Home Fragrances Market - Growth, Trends, and Forecasts (2023 - 2028)

Home Fragrances Market - Growth, Trends, and Forecasts (2023 - 2028)

The global home fragrances market is expected to register a CAGR of 4.9 % during the forecast period.

• In the short term, the home fragrances market is expected to witness substantial growth during the forecast period owing to factors such as increasing the discretionary income of consumers, which is increasing the inclination of consumers toward various fragrance products. The home fragrances market is driven by new aesthetically pleasing products, personalization of products, and usage of natural ingredients such as oils in the products.
• The market is also witnessing an increased demand for natural essential oils in home fragrance products, which is expected to further drive the growth of home fragrance products during the forecast period.
• Home fragrance diffusers are used by consumers worldwide for aromatherapy to help improve air quality and create a pleasant environment, thereby enhancing the mood. Furthermore, using essential oils in diffusers is perceived to help consumers experience healing benefits from innovative temperature-controlled diffusing technology. Over the review period, home fragrance has been gaining prominence, especially among the urban population in developing and developed economies, due to the changing lifestyles and rising media influence.
• The increasing consumer awareness regarding the proven benefits of different fragrances on mental health is increasing the usage of these products to deal with health problems such as anxiety, depression, and attrition.
• Additionally, the increase in awareness about home fragrances through various media like youtube, television advertisements, and others has propelled the market. For instance, in 2022, Godrej Aer, a brand that sells bathroom, automotive, and home fragrances in India, launched a new TVC campaign called "If Bathrooms Could Talk" for its line of bathroom fragrances called Godrej Aer Power Pocket. The TVC, which Creativeland Asia conceptualized, was produced using cutting-edge graphics and animation techniques, making it visually attractive to grab consumers' attention.

• With the increase of startups all over the world, there have been many innovative products being introduced into the market. In the home fragrances, market scented candles are one of the fastest-growing in the home fragrance industry. The demand for scented candles is increasing rapidly.
• The growth can be attributed to increasing demand for aromatherapy, which reduces stress, and the rising use of candles as home decor products. The emergence of customized home fragrance candles has been identified as a prominent home fragrance market trend, likely to influence the market's growth in the upcoming years positively.
• Companies are offering customers the freedom to choose the shape, size, color, texture, and fragrances of candles according to their unique tastes and personal preferences. Some vendors also allow customers to add photos and quotes on the candles containers and choose the desired fragrance.

• Europe held the highest market share in revenue for home fragrances in 2021, and it is expected that the region will continue to maintain its dominance during the forecast period. Some of the major factors attributed to this strong growth are the per capita expenditure for homecare products, such as fragrances, and an increase in the standard of living in the region.
• Countries such as United Kingdom and France are driving the regional market due to a demand for home fragrance products. In United Kingdom, the sales of electric air fresheners, candles, and wax melts increased significantly in the last few years. The products have a higher average selling price and a higher frequency of purchase as well.
• Furthermore, people in these countries are frequent buyers of home fragrance products, which also drives the country's market. The region is also witnessing an increase in sellers and manufacturers, leading to the increasing availability of home fragrances in Europe.
• For instance, companies such as ESTEBAN Paris came up with the idea to refill scented candles, which increases the lifecycle of candles more than regular scented candles. These factors are anticipated to fuel the market growth further in the region.

The home fragrances market is competitive with the presence of many local and international players, thus making it fragmented. Geographical expansions, new product launches, and mergers and acquisitions are key strategies for companies operating in the global home fragrances market to gain a competitive edge. Some leading market players are S.C. Johnson & Son Inc., Reckitt Benckiser Group PLC, The Procter & Gamble Company, Newell Brands Inc., NEST Fragrances LLC, Illume Inc., Henkel AG & Co., and Beaumont Products Inc.

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