Luxury Perfume Market Report 2026

The luxury perfume market size has grown strongly in recent years. It will grow from $34.83 billion in 2025 to $37.41 billion in 2026 at a compound annual growth rate (CAGR) of 7.4%. The growth in the historic period can be attributed to heritage luxury brand expansion, rising disposable income, fashion house fragrance launches, duty free retail growth, celebrity endorsement influence.

The luxury perfume market size is expected to see strong growth in the next few years. It will grow to $49.27 billion in 2030 at a compound annual growth rate (CAGR) of 7.1%. The growth in the forecast period can be attributed to personalized luxury demand, sustainable ingredient sourcing, premium gifting culture, digital luxury retail growth, emerging market affluence. Major trends in the forecast period include rising demand for niche and artisan fragrances, growing preference for natural and rare ingredients, expansion of personalized and bespoke perfumes, increased focus on sustainable packaging, growth of direct to consumer luxury channels.

The rising consumer awareness about personal grooming is expected to drive the growth of the luxury perfume market in the coming years. As individuals become more conscious of self-image and its influence on social and professional interactions, personal grooming has gained significant importance. Luxury perfumes are increasingly viewed as an essential part of grooming routines, enhancing one’s scent profile, reinforcing self-confidence, and complementing personal style. For example, in September 2024, according to the U.S. Bureau of Labor Statistics, consumer spending on personal care products and services in the United States reached $950 in 2023, up from $866 in 2022. This growing focus on grooming and self-presentation is contributing to the expansion of the luxury perfume market.

Leading companies in the luxury perfume industry are also investing in artificial intelligence-driven personalization platforms to elevate the custom fragrance experience and enhance customer engagement. These platforms use AI algorithms to analyze an individual’s preferences, lifestyle, and personality traits, generating tailor-made fragrances that match each user’s unique profile. For instance, in April 2023, EveryHuman, a Netherlands-based fragrance technology company, introduced its Algorithmic Perfumery platform, which allows users to create personalized scent profiles through detailed inputs. The platform blends ingredients based on emotional and psychological responses, offering a direct-to-consumer model where customers can receive custom fragrances without visiting physical stores, with virtually limitless scent combinations available.

In June 2023, Kering Beauté, a France-based luxury beauty and fragrance brand provider, acquired Creed for an undisclosed amount. This acquisition aims to expand Kering Beauté’s expertise in high-end fragrance creation and strengthen its global footprint in the luxury perfume market by leveraging Creed’s long-standing heritage and craftsmanship in luxury perfumery.

Major companies operating in the luxury perfume market are LVMH Moët Hennessy - Louis Vuitton SE, L’Oréal S.A., CHANEL S.A., The Estée Lauder Companies Inc., Hermès International S.A., Shiseido Company Limited, Prada Holding S.p.A., Puig S.L., Kering S.A., Inter Parfums Inc., Coty Inc., Dolce & Gabbana S.r.l., Xerjoff S.r.l., Ormonde Jayne Limited, Arquiste Fragrances Inc., Zoologist Perfumes Inc., Imaginary Authors Inc., St. Clair Scents LLC, House of Matriarch LLC, Masque Milano S.r.l., Ojar Labs Inc., Jorum Studio LLC.

Europe was the largest region in the luxury perfume market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the luxury perfume market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the luxury perfume market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The luxury perfume market consists of sales of solid perfumes, rollerball perfumes, fragrance diffusers, scented candles, and perfumed lotions. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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