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Global Aromatherapy Market Analysis and Opportunity Assessment, 2017-2026

10-23-2017 01:39 PM CET | Health & Medicine

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The consumables segment is anticipated to witness significant growth in the next decade attributed to the high efficiency and therapeutic grade of essential oils when inhaled directly or applied topically. The segment dominated the global aromatherapy market in revenue terms in 2015 and the growing trend of essential oils adoption in topical applications is projected to continue throughout the forecast period. The consumables segment accounted for more than 80% value share in 2015 and is likely to continue its growth through 2026, reaching a value of over US$ 4,000 Mn by the end of 2026. Consumables is projected to remain the dominant segment with a CAGR of 7.8% during the forecast period. This segment is estimated to create absolute $ opportunity of more than US$ 250 Mn in 2017 over 2016.

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The popularity of essential oils is creating robust development in the consumables segment of the global aromatherapy market

There are various factors driving the growth of the consumables segment in the global aromatherapy market. For instance, a large pool of the patient population opting for essential oils and carrier oils for aromatherapy massages is expected to boost the growth of the consumables segment during the forecast period. Increasing sales of essential oils for home usage is a major factor responsible for boosting the revenue of the consumables segment in the global aromatherapy market over the forecast period. Preference for topical application and direct inhalation of essential oils is another factor contributing to the revenue growth of the consumables segment over the forecast period. Many essential oils have their therapeutic properties of boosting the immune system, combating cold, allergies and breathing disorders, promoting sound sleep and relaxing ambience at home.

These qualities of essential oils are boosting the growth of the consumables segment.

Risks associated with an excessive use of essential oils is likely to impact the growth of the consumables segment

Stringent approval for new essential oils is posing noteworthy difficulties to market development as manufacturers need to specify the indication for which the essential oil can been used. For instance, manufacturers have to mention whether the particular essential oil falls under therapeutic grade or cosmetic grade. Furthermore, some essential oils have restricted applications. These are limiting the development of the consumables segment of the global aromatherapy market. Lack of proper guidelines and misclassification of essential oils is likely to limit the growth of the consumables segment in developing regions. For example, Cineole essential oil can cause symptoms of poisoning if administered above the recommended dose for an extended duration. Its overdose symptoms include epigastric burning, nausea, vomiting, dizziness, muscular weakness, rapid heartbeat, and a feeling of suffocation. Such risks associated with essential oils may hamper the growth of the consumables segment.

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Consumables segment is anticipated to be the most lucrative segment in the Western Europe aromatherapy market during the period of assessment

The consumables segment is expected to be the most attractive segment in the North America aromatherapy market over the forecast period. U.S. is the largest market for consumables, especially essential oils. The segment is witnessing the introduction of new oils, which are imported from various countries to cater to the increasing demand for essential oils across the North America region. New products are frequently being launched by leading domestic players, which makes the consumables segment more competitive in North America. An increasing awareness of the benefits of different essential oils is driving the growth of the consumables segment in the Latin America region. There is a rise in demand for wellness products and therapies in Western Europe owing to increasing disposable income and this is driving the demand for consumables in the region. The APEJ region is likely to witness an interesting trend that is creating a positive impact on the consumables segment of the global aromatherapy market. An increasing number of women in countries such as Indonesia, Thailand, Philippines, Vietnam, and Malaysia are more inclined to buy essential oils for their home usage and this factor is expected to boost the growth of the consumables segment in the APEJ aromatherapy market.

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