Report Overview

Saudi Arabia Cosmetics and Personal Care - Industry Trends & Forecast Report 2027

Saudi Arabia cosmetics and personal care market was worth USD 3.7 billion in 2020 and is further projected to reach USD 7.6 billion by 2027, at a CAGR of 10.9% during 2021-2027 (forecast period). Saudi Arabia is a leading market for cosmetics and personal care all around the globe. The target demographic's increasing self-consciousness about their appearance, combined with their ability to spend more, along with the increase in the middle-aged population, and rising demand for men's grooming products are the factors driving the growth of the cosmetics and personal care industry in Saudi Arabia. Furthermore, the Saudi Arabia cosmetics and personal care market is also estimated to witness substantial growth during the forecast period. This is owing to factors such as organized supply chains and the rising prevalence of the online market which provides better and more choices.

Source: BlueWeave Consulting

Saudi Arabia Cosmetics and Personal Care - Overview

The cosmetic and personal care market is booming and is contributing significantly to Saudi Arabia's economy. Cosmetics are no longer only for special occasions or for beautification. They have now permeated consumers' everyday lives, propelling the country's market growth. Furthermore, due to the changing climatic conditions, consumers are focusing more on products that not only make them alluring and good-looking but also protect their skin from harsh climate and pollution. Therefore, the market players are leaving no stone unturned to fulfill the demands of the customers. The customer’s demographic is also now opening towards trying new products, which is giving opportunities to companies to constantly indulge in innovations like halal-based products, along with attractive and eco-friendly packaging. Moreover, companies are also striving to offer innovative skincare products to garner consumers’ attention. This helps add more cosmetic and personal care products to the market, prompting the overall market growth.

Saudi Arabia Cosmetics and Personal Care Market Forecast and Trends

Growth Drivers 

The Increasing Penetration of Social Media is Driving the Market Forward

Social media plays a very crucial role in forming the opinion of people and driving their attention and awareness towards any brand. Therefore, companies are constantly using social media for creating brand awareness. Saudi Arabia is one of the countries with the largest social media user base. They also have one of the highest real-time users of different social media platforms. Several cosmetics and personal care companies have been leveraging social media influencers to attract the local target demographic towards their cosmetics and beauty products. As these influencers share their beauty and skincare regime, it may affect the potential customer’s decision and opinion towards their products.

The demand for Dermo-cosmetic Products is Gaining Traction

Dermo-cosmetic products are gaining popularity in the market because they provide both beautification and proper skincare. Furthermore, the skin is continuously exposed to damage as a result of toxic UV rays and rising emissions, resulting in a dull and exhausted appearance. As a result, there is a growing demand for dermatologically tested products that provide radiance to the skin while still making it look good and healthy. Cosmetics that are used for longer periods can harm the skin. That’s why, the popularity of dermo-cosmetic products is rising among the consumer base, propelling the market growth during the forecast period.

Restraints

Inclination towards Home Remedies for Skin

Even though the use of beauty products is high and even growing, the general public nevertheless believes that using them daily permanently harms the skin. Due to this reason, many consumers are gradually shifting towards natural and home remedies to keep their skin healthy. Therefore, companies must do better and increase their efforts in marketing their cosmetic products and enhancing the image that surrounds beauty products in light of this aspect.

Impact of Covid-19 on Saudi Arabia Cosmetics and Personal Care Market

The outbreak of COVID-19 had prompted Saudi Arabia to declare a state of emergency ahead of the Eid holiday, which is one of the biggest festivals in the country. This heavily impacted the cosmetics and personal care business in the country. The cosmetics market revenue abruptly declined as people were compelled to stay at homes. Their purchasing power declined, due to which prioritizing essential items became a necessity.

Moreover, the pandemic halted not only the demand, but also the manufacturing and distribution of cosmetics and personal care products. It specifically affected the regional companies whose primary target market was locals. The demand for skincare and other personal care items increased as people stayed at home and had more time on their hands. As a result, the industry witnessed the rise of the "self-care" trend and customer preference for natural and herbal products.

Saudi Arabia Cosmetics and Personal Care Market - By Type

Based on product type, the Saudi Arabia cosmetics and personal care market is segmented into skincare, haircare, oral care, bath & shower products, men’s grooming products, and fragrances & perfumes. Facial and skincare products hold the highest market share because consumers are substantially shifting towards dermatologically tested products. This shift is mainly the outcome of increasing demand for anti-aging products and a rise in consumption of herbal or natural products. Furthermore, due to the prevalence of certain beauty standards, facial and skincare products are always high in demand and further gaining traction in the forecast period.

Saudi Arabia Cosmetics and Personal Care Market - By Category

Based on category, the market is categorized into mass products and premium products. Mass products are targeted towards the general public and carry the basic features at lower prices. On the other hand, premium products are luxury brands that cater to the elite class. As a result, premium cosmetic products are more expensive. The Mass products segment dominates the market with an impressive revenue share. However, with the increasing purchasing power of consumers, premium products are also gaining traction and is likely to witness impressive growth during the forecast period.

