Performance makeover: Revenue is forecast to expand despite declining in recent years

Industry operators distribute cosmetics, perfumes, soaps and other toiletries to department stores, pharmacies, supermarkets and speciality retailers. The industry plays an essential role in distributing a variety of goods to the downstream Cosmetics and Toiletries Retailers industry (IBISWorld report G47.750). Industry growth has been concentrated in the first half of the five-year period through 2018-19 as strong economic conditions spurred downstream demand. Revenue is expected to have declined for two years following the EU referendum as consumer confidence, discretionary incomes and spending fell. This is likely to have reduced demand for industry products, particularly in the luxury segment. Revenue is forecast to grow by 0.7% in 2018-19...read more.

Industry Statistics & Market Size
Revenue
£6.1bn
Annual Growth 14-19
0.3%
Forecast Growth 19-24
Profit
Employment
36,109
Businesses
1,579

Industry Threats & Opportunities

  • Manufacturers have introduced innovative products, supporting demand for wholesalers
  • Operators have adjusted their product portfolios to include a greater range of items aimed at men
  • The development of new fusion and ultra-niche products is likely to help stimulate demand
  • Industry Report - Starting a New Business Chapter

    The barriers to entering the Perfume and Cosmetics Wholesaling industry are moderate. New entrants have to overcome capital costs by investing in buildings and information systems to establish effective distribution and wholesaling processes. Since there are already a number of large players that have efficient systems in place, it can be difficult for new firms to compete. New entrants must also ensure that the products they sell comply with regulations governing permitted ingredients.The existence of well-established and vertically integrated operators that also operate at the manufacturing and retail level of the supply chain will act as a barrier to success. Suc...purchase to read more.

    Additional Insights for the Perfume & Cosmetics Wholesaling Industry

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

  • Having links with suppliers
  • Access to niche markets
  • Production of goods currently favoured by the market
  • IBISWorld analysts also discuss how external factors such as Demand from department stores and Real household disposable income in the Perfume & Cosmetics Wholesaling industry impact industry performance..

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    What's in this report

    What is the Perfume & Cosmetics Wholesaling Industry?

    Operators in the industry wholesale and distribute perfumes, cosmetic products, soaps and other toiletries. A range of distribution channels are used in order to target different consumer groups.

    Industry Products
  • Skincare products
  • Haircare products
  • Cosmetics
  • Fragrances and perfumes
  • Toiletries
  • Industry Activities
  • Wholesaling perfumes and fragrances
  • Wholesaling cosmetics and beauty products
  • Wholesaling soaps and other toiletries
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from department stores
  • Real household disposable income
  • Demand from cosmetics and toiletries retailers
  • Demand from supermarkets
  • World price of crude oil

  • Current Performance
  • Positive trends
  • Catering to consumer markets
  • Profit performance
  • Chart: Revenue Growth

  • Industry Outlook
  • A demographic boost
  • Innovation and distribution
  • Online society
  • Table: Perfume & Cosmetics Wholesaling Industry Revenue Outlook

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

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

  • Key Selling Industries
  • Perfume & Cosmetics Manufacturing

  • Products & Services
  • Toiletries
  • Skincare products
  • Fragrances and perfumes
  • Cosmetics
  • Haircare products
  • Chart: Perfume & Cosmetics Wholesaling Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Pharmacies
  • Supermarkets
  • Department stores
  • Other
  • Specialist retailers
  • Chart: Major Market Segmentation for the Perfume & Cosmetics Wholesaling Industry

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

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Perfume & Cosmetics Wholesaling Industry

  • Industry Globalization
    L'Oreal (UK) Ltd, Estee Lauder Cosmetics Ltd, Coty UK Ltd,
  • Table: L'Oreal (UK) Ltd - financial performance
  • Table: Estee Lauder Cosmetics Ltd - financial performance
  • Table: Coty UK Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Perfume & Cosmetics Wholesaling 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 Wholesaling Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Cosmeceutical
  • A cosmetic product that is claimed to have or has medicinal properties.
  • Cosmetics
  • Substances used to enhance the appearance or the body, particularly the face.
  • Perfumes
  • A mixture of fragrant essential oils and aroma compounds, fixatives and solvents designed to give a pleasing smell.
  • Toiletries
  • Also known as personal-care items, these are consumer products designed for beautification and personal hygiene.
  • Travel Retail
  • A term that commonly refers to sales made in travel environments where customers require proof of travel to access the commercial area.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Perfume & Cosmetics Wholesaling market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    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 Wholesaling:
    • 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 Wholesaling 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 Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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