United States Beauty and Personal Care Products Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

United States Beauty and Personal Care Products Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The US beauty and personal care products market is projected to register a CAGR of 5.12% during the forecast period, 2022-2027.

Almost every business has been touched by the COVID-19 pandemic, including the beauty and personal care industry. The beauty sector had sluggish sales in 2020 as a result of the unexpected lockdown and shutdown of offices, factories, and malls. As the global supply chain has been disrupted, suppliers from other countries have experienced delays or cancellations in supplying raw materials for the manufacture of personal care products, cosmetics, and other beauty items. As a result, large corporations' production and sales operations have suffered. For example, L'Oréal SA, a worldwide beauty products behemoth, had a 4.8% drop in sales in North America as per the company.

Because the public is more aware of how to protect oneself from the virus, personal care products have seen a surge in demand. Soaps, sanitizers, and disinfectants are among the items that have seen significant sales rise. The demand for hand washes and soaps has surged as frequent hand washing has been proposed as a critical preventive step, boosting United States beauty and personal care goods industry.

Consumers may acquire beauty items with ease using the e-commerce mode of purchasing, which includes simple online payment choices. Other elements projected to contribute favorably to United States beauty and personal care market outlook in the years ahead include easy returns and replacements, a broad product selection, special discounts on newly introduced items, and incentives for online payments.

The beauty and personal care products market witnessed an increasing demand for natural and organic products due to the rise in consumer awareness about the harmful effects of certain compounds, such as paraben and aluminum compounds present in skincare and hair care products and deodorants. A high percentage of consumers choose one brand over others based on its natural formulation. This enhanced the demand for safe, natural, and organic deodorant products in recent times.​ The purchases are made based on efficacy, with longer-lasting protection and clinical properties. The demand for natural ingredients is evident in the market. Thus, most companies are launching products with nature-inspired ingredients, such as plant-inspired and premium botanical ingredients, coupled with multi-functional properties.​Similarly, consumers in the market tend to prefer products with the label ''cruelty-free'', denoting that animals are not harmed in the testing of such products. For instance, Wet n Wild is a popular cosmetics products brand in United States that markets its products as cruelty-free. Moreover, in recent times, there has been a sharp rise in the number of beauty blogs and social media accounts that are committed to the benefits of going chemical-free, which has worked in favor of natural and cruelty-free products by enhancing consumer information.

Consumer spending on cosmetics and other personal care products has witnessed a rise. Due to the increase in advertising and promotional activities, consumers in United States are still buying these cosmetics. Additionally, often the advertisements are focused on a specific age group, such as adolescents or aging women, in an effort to influence and target specific population groups. Due to frequent product innovation in the market, consumers are being introduced to new types of products and trying them out. Consumers generally want to ensure that they buy products that suit their skin or hair type, and thus, product trial is important in the cosmetics market. Thus, companies such as Avon and Estee Lauder Company have been increasing their marketing expenditures towards such activities in recent years.

Major players in the US beauty and personal care products market include Loreal, The Estee Lauder Companies Inc., Shiseido Group, E.l.f. Cosmetics, Inc., Revlon, Unilever, and Proctor and Gamble with popular brands, such as Dove, Maybelline New York, and M.A.C. The market is highly competitive, with players actively competing in terms of new product launches, mergers and acquisitions, expansions, and partnerships. Additionally, leading players are investing heavily in research and development to come up with product innovations.

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