Wrinkled performance: Revenue has been volatile over the past five years, declining overall

The Perfume and Cosmetics Manufacturing industry has shrunk over the past five years, largely owing to a sharp contraction in revenue in 2015-16. This is expected to have been due to a combination of falling consumer and business confidence and a strengthening of the exchange rate, which led to a continued contraction in export values. Despite this, the industry has been characterised by product innovation and diversification over the five years through 2018-19. New products include eco-ethical products and natural and organic cosmetics and perfumes, which have been introduced partly in response to increasingly sophisticated consumer tastes and the growth of ethical consumerism...read more.

Industry Statistics & Market Size
Revenue
£4.2bn
Annual Growth 14-19
-2.0%
Forecast Growth 19-24
Profit
Employment
15,220
Businesses
613
Market Share of Companies

Industry Threats & Opportunities

  • The weak pound has not abated a long-term decline in exports, and revenue has fluctuated
  • Sustainability has become a prominent concern, with packaging coming under the spotlight in particular
  • The ongoing rise of eco-consumerism is expected to continue to guide the industry’s development
  • Industry Report - Starting a New Business Chapter

    In general terms, the barriers to entering the industry are medium. There are many established manufacturers that operate on a global scale and benefit from the lower production costs that economies of scale bring. They also have significant promotional resources, which combine with successful brand names to give them an advantage in competing for the shelf space necessary to market products. The size and nature of the global operations of Procter & Gamble is a good case in point. The group’s 25 largest brands each generate revenue of more than US$1 billion (£644.1 million). A strong market position gives players a greater advantage when negotiating with trade customers. This dominance can be a substantial obstacle for potential new entrants that wish to compete in the mass market...purchase to read more.

    Additional Insights for the Perfume & Cosmetics Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Perfume & Cosmetics Manufacturing Industry are

  • Having a clear market position
  • Ability to accommodate environmental requirements
  • Production of premium goods/services
  • IBISWorld analysts also discuss how external factors such as Real effective exchange rate and Real household disposable income in the Perfume & Cosmetics Manufacturing industry impact industry performance..

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    What's in this report

    What is the Perfume & Cosmetics Manufacturing Industry?

    The industry is made up of companies that manufacture perfumes and toilet  preparations. These include perfumes, make-up, haircare and body-care products, oral hygiene products, shaving preparations and cosmetic soap.

    Industry Products
  • Skincare products
  • Haircare products
  • Hygiene products
  • Makeup
  • Fragrances
  • Industry Activities
  • Manufacturing perfumes and toilet water
  • Manufacturing beauty and make-up preparations
  • Manufacturing sunburn prevention and suntan preparations
  • Manufacturing manicure and pedicure preparations
  • Manufacturing shampoos, hairspray, waving and straightening preparations
  • Manufacturing dentifrices and preparations for oral hygiene
  • Manufacturing cosmetic soap
  • Manufacturing shaving preparations, including pre-shave and aftershave preparations
  • Manufacturing deodorants, bath salts and depilatories
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real effective exchange rate
  • Real household disposable income
  • Demand from perfume and cosmetics wholesaling
  • Demand from department stores

  • Current Performance
  • New products
  • Ethical consumerism
  • Social media fix
  • Global influences
  • Chart: Revenue Growth

  • Industry Outlook
  • International markets
  • Eco options
  • Tech effects
  • Table: Perfume & Cosmetics Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Perfume & Cosmetics Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Supermarkets
  • Dispensing Chemists
  • Cosmetics & Toiletries Retailers
  • Hairdressing & Beauty Treatment

  • Key Selling Industries
  • Essential Oil Manufacturing
  • Organic Basic Chemical Manufacturing
  • Soap & Detergent Manufacturing

  • Products & Services
  • Skincare products
  • Haircare products
  • Makeup
  • Fragrances
  • Hygiene products
  • Chart: Perfume & Cosmetics Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Pharmacies
  • Supermarkets
  • Speciality stores
  • Department stores
  • Direct sales and home shopping customers
  • General retailers
  • Chart: Major Market Segmentation for the Perfume & Cosmetics Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Perfume & Cosmetics Manufacturing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Perfume & Cosmetics Manufacturing Industry

  • Industry Globalization
    Unilever UK Limited,
  • Table: Unilever UK Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Perfume & Cosmetics Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Perfume & Cosmetics Manufacturing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Cosmeceutical
  • Products that provide health benefits in addition to traditional cosmetic qualities.
  • M-Commerce
  • The buying or selling of goods and services through wireless handheld devices.
  • Nutricosmetics
  • Nutritional supplements that can support the function and the structure of the skin by including substances such as vitamin C.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Perfume & Cosmetics Manufacturing market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Perfume & Cosmetics Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Perfume & Cosmetics Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Perfume & Cosmetics Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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