Global Japanese Cosmetics Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Japanese Cosmetics Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Cosmetics are used by rubbing, spraying or similar methods on the body to cleanse, beautify, enhance attractiveness, change appearance, or keep the skin or hair healthy. It is intended to have a mild effect on the human body. Specifically, it includes shampoos, conditioners, soaps, foundations, creams, nail polishes, and many other things. The Japanese Cosmetic surveyed in this report refers to cosmetics from Japanese brand companies.

Market Overview:

The latest research study on the global Japanese Cosmetics market finds that the global Japanese Cosmetics market reached a value of USD 30239.84 million in 2022. It’s expected that the market will achieve USD 39948.78 million by 2028, exhibiting a CAGR of 4.75% during the forecast period.

From the perspective of Japanese Cosmetics manufacturers, the main reason is to increase cost pressure. The outbreak of COVID-19 has put companies under pressure from tight cash flow, supply chain disruption, and a general decline in market supply and demand. Most companies expect a sharp drop in revenue. Employee wages, loan repayments and rental expenses are the main cost pressures for business operations. Especially for small and medium-sized enterprises, paying employee wages has become the biggest cost pressure. In contrast, workers at large companies face relatively less wage pressure.

From the downstream point of view, the impact of the epidemic on the downstream customers of Japanese Cosmetics is comprehensive. First of all, for consumers, during the outbreak of the epidemic, masks and gloves have become essential protective items for going out. The total demand in the cosmetics industry has dropped significantly, and only some items related to disinfection, sterilization, and epidemic prevention have risen against the trend.

Secondly, in the early stage of the epidemic, some offline cosmetics stores around the world were closed, resulting in poor product circulation. Restrictions on out-of-home shopping and reduction in out-of-the-way activities have reduced consumers’ demand for cosmetics, and the frequency of using makeup products such as lipstick and foundation has decreased significantly, but the desire to consume remains strong during the epidemic. Therefore, after the epidemic is under control, as companies resume work, consumer demand is expected to be released, and the Japanese Cosmetics market has recovered.

Finally, during the pandemic, e-commerce platforms have become a way for consumers to buy products. With the rapid development of the e-commerce industry, many Japanese Cosmetics brands focus on online sales, accelerate the transformation of offline retail stores, and actively adjust their annual growth plans. At the same time, the try-before-you-buy cosmetics retail business will no longer be viable due to potential infection risks. Instead, the industry is expected to increasingly rely on technology-driven marketing strategies and contactless smart stores.

Basic categories are gradually becoming high-end and diversified

The high-end and diversified demand for basic categories represented by bath and shampoo is one of the driving forces for the continuous improvement of the Japanese Cosmetics market. After the popularity of popular cosmetics, the basic categories of bath and shampoo products have entered a stage of steady growth in most regions, and the future increase will mainly come from the growth of per capita consumption. Market penetration tends to be saturated, but high-end and functionalization have become the highlights of these categories in recent years. Consumers have higher requirements for product efficacy, raw materials, safety, convenience and comfort, and are willing to pay a higher premium for these needs. In the current nursing market, products with segmented functions are getting more and more attention. With the gradual improvement of people's requirements for quality of life and the subdivision of product functions, products in these subdivisions will gradually have their own stable consumer groups.
In the shampoo category, with the usage habits of consumers, it has extended from a simple two-in-one shampoo to more subdivided and more functional products such as conditioners, hair masks, and hair dyes. At the same time, consumers who pay attention to scalp health will choose products without silicone oil, and consumers who lose hair will choose shampoos. On the whole, with the improvement of income and living standards, the consumption of these basic categories will continue this trend in the future.

