15, August 2022
With the advent of social media trends, cosmetic product sales have registered the highest values over the years. In addition to hair care and oral cosmetics constituting the major categories, skincare accounts for around 42% of the global market. This has elevated the demand for ingredients and processing aids, from essential oil to amino acids to antioxidants, boosting the cosmetic bioactive ingredients market.
The rising concerns about appearance and green cosmetic trends are key factors that have increased the demand for cosmetics with natural ingredients that offer skin benefits without harming the environment, influencing various product launches. For instance, Lubrizol introduced Actismart SW Extracts that are sustainably sourced, offering various beauty benefits. Another product Pertovitae by BASF, is a scientifically developed biomimetic peptide that addresses various skin concerns traditionally associated with peptides’ use.
Our estimates indicate that the global cosmetic bioactive ingredients market is estimated to advance with a CAGR of 5.84% during the forecast period 2022-2028.
Bioactive ingredients are known to promote health, skin, hair, etc., by enhancing metabolic activities. Based on evaluations, skincare is among the most lucrative segments, estimated to generate around $177 billion by 2025. Since these natural ingredients provide benefits like anti-aging, anti-wrinkle, and skin tightening, their demand has soared across multiple regions, especially the Asia-Pacific and North America.
Countries such as China, India, South Korea, and Taiwan have witnessed tremendous growth backed by regulatory frameworks supporting the inclusion of bioactive ingredients. For instance, the National Medical Products Administration in China formulates regulatory policies that promote the launch of new cosmetic products that meet the quality and safety standards.
Furthermore, the Asia-Pacific cosmetic industry accounts for around 43% of the global market. This is mainly on account of the increasing popularity of the K-beauty trend. The step-by-step K-beauty skincare routine has gained momentum across the region, leading to high demand for bioactive skincare like toner, serum, moisturizer, etc. In this regard, bioactive ingredients extracted from animal sources, such as snail slime and honey, have proven to offer dermatological benefits, with potential applications for skin rejuvenation and others. This drives the Asia-Pacific cosmetic bioactive ingredients market.
Additionally, ingredients such as vitamin C, green tea, hyaluronic acid, aloe vera, etc., have gained popularity among consumers, owing to various skin benefits. Among these, the key ingredient gaining major focus include:
While there is no regulatory framework to monitor cosmetic products’ ingredients in the US, the FDA regulates the color additives as they can cause severe issues such as allergies, rashes, etc. It ensures brands follow regulations that certify the safety of personal care and cosmetic products. These regulations, in addition to a keen interest in sustainability, have widened the scope of the cosmetic bioactive ingredients market across North America.
Another major factor that drives the studied market’s growth is the growing engagement with products on social media platforms, such as Instagram and Facebook. This has led brands like Vaseline, Neutrogena, Olay, Nivea, Revlon, L’Oreal, etc., to launch various products containing different bioactive ingredients, including Vitamin A, B5, E, and C. The key ingredient category comprises:
Earlier, the cosmetic industry produced products primarily geared toward women. However, the rising awareness about appearance among men has highlighted the demand for products that tackle problems such as dry skin, hair fall, and others. Premium companies have thus commenced the production of personal care products beneficial for the male population. For instance, Ranger Grooming Co launched a beard oil containing jojoba and Moroccan argan oil to moisturize beard hair and reduce itching. Another company, LAB Series, introduced men invigorating face scrub that removes dead skin cells and unclogs the pores. Hence, the growing production of male-centric products is anticipated to create affluent opportunities for the cosmetic bioactive ingredients market.
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