The rise in travel and tourism has intensified demand for cosmetics in the travel retail market
The travel retail market size is expected to reach US$125.1bn by 2023, according to Allied Market Research.
The figure reflects a compound annual growth rate of 8.9% during the forecast period.
From the categories recorded, perfumes & cosmetics is forecast to be the highest growing segment, with wine & spirits following in second and luxury goods predicted to be the third fastest growing sector.
Factors behind the rise include 'substantial developments' in the travel and tourism sector, which is heightening demand for consumer goods in travel retail.
In addition, the standard of living among the population has increased, due to higher disposable incomes, which is allowing customers to spend more on travel retail items.
The Asia-Pacific region has been named as the largest travel retail market, with a CAGR of 11%.