Luxury Beauty Global Market Report 2025

The luxury beauty market size has grown strongly in recent years. It will grow from $71.85 billion in 2024 to $78.71 billion in 2025 at a compound annual growth rate (CAGR) of 9.5%. The growth in the historic period can be attributed to rising disposable incomes, increasing consumer awareness, growing demand for premium skincare products, a heightened focus on personal grooming, and the expanding influence of social media.

The luxury beauty market size is expected to see strong growth in the next few years. It will grow to $111.91 billion in 2029 at a compound annual growth rate (CAGR) of 9.2%. The growth in the forecast period can be attributed to the rising demand for clean beauty, growing interest in sustainable packaging, increasing adoption of digital beauty experiences, a growing preference for organic ingredients, and the expanding availability of luxury beauty products in emerging markets. Key trends in the forecast period include technological advancements in beauty product formulations, the development of digital beauty platforms, innovations in personalized skincare solutions, advancements in clean and cruelty-free beauty formulations, and progress in fragrance and cosmetic delivery systems.

The increasing e-commerce sales are expected to drive the growth of the luxury beauty market going forward. E-commerce sales refer to the buying and selling of goods or services conducted online through digital platforms, where payments and transactions are completed electronically. The growth in e-commerce sales is being fueled by expanding internet access and increasing smartphone usage, which make online shopping more convenient and accessible to a broader population. E-commerce enables luxury beauty brands to reach a larger customer base, deliver personalized shopping experiences, and showcase exclusive product offerings, thereby enhancing engagement and boosting potential sales. For instance, in February 2025, according to the Census Bureau, a US-based government agency, total e-commerce sales in 2024 were estimated at $1.19 trillion, representing an 8.1% increase (±1.1) compared to 2023. Furthermore, e-commerce accounted for 16.1% of total retail sales in 2024, up from 15.3% in 2023, underscoring the growing importance of online channels in retail. Therefore, the increasing e-commerce sales are driving the growth of the luxury beauty market.

Key companies operating in the luxury beauty market are focusing on developing innovative solutions such as premium haircare and skincare brands to cater to the rising demand for high-performance, science-backed beauty products. Premium haircare and skincare brands are high-end beauty lines that incorporate advanced formulations, high-quality ingredients, and cutting-edge technologies to deliver superior results and a luxurious experience. For instance, in October 2024, Reliance Retail Limited, an India-based retail company, through its beauty platform Tira, introduced the global luxury skincare and haircare brand Augustinus Bader in India. The brand is known for its patented TFC8 technology, a proprietary blend of natural amino acids, high-grade vitamins, and peptides developed through over 30 years of regenerative medicine research. This technology supports cellular renewal and skin healing, helping to minimize fine lines, wrinkles, redness, hyperpigmentation, stretch marks, and environmental damage, resulting in healthier, firmer, and more balanced skin. The formulations are designed to adapt to individual skin requirements across all genders, ages, and ethnicities, making them suitable for a wide range of users.

In April 2023, The Estée Lauder Companies Inc., a US-based cosmetics company, acquired Tom Ford for $2.25 billion. This acquisition aims to create new opportunities and strengthen The Estée Lauder Companies Inc.’s growth strategy for Tom Ford Beauty while expanding its presence in the luxury beauty and fashion market to enhance competitiveness among global luxury conglomerates. Tom Ford SA is a US-based company that offers luxury beauty products.

Major players in the luxury beauty market are Christian Dior Société Européenne, Procter And Gamble Company, Unilever Public Limited Company, L'Oréal Société Anonyme, Kering Group, Chanel Société Anonyme, Estée Lauder Companies Incorporated, Kao Corporation, Beiersdorf AG., Gucci S.p.A., Shiseido Company Limited., Shiseido Company Limited., Coty Incorporated, Puig Brands S.A, Burberry Group plc, Amorepacific Corporation, Clarins Group, Avon Products Inc., Revlon Inc., La Colline Skincare.

North America was the largest region in the luxury beauty market in 2024. Asia-pacific is expected to be the fastest-growing region in the forecast period. The regions covered in luxury beauty report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The intensifying U.S. tariffs and escalating trade tensions in spring 2025 are expected to have a significant impact on the chemicals sector, which is bearing a disproportionate burden, particularly from tariffs on petrochemicals and intermediates, where affordable domestic substitutes are often unavailable. Producers of specialty chemicals, heavily dependent on Chinese raw materials, are experiencing production disruptions. At the same time, fertilizer manufacturers are seeing profit margins eroded due to tariffs on phosphate imports. In response, companies are ramping up R&D into bio-based alternatives, forming procurement alliances to consolidate buying power, and shifting production to tariff-neutral nations such as Saudi Arabia.

The luxury beauty market research report is one of a series of new reports that provides luxury beauty market statistics, including luxury beauty industry global market size, regional shares, competitors with a luxury beauty market share, detailed luxury beauty market segments, market trends and opportunities, and any further data you may need to thrive in the luxury beauty industry. This luxury beauty market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Luxury beauty refers to premium cosmetic, skincare, and fragrance products developed using high-quality ingredients, advanced formulations, and elegant packaging to deliver an exclusive and refined consumer experience. These products are synonymous with prestige, status, and exceptional quality, appealing to discerning customers who are willing to pay a premium for superior performance and strong brand reputation.

The key product categories within luxury beauty include skincare, haircare, makeup, fragrances, and other related products. Skincare comprises high-end formulations made with premium ingredients and advanced technologies, designed to deliver outstanding results and an indulgent self-care experience. These products are used across a variety of applications, including personal care and grooming, the hospitality and spa sector, the fashion and entertainment industry, and retail and travel retail. They are distributed through several channels such as online retail, specialty stores, department stores, and other outlets, catering to a wide range of end users including men, women, and unisex consumers.

The countries covered in the luxury beauty market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The luxury beauty market consists of sales of face masks, serums, body oils, hair serums and oils and luxury bath and shower products. 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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