Water-Based Moisturiser Market Size Projection (2024–2030)

The estimated growth of the Water-Based Moisturiser Market is poised to ascend from USD 2.43 billion to USD 3.62 billion by the year 2030. Demonstrating a robust Compound Annual Growth Rate (CAGR) of 5.85% during the period from 2024 to 2030. This expansion is primarily fueled by the increasing awareness regarding skincare, alongside the escalating usage of cosmetic products by both genders, particularly in emerging economies.

Water-Based Moisturiser Market Overview:

The moisturizer, a skincare essential, aims to hydrate the skin while imparting a healthy radiance. Creams and lotions constitute the two primary forms of moisturizers. Personalized skincare solutions are gaining traction among consumers, notably in the United States. With a growing inclination towards herbal beauty products, the demand for creams, serums, and moisturizers enriched with herbal ingredients is projected to surge significantly over the forecast period. These products are esteemed for their superior quality and minimal adverse effects, thereby augmenting their appeal among consumers.

Rising investments in product research and development, coupled with the burgeoning trend of herbal ingredient-based skincare solutions, have incentivized manufacturers to introduce novel offerings. Face creams and moisturizers are garnering increasing popularity worldwide, propelled by heightened consciousness regarding physical appearance and skin health. Furthermore, the burgeoning preference for cruelty-free products, driven by heightened awareness regarding animal welfare and environmental concerns, has precipitated a surge in demand for vegan or plant-based formulations in these products. The advent of online distribution channels has profoundly transformed consumer purchasing behavior, offering conveniences such as doorstep delivery, seamless payment methods, attractive discounts, and access to a diverse array of products on a single platform. Key market players are progressively launching e-commerce platforms in lucrative markets, capitalizing on the expanding internet penetration and the growing prevalence of mobile shopping among consumers.

Impact of COVID-19 on the Water-Based Moisturiser Market:

The COVID-19 pandemic precipitated swift lockdown measures across numerous regions worldwide to curb the spread of the virus, resulting in the abrupt closure of factories, retail outlets, and other businesses. The global market for non-essential products witnessed a steep decline in both demand and supply, exacerbated by travel restrictions.

Consequently, manufacturers of moisturizer products were compelled to shutter their production facilities due to labor shortages induced by the global lockdown. Moreover, the pandemic prompted the closure of numerous cosmetics retail stores.

However, the utilization of online platforms for product purchases may offer a temporary respite to the market. In these challenging times, online shopping portals present a convenient and accessible alternative. These platforms boast a diverse product selection and offer convenient payment options to consumers.

Market Drivers:

Increasing awareness regarding the benefits of maintaining healthy skin is propelling market growth:

Growing awareness about the advantages of maintaining healthy skin, driven by rising skin concerns, has led to a consistent surge in demand for various skincare products. The market has witnessed an exponential rise in demand for anti-aging products, sunscreen lotions, and moisturizers owing to the aging population globally and harsh climatic conditions.

Demand from the male demographic segment is poised to drive market growth:

Furthermore, a surge in demand for male grooming products, particularly facial care products, constitutes a key factor propelling the growth of the global moisturizers market. The younger demographic, aged over 15 years, is increasingly proactive in the facial skincare category. Heightened awareness regarding the benefits of grooming among men has also contributed to the expansion of the moisturizer market.

Market Restraints:

Competition from oil-based and butter-based products is restraining market growth:

Moisturizers face formidable competition from various natural oil-based substitutes such as coconut oil, almond oil, aloe vera gel, and cocoa butter. This factor is likely to impede market growth during the forecast period. Oil-based alternatives have emerged as viable options for the mass market, offering affordability and easy accessibility. This is anticipated to hinder the growth of the moisturizer market. Nevertheless, increasing awareness regarding the use of natural products among millennials is expected to create new avenues for natural-based moisturizers. Additionally, manufacturers are pivoting towards green and organic products to capture a significant portion of the population inclined towards such products.

Water-Based Moisturiser Market - By Distribution Channel:

• Online
• Offline
• Supermarket
• Stores
• Others

Regarding distribution channels, the segment of supermarkets and hypermarkets claimed the largest revenue share, exceeding 40.0% in 2021. These retail giants offer significant advantages to consumers, including a wide selection, competitive pricing, and prominent display of global brands, making them a preferred platform for skincare product consumers across various demographics. Notably, leading UK supermarkets such as Tesco, Sainsbury’s, Asda, and Morrisons collectively dominated 63% of retail sales, as reported by an Entrepreneur Handbook article in July 2021. The appeal of supermarkets and hypermarkets lies in their ability to cater to diverse consumer needs while offering competitive pricing and extensive brand visibility.

