The fragrance industry is set for growth in 2025, with the global market expected to reach US$68.9bn, according to the latest trend report by The Fragrance Shop and CPL Aromas.
The year in fragrance according to the report was driven by TikTok, innovation in personalisation, and a growing demand for sustainability.
The report stated that the global fragrance market, currently valued at $64.4bn, is forecasted to grow at a compound annual growth rate of 5% through 2032, reaching $85.7bn.
Mass fragrances are projected to see a 10.8% growth by the end of 2025, while premium scents are anticipated to rise by 12.2%, reflecting the consumer appetite for both budget-friendly options and high end experiences.
In the UK, a surge in Gen Z consumers has driven a 70% year-on-year growth in younger shoppers at The Fragrance Shop, with 63% of sales still occurring in brick-and-mortar stores.
“Fragrance is no longer just a product – it’s a form of self-expression,” the report highlights.
Gen Z and millennials are curating extensive fragrance wardrobes tailored to emotions, activities, and personal style, while older generations continue to embrace signature scents.
Platforms like TikTok remain crucial in shaping fragrance trends.
The unveiling of the report at The Fragrance Shop headquarters
Viral hashtags like #beastmode and #smellmaxing, which focuses on intense and long-lasting scents, are evolving into more sophisticated conversations around layering and personalisation.
TikTok’s influence has also translated into significant sales spikes for fragrances such as Valentino’s Born in Roma and Jean Paul Gaultier’s Le Male.
Fragrance profiles are set to diversify as consumer tastes evolve, these will include neo-gourmand fragrances which have ingredients like matcha, rice milk and sesame.
Floral scents with notes such as rose and violet and also more fruity scents with notes of green banana and cherry will be on the rise for 2025.
The report also stated that AI is transforming how consumers discover and purchase fragrances.
The Fragrance Shop’s Every Human platform, which uses AI to create bespoke scents, exemplifies this shift.
By 2025, AI integrations in e-commerce are expected to deliver hyper-personalised recommendations based on past purchases and social media behavior.
Physical stores remain central to fragrance retail, with 63% of consumers still preferring in-store purchases.
However, retailers are innovating with immersive experiences like AR scent try-ons, multi-sensory installations, and curated pop-ups.
The report concluded that by 2025, the fragrance market will continue to push boundaries with wearable scent technology, and limited-edition collaborations with creators and celebrities.
The report noted: “Fragrance is entering a golden age where sustainability, technology, and personalisation will define the next chapter.”
