The fragrance and perfume industry produces fragrances for soap, detergent, cosmetics, toiletries, and household cleaners as well as perfumes and colognes. These fragrances are typically made from essential oils or synthetic compounds, blended together to produce pleasing aromas and scents. Fragranced products aim to make various tasks more pleasant and fulfilling for consumers. Personal care products featuring fragrances have seen rising demand as consumers pay more attention to grooming and self-care.
The global Fragrance And Perfume Market is estimated to be valued at Us$ 62.04 Mn in 2023 and is expected to exhibit a CAGR Of 7.0% over the forecast period 2024 To 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
One of the key drivers for the growth of the global fragrance and perfume market is the increasing demand for personal care and cosmetic products featuring pleasant fragrances. As incomes rise globally, consumers are spending more on grooming and beauty products that help enhance their confidence and personality. Personal wash items as well as makeup and skincare featuring soothing fragrances have gained widespread popularity. Further, demand for organic and natural perfumes and fragrances has also witnessed an upward trend, prompting manufacturers to focus on developing sustainable ingredients. However, stringent regulations over the usage of certain chemical compounds in fragrances may restraint the market growth during the forecast period.
SWOT Analysis
Strength: The fragrance and perfume market has a wide variety of products to cater to diverse consumer preferences. Manufacturers launch new fragrances regularly keeping in sync with changing trends. Moreover, rising disposable incomes have increased spending on luxury items like premium perfumes and fragrances.
Weakness: Fragile supply chains and dependence on key raw materials like essential oils make the market vulnerable to price fluctuations. Furthermore, discounts and offers by competitors can eat into margins of established brands.
Opportunity: Growing health and wellness trend presents an opportunity to develop natural and organic fragrances derived from plant extracts. Additionally, the emerging middle class in developing nations is expanding the potential customer base.
Threats: Stricter regulations around chemical content may lead to reformulation costs. Also, availability of counterfeit products affects sales of reputed brands. Changing consumer preferences poses challenges to sustaining the success of existing fragrances.
Key Takeaways
The Global Fragrance And Perfume Market Demand is expected to witness high growth over the forecast period driven by rising spending power, increasing product innovation and expanding retail landscape. The market size is projected to reach US$ 62.04 million by 2024.
Regional analysis:
Europe currently dominates the market due to high penetration of luxury brands and strong demand for premium fragrances. However, Asia Pacific is anticipated to be the fastest growing region on account of growing young population, rapid urbanization and changing lifestyles in countries like India and China.
Key players:
Key players operating in the fragrance and perfume market are BASF Corporation, DSM, Cellana Inc., JC Biotech Pvt.Ltd, FEMICO, Croda International Plc, Pharma Marine AS, Clover Corporation, Omega Protein Corporation, Kingdomway Nutrition, Inc., ECPlaza Network Inc., Bizen Chemical Co.LTD, Stepan Company, Novotech Nutraceuticals, Inc., Arjuna Natural, Jiangsu Auqi Marine Biotechnology Co., Ltd., and Aker BioMarine. These companies focus on development of novel formulations and strategic partnerships to strengthen their position.
Get more insights on this topic :
Arabic
French
Spanish
Portuguese
Deutsch
Turkish
Dutch
Italiano
Russian
Romaian
Portuguese (Brazil)
Greek