Online beauty and personal care market is expected to generate revenue of $161.4 billion by 2032, with a Compound Annual Growth Rate (CAGR) of 11.7%.

The online beauty and personal care market have been greatly influenced by influencer marketing. Influencers, who are typically well-known social media personalities with large and engaged followings, may help drive sales and raise brand awareness for beauty and personal care products. One of the primary advantages of influencer marketing is that it allows retailers to reach a highly engaged and specific audience. Influencers typically have a niche or specific area of expertise, which means that the products that the influencer promotes are already of interest to their followers. According to a new report published by Allied Market Research, titled, "Online Beauty And Personal Care Market," The online beauty and personal care market was valued at $54.2 billion in 2022, and is estimated to reach $161.4 billion by 2032, growing at a CAGR of 11.7% from 2023 to 2032.

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The buying and selling of beauty and personal care products via digital channels such as websites, mobile apps, and social media platforms are referred to as the online beauty and personal care market. The market has witnessed significant growth in recent years owing to the increased availability and convenience of online shopping. From the comfort of their own homes, consumers may browse and purchase a wide range of products, including skincare, haircare, makeup, fragrances, and personal hygiene items. Many online beauty and personal care retailers provide free shipping, competitive prices, and personalized recommendations based on individual preferences and the purchase histories of consumers.

Social media marketing is one of the major strategies adopted by various companies and industries on imparting awareness about their product offerings among target customers. The global beauty and personal care market sights a critical opportunity in gaining traction and increasing its customer reach among its target segments through social media marketing strategy. The rise in participation of working women creates an opportunity for countries to increase the size of their workforce and achieve additional economic growth. In addition, a greater number of working women leads to the rise in the online beauty and personal care market demand.

Various manufacturers such as Patanjali Ayurved Limited, Dabur, and The Himalaya Drug Company use natural ingredients in beauty and personal care products. This trend caters to an increase in consumer demand for natural or organic beauty and personal care products. Moreover, an increase in health awareness among consumers is anticipated to contribute to the growth of the beauty and personal care market. However, the recent outbreak of coronavirus has significantly impacted the beauty and personal care industry along with all stages of the supply chain and value chain. It has further affected consumer behavior with regard to purchasing beauty and personal care products globally.

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The online beauty and personal care industry provide consumers with a diverse range of products that may not be available in physical stores. This includes skincare, haircare, makeup, fragrances, personal hygiene, and grooming products for men, women, and children from various brands and categories. The variety of products available online allows consumers to select different brands, formulations, and ingredients based on their preferences and needs. They may easily compare products and prices, read reviews, and make well-informed purchases. Furthermore, the online beauty and personal care market provides access to niche and specialty products that may not be readily available in brick-and-mortar stores. These products address specific needs, such as vegan, organic, or cruelty-free products, and allow consumers to make decisions that reflect their values and beliefs. Overall, the diverse and comprehensive product selection available in the online beauty and personal care market offers consumers a diverse and comprehensive shopping experience that caters to their individual needs and preferences.

Return and refund policies may also hamper the growth of the online beauty and personal care market size. Customers may be hesitant to make online purchases if they are unsure about return and refund policies of the retailer, especially for high-value or specialty items. This may result in lower conversion rates and customer satisfaction. Common concerns about return and refund policies include timeframes, product condition, refund method, and return shipping costs. Some retailers constitute more customer-friendly return policies, such as free returns and extended return windows as a result of these concerns. Retailers may also provide clear information about return policies and procedures on their website to help customers feel more confident in their purchases.

Customers look deeper than superficial solutions and choose more traditional healthy approaches to beauty as they become more meticulous regarding their lifestyle choices. The rise in demand for natural and organically derived ingredients in beauty and personal care and personal care products has created new avenues in the online beauty and personal care market growth. In recent years, organic skincare and beauty and personal care products have witnessed exponential growth. Furthermore, hazardous effects on the skin have increased due to the rise in pollution levels. Therefore, consumers have become extremely conscious about what goes onto their skin and hence there is an increase in preference for organic products. Many big players in the market such as L'Oréal, Unilever, Color Bar, and Avon have planned to invest increased budgets in an effort to promote the natural aspects of their beauty and personal care products.

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The key leading players operating in this market include Avon Products, Inc., Beiersdorf AG, ., Inc., Henkel AG & Co. KGaA, Johnson & Johnson, Kao Corporation, Koninklijke Philips N.V., L'Occitane International

Key findings of the study

As per online beauty and personal care market analysis on the basis of product category, the skin and sun care segment dominated the market in 2022.
On the basis of gender, the women segment dominated the market in 2022 and is expected to maintain its dominance during the forecast period.
As per online beauty and personal care market trends, on the basis of nature, the organic segment is expected to witness the highest growth during the forecast period.
On the basis of region, Asia-Pacific accounted for the highest online beauty and personal care market share in 2022 and is expected to grow at a CAGR of 12.2% during the forecast period.

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