The convenience stores channel is projected to witness a steady Compound Annual Growth Rate (CAGR) of 4.9% from 2022 to 2030. Convenience stores attract certain consumers due to their ease of access, widespread presence, and the convenience of purchasing familiar products regularly. These stores tend to stock a wide range of beauty and skincare products in response to increasing consumer demand in this category. With their moderate product selection and focus on facilitating quick purchase decisions, convenience stores play a significant role in serving consumers' skincare needs.

Water-Based Moisturiser Market - By Gender:

• Women
• Men
• Others

Concerning gender segmentation, the female segment dominated the market with a revenue share exceeding 60.0% in 2021 and is expected to maintain this lead throughout the forecast period. Women are increasingly incorporating personal grooming products into their daily routines to enhance confidence and appearance, driving significant growth in this segment. Additionally, the growing emphasis on self-care has encouraged women to adopt elaborate skincare regimens at home, leading to increased demand for skincare products with active ingredients offering healing and nourishing properties, such as creams, lotions, masks, serums, and scrubs.

The male segment is poised to register the highest CAGR of 5.0% from 2022 to 2030. Factors such as rising awareness among men regarding personal hygiene and grooming, expanded product offerings, celebrity endorsements, and increasing disposable income are driving the expansion of the men's skincare market. Men's interest in skincare products extends beyond traditional grooming items like deodorants and razors to include specialized products such as anti-aging creams and sunscreens. The demand for anti-aging products and sun protection among men is expected to witness significant growth in the near future.

Water-Based Moisturiser Market - By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East
• Africa

Geographically, Asia Pacific is expected to remain a promising market for moisturizers during the forecast period, driven by the economic growth in countries such as China, India, and other Southeast Asian nations, leading to improved living standards. Rising disposable incomes, coupled with increased awareness about skincare across all age groups, are likely to fuel market growth in the region. Asia Pacific accounted for the largest revenue share, exceeding 35.0% in 2021. The growth of the chemical industry in countries like India and China, supported by favorable government policies, is expected to ensure uninterrupted access to raw materials for skincare product manufacturers, further bolstering the market in Asia Pacific.

Water-Based Moisturiser Market Share by Company:

Several companies, including:

1. Clinique Laboratories LLC
2. Neutrogena
3. Ancalima Lifesciences Ltd
4. Guthy-Renker
5. Murad Inc
6. L'Oréal S.A
7. The Mentholatum Company Inc
8. Kosé Corporation
9. Galderma Laboratories LP

And others play a pivotal role in the market. Major firms such as L’Oréal are adapting their strategies to prioritize providing informative content for digital advertising, moving away from traditional advertising channels like magazines and newspapers.

For instance, Merle Norman Cosmetics, a Singapore-based beauty tech startup, introduced an AI-powered skin diagnosis tool in March 2020. This tool allows users to receive personalized skin recommendations based on their skin health assessment using the product's selfie mode.

Companies are increasingly focusing on developing innovative moisturizing solutions to effectively improve skin conditions. Additionally, they are leveraging technology to provide consumers with digital interfaces and personalized skincare product recommendations based on their skin type. The cosmetics market is heavily influenced by research and development (R&D) efforts and marketing initiatives, which key players are investing in to influence consumer purchasing decisions and enhance product attractiveness in the retail landscape. Moreover, the increasing number of internet users in emerging economies has prompted major companies to shift their marketing spending towards digital platforms in response to global digitalization trends.

NOTABLE EVENTS IN THE GLOBAL WATER-BASED MOISTURISER MARKET:

Product Launch: In March 2021, Shiseido Co. Ltd. announced the launch of ULTIMUNE Power Infusing Concentrate III in Japan, a renewed version of the iconic serum ULTIMUNE Power Infusing Concentrate N, available in approximately 380 stores nationwide and on its beauty website, watashi+.

Expansion: In June 2021, Beiersdorf AG’s NX NIVEA Accelerator expanded into China, selecting the top five startups for a new program in Shanghai.