Global Cosmetic Packaging Market - 2022-2029

Global Cosmetic Packaging Market - 2022-2029:

Market Overview

Cosmetic packaging market was valued at USD YY million in 2021. It is forecasted to reach USD YY million by 2029, growing at a CAGR of 4.95% during the forecast period (2022-2029).

Cosmetic packaging is used for primary and secondary packaging of cosmetic products. Cosmetic packaging enhances the appearance of cosmetics without altering the function of cosmetic products. The product's overall look is one of the most important factors besides product quality. Cosmetic packaging is available in various attractive shapes and sizes. The packaging is important for the protection of the product from contamination during transportation and handling of the product. Cosmetic packaging protects the product from air, light, heat, cold, moisture, dust, dirt etc. Cosmetic packaging contributes to the brand's overall image. High-quality packaging signals to consumers that the product inside is high quality. Increasing consumption of cosmetic products drives the market growth of cosmetic packaging.

Market Dynamics: Increasing consumption of cosmetic products drives the market growth

In the forecast period, the cosmetic industry has grown worldwide. The rise in disposable income and consumers' shifting preference toward premium beauty and cosmetic products helps to grow the cosmetic packaging market. L'Oreal is one of the major key players in cosmetics, having 8 % of sales growth in the year 2021. Sales of face makeup products like foundation, primer, and tinted moisturizer also grew in 2021. The growth of cosmetics such as cream and stick blushes and other products frequently used in YouTube videos and other social media helps to increase the sales of cosmetic products. U.S. Prestige Beauty Industry Revenues Grow by 30% in 2021. Core skincare product sales, including facial cleansers, creams, and serums, grew between 15% and 24% in 2021 compared to 2020, while the whole cosmetic product sale grew by 18% in 2021. Sales of targeted products like eye and lip treatments also increased. Also, Clinical skincare brands contributed the highest revenue gains in the forecast period. As consumption of cosmetic products increases, the need for packaging increases, this drives the market growth.

Increasing the use of cosmetic packaging to increase the shelf life of the cosmetic product and provide a classy look. The cosmetic product's shelf life depends on the material used for cosmetic packaging. The selection of packaging material depends upon the product's formulation and consumers' demand. Cosmetic packaging is important for the transportation of the product and avoids contamination of the product.

Market Segmentation: Plastic segment accounted for the highest share in global cosmetic packaging market

Plastic material dominated the market growth in the forecast period. Plastic is the most used material in the cosmetic packaging industry. Increasing demand for plastic in the cosmetic industry helps to grow the segment in the forecast period. Plastic is durable and flexible, which is easy to handle and increases the shelf life of the cosmetic product. Plastic material helps to avoid contamination of beauty product. Plastic cosmetic packaging material is available in attractive different shapes and sizes. The low price of the plastic packaging material helps to increase the demand from cosmetic manufacturers. As plastic is more durable, there is less chance of breaks, leaks and stronger resistance to environmental extremes potentially experienced during shipment. Manufacturers develop new innovations in plastic cosmetic packaging material. Plastic packaging material is easily and frequently recycled. These factors help to grow the segment growth in the forecast period.

Geographical Penetration: Asia Pacific is the dominating region during the forecast period

Asia Pacific dominates the market growth due to the increasing demand for cosmetics in developing countries. Increasing disposal income and the rising number of the young population drive the market growth. Growing environmental awareness among consumers increase the use of sustainable packaging options and drives market growth. Rising competition and diverse consumers need are driving transformation and innovation in the packaging industry. The growing market for cosmetics packaging places new demands for stable and sustainable packaging material across the supply chain. Rising awareness of environment friendly packaging is one trend that increases the demand for sustainable packaging in the region. Also, smart cosmetic packaging is popular in developing countries like China and India. In 2019, China Beauty Expo partnered with Ada Packaging Co Ltd to organize the 2nd China Cosmetic Packaging Design Competition inside Hall W8 to promote new packaging ideas. Some key players follow merger and acquisition strategies to expand their business in China. For instance, in March 2022, Carlyle acquired leading global cosmetics packaging company HCP from BPEA. HCP is the global leader in designing, developing and manufacturing cosmetic packaging. Increasing tremendous cosmetic packaging options drive the market growth in the region.

Competitive Landscape:

There are several established participants in the industry and local manufacturers; hence, the market is fragmented. Some major key players are TriMas Corporation, Bamboo Australia, Amcor PLC, Berry Global Inc., Sonoco, World Wide Packaging LLC, Gerresheimer AG, HCP Packaging, AptarGroup, Inc. and Albea SA, among others. Some of the major key players expand their business to increase sales. For instance, in July 2021, Trimas packaging opened its new automated packaging facility in the United States. This new facility is used to produce foaming and traditional dispenser as well as products used in beauty and personal care. This plant was opened in Ohio, United States, to expand its North American manufacturing operation. This new facility featured advanced injection moulding and assembly capabilities. Some key players follow merger and acquisition strategies to expand their business. For instance, in June 2019, Amcor entered into a USD 394 million agreement with Kohlberg & Company to sell three flexible packaging plants in the U.K. and Ireland. In April 2022, Amcor announced an investment to expand packaging capabilities in Sligo, Ireland. This investment boosts the company's position in the industry for sterile packaging, offering customers in Europe and North America comprehensive healthcare solutions. Also, in August 2018, Amcor acquired Bemis for US$6.8 billion. These two companies create the global leader in consumer packaging, with the footprint, scale and capabilities to drive significant value for shareholders, offer customers and employees the most compelling value proposition in the packaging industry and deliver the most sustainable innovations for the environment. In July 2019, Berry Global Group, Inc. Completed the Acquisition of RPC Group Plc. This acquisition helped the company to create a global leader in plastic and recycled packaging products. This acquisition is made for a purchase price of approximately $6.5 billion. Some of the major key players launched new products to expand their product portfolio. For instance, In June 2020, Berry Bramlage launched new premium jars for cosmetic and beauty products. They are available in the pack size of 50ml and 75ml. The company offers a new Infinity Quartz range with different materials, including post-consumer recycled (PCR) plastic, finishes, and decoration options to better meet various product characteristics and branding objectives.

COVID-19 Impact:

Negative impact on the global cosmetic packaging market

The Covid pandemic negatively impacted the market because various manufacturers in the packaging industry stopped manufacturing due to a lack of manpower. This directly negatively impacted the sales of cosmetic packaging manufacturing companies. In addition, a lack of manpower and raw material restricted the supply of cosmetic packaging raw materials. Decline the demand for cosmetics during the pandemic due to the work from home and the closure of the film industry during the pandemic. 90 % of women indicated they were wearing little or no makeup while working from home as they generally take a more relaxed approach to their beauty routines, focusing more on self-care. Major Key players stop production due to declining demand and sales during a pandemic. Skincare, hair care, makeup, perfumes, toiletries and deodorants, and oral cosmetics are the main product categories of the cosmetics market. Demand for these products decreased during the pandemic. Rising unemployment rates, social distancing, lockdown restrictions and reduced discretionary spending shifted the consumer’s behavior. This will lead to a decline in cosmetic packaging sales and certain categories of beauty products. In 2020, the cosmetics demand decreased, negatively impacting cosmetic packaging sales.

The global cosmetic packaging market report would provide an access to approximately 61 market data tables, 57 figures and 170 pages