November 29, 2023
South East Asia halal skincare market

South East Asia Halal Skincare Market is estimated to Witness High Growth Owing To Increasing Consumer Preference

The South East Asia Halal Skincare Market is estimated to be valued at US$ 584.37 Mn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:-

South East Asian halal skincare products contain ethically sourced natural ingredients that are gentle on the skin and compliant with Islamic dietary laws. These products cater to the growing demand for skin formulations that are free from alcohol, pig gelatin and other non-vegetarian ingredients. With increasing awareness about natural ingredients, halal skincare is becoming a popular choice among consumers in South East Asia.

Market key trends:-

One of the key trends driving the growth of South East Asia halal skincare market is the increasing preference of consumers for natural and sustainably sourced ingredients. There is a rising trend of “clean beauty” or natural beauty among consumers who want formulations with minimal chemicals and artificial components. Moreover, many consumers prefer products containing plant-based and herbal ingredients that are gentle on sensitive skin. Halal cosmetic brands are leveraging this opportunity by incorporating natural active ingredients like botanical extracts, oils and vitamins in their skincare portfolio. They market their products as pure, beneficial alternatives to chemical-laden mainstream brands. This is attracting a wider consumer base and boosting the sales of halal skincare products across South East Asia.

Porter’s Analysis:-

  • Threat of new entrants: The South East Asia halal skincare market is moderately difficult to enter due to the large market share of existing players. New players need to invest significantly to build brand awareness and comply with halal certification requirements.
  • Bargaining power of buyers: Buyers have moderate bargaining power in this market due to the availability of various product options from established brands. Buyers can negotiate on price by comparing products.
  • Bargaining power of suppliers: Suppliers have low to moderate bargaining power since raw materials for halal skincare products are commonly available. However, niche ingredients may give some suppliers an edge.
  • Threat of new substitutes: Threat from substitutes is low as there are no direct replacements for halal certified personal care products that also meet cultural and religious needs.
  • Competitive rivalry: High due to the presence of numerous regional and global players offering similar products.

SWOT Analysis

  • Strengths: Growing Muslim population and increasing demand for halal certified products present a large target consumer base. Rising awareness about ingredients and certifications is driving market growth.
  • Weaknesses: Limited R&D spending by some local players restricts product innovation. High dependency on seasonal/specific ingredients increases supply risks.
  • Opportunities: Untapped rural markets in Southeast Asia await penetration. Rising export potential to Middle Eastern countries with large Muslim populations. Growing halal tourism offers an avenue for expansion.
  • Threats: Stringent regulatory framework and certification processes increase operational costs. Economic slowdowns can dampen discretionary spending.

Key Takeaways:-

The South East Asia Halal Skincare Market Demand is expected to witness high growth, exhibiting a CAGR of 10% over the forecast period, due to increasing awareness about halal certified products among Muslim consumers in the region. The South East Asian halal skincare market size was valued at US$ 584.37 Mn in 2023 and is projected to reach over US$ 1,000 Mn by 2030.

Regionally, Indonesia is expected to remain the dominant as well as the fastest growing market through 2030. The country has the world’s largest Muslim population and local players like Wardah and Hijab Cosmetics are making efforts to expand their halal product offerings.

Key players operating in the South East Asia halal skincare market are Amara Halal Cosmetics, Andalou,Clara International Beauty Group, COSMECCA KOREA, COSRX, Ecotrail Personal Care Pvt. Ltd., Halal Korea Co., Ltd., INGLOT Cosmetics, INIKA organic, IVY Beauty Corporation, KOLMAR KOREA, SO.LEK Cosmetics, and Talent Cosmetics. Major players are investing in R&D to launch new innovative products.

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