Market Definition
Vegan Cosmetics are products derived from natural or plant-based ingredients, chemicals & substances like almond milk, soy milk, seaweed, coconut, etc.; contain vitamins, antioxidants, etc., and are beneficial for human use. The growing consumer awareness regarding the use of animal-derived ingredients in cosmetics, owing to increasing health problems, such as cancer, skin diseases, etc., and customer realization of various benefits associated with plant-based ingredients in cosmetics has contributed to a demand upsurge for vegan-certified cosmetic products globally. Companies like L’Oréal, Pacifica, Elf Cosmetics Inc., etc., are strategizing brand acquisitions in sophisticated markets worldwide to enhance their customer base. Moreover, cosmetic manufacturers are involved in various R&D activities for technological advancements & innovations in their product offerings.
Market Insights
The Global Vegan Cosmetics Market is projected to grow at a CAGR of around 6.25% during the forecast period, i.e., 2022-27. The growth of the market is driven primarily by the rapidly surging demand for vegan cosmetic products worldwide due to the changing consumer preferences & attitudes towards consumption of animal-based products owing to their negative impact on health, environment, & animal welfare, coupled with the increasing Green House Gas (GHG) emissions. Increasing animal abuse in the cosmetics manufacturing & fashion industries, etc., has accelerated the rate of species extinction, with grave impacts on the ecosystem.
Report Coverage | Details |
---|---|
Study Period | Historical Data: 2017-20 |
Base Year: 2021 | |
Forecast Period: 2022-27 | |
CAGR(2022-27) | 6.25% |
Regions Covered | North America: USA, Canada, Mexico |
Europe: Germany, UK, France, Italy, Spain, and Others | |
Asia-Pacific: China, India, Japan, South Korea, Australia and Others | |
South America: Brazil, and Others | |
Middle East & Africa: GCC countries, South Africa and Others | |
Key Companies Profiled | MuLondon, Beauty Without Cruelty, Nature’s Gat, Billy Gealousy, L’Oréal Groupe, Mo MI Beauty, Emma Jean Cosmetic Inc., Inika, Gabriel Cosmetic Inc., Groupe Rocher, Pacifica Beauty, E.l.f. Cosmetic Inc., Coty Inc., Kose Corp., Natura Interantional Inc., MAV Beatury Brands Inc., The Estee Lauder Co. Inc., Lush Retail Ltd., Debenhams Plc., Charlotte Tilbury Beauty Ltd |
Unit Denominations | USD Million/Billion |
Countries across several regions like North America, Europe, & Asia-Pacific are increasingly adopting various strategies to ban cosmetic products that involve animal abuse and are actively collaborating with cosmetic brands to launch vegan products for a sustainable future. For instance:
With these restrictions on sales & marketing of animal-based ingredients, cosmetic products made using animal ingredients would be replaced with natural ingredient-based products, which would lead to a potential increase in the demand for vegan Cosmetics in the future.
Furthermore, manufacturers of vegan cosmetics earlier using animal testing on products have started shifting towards cruelty-free cosmetics to reap growth opportunities among the increasing number of environmentally-aware consumers. Moreover, significant initiatives by governments across regions like Asia-Pacific, Europe, & North America for encouraging the use of vegan cosmetic products are also expected to drive the global market during 2022-27.
Key Trends in the Global Vegan Cosmetics Market
The vegan cosmetic brands & customers globally are now inclined towards customizing their products due to a substantial increase in the demand for cosmetics based on different skin types & complexity. Companies like Unilever, LOTUS, etc., are pacing toward developing personalized or customized vegan cosmetic products by integrating AI-powered platforms to analyze skin & hair selfies taken by customers and offer them relevant product recommendations. For instance:
Impact of Covid-19 on the Global Vegan Cosmetics Market
The 2020 lockdown restrictions worldwide due to the Covid-19 pandemic led to social distancing, accelerated shifts to remote working, and reduced domestic & international business travel, thereby diminishing the demand for cosmetic products globally. Additionally, reduced disposable income and increasing consumer focus on saving money during uncertain times contributed to their increased inclination toward lower-priced & value-for-money products.
It resulted in a significant reduction in the demand for vegan cosmetics due to their higher costs than conventional cosmetics. However, continuous requirements from developed nations like the US, Russia, etc., due to a change in customer buying behavior & consciousness towards product ingredients, are shifting consumers from animal-based cosmetic products to sustainable plant-based cosmetics, and the same trend is likely to be followed in the coming years.