Saudi Arabia Cosmetics and Personal Care Market - By Distribution Channel

Based on the distribution channel, the market is segmented into specialist retailers, hypermarket/supermarkets, online, and other channels. Among these, specialist retailers are more prominent in this country as customers like to inspect the product by themselves before purchasing. That is why this segment has the highest share in the revenue with USD XX billion in the year 2020. However, with ease of access and more product option availability, the online segment is also growing at an impressive rate and is expected to witness substantial growth in the forecast period.

Saudi Arabia Cosmetics and Personal Care Market - Regional Insights

Based on region, Saudi Arabia is divided into Northeast, Midwest, and West. Because of the increasing demographics of the target consumer base, all of these regions witness a significant demand for beauty and personal care products. That is why the overall market is growing at high CAGR and is expected to grow further in the forecast period.

Saudi Arabia has one of the highest cosmetics and personal care consumption rates. This is because these regions have a high demographic of younger and working population. Due to the economic stability and high purchasing power of the people in the region, the Saudi Arabia cosmetics and personal care market is growing substantially and is expected to grow at a faster pace during the forecast period. 

Competitive Landscape

The key players in the Saudi Arabia cosmetics and personal care market are Procter & Gamble, Unilever Plc, Avon Cosmetics, Beiersdorf AG, Estée Lauder Inc., L’Oréal Saudi Arabia, OnePure LLC, Inika, Saaf Skincare, Shiseido Company Ltd., Natura & Co., Oriflame Cosmetics SA, Clara International Beauty Group, Louis Vuitton Saudi Arabia and other prominent players.

The Saudi Arabian beauty and personal care market is fiercely competitive, making it difficult for newcomers to break in. Nevertheless, since the country has one of the highest cosmetic product consumption rates, new entrants are somehow managing to push their way into the market with their innovative skincare products. Consumers in Saudi Arabia are drawn to beauty products that provide skincare, as well as labels that include organic and natural alternatives. Hence, the global players are constantly innovating their products in order to satisfy their customers' needs. Regional players also have a significant market share because they appeal to locals with products that meet their daily needs.

Recent Developments

• In June 2021, it was announced that at 2021 Beautyworld Middle East (the Arab world ’s leading international beauty and wellness trade exhibition), a consortium of multinational, regional, and local cosmetic brand distributors and service providers is preparing to introduce a wide array of new-to-market cosmetic and wellness products. The three-day event will take place from October 5 to October 7, 2021 at the Dubai World Trade Centre (DWTC).

• In September 2020, Huda Beauty, a leading cosmetic brand, made a whopping amount of investment in the UAE-based luxury resale market place ‘The Luxury Closet’. The Luxury Closed has garnered an overall amount of USD 11m, including all its investors. Huda Beauty is the cosmetic line founded by American-Iraqi Makeup Artist, Huda Kattan. This investment was made to promote the purchase of resale items and to understand consumer’s behavior in fashion.

