The beauty industry is broken down into the skincare, hair care, and makeup sectors. While not all of these sectors perform equally well, all of them have shown consistently good performance year over year, both in the US and globally.
Our breakdown of beauty industry statistics and trends will show you which areas have the strongest performance—and where you can invest if you plan to get in on the action.
Key Takeaways:
- The global revenue for beauty and personal care could exceed $646 billion this year.
- US revenue for the beauty industry reached $100 billion this year.
- Ecommerce is poised to be the fastest-growing sales channel for beauty products over the next few years.
- Revenue from cruelty-free makeup products is expected to exceed $8 billion by 2028.
Beauty Industry Size, Revenue & Trends
The beauty industry is robust, with a global value currently in the hundreds of billions of dollars. Trends in the beauty industry suggest that consumers are generally very engaged with this industry, buying from multiple sales channels and looking for new products constantly.
1. The global beauty and personal care market is projected to exceed $646 billion in 2024
The worldwide market for beauty and personal care is expected to hit $646.20 billion in 2024, with a compound annual growth rate (CAGR) of 3.33% between 2024 and 2028. The global revenue per person in 2024 is projected at $83.39.
2. US revenue generation for the beauty industry hit $100 billion in 2024
Despite the current economy, American consumers are avid buyers of cosmetic products—notably, there is a rising interest in organic and natural beauty products. The US is ahead of all other countries in revenue generation for the beauty market, with a national revenue of $100 billion this year.
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3. Over 40% of survey respondents across several countries enjoy trying new cosmetics brands
Forty-two percent of respondents in a 2023 McKinsey survey said they enjoy trying new brands of beauty products. The survey included respondents from China, France, Germany, Italy, the UK, and the US.
Shoppers’ eagerness to try new brands and shop across price points can lead to increased competition in the market. You can stand out from some of your competition by offering free samples or test products to get consumers acquainted with your brand, at little or no cost to them.
4. Ecommerce will likely grow at 12% per year between 2022 and 2027
Ecommerce is expected to be the fastest-growing sales channel for beauty products until at least 2027, with 12% growth per year. As of 2023, ecommerce made up more than 20% of the entire beauty industry, slowly catching up with the ecommerce share of other industries such as apparel and toys.
Online marketplaces like Amazon, social selling (including livestream shopping), and more emphasis on online selling for omnichannel retailers have enabled beauty retailers to present their offerings across more sales channels. However, traditional sales in groceries and drugstores are not expected to slow as customers continue to expect multiple sales channels.
5. In 2024, nearly a fifth of revenue for beauty products will come from online sales
By 2024, ecommerce sales are expected to make up over 19% of global revenue in the beauty market. Although many consumers still like to shop in person to see and test products themselves, ecommerce is a significant contributor to overall sales.
Skincare Statistics
Skincare is the most popular category of beauty products globally and maintains a strong performance in the US. Skincare products include items related to hydration, exfoliation, peels, masks, retinol therapy, ultraviolet radiation protection, and more.
6. The US skincare market is expected to reach a value of over $24 billion in 2024
The US market for skincare is projected to hit $24.35 billion in 2024. The market is also expected to achieve a compounded yearly growth rate of 2.94% from 2024 to 2028.
7. In 2023, skincare was the most popular category of beauty products worldwide
Skincare products dominated the global beauty industry with a 40% share of the market, outshining hair care (21%), makeup products (17%), perfumes (12%), and hygiene products (10%).
8. The global skincare industry is forecast to bring in over $186 billion this year
Worldwide, skincare revenue is projected to total $186.6 billion in 2024. Between 2024 and 2028, skincare CAGR is estimated at 3.08%. The US leads the global market with a revenue of over $24 billion in 2024.
9. Nearly 30% of the beauty industry’s total revenue comes from the skincare sector.
For 2024, skincare alone is set to account for 28.9% of the overall beauty industry’s revenue. Another way of looking at this is: out of every $4 that consumers worldwide spend on beauty products, more than $1 will be spent on skincare items.
Hair Care Statistics
While not quite as large as the skincare sector, hair care comprises a significant portion of the overall beauty industry—over one-fifth. Hair care products include items for extending, coloring, trimming, styling, and shaving scalp hair.
10. Hair care comprises nearly a quarter of the global beauty industry market
Hair care had a 22% share of the global cosmetics industry in 2023. This put it above makeup (16%) in terms of revenue performance, but lower than skincare (41%).
11. Global hair care market revenue is set to exceed $93 billion this year
The worldwide market for hair care will likely see a revenue of $93.74 billion in 2024, with a probable annual growth rate of 2.8%. The US leads the worldwide market in terms of revenue at $13.6 billion this year.
