A new report by the cosmetics industry association paints a rosier picture for the cosmetics sector.
It found that the sector has a long-term opportunity to become a major player in the global cosmetics market, with a projected 20 billion dollars in sales in 2021.
In addition, it said the sector’s share of the global cosmetic market is set to increase from 11 percent to 20 percent by 2021, while its market share in Japan is set at 16 percent.
This year, the association forecasts a total of $5.4 billion in sales from the cosmetics business in 2021, which would be more than double the $3.9 billion of sales in 2020.
According to the report, the cosmetics market is projected to grow to $16.6 billion by 2021.
This represents an increase of about 11 percent from the $9.6-billion in sales that year.
In terms of the percentage of revenue from the global market, the report forecasts that the cosmetics businesses will make up 17.5 percent of global cosmetic sales in 2019, which will be the highest percentage in 20 years.
While the cosmetics companies will contribute more than one-third of global revenue by 2021 in terms of sales and profit, the overall percentage of global cosmetics sales will be only about 13 percent in 2020, the study said.
It said that by 2021 the cosmetics firms will account for 20 percent of the overall cosmetics market.
As for growth, the makeup industry will continue to grow, but at a slower pace.
The makeup business is projected at a rate of 8.9 percent growth by 2021 compared to the 7.3 percent growth in 2020 as a result of increased awareness, improved technology and increased consumer acceptance of its products, the authors said.
In a report released earlier this year, cosmetics experts also predicted that the industry’s share in the overall global cosmetic product market will reach 28 percent by 2022, compared to 21 percent in 2021 as a direct result of the introduction of cosmetics into the mainstream market.
The authors of the report said the makeup market will also continue to be a strong driver of the cosmetics manufacturing sector, and will account to 16 percent of overall cosmetics sales in 2022, a rise of about 2.2 percent from 2020.
In 2021, the industry is expected to generate $1.1 billion in revenues, a growth of about 14 percent from 2019, the researchers predicted.
But while the industry may continue to attract large-scale investment, there is concern that the market is becoming less competitive and therefore less attractive for new and existing companies, as well as for smaller companies that have not been able to attract new investment and therefore have not yet reached the saturation point in the market.
Accordingly, the number of cosmetic companies is expected fall by more than 3 percent over 2021, from about 538 to 542 companies, according to the study.
In 2020, cosmetics firms made up 11 percent of total global cosmetic products sales, the highest share in 20 year.
In 2021, cosmetics companies account for 19 percent of cosmetic sales, which is about the same as 20 years ago, the experts said.
However, by 2021 more companies will be entering the cosmetics cosmetics business, and they will represent 11 percent and 15 percent of cosmetics sales respectively, they said.
As the cosmetics segment grows, the share of cosmetics companies in the total market will grow, the analysts said.
By 2021, more than half of the world’s cosmetics products will be marketed as cosmetics, with the majority of the cosmetic products being targeted at the Asian market.
By 2020, Asia will account in about 60 percent of all cosmetic products sold worldwide, while Europe will account at more than 40 percent.
According the report: “The growing demand for cosmetics products from the Asian region will provide a greater opportunity for cosmetics companies to enter the Asian cosmetics market than in the U.S., where the market has already undergone a transition to be more niche and more consumer-centric.
The growth in Asian cosmetics markets is projected by the researchers to continue and be a key driver of global growth in the cosmetics category.”