June 19, 2024

Market for Skincare Products in Australia Is Estimated To Witness High Growth Owing To Rising Online Sales and Increasing Product Innovations

The Australia Skincare Products Market is estimated to be valued at US$ 2,233.4 Mn in 2022 and is expected to exhibit a CAGR of 4.7% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Skincare products refer to items used on the skin as part of a beauty regimen or to protect skin from sun damage. Major product types include face creams, body lotions, cleansers, toners, moisturizers, exfoliants, eye creams, and facial masks. Australia has a high awareness of personal grooming among consumers, driving strong demand for skincare products. Growing concern over skin damage from UV exposure further boosts product sales in the country. Rising expatriate population exposes locals to global beauty trends, pushing innovations in skincare formulations.

Market Dynamics:

Rising online sales provide an opportunity for wider reach and product discovery. E-commerce platforms offer convenience and discounts that appeal to younger demographics. This pushes brands to innovate and cater to evolving online shopping behaviors. Growing environmental consciousness seen Australians prefer natural and organic skincare products. Major players are investing in developing sustainable packaging and green product formulations using botanical ingredients. Furthermore, the COVID-19 pandemic increased focus on skincare as people stayed indoors. Lockdowns boosted demand for affordable at-home skin solutions. Innovations including new active ingredients, personalized offerings, and hybrid cosmetic-healthcare products gain traction. Also, the growing working professional population and increased per capita spending on personal care augments the demand for premium anti-aging skincare products. However, high import tariffs on certain beauty categories remain a challenge.

Segment Analysis

The Australia skincare products market is dominated by the face care segment, accounting for over 30% share of the total market. Face care products such as anti-aging creams, moisturizers, cleansers, and sun protection are widely used in Australia. This is attributed to rising environmental pollution levels and increasing consumer awareness about the benefits of skincare products in preventing premature aging.

PEST Analysis

Political: The government supports the personal care industry through various initiatives to promote domestic manufacturing and exports. Various regulations promote product quality and safety.

Economic: Rising income levels and busy lifestyles are fueling the demand for premium anti-aging and specialized skincare products. Growing working women population also drives the market.

Social: Changing attitudes towards appearance boost demand. Social media influences consumers to use advanced skin treatments. Increasing awareness about skin health and various skin conditions also spurs market growth.
Technological: Innovation leads to development of organic, natural, and multi-functional products catering to specific skin issues. Online retail platforms expand easy access.

Key Takeaways

The Australia Skincare Products Market size was valued at US$ 2,233.4 Mn in 2022. The market is expected to grow at a CAGR of 4.7% during 2023-2030, driven by rising living standards, growing awareness about skincare benefits, and expanding availability of natural and organic products.

Regional analysis

The skincare market in eastern Australia dominates, holding over 40% share due to high population density in cities like Sydney and Melbourne. Consumers in this region are more receptive to new trends and products. Western Australia is also growing at a significant pace as rising tourism and mining activity raise disposable incomes.

Key players

Key players operating in the Australia skincare products market are Beiersdorf AG, L’OrĂ©al SA, Procter & Gamble, Unilever, Bioderma Laboratories, Clarins Group, Dermalume Skincare, Johnson & Johnson Inc., Estee Lauder Inc., Miranda Kerr Pty Ltd (Kora Organics), Jurlique International Pty Ltd, and NeoStrata Company, Inc. Leading brands invest in innovative formulations and marketing to strengthen their foothold.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it