12. The market for hair extensions in the US reached an estimated $538 million in 2024
Revenue for hair extensions in the US has grown at a CAGR of 0.9% since 2019, with an estimated revenue of $538 million in 2024. The demand among adult consumers seems to be consistent, with women being a particularly strong customer base.
13. Over 63 million Americans use hair coloring products
Around 63.08 million Americans decided to color their hair in 2020. This figure is projected to increase to 63.36 million in 2024, indicating a steady increase in demand for coloring products over time.
14. By 2026, the global market for treating hair loss is expected to exceed $12 billion
Within a few years, hair restoration services are expected to reach a revenue of $12.12 billion, with a 4.6% annual growth rate. Hair loss treatments include medication, hair transplantation surgery, or various alternative medicines.
Makeup Statistics
Makeup comprises a relatively small portion of the global beauty industry compared to skincare and hair care, but it is not to be discounted. Makeup products include lip products such as lipstick, eye products like mascara and eyeliner, and facial products such as foundation and blush.
As a small business operator, you can resell products from other brands, or under your own brand (private labeling).
15. The global makeup market was worth over $103 billion in 2023
This figure is expected to exceed $108 billion in 2024 and $113 billion in 2025. The makeup market worldwide has been increasing steadily in value since 2020.
16. The cruelty-free makeup market is expected to exceed $8 billion by 2028
Cruelty-free makeup refers to cosmetic products that have gone through development and testing without causing harm to animals during the process. Animal testing can involve checking for allergic reactions, skin and eye irritation, and toxicity in animal test subjects. Many cosmetics customers are uncomfortable with this and opt for various forms of ethical consumerism instead. The market for cruelty-free makeup products is expected to reach $8.37 billion by 2028.
Beauty brand Maybelline features a cruelty-free commitment statement on its website. (Source: Maybelline.com)
17. The organic cosmetics market revenue in the US will surpass $1.6 billion by 2025
By 2025, organic makeup in the US will likely hit $1.65 billion in revenue. In 2015, the revenue was at $700 million, indicating consistent growth. Organic beauty products are composed partly or entirely of organic ingredients rather than substances such as paraffin or synthetic dyes. Organic products might also use recyclable and biodegradable packaging. Entrepreneurs who plan to sell organic cosmetics will need to be able to source products properly.
Beauty Industry Marketing & Social Media Statistics
There’s more to the beauty industry than products; you’ll also need to consider marketing, brand awareness, and selling on different sales channels. As a small business owner, you can learn from big names in the industry—how they market, where they sell, and how they stay ahead of the competition.
18. In late 2022, Dior had the highest media impact value among beauty brands globally
Media impact value refers to the estimated total value of all media content that a brand releases. This includes blog posts, articles, digital media like videos, and collaborations with influencers or celebrities. Dior’s media impact value in 2022 reached $497 million—the highest among surveyed beauty brands.
19. In early 2023, almost 90% of online beauty product sales on TikTok came from livestream sales
In livestream sales, TikTok viewers buy products being promoted by TikTok content creators in real time. The vast majority of online beauty product sales on TikTok—a whopping 89% in early 2023—are from live sales, while about 11% come from non-live video sales.
20. Among beauty influencers in the US, their most-viewed videos were those related to fragrance
Among more than 118,000 beauty influencers based in the US in 2023, videos related to fragrance experienced the most view growth at 84%. The skincare category of videos experienced 82% annual growth in the same year.
21. In 2023, the prevailing emotion in Instagram posts of beauty brands was joy
In 2023, 78.3% of Instagram posts relating to various beauty brands had joy as the primary emotion. Sadness was another observed emotion in these posts, though it had a far smaller prevalence—just 4.9%.
22. Almost half of Gen Z respondents worldwide were willing to pay more for sustainable beauty products
In 2023, 46% of Gen Z survey respondents said they would pay more to buy beauty products if the brand selling these used sustainable practices. Only a quarter of Baby Boomer respondents made the same claim.
Frequently Asked Questions (FAQs)
Click through the following sections to learn more about the size, opportunities, and threats in the beauty industry.
Globally, the beauty industry is expected to hit a revenue of over $646 billion in 2024. In the US alone, the projection for 2024 is $100 billion.
Ecommerce sales of beauty products are performing very well and will likely become even stronger. Online sales are likely to be a fast-growing channel for beauty products, as the performance here has been steadily rising since at least 2022.
Sustainable production, ethical consumerism, and cruelty-free products are gaining ground with consumers. The markets for these are expected to be worth billions within a few years, and customer buying behaviors (especially among the younger generations) reflect their preference for brands that follow these principles.
Bottom Line
These beauty industry trends show that cosmetic products represent a robust industry that has been seeing reliable growth for years, with particularly good performance in the skincare and ecommerce sectors. If you’re aiming to start a retail business dealing in beauty products, these are good places to start.