Market Segmentation
By Product:
Of them all, vegan Skincare cosmetics are expected to gain significant traction during 2022-27, primarily due to the rapidly increasing awareness regarding the beneficial properties & characteristics of vegan skincare cosmetics products, such as soothing skin, healing ailments, etc., i.e., alluring consumers to buy such products worldwide. Additionally, when human skin gets exposed to sun radiations, it develops the chances of premature aging, wrinkles, leather formation, liver spots, etc., which requires protection through skin lotions & creams to avoid excess heat stress.
Since the presence of chemicals in animal-based cosmetic products leads to several skin allergies, the mounting awareness among consumers regarding the severe effects of these chemicals is providing more opportunities for market players to expand their product portfolio in the skincare segment. Hence, based on these aspects, the demand for vegan skincare cosmetic products globally is likely to upsurge significantly in the years to come.
By Sales Channel:
Here, the E-commerce segment is expected to attain a sizeable share in the revenue growth of the global market during 2022-2027. The rapid emergence of e-commerce platforms has increased the product offerings accompanied by lucrative discounts, doorstep deliveries, and secured payment gateways. The vegan cosmetic market has benefitted significantly from e-commerce, i.e., expecting substantial growth due to convenience in product selection, availability of diverse brands, and various promotional offers online. Furthermore, celebrity influence in the youth for the use of cruelty-free vegan products and rise in social awareness among consumers are other crucial aspects expected to drive the market through E-commerce platforms. For instance:
Furthermore, several initiatives made by celebrities for promoting plant-based cosmetic products worldwide shall further fuel the sales of vegan cosmetic products through e-commerce platforms owing to their wider availability & easy convenience.
Regional Landscape:
Geographically, the Global Vegan Cosmetics Market expands across:
Of all regions, North America is expected to witness increasing demand for plant-based cosmetic products during 2022-27. Rising consumer awareness regarding the ill effects of compounds like paraben and aluminum compounds in cosmetic products used in conventional hand creams, hair products, etc., have shifted consumers toward natural cosmetics. The use of chemical-based cosmetic products globally has led to increasing skin diseases among North Americans, thereby surging the demand for chemical-free vegan products. According to the Cancer Treatment Centers of America (CTCA), using chemicals like paraffin and some types of oil in skin & hair care products may increase the risk for certain types of non-melanoma skin cancers.
Hence, continued efforts like this by the regional governments & other concerned authorities to prohibit using animal-derived ingredients in cosmetics manufacturing are expected to drive the revenue of the North America Vegan Cosmetics Market during 2022-27.
Recent Developments by Leading Companies:
Market Dynamics:
Key Driver: Increasing Government Initiatives for the Production of Chemical-free Cosmetics
The regulatory frameworks for the cosmetics industry have been put in place owing to the rising cruelty towards animals, mounting concerns over skin allergies, and the possibility that some chemical contents within their products could cause long-term health risks. Governments across North America, Europe, & Asia-Pacific regions have introduced various policies to stop the usage of animal-derived components during the production of cosmetics & personal care products. For instance:
Similarly, many other countries like India, Israel, Brazil, Taiwan, Turkey, South Korea, China, etc., have imposed bans on animal testing for cosmetics & cosmetic ingredients. Such initiatives, supported by cosmetic giants Unilever, L'Oréal, LUSH, Avon, etc., are projected to propel the demand for vegan cosmetics in the respective regions and, in turn, drive the global market in the coming years.
Growth Restraint: Lack of Awareness about Vegan Cosmetic Products
The overall prevalence of cosmetic products is increasing among both males & females. However, the associated awareness regarding the beneficial properties of vegan beauty products is not present widely. Additionally, significant health risks caused by using chemical cosmetics, especially in developing & underdeveloped countries of Asia-Pacific, Middle East & Africa, and Latin America, might hinder the growth of the Global Vegan Cosmetics Market across these regions. Besides, the lower availability & higher costs of these cosmetic products also add a considerable growth challenge for the global market during 2022-27.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The Global Vegan Cosmetics Market is projected to grow at a CAGR of around 6.25% during 2022-27.
A. North America is anticipated to emerge as an area of remunerative opportunities for the leading players in the Global Vegan Cosmetics Market during 2022-27.
A. The increasing number of men across North America & Asia-Pacific paying more attention to grooming & fashion to improve their appearance is a crucial aspect expected to provide profitable opportunities to the Global Vegan Cosmetics Market through 2027.
A. The Covid-19 pandemic in 2020 resulted in the change of buying behavior of consumers & made them more conscious about product ingredients. Hence, the switch in consumer demand from chemical & animal-based products to sustainable ones is projected to enhance the demand for vegan cosmetics and boost the global market in the coming years.