Cosmetics OEM/ODM Market was valued at USD 56,345.5 million in 2022 and is expected to grow at a 6.7% CAGR from 2023 to 2029. The Original Equipment Manufacturer owns the formulation and creation of a particular product which is referred to as private labels. Original Design Manufacturers create the designs and specifications of products sold by cosmetic manufacturers. The increasing awareness and concern of people in skincare and other product safety are expected to drive the growth of the cosmetics OEM/ODM market. For instance, in 2019, Johnson & Johnson announced that it would stop the selling of talc-based baby powders in the North America region owing to concern about the safety of its products. In addition, the growing disposable income, and increasing preference of people for organic and natural cosmetic products in regions like the United States, and Europe are expected to boost the growth of the cosmetics OEM/ODM market over the forecast period. Moreover, the growing digitalization, and increasing usage of e-commerce platforms for buying and selling products is expected to propel the market growth over the forecast period. However, the strict regulations about the usage of chemical-based personal care and cosmetic products owing to their side effects are expected to hinder the growth of the cosmetics OEM/ODM market growth over the forecast years. For instance, European Union has banned more than 1,300 chemical-based ingredients in cosmetic products. The increasing preference for natural and organic personal care products is expected to provide opportunities to the market key players and manufacturers in the forecast period. for instance, more than 55% of women in the United States are seen to purchase natural vacuum skin packaging care products rather than chemical-based cosmetics. Geographically, the North America region held the major market share in 2022 and is expected to dominate the global cosmetics OEM/ODM market in the forecasted years.
Cosmetics OEM/ODM Market Recent Market Key Developments:
In 2022, Pat McGrath released their first skin-care product, Divine Skin, which is intended to boost the results of one’s skincare routine, while Fresh Beauty has released a new facial mist in its bestselling rose recipe.
In March 2019, KBL Cosmetics launched a new innovative foldable triangle eye shadow product.
Fastest Growing Market
The cosmetics OEM/ODM market is expected to grow over the forecasted period due to the increasing demand for personalized natural cosmetics and personal care products. For instance, in 2020, Korean-based cosmetic brand, Amorepacific launched a personalized skincare brand IOPELAB. Which allows their customers to create customized skincare products based on their skin type. In addition, the increasing awareness and concern of people about the harmful side effect of chemical-based cosmetics on the skin have increased the demand for natural/organic-based cosmetics, and personal care products and is expected to drive the growth of the cosmetics OEM/ODM market over the forecast period.
The cosmetics OEM/ODM Market was valued at USD 56,345.5 million in 2022 and is expected to grow at a 6.7% CAGR from 2023 to 2029
The increasing demand for natural and organic personal care products and increasing disposable income are expected to drive market growth over the forecast period.
The leading players in the global Cosmetics OEM/ODM market are Intercos, Kolmar Korea, Nihon Kolmar, Nox Bellow Cosmetics, Chromavis S.p.A, Ancorotti Cosmetics, KBL Cosmetics, BioTruly Company, Toyo Beauty, Cosmo Beauty, Bawei Bio-Technology, Easycare Intelligence Tech, Cosmax.
The increasing demand for natural/organic cosmetics products and increasing use of e-commerce platforms for buying of beauty products is expected to provide opportunities for the market’s key players over the forecast period.