Cosmoprof Worldwide Bologna edition: which markets.

Cosmoprof Worldwide Bologna edition
[:it]Cosmoprof Worldwide Bologna edition[:]

Cosmoprof Worldwide Bologna edition takes a close look at the global cosmetics industry, its natural outlet. A sector growing at an impressive pace. This is supported by market research firm Euromonitor International, according to whose data in 2023 the industry recorded a total value of more than $617.2 billion. By 2024, it is expected to reach $670.8 billion, with an annual growth rate of 9 percent.
Comparing these numbers with the value recorded in 2018 shows that in the past 5 years, beauty has grown by 19.9%, despite pandemic and international scenario. While for the next 4 years the sector will continue its development, with an average annual growth of 9% for the period 2024-2028.

Cosmoprof Worldwide Bologna edition: Africa, a market with great potential

Leading the ranking is the United States where the cosmetics market has touched $130 billion in 2023, and is expected to grow by 5% in 2024, reaching $135.7 billion.

China, on the other hand, is showing growth at lower rates than in the pre-pandemic period, although it remains the second largest market globally, characterized by incredible changes in trends, consumer behavior, and channel distribution. The Asia-Pacific and Asean (Association of Southeast Asian Nations) regions are becoming increasingly strategic for international players.
Finally, Africa, which is increasingly gaining prominence, driven by incredible population growth. Multinational companies are looking with interest at the continent, and at the same time local brands are investing in quality and safety.

U.S. opportunities

During the 2024 edition of Cosmoprof Worldwide Bologna edition, as part of the CosmoTalks educational program, experts and key players offered their input analyzing the state of the art and opportunities for those interested in developing new partnerships in these markets.

The U.S. market, the focus of stakeholder attention, was discussed in the educational session “The Extreme Makeover of American Beauty Retail.” Kelly Kovack, founder and Ceo of the online magazine of reference in the beauty industry Beautymatter, shared several facts about the most impactful changes in the region. It emerges that in the U.S., the old distribution model no longer works, and today the U.S. consumer has become the main distribution channel of choice. ”
McKinsey & Company reported that the cosmetics industry in the U.S. is expected to reach a value of $114 billion by 2027. While in 2024 it will reach a value of $100.3 billion with an annual growth rate over the 2024-2028 period of 2.4 percent. Consolidation and fragmentation of the retail sector are creating great opportunities. Prestige cosmetics in 2023 recorded its third year of double-digit growth, a segment that is growing relative to the mass market in all segments: from makeup and skincare to hair and fragrances. At the same time, masstige brands (a marketing term meaning downward brand extension) are increasing their impact: although they are the smallest in size (11 percent of sales), they are growing the fastest in terms of sales, reaching 16 percent of the total.

Understanding what the market looks like today and its opportunities is crucial. Whereas in the old paradigm brands had to choose which distribution channel to pursue, today the boundaries are very blurry: sales occur in multiple channels based on where the customer wants to shop.