Qatar Cosmetic Products - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

Qatar Cosmetic Products - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

The Qatar Cosmetic Products Market size is estimated at USD 126.48 million in 2024, and is expected to reach USD 170.54 million by 2029, growing at a CAGR of 6.16% during the forecast period (2024-2029).

The market is majorly driven by the young working population of the country due to the growing consciousness of physical appearance is more and willingness to invest in grooming. The rising trend of using natural ingredients in cosmetic products is observed among various manufacturers. This trend caters to customers' ever-increasing demand for natural or organic cosmetic products. These cosmetic products are labeled and manufactured according to the regulations specified by government bodies to guarantee product safety. Social media has become one of the most strategic marketing channels, and thus, prominent companies are implementing social media strategies to boost their brand awareness and enhance exposure and sales. Social media allows brands to reach a growing number of social network users and reach the potential target audience. For instance, in January 2022, according to data from GSMA Intelligence (Global System for Mobile Communications Association), mobile connections in Qatar reportedly were equal to 151.8% of the country's total population. As per data made public in Meta's advertising tools, there were 1.20 million Instagram users in Qatar at the beginning of 2022. By this number, 40.6% of the country's population in Qatar could be reached through Instagram ads by the beginning of the year.

The growing trend of organic concepts through online stores for bio-cosmetic products is also expected to boost the growth of natural and organic beauty and personal care products. Consumer demand for enhanced functionality and eco-friendliness in cosmetic design is resulting in exciting innovations in the packaging and design of cosmetics products. However, factors such as limited production and price fluctuations in the country are restraining the market's growth. Subsequently, the increasing demand for natural and organic cosmetic products is encouraging manufacturers to introduce plant-extracted ingredients into their products.

Qatar Cosmetic Products Market Trends

Growing Demand for Natural/Organic Facial Makeup Products

Natural skincare and cosmetic products that are free from chemicals and transparent about the content have been preferred by consumers. This trend has resulted in a shift in preference from synthetic skincare products to organic products among consumers. To capitalize on this growing trend, the manufacturers in the market have been revamping and expanding their product offerings by introducing a wide range of organic skincare products containing plant-based, clean-label ingredients, with claims such as 'organic,' 'vegan,' 'natural,' 'chemical-free,' and 'cruelty-free'. Cosmetic manufacturers are opting for natural and eco-friendly ingredients to manufacture products. The 'green cosmetics' are pushing the need for sustainable beauty products. Manufacturers are taking an interest in sustainable beauty and are using sustainable ingredients in their products.

The increasing number of working women and rising consciousness about physical appearance among millennial women across the country are the key growth drivers of the facial makeup market. Many manufacturers in the market are concentrating on natural and organic ingredients in facial makeup instead of synthetic-based ingredients due to rising consciousness among consumers and the presence of harmful chemicals linked to cancer, tumor development, and skin diseases. The market for organic cosmetic products is booming due to wellness trends and the greater availability of natural ingredients. Factors such as consumer knowledge and increasing awareness of the benefits of organic products and services through digital media and other sources, coupled with the advent of social media, are adding to the growth in the region. For instance, according to Alpen Capital and Kearney, the Qatari e-commerce market was valued at USD 3 billion in 2021, a substantial increase from the anticipated market worth of USD 2 billion from the previous year. Therefore, the growing e-commerce industry and the increasing penetration of social media are further propelling the growth of the facial makeup products market. Brands and companies are making use of Instagram and Facebook to appeal to younger audiences through their visual content, thus supporting brand advocacy through impressive, powerful channels. Beauty influencers are redefining the industry and are slowly becoming today's modern entrepreneurs, thus driving cosmetic product demand in this region.

For instance, in February 2023, Essence Cosmetics advertised itself with a campaign stating Prepare for Valentine's Day with Essence cosmetic products while PETA has recognized and verified essence cosmetics as a cruelty-free brand.

E-commerce and Supermarkets/Hypermarkets to Drive the Sales of Cosmetic Products

Increasing distribution channels for Qatari e-commerce are enticing new players to enter the sector. A recovering economy is driving the retail sector in Qatar, along with rising consumer purchasing power, increasing disposable incomes among middle-class families, and ease of access. Due to increased consumer awareness, the use of broadband and high-frequency internet services and the availability of advanced internet and smartphone infrastructure, e-commerce has become essential to conducting business. This trend significantly impacts how businesses in both the business-to-consumer and business-to-business sectors conduct their operations. E-commerce refers to a broad range of individual consumer internet payments and purchases. The rise of e-commerce has altered marketplaces, and many companies have had great success, including Amazon, as one of the biggest corporations with the greatest selling points.

The distribution of cosmetics has expanded through various mainstream channels, such as supermarkets, hypermarkets, specialist stores, and convenience stores, among which the supermarket/hypermarket segment holds the largest market share. Owing to high consumer demand, major supermarkets are expanding the range of cosmetics, representing a diversity of products. The growth observed in the supermarket segment was led by its appeal among boomers seeking for safe exploration of various cosmetic products formulated with innovative technology and packaging. The trend of bulk shopping is increasing due to the increased income and busy lifestyles of consumers. With the increasing demand for cosmetics, supermarkets and hypermarkets, such as Carrefour, Al Meera, Lulu Express, Giant Stores, and Sidra, are witnessing fast growth in the sales of their products.

Qatar Cosmetic Products Industry Overview

The Qatari cosmetics market is competitive and has a large number of domestic and multinational players. Emphasis is given to mergers, expansions, acquisitions, and partnerships, along with new product development, as strategic approaches adopted by leading companies to boost their brand presence among consumers. Key players dominating the country market include Pierre Fabre, L'Oréal SA, The Estée Lauder Companies, Procter & Gamble Co., and Shiseido Co. Ltd. These key players differentiate their offerings and compete on different factors, including product offerings, ingredients, packaging, price, functionality, and marketing activities, to gain a competitive advantage. Companies are following strategies that include providing products through e-commerce (own website and third parties) websites to facilitate a larger targeted audience.

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• The market estimate (ME) sheet in Excel format
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