Cosmetic Oil Market Analysis

Cosmetic Oil Market Analysis

Based on the source, the cosmetic oil market is segmented into vegetable oil and mineral oil. The global vegetable oil market size was valued at around USD 3.90 billion in 2020. Vegetable oil is the fastest-growing segment owing to its increasing demand in cosmetic applications. Vegetable oils, such as coconut, almond, palm, avocado, and essential oils, are widely used in cosmetic products owing to their ability to protect the skin and make it healthier.

Rising consumer awareness related to the benefits of vegetable oil on the skin has led to the increased product demand for its use in cosmetics. Moreover, increasing cosmetic product innovation by using different vegetable oils will further stimulate the cosmetic oil market share. Vegetable oils have also received a great deal of attention owing to their numerous biological activities and appealing technological qualities such as simple skin absorption and superior spreadability.

Coconut oil holds the largest market share due to its increasing use in hair care and skin care products. Coconut oil is widely used in cosmetic products due to its skin moisturizing properties. Coconut oil also treats skin illness & infection, heals wounds, and protects skin against blemishes. Furthermore, the increasing trend of organic & natural certifications in cosmetics has majorly boosted the demand for vegetable oils in recent times, thus propelling the overall market growth. The increasing innovation of cosmetic products by using different vegetable oils will further accelerate the cosmetic oil market growth.

The cosmetic oil market from hair care applications is expected to reach over USD 2.95 million by 2027. Cosmetic oil is prominently used in a wide range of hair care products such as hair oil, shampoos, conditioners, serums, and other hair styling products to provide a shiny & smooth texture to the hair. These oils also help to moisturize the scalp and aid in the growth of hair follicles. Further, the increasing importance of hair care & style in people's lives despite gender has positively impacted the demand for different hair care products.
 

Hair oil application held the largest share in the global cosmetic oil market from hair care application. Hair oils are considered an essential source of nutrients for hairs and help in hair conditioning and moisturization. It has also motivated manufacturers to become more focused on hair products along with their efficacy & components.

Cosmetic oil demand from shampoos was estimated to be valued at USD 300 million in 2020. Fast-changing lifestyle adoption of a hectic schedule, and increased stress levels has resulted in increased hair loss at an earlier stage among the young population, thus the usage of hair care products has been highly important.

Global cosmetic oil market is segmented based on function as hair conditioning, skin conditioning & moisturizing, and others. Global cosmetic oil market for skin conditioning & moisturizing is estimated to reach a value of around USD 4.05 billion by 2027. Cosmetic oils are used as skin conditioners to enhance the appearance of dry & damaged skin by restoring suppleness and reducing flaking.
 

Skin conditioning & moisturizing is the fastest growing segment owing to the increasing skin problems due to increased genetic disorder, pollution, and hormonal imbalance, among others. Rapid urbanization and increasing pollution levels along with the rise in awareness about various skin care products will boost the cosmetic oil market revenue.
 

North America cosmetic oil market is expected to witness high growth and will reach a value of over USD 1.75 billion by 2027 owing to the increasing demand for multifunctional & advanced cosmetic products owing to the changing lifestyle and busy working schedules. Further, the presence of major cosmetic brands in the region along with the innovation and R&D performed for new product development will provide new growth opportunities.
 

Increasing cases of early aging and graying of hairs mainly in youth population due to the lack of nutrition and other vitamins will pace up the sale of hair care products. across North America. Further, the market for cosmetic oil is prominently driven by the consumption of vegetable oils in basic & personal care products, thus driving the market growth during the forecast timeframe.