Colour Cosmetics Market Report

Face makeup dominates the colour cosmetics market, outpacing other product categories. The rising awareness of beauty trends and the improvement of lifestyles significantly contribute to the growth of the colour cosmetics sector. The face makeup segment includes products such as foundations, powders, blushes, and highlighters, all designed to enhance facial appearance. The demand for face makeup colour cosmetics is fuelled by the rising popularity of beauty trends that improve facial structure, offer anti-aging benefits, and cover dark circles. These features particularly attract working women, driving their interest in purchasing innovative products. Consequently, this surge in demand is propelling the growth of the colour cosmetics market.

In colour cosmetics industry, continuous advancements in product formulation have become pivotal in capturing consumer attention and driving market sales. Innovations among the lipsticks, like long-lasting wear, superior texture, and having beneficiary ingredients for lips, are strategies to meet the changing and evolving demands of consumers for colour cosmetics products. One of the renowned colour cosmetics producers, Revlon, offers the ‘Satin Ink Liquid Lipstick’ that fulfills the demand of every consumer by providing features like long-lasting lipstick that doesn’t dry out off the lips. It comes with moisturizing properties due to the presence of black currant seed oil and Vitamin E which prevent cracked lip colour.

In addition, Revlon has the technological advancements to stay competitive in such a huge cosmetic market. Recently, Revlon, Inc. stated that they have effectively implemented two strategic activations with ACTV8me, a platform for interactive advertising technology solutions. ACTV8me engaged with customers by utilizing its unique Sequential QR codesTM (SQR codes) to provide custom experiences and special offers. Revlon is the pioneer in the beauty industry to utilize this technology in order to send out promotional offers, coupons, beauty-related information, and new product launches in a sequential manner to their customers through ACTV8me's advanced SQR code solution. Thus, such a technological advancement creates opportunities for colour cosmetics to gain market share in colour cosmetics.

The challenge of product recalls presents a significant hindrance for manufacturers, often spoiling the reputation of the company and generating negative publicity among consumers. An illustrative example is the case of Kanebo Cosmetics, a subsidiary of the esteemed Kao Corporation Group. In April 2024, they took the proactive step of initiating a voluntary recall for products within their ‘KATE THE EYE COLOUR’ (MARBLE INK) lineup, which was released on January 20, 2024. The recall was prompted by the discovery of minute aluminum fragments found within the product packaging, raising concerns about potential injury risks, particularly when applied around the delicate eye area. With immediate effect from April 11, products bearing specific serial numbers were identified and recalled as a precautionary measure.

Moreover, in economic downturn periods, manufacturers often resort to raising prices for their cosmetic products, seeking to reduce financial pressures and maintain profitability. However, this strategy can have unintended implications, particularly for price-sensitive consumers. Increased product prices certainly lead to reduced adoption rates, hampering market penetration for colour cosmetics. Furthermore, the rising awareness among consumers for the preservation and protection of the environment and animals has impacted producers to shift towards plant-based cosmetic products, affecting market growth. In addition, government regulations in many countries limit the application of resources for environmental protection, that leads to a decline in the sales of cosmetic products.

Major key players emphasize on marketing strategies such as new product launches, mergers, and acquisitions in order to enhance their consumer base and advance company’s product portfolio. For instance, in April 2024, the collaboration between The Estee Lauder Companies (ELC) and Strategic Materials (SMI) aims to bolster packaging sustainability within the cosmetics industry. Their collaborative efforts, culminating in a multi-year study, have focused on identifying opportunities to enhance the recyclability of cosmetic glass packaging and increase the availability of recycled materials. Through extensive testing of over 200 glass beauty containers and packages, they have delved into the complexities of luxury decorations, colours, and formats to uncover potential barriers to recyclability. The forthcoming publication of their findings promises to serve as a catalyst for promoting packaging sustainability across North America's cosmetics sector, inspiring strategic design initiatives industry-wide.

Furthermore, in September 2023, Shiseido introduced a pioneering "Water Sensing Technology," designed to capture colour pigments during lipstick application by detecting moisture evaporating from the lips. This innovative approach results in the formation of an intricate network of colour pigments that interconnect and adhere closely to the lips, ensuring prolonged colour retention. Unlike conventional lipsticks that rely on strong adhesive oils or film-forming agents to maintain colour integrity, lipsticks incorporating Water Sensing Technology inhibit the solidification of the coating film. Shiseido has successfully formulated a lipstick solution that offers a lightweight and smooth sensation on the lips while delivering enduring colour payoff.

In addition, in July 2022, Origin Materials, Inc. and Revlon, Inc. forged a partnership to pioneer carbon-negative materials tailored for future cosmetic packaging. As part of the collaborative endeavor, Revlon has committed to procuring substantial quantities of Origin PET through the formalization of a communication of understanding. The joint initiative is geared towards expediting the development and commercialization of innovative, environmentally-friendly materials for cosmetic packaging by leveraging Origin's proprietary technology platform. These materials are composed to boost Revlon's predominant sustainability objectives, including their commitment to promoting responsible and ethical sourcing practices to smoothly navigate the complexities of a global supply chain.

The Asia Pacific region dominates the global colour cosmetics market share over the forecast period. The Asia-Pacific region is hot and humid, which means the demand for long-lasting and water-proof makeup that can withstand sweat and humidity is huge. This climate led to the development of innovative formulations that provide long-wear benefits. But many Asian beauty brands focus on skin ingredients in their makeup products. This is because Asians believe that makeup should not only improve the physical appearance but also nourish and protect the skin. Consumer interest in and preference for colour cosmetics is evidently rising as they become more conscious of how they look and want to improve their lifestyle.

However, during the course of the forecast period, the global market for colour cosmetics is anticipated to grow at the faster rate in North America and Europe. Rapid technical improvements and high disposable income in North America define the region's large proportion of the worldwide market. Producers are focussed to innovate by the region's growing demand for organic products and its economic viability. The demand for cosmetics, especially high-end brands, has developed as a result of shifting consumer lifestyles, promoting to the expansion. In the meantime, consumers looking for natural and organic beauty products driven by environmental concerns are growing the market for colour cosmetics in Europe. The trend toward environmentally friendly and sustainable ingredients is serving to fuel the expansion of natural and organic beauty products.