NEW YORK Consumer demand and innovative trends are expected to help drive the U.S. cosmecuticals market to $21 billion by 2012, according to recent research.
In its updated report, The U.S. Cosmecuticals Market, 6th Edition, Packaged Facts states that beneficial beauty products exploded in the retail sector during the first years of this century, reaching $16 billion in 2007.
Skin care, the largest cosmeceutical category, was valued at $8.9 billion alone in 2007. Furthermore, all of the cosmeceutical categories evaluated in the report—skincare, hair care and color cosmetics—rang in annual advances ranging from 4 percent to 7 percent during the 2003-2007 period, with an overall gain of 25 percent.
“The assortment of cosmeceutical products is constantly broadening,” stated Cathy Minkler, editor of Packaged Facts. “To cash in on consumer demand, marketers are creating extensions of existing brands, repositioning brands, or introducing new brands entirely. Sephora boutiques have opened in JCPenney stores and L’Oreal’s La Roche-Posay and Vichy brands have been sold in CVS, for example.”
Packaged Facts noted that “well-groomed” Web sites, TV infomercials and shopping networks have boomed in sales and become respectable, knowledgeable sources. Future trends will encourage marketers to expand premium brands and incorporate more natural and organic-based products on prime shelf real estate.