GlobalData: Skincare products infused with essential oils will gain popularity in the Japanese skincare market through 2026, according to GlobalData
Japanese consumers are showing strong interest in personal care products filled with essential oils. Against this backdrop, the Japanese skincare market is expected to grow at a compound annual growth rate (CAGR) of 1.1%, growing from 1,882.7 billion yen ($17.1 billion) in 2021 to 1,985.6 billion yen ($20.5 billion) in 2026, forecasts GlobalData, a leading data and analytics company.
The GlobalData report, ‘Japan Skincare Market Size by Categories, Distribution Channel, Market Share and Forecast, 2021-2026’reveals that market growth is largely driven by the body care category, which is expected to register the fastest CAGR in value of 1.2% over the period 2021-2026, followed closely by the facial care category with an expected CAGR of 1.1%.
Likitha Nalluri, consumer analyst at GlobalData, says: “The growing consumer interest in the health and beauty properties of essential oils is being leveraged by cosmetics and personal care brands to develop natural formulations. natural ingredients such as essential oils have proven themselves in recent years.”
E-tailers were the leading distribution channel in 2021, followed by pharmacies/drugstores and hypermarkets and supermarkets.
Per capita expenditure (PCE) on skin care in Japan increased from $44.8 in 2016 to $67.8 in 2021, exceeding both the global average ($9.8) and the regional average ($9.8). .2 dollars) by a wide margin. Japanese skincare PCE will reach $82.5 in 2026.
Shiseido Company Limited, Kao Corporation and KOSE Corporation were the top three companies in the Japanese skincare market by value in 2021. Shiseido and DHC were the top brands of the year.
Nalluri concludes: “With the lifting of pandemic restrictions on public outdoor mobility, consumers are looking for convenient and time-saving skin care products that fit their busy lifestyles. Multi-functional cosmetics suitable for on-the-go use are thus gaining consumer favor At the same time, the demand for high-end personalized products is booming.”