Scope of the Report

By Type

Personal Care

• Skin care

• Facial Care

• Body Care

• Lip Care

Hair care

• Shampoo

• Conditioner

• Hair Oil

• Other Hair Care Products

Oral Care

• Toothpaste and toothbrushes

• Mouthwash and Rinses

• Other Oral Care Products

Bath and Shower Products

Men’s Grooming Products

Fragrances and Perfumes

By Category

• Premium Products

• Mass Products

By Distribution Channel

• Specialist Retailers

• Hypermarkets/Supermarkets

• Online

• Other channels

1.    Research Framework

1.1. Research Objective

1.2. Product Overview

1.3. Market Segmentation

2.    Research Methodology

2.1. Qualitative Research

2.1.1.      Primary & Secondary Research

2.2. Quantitative Research

2.3. Market Breakdown & Data Triangulation

2.3.1.      Secondary Research

2.3.2.      Primary Research

2.4. Breakdown of Primary Research Respondents, By Region

2.5. Key Questionnaire asked during Primary Interviews

2.6. Key Primary Responses

2.7. Market Size Estimation

2.8. Assumption for the Study

2.9. Market Breakdown and Data Triangulation

3.    Executive Summary

4.    Saudi Arabia Cosmetics and Personal Care Insights

4.1. DROC Analysis

4.1.1.      Growth Drivers

4.1.2.      Restraints

4.1.3.      Opportunities

4.1.4.      Challenges

4.2. Recent Development/ Technical Landscape

4.3. Regulatory Framework

4.4. Porter’s Five Frame Analysis

4.5. Value Chain Analysis

4.6. PESTEL Analysis

4.7. Strategic Outlook

5.    Saudi Arabia Cosmetics and Personal Care Market Overview

5.1. Market Estimates and Forecast (Value, USD Million: 2017-2027)

5.1.1.      By Value (USD Million)

5.2. Market Size and Forecast

5.3. Market Share and Forecast (Value, USD Million: 2017-2027)

5.3.1.      By Type

5.3.1.1.       Personal Care

5.3.1.1.1.         Skin care

5.3.1.1.1.1.              Facial Care

5.3.1.1.1.2.              Body Care

5.3.1.1.1.3.              Lip Care

5.3.1.1.2.         Hair care

5.3.1.1.2.1.              Shampoo

5.3.1.1.2.2.              Conditioner

5.3.1.1.2.3.              Hair Oil

5.3.1.1.2.4.              Other Hair Care Products

5.3.1.1.3.         Oral Care

5.3.1.1.3.1.              Toothpaste and toothbrushes

5.3.1.1.3.2.              Mouthwash and Rinses

5.3.1.1.3.3.              Other Oral Care Products

5.3.1.1.4.          Bath and Shower Products

5.3.1.1.5.          Men’s Grooming Products

5.3.1.1.6.          Fragrances and Perfumes

5.3.2.      By Category

5.3.2.1.       Premium Products

5.3.2.2.       Mass Products

5.3.3.      By Distribution Channel

5.3.3.1.       Specialist Retailers

5.3.3.2.       Hypermarkets/Supermarkets

5.3.3.3.       Online

5.3.3.4.       Other channels

5.3.4.      By Region

5.3.4.1.       Northeast

5.3.4.2.       Midwest

5.3.4.3.       West

6.    Competitive Landscape

6.1. List of Key Producers and Their Offerings

6.2. Market Share/ Ranking Analysis (2020)

6.3. Competitive Benchmarking by Operating Parameters

7.    COVID-19 Impact

7.1. Future Impact

7.2. Key Developments during COVID-19

7.3. Impact on Market

7.3.1.      Different Scenario

7.3.2.      Impact on Companies

7.4. Regional Impact

8.    Key Strategic Recommendations

9.    Company Profiles (Company Profiles, Company Overview, Financial Matrix, Key Product Landscape, Key Personnel, Key Competitors, Contact Address and Strategic Outlook)

9.1. Procter & Gamble

9.2. Unilever Plc

9.3. Avon Cosmetics

9.4. Beiersdorf AG

9.5. Estée Lauder Inc.

9.6. L’Oréal Saudi Arabia

9.7. OnePure LLC

9.8. Inika

9.9. Saaf Skincare

9.10.                Shiseido Company Ltd.

9.11.                Natura & Co.

9.12.                Oriflame Cosmetics SA

9.13.                Clara International Beauty Group

9.14.                Louis Vuitton Saudi Arabia

9.15.                Other Prominent Players

* Financial information of non-listed Companies will be provided as per availability

**The segmentation and the companies are subjected to modifications based on in-depth study during the final deliverable.

List of Figures

Fig: Saudi Arabia Cosmetics and Personal Care Market Segmentation

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Value Chain Analysis,

Fig: Company Market Share Analysis, 2020

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Size, By Value (USD Million), 2017-2027

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Share (%), By Type, By Value, 2017-2027

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Share (%), By Category, By Value, 2017-2027

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Share (%), By Distribution Channel, By Value, 2017-2027

Fig: Saudi Arabia Cosmetics and Personal Care Market Market Share (%), By Region, By Value, 2017-2027

List of Tables

Table: Saudi Arabia Cosmetics and Personal Care Market Market Size, By Type, By Value, 2017-2027

Table: Saudi Arabia Cosmetics and Personal Care Market Market Size, By Category, By Value (USD Million), 2017-2027

Table: Saudi Arabia Cosmetics and Personal Care Market Market Size, By Distribution Channel, By Value (USD Million), 2017-2027

Table: Saudi Arabia Cosmetics and Personal Care Market Market Size, By Region, By Value (USD Million), 2017-2027

Table: Procter & Gamble Financial Analysis

Table: Procter & Gamble Business Overview

Table: Unilever PLC Financial Analysis

Table: Unilever PLC Business Overview

Table: Avon Cosmetics Financial Analysis

Table: Avon Cosmetics Business Overview

Table: Beiersdorf AG Limited Financial Analysis

Table: Beiersdorf AG Limited Business Overview

Table: Estée Lauder Inc. Financial Analysis

Table: Estée Lauder Inc. Business Overview

Table: L’Oréal Saudi Arabia Financial Analysis

Table: L’Oréal Saudi Arabia Business Overview

Table: OnePure LLC Financial Analysis

Table: OnePure LLC Business Overview

Table: Inika Financial Analysis

Table: Inika Business Overview

Table: Saaf Skincare Financial Analysis

Table: Saaf Skincare Business Overview

Table: Shiseido Company Ltd. Financial Analysis

Table: Shiseido Company Ltd. Business Overview

Table: Natura & Co. Financial Analysis

Table: Natura & Co. Business Overview

Table: Oriflame Cosmetics SA Financial Analysis

Table: Oriflame Cosmetics SA Business Overview

Table: Clara International Beauty Group Financial Analysis

Table: Clara International Beauty Group Business Overview

Table: Louis Vuitton Saudi Arabia Financial Analysis

Table: Louis Vuitton Saudi Arabia Business Overview