Online Beauty and Personal Care Market: Global Markets & Advanced Technologies

Beauty and personal care products are applied to the skin in order to avoid symptoms such as early aging, black patches, and pimples. The increasing number of millennial shoppers has added to the growth of online retail channels, most of which are price-sensitive. Moreover, consumers prefer shopping online at discounted rates and therefore increasingly adopt online shopping. Hair conditioners, hair styling gels,bath gels,and shower products are the commonly purchased beauty and personal care products online. Additionally, the wide range of products available on online platforms and the time-saving aspect of the medium are factors that have contributed to the rise of the online retail phenomenon. E-retailers offer better security features for online payments, customer-friendly services, easy-to-navigate shopping websites, and easy delivery, due to which the number of consumers using online shopping portals is anticipated to increase significantly in the next few years.

The global online beauty and personal care market is divided in terms of product types into the following categories: skin care, oral hygiene, hair care, color cosmetics, fragrances, sun care, bath and shower, deodorants, baby and child care, male grooming, and depilatory products. Among all of these, skin care products are prominently purchased across different regions. This segment includes facial care products and body lotions which enhance skin quality, prevent wrinkles, rejuvenate the cells, and brighten the complexion. The availability of several brands and new features in the market is expected to boost the online sales of skin care products in the next few years. In addition, leading vendors focus on launching products comprising ingredients derived from organic and natural sources to amplify their revenue generation.

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The online beauty and personal care market is geographically distributed over North America, Europe, Asia Pacific, Middle East & Africa (MEA), and Latin America. Asia Pacific accounted for the maximum share in the market in 2015, which is primarily driven by the availability of new brands, consumer experimentation with new products, and an increased demand for fragrances and colored cosmetics. The growing adoption of specific products such as skin lightening products across different age groups as well as anti-aging cosmetics are projected to fuel the expansion of the market in this region. In addition to this, regional brands are also gaining popularity due to their unique properties. Latin America is a potentially attractive market for online beauty and personal care and its share is estimated to rise over the forecast period.

The global market is highly competitive with the presence of a large number of large-scale and small-scale vendors who compete with each other in terms of product differentiation, quality, prices, innovation, distribution, and brand promotion. Key players operating in this market include Amazon, Estée Lauder, Sephora, L’Oréal, and P&G. Other prominent vendors include Macy’s Inc., Drugstore.com, Ulta, e-Bay, Groupon, Kroger, J.C. Penney, Target, and Walmart. They sell different brands including their home brands and private consumer products to end-users. The increasing scope of network marketing and espousal of m-commerce (mobile-commerce) is predicted to be beneficial for these market players during the forecast period. These players dominate the market with their vast geographic presence and production facilities in different countries.

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However, the global online beauty and personal care market is also characterized by the presence of several regional and small manufacturers who lead the market in countries such as the U.K. and China. Manufacturers are focusing on opening new retail outlets to strengthen their distribution channels and increase their earnings. In order to meet the growing demand of the consumers in the market, a variety of different products are launched by various leading as well as emerging manufacturers.

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