Rising consumer awareness and changing lifestyles amongst India’s booming population have led to significant opportunities in this segment, which has traditionally been dominated by existing market players, many of which are home-grown businesses.
However, according to the research team, growth in this market is now leading to further opportunities for existing players as well as opportunities for larger multinationals.
This growth is being driven by increased access to branded goods, helped by the significant development of the retail segment, together with the increasing number of women workers who are now enjoying increased economic power and financial independence.
Cosmetics market predicted to growth at break-neck pace
The study, entitled “Indian Cosmetic Sector Analysis (2009-2012)” also takes into account all the other key categories, shows that, in general, it is affordability and a rising consumer base that are the main drivers behind cosmetic sales of around INR 356.6bn ($9bn) last year.
Researchers indicate the Indian cosmetic industry is expected to remain on its growth track in coming years. According to the study, the industry will grow at a CAGR of around 17 per cent between 2010 and 2013, underling the fact that categories such as skin care and hair care are expected to return even higher rates of growth.
India becoming more image conscious
The reason behind this growth is down to people becoming more beauty conscious in India, due to changing lifestyles and increasing consumer awareness giving market players lucrative opportunities.
The “Indian Cosmetic Sector Analysis” also provides an insight into key trends and behavior in the industry.
The report takes a look in depth at the entire Indian cosmetics market. As well as color cosmetics, other key focus areas are skin care, hair care, fragrances and oral care.