The paper, titled "The Future of the Skincare Market in Thailand to 2017" anticipates that the market will grow from its current value of THB 17.5 bn to over THB 20 bn over the next four years.
The biggest overall sectors of the Thai skin care markets were found to be facial and body care, while the fastest growing sector was depilatories, which is predicted to expand by 4 per cent CAGR until 2017.
Factors such as increased consumer spending and rapid product development were cited as reasons for the expansion of the market, as well as social factors like changing attitudes towards looks among the younger generation and a greater demand for aesthetic services.
Alex De Angelis, the author of the paper, wrote: "Thai people are paying more attention to their beauty. There are more environmental factors damaging the skin in daily life, such as pollution and hot weather."
L’Oreal dominating
The domestic skin care market was described as "dominated by L'Oreal." The firm has achieved a commanding position in the industry, with an overall share of 18 per cent.
The company is also growing rapidly in Thailand, increasing its overall business by 19 per cent this year and selling over 112 million products.
The firm now claims to be the largest overall cosmetics company in the country, up from third position last year. Other major players include Beiersdorf Thailand and Unilever Thai Holdings.
Imports
Thai customs officials said that going forward they expect a higher value of cosmetics and skincare products imported from abroad.
The Thai export market for cosmetics is also doing well, with director general of the Thailand International Trade Promotion Department Srirat Rastapana noting last month that demand for Thai cosmetics in the UAE is at an ”all-time high.”
Euromonitor International data from 2012 shows that the domestic Thai cosmetics products market has also increased in size over the past few years, particularly in the areas of men’s grooming, colour cosmetics and fragrances, and that consumers were increasing in sophistication.
Euromonitor report
According to the Euromonitor report, the expansion of the male cosmetics market in Thailand is a key factor in driving growth.
The company also highlighted the strong penetration of beauty clinics as one of the key drivers of cosmetics consciousness in both men and women.