Cosmetovigilance Market Analysis

Cosmetovigilance Market Analysis

Pre-marketing services segment accounted for significant revenue share in 2018 and is poised to show over 6.7% CAGR by 2025. Focus of industry players on development of safe and effective products will increase the demand for pre-marketing cosmetovigilance services. Growing demand for various activities involved in pre-marketing services including product information file, cosmetic product safety report, security evaluation and notification to the Cosmetics Products Notification Portal (CPNP) will further spur the segment growth.

Post-marketing services segment was valued more than 1.9 billion in 2018 and will witness lucrative CAGR over the forecast period. Rising incidence of undesirable effects (UEs) as well as serious undesirable effects (SUEs) caused due to use of cosmetics has surged the need for cosmetovigilance services. Evaluation of safety profile of marketed cosmetics in consumers and enabling decision making process for risk management will foster segmental growth.

Makeup segment was valued over USD 500 million in 2018 and is estimated to show similar trend during analysis period. According to Environmental Working Group (EWG), average U.S. woman uses around 12 cosmetics or personal care products each day, containing more than 168 different chemicals. Additionally, as per the U.S. Centers for Disease Control and Prevention (CDC), presence of dibutyl phthalate (DBP), a chemical used in nail polishes to increase shine and flexibility is known to cause lifelong reproductive impairments. Such factors will surge the need to manage these safety issues thereby, boosting the segment growth.

Haircare segment accounted for considerable revenue share in 2018 and will witness robust CAGR of around 6.8% CAGR over the forecast period. Segment growth is attributable to increasing number of adverse effects reported for haircare products. Common undesirable effects associated with haircare products including hair breakage, hair loss and scalp problems will increase the demand for safe and clinically proven haircare products thus, driving the cosmetovigilance market growth.

Clinical research organizations (CROs) segment held over 25% revenue share in 2018 and is expected to grow substantially over the estimated timeframe. CROs offer accurate and real-time safety management of cosmetics in all phases of development, including pre- and post-market studies. CROs communicate directly with clients as well as regulatory authorities to ensure full control at every stage of the project thus, will accelerate segmental growth in the foreseeable future.
 

Business process outsourcing (BPO) segment is projected to show over 6% CAGR over the forecast period. Growing preference of companies towards outsourcing vigilance activities to retain its focus on company’s core competencies will favour segmental growth. Increasing adoption of advanced cosmetovigilance software by business process outsourcing firms will further accelerate the business growth.
 

Europe market accounted for more than 34% revenue share in 2018 and is estimated to witness similar trend over the analysis timeline owing to strict regulations for cosmetic products in the EU. The guidelines laid by EU requires companies to collect and assess reports of adverse health effects from their marketed cosmetic products. Moreover, introduction of centralized notification system has led to vast improvement in the current regulatory situation and has benefitted the multinational as well as non-EU companies. Thus, emphasis of companies on introducing safe cosmetics will augment the regional industry growth.
 

North America cosmetovigilance market held notable revenue share in 2018 and will show around 6.4% CAGR by 2025. Regional growth is attributed to high consumer spending on cosmetics along with awareness regarding personal health. Furthermore, government support  in the region regarding reporting of undesirable effects of cosmetics will further favor business growth. Growing concern on the safety of ingredients used in cosmetic products will positively influence the regional market growth.