The global Cosmetic Serum Market is estimated to be valued at US$ 3.86 Bn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Cosmetic serum is a skincare product with a fluid consistency that soaks quickly into the skin and provides concentrated dose of active ingredients. Cosmetic serums contain highly effective ingredients in very small quantity, therefore they are more potent than regular creams or lotions. Key ingredients in serum include hyaluronic acid, vitamins A, C and E, peptides and botanical extracts. Serum provides anti-aging, brightening and hydrating benefits to the skin. It helps reduce the appearance of fine lines, wrinkles, dark spots and improve skin texture. Serum forms a protective film on skin and shields it from external damaging elements.
Market key trends:
Rising influence of social media and changing consumer preferences towards anti-aging products are key driving factors for the cosmetic serum market. As per the American Academy of Dermatology, cosmetic procedures for anti-aging have increased by 124% from 1997 to 2016. Another key trend is the increasing demand for natural and organic serums. Consumers are more inclined towards ingredients sourced from plants rather than chemicals. Product innovations targeting specific skin concerns such as dark spots, hydration and acne are also gaining popularity. Introduction of multi-functional serums combined with sun protection is further increasing the demand in the market.
Porter’s Analysis
Threat of new entrants: The cosmetic serum market has moderate barriers for new entrants due to strong branding of existing players and high R&D and marketing costs required to enter the market.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of numerous product options from competitors. However, brand loyalty keeps bargaining power of buyers in check.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of substitute raw materials. However, suppliers of technology and innovation have some bargaining power.
Threat of new substitutes: Threat of new substitutes is low as emerging natural ingredients are complementary to existing product offerings rather than acting as direct substitutes.
Competitive rivalry: Competition in the cosmetic serum market is high among the major global players.
Key Takeaways
The Global Cosmetic Serum Market Size is expected to reach US$ 6.25 Bn by 2030, exhibiting a CAGR of 5.0% during the forecast period. The rising demand for natural and organic skincare products is driving the growth of the market.
The Asia Pacific region dominated the cosmetic serum market in 2023 with a share of around 35%, owing to increasing spending on personal care products and growing awareness about cosmetic products in developing countries like China and India. Europe held the second-largest market share, due to presence of major players and high consumer spending on premium products in the region.
Key players operating in the cosmetic serum market are L’Oréal S.A., Estée Lauder Companies Inc., Shiseido Company, Limited, Procter & Gamble Co., Johnson & Johnson Services, Inc., Beiersdorf AG, Unilever PLC, The Body Shop International Limited, Kao Corporation, Colgate-Palmolive Company, Amway Corporation, Avon Products, Inc., Mary Kay Inc., Clarins Group, Coty Inc. L’Oreal captured the largest market share in 2020, driven by its wide range of high quality skincare serums across various price points.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
