Driven by organic ingredients, the US make-up market is predicted to see a compound annual growth rate (CAGR) of 4.1% over the next five years
The make-up market in the US is set to see steady growth, thanks to organic ingredients, according to market researcher Companies and Markets. The analyst forecasts a compound annual growth rate (CAGR) of 4.1% over the next five years, from $6.749bn in 2012 to $8.263bn by the end of 2017.
Organic ingredients will be a key driver, according to the company: “Demand for make-up with organic ingredients continues to rise, with consumers looking to limit the number of potentially harmful substances they use and opting instead for the benefits of natural elements such as vitamin E and plant extracts.”
According to Companies and Markets, consumers are now far more aware of the products they use around the house and in their cosmetic care routine, pointing to vast potential for green and natural products in the cosmetics industry.
The recession also has ongoing effects, but this is proving positive for lip products: “Though the economic recession does not appear to be stopping consumers from picking up make-up products,” said the company, “they do seem to be opting for cheaper items. For this reason, lipstick sales have not suffered much, with shoppers steering away from more expensive products but still buying lipsticks.”
Within the lipstick market segment, non-smudge, wet-look formulas, intense colours, and added ingredients such as vitamins E, A and C are said to be fuelling demand.
Eye make-up is set to remain one of the fastest growing market segments over the coming years, said the company, with mascaras in particular proving popular, while anti-ageing and natural face make-up are also expected to be growth areas.