Maturity of the company's sales channel

As a direct-to-end consumer industry, the Japanese Cosmetics industry is highly dependent on sales. The maturity and stability of sales channels are very important for Japanese Cosmetics companies.
Japanese Cosmetics needs high brand awareness to enter department stores; to enter supermarkets and hypermarkets, it usually charges high entry fees and other sales fees such as promotion fees and poster fees. If a new brand does not have a certain amount of sales support, it cannot cover its costs; selling through franchised stores requires a huge investment of capital and manpower, as well as a long construction period. Therefore, it is difficult for new Japanese Cosmetics companies to gain channel advantages in a short period of time.

Region Overview:

In global comparison, a significant portion of the revenue was generated in Japan (53.25% in 2022).

Company Overview:

Shiseido is one of the major players operating in the Japanese Cosmetics market, holding a share of 28% in 2022.

Shiseido

Shiseido is one of the top cosmetics companies in the world, with a rich portfolio of international brands in 120 countries and regions. Among others, Shiseido owns the following prominent cosmetics, skincare and fragrance brands: SHISEIDO, NARS, Clé de Peau Beauté, BENEFIQUE, ELIXIR, IPSA, MAQUILLAGE, INTEGRATE, AUPRES, ANESSA and ISSEY MIYAKE.
As a global beauty company of Japanese origin, Shiseido not only develop cosmetics, but introduce and create unprecedented products and new value that go beyond. Through these activities, Shiseido realize “beauty innovations” leading to new lifestyles for consumers around the world.

Kao Corporation

Since the company was founded in 1887, Kao has been committed to creating value in the lives of people around the world. Today, Kao is a leading manufacturer in hygiene, beauty and wellness, and our chemical business contributes to the development of a diverse industry. In the Americas, Europe, Middle East and Africa (EMEA) region, Kao focuses on beauty care business with premium brands in three business areas: Consumer Goods, Salon and Cosmetics.

Segmentation Overview:

As for product types, the Skincare (for Women) segment held the largest market share in 2022.

Skincare (for Women)

Skin care products refer to cosmetic products that moisturize, nourish, protect or beautify the skin. Common functions of skin care products also include moisturizing, whitening, sun protection, cleaning, wrinkle removal and anti-aging, oil control and acne removal, anti-inflammatory and anti-allergic repair, etc.

Haircare (for Women)

Haircare (for Women) refers to cosmetic products for hair. Common Haircare (for Women) include shampoos, hair oils, conditioners, and more.

Deodorant

Deodorant is a substance applied to the body to prevent or mask body odor caused by bacteria breaking down sweat in the armpits, groin, and feet.

Men’s Care

Men's Care products include Men's Facial Cleanser, Men's Facial Moisturizer, Men's Serum, Men's Scrub and more.
Make up Make up includes blush, eye shadow, lipstick, foundation, mascara, nail polish and more.

Others

Others include special-purpose cosmetics, etc.

Application Overview:

The market's largest segment by application is the segment Drug Store, with a market share of 36.55% in 2022.

Home Center

Home Center refers to a large store specializing in a variety of materials and supplies.

Discount Store

Discount Store In merchandise sales, a retail store that sells products at a lower price than traditional retail stores require.

Drug Store

Drug Store is a retail store that sells medicines and groceries.

General Merchandising Store

A General Merchandising Store is a commercial establishment that sells a variety of dry goods (excluding food or medicine) to the public.

Others

Other sales channels include online e-commerce, etc.

Key Companies in the global Japanese Cosmetics market covered in Chapter 3:

Shiseido
Mandom Corporation
POLA Orbis Holdings Inc
Nippon Menard Cosmetic Co., Ltd.
FANCL Corporation
Pias Corporation
Noevir Holdings Co., Ltd.
Kao Corporation
KOSE

In Chapter 4 and Chapter 14.2, on the basis of types, the Japanese Cosmetics market from 2018 to 2029 is primarily split into:

Skincare (for Women)
Haircare (for Women)
Deodorant
Men’s Care
Make up
Others

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Japanese Cosmetics market from 2018 to 2029 covers:

Home Center
Discount Store
Drug Store
General Merchandising Store
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)