Beauty is only skin deep. Or is it? If the recent beauty care industry numbers are to go by, it sure seems so. According to latest market research reports by Luncintel, the global beauty care industry will hit $265 billion by 2017. Improvement in global recession, better GDP, rising consumer incomes are attributed to a resurgence in beauty care product industry in the coming years. Skincare, hair care and multi feature products were shown as absolute winners as far as the consumer demands were concerned.
The most interesting thing about the beauty care product industry is that, it is one of the most resilient ones and has survived many economic recessions over the years, despite all odds. It followed the “Lipstick Effect” theory, which surmises that consumers are willing to spend more on low cost luxury items even when their revenues are limited. L’Oreal, Procter & Gamble, Avon & Unilever still rule the roost, with skin care & hair care products up in demand in the market. With the onset of recession, though the niche market did see a slight slump globally, high consumer activity were seen in the Asian and Asia Pacific emerging markets.
So, it is not surprising that research figures from Euromonitor International, indicate that the UAE market for skin care products is expected to be worth a whopping Dhs 540.3 million by 2015. Facial care products, especially anti-ageing and skin-whitening creams and lotions, are the fastest growing categories in skin care segment in the region. Facial care products are estimated to reach an estimated Dhs315 million by 2015. Interestingly, according to Euromonitor reports of 2011, “Saudi Arabia, UAE and Iran are the largest and most robust markets in terms of size and volume in the Middle East.”
As far as the Middle East beauty care industry is concerned, culture and tradition play a significant role in the consumer’s preferred brand of beauty care. In the Middle East, skin & hair care products, skin foundations, enhanced eye makeup products like kohl, eye shadow and mascara and bright lip sticks show higher consumer demand in comparison to the others.
Middle East Beauty & Spas Market Facts & Figures
According to Beauty World Middle East:
- Regionally, Saudi Arabia, closely followed by Iran and the UAE, are the top 3 countries in terms of cosmetics and toiletries consumption
- GCC perfume market alone is approximately worth US$ 3 billion
- Average spend on cosmetics and fragrances in the GCC is US$ 334 per person
- The hair care market in the GCC is estimated to be worth US$ 584.3 million in 2010 and to grow to US$ 679.4 million by 2014 – an increase of over 16%
- Market size for premium women’s fragrances in Saudi Arabia is estimated at US$ 121 million and premium men’s fragrances is estimated at US$ 101 million
- In the Middle East the market size for halal personal care products is estimated to be worth approximately US$ 560 million
- The global beauty and personal care market grew by 4% in 2009 while the UAE market continued to show strong dynamism with its sales up by nearly 10% during the same period
- The purchase of beauty products in the UAE has been expanding at over 12.5% per year, accounting for a 30% expansion in beauty and perfume retail space in the past three years
The below Infographic from Beauty School Network depicts well on how the beauty market is growing all over the world.