of health benefits, which drives the market CAGR for essential oil & aromatherapy. Aromatherapy has been demonstrated to relieve stress, depression, and anxiety. Furthermore, aromatherapy can treat respiratory problems, mental illnesses, cardiovascular ailments, and gastrointestinal infections, as well as prevent motion sickness, regulate weight, and maintain healthy liver and gallbladder function.

The growing usage of aromatherapy for numerous health-related benefits is the most important factor expected to drive market growth. Furthermore, rising public knowledge of these alternative treatments would limit market growth throughout the forecast period. The rapid rise of the e-commerce business, owing to the ease of purchasing and the availability of a wide range of products, is also expected to cushion market growth.

In addition, the personal and beauty care industry has seen a rapid trend toward organic and natural goods, facilitating the use of essential oils. Growing health consciousness in wellness items and client worries about environmental sustainability increased revenue for the market concern. Furthermore, the penetration of essential oil through e-commerce channels has greatly increased demand, as e-commerce enabled consumer understanding to boost the benefits of essential oil. According to SPINS 2020, the natural products business accounts for 8.4% of total store sales year to far and has continued to exceed non-natural conventional items.

Thus, driving the essential oil & aromatherapy market revenue.

The Global Essential Oil and Aromatherapy Market Industry is projected to experience substantial growth over the next decade. With an estimated market value of 9.4 USD Billion in 2024, the industry is expected to expand significantly, reaching 22.6 USD Billion by 2035. This growth trajectory indicates a compound annual growth rate (CAGR) of 8.3% from 2025 to 2035, reflecting the increasing consumer demand for natural and therapeutic products. Such projections underscore the market's potential and the opportunities it presents for stakeholders across various sectors.

The Global Essential Oil and Aromatherapy Market Industry is experiencing a surge in consumer awareness regarding the benefits of essential oils. As individuals increasingly seek natural alternatives for health and wellness, the demand for essential oils is likely to rise. This trend is supported by educational campaigns and social media, which highlight the therapeutic properties of essential oils. For instance, lavender and tea tree oils are commonly recognized for their calming and antiseptic qualities, respectively. This heightened awareness is projected to contribute to the market's growth, with an estimated value of 9.4 USD Billion in 2024.

The Global Essential Oil and Aromatherapy Market Industry is benefiting from the rise of e-commerce platforms, which facilitate easier access to a wide range of essential oil products. Online retailing allows consumers to explore various brands and products from the comfort of their homes, often accompanied by detailed information and user reviews. This trend is particularly appealing to younger demographics who prefer shopping online. As e-commerce continues to expand, it is expected to play a pivotal role in driving sales and increasing market penetration, thereby enhancing the overall growth of the industry.

Innovation plays a crucial role in the Global Essential Oil and Aromatherapy Market Industry, as companies continuously develop new products to meet evolving consumer preferences. This includes the introduction of blends that cater to specific needs, such as sleep aids or mood enhancers. Additionally, advancements in extraction techniques and packaging solutions enhance the quality and usability of essential oils. For instance, the emergence of roll-on applicators and pre-diluted blends has made essential oils more accessible to consumers. Such innovations are likely to attract a broader audience, thereby contributing to the market's growth trajectory.

There is a notable shift towards natural and organic products in the Global Essential Oil and Aromatherapy Market Industry. Consumers are increasingly wary of synthetic chemicals and are opting for products that are perceived as safer and more environmentally friendly. This trend is evident in the beauty and personal care sectors, where essential oils are incorporated into skincare and haircare products. The growing preference for natural ingredients is likely to drive the market's expansion, as evidenced by the projected growth to 22.6 USD Billion by 2035, reflecting a robust CAGR of 8.3% from 2025 to 2035.

The Global Essential Oil and Aromatherapy Market Industry is witnessing an expansion in the practice of aromatherapy across various settings, including spas, wellness centers, and even homes. This trend is fueled by the increasing recognition of aromatherapy's potential benefits for mental and physical health. For example, the use of essential oils in diffusers and massage therapies has gained popularity as a means to alleviate stress and promote relaxation. As more individuals incorporate aromatherapy into their daily routines, the market is expected to flourish, further solidifying its position in the wellness industry.

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. North America dominated the market, accounting for 41.5% of revenue share in 2022, owing to the presence of a well-established healthcare system and high healthcare spending in developed countries such as the United States and Canada. Furthermore, increased awareness of the benefits of alternative medicines is likely to boost regional market growth over the forecast period.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure2: ESSENTIAL OIL & AROMATHERAPY MARKET SHARE BY REGION 2023 (%)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe’s essential oil & aromatherapy market accounts for the second-largest market share due to rising popularity of aromatherapy as a therapeutic and pharmacological alternative is likely to fuel market expansion.  Further, the German essential oil & aromatherapy market held the largest market share, and the UK essential oil & aromatherapy market was the fastest-growing market in the European region.

The Asia-Pacific Essential Oil & Aromatherapy Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to a rise in the prevalence of various illnesses which has resulted in the region's market expanding rapidly. Moreover, China’s essential oil & aromatherapy market held the largest market share, and the Indian essential oil & aromatherapy market was the fastest-growing market in the Asia-Pacific region.

Leading market players are extensively spending on research and development in order to increase their product lines, which will help the essential oil and aromatherapy market grow even more. Market participants are also engaging in a number of strategic initiatives to grow their worldwide presence, with significant market developments including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. To grow and thrive in a more competitive and growing market, the essential oil and aromatherapy industry must provide cost-effective products.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the essential oil & aromatherapy industry to benefit clients and increase the market sector. In recent years, the essential oil & aromatherapy industry has offered some of the most significant advantages to medicine. Major players in the essential oil & aromatherapy market, including Young Living Essential Oils, (US), The Lebermuth Company Inc. (US), Symrise (Germany), Sensient. Technologies Corporation (US). Essential oils of New Zealand (New Zealand) and others are attempting to increase market demand by investing in R&D operations.

Essential oils and other related goods are sold by doTerra, a multi-level marketing firm based in Pleasant Grove, Utah. In 2008, doTerra was established by former Young Living executives and others. Through independent distributors known as Wellness Advocates, the company sells its products through a multi-level marketing strategy. Based on their own sales as well as the sales of other members of their organization, people are paid commissions. David Stirling, Emily Wright, David Hill, Corey B. Lindley, Gregory P. Cook, Robert J. Young, and Mark A. Wolfert founded the business in April 2008.

Former executives Stirling, Wright, and Hill worked for Young Living, a corporation that uses multi-level marketing to sell essential oils. In October 2020, doTERRA International LLC introduced a number of essential oil products and diffusers, as well as three new wellness programs to assist people in focusing on their specific health goals. doTERRA wellness programs include a collection of products carefully selected by doctors, scientists, and researchers that clients require to maintain their bodies and minds healthy and bright.

Givaudan is a Swiss company that produces tastes, perfumes, and active cosmetic chemicals. It is the world's largest firm in the taste and fragrance industries as of 2008. Scents and flavours developed by the company are employed in food and beverage manufacturers, as well as household items, grooming and personal care products, and perfumes. Givaudan's tastes and perfumes are often manufactured to order and sold under strict secrecy agreements. Givaudan uses ScentTrek, a method that collects the molecular composition of odour from living plants.

Europe, Africa and the Middle East, North America, Latin America, and Asia Pacific are all served by the company's facilities. In February 2022, Myrissi (France) was purchased by Givaudan. Givaudan's long-term Fragrance & Beauty strategy would be enabled by the acquisition of Myrissi; their experience in Al would assist Givaudan in proposing new organoleptic approaches to customers.