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Cosmetic Industry In India

Bearing a long glowing heritage of cosmetic and beauty, aesthetic makeup
products is being used since olden days and nowadays it appear like a
booming economy in India which would be the largest cosmetic consuming
country in a next few decades. While the demand of beautifying substances
are growing day by day, a large number of local as well as international
manufacturers gradually extend their ranges and products in different
provinces of India

Size of the Industry

The size of Indian Cosmetics Industry globally is $ 274 billion, while that of
the Indian cosmetic industry is $ 4.6 billion.
Market Capitalization
According to analysis and figures given by the Confederation of Indian
Industries (CII), the total Indian beauty and cosmetic market size currently
stands at US$950 million and showing growth between 15-20% per annum.
Output per annum
Industry sources estimate a rapid growth rate of 20% per annum
Percentage in World market
The overall beauty and wellness market that includes beauty services stands
at about US$2,680 million, according to CII estimates.
Industry Growth
Industry Revenue Growth (5yr CAGR):3.4%
Highest Growth Categories*:
Sun Protection Products (5yr CAGR): 4%
Men's Grooming Products (5yr CAGR):3%

Key Players:

Lakm is the Indian brand of cosmetics, owned by Unilever. It started

as a 100% subsidiary of Tata Oil Mills (Tomco), part of the Tata Group; it
is named after the French opera Lakm, which itself is the French form
of Lakshmi, the goddess of wealth who has is also renowned for her
beauty.

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Revlon is an American cosmetic for skin care, fragrance, and Personal

Care Company founded in 1932.

Oriflame Cosmetics S.A. (Luxembourg) is a cosmetics group, founded in

1967 in Sweden by the brothers Jonas AF Jochnick and Robert AF
Jochnick.

The L'Oral Group is the world's largest cosmetics and Beauty

Company. It concentrates on hair colour, skin care, sun protection,
make-up, perfumes and hair care.

Chambor cosmetic line is a blend of the finest traditions in terms of

radiant color, soft texture and skin accentuator.

Maybelline is a makeup brand sold worldwide and owned by L'Oral.

Avon Products, Inc. is a US cosmetics, perfume and toy seller with

markets in over 140 countries across the world.

Make-up Art Cosmetics or MAC Cosmetics, is a manufacturer of

cosmetics which was founded in Toronto, Canada by Frank Toskan and
Frank Angelo in 1984

ColorBar cosmetics are one of the leading brands of color cosmetics in

India.

Street Wear is a young, funky and hip brand which globally is

positioned at the young and trendy shopper and the range consists of
about 30 SKUs covering categories like nail enamel, lipsticks, lip gloss,
face make-up kits and eye shadows.

Currently, the market size of the cosmetics industry in India is estimated to

be worth US$1.5 billion, and is expected to double to US$3 billion by 2014.
The industry has been growing at an annual rate of almost 20%, twice the
rate in the United States or Europe. A market surge of 19% Compound
Annual Growth Rate (CAGR) is anticipated till the year 2014.

Indian cosmetic markets a fascinating market - the Indian cosmetic

market caters to all sections of society, products ranging from a mere $2 to
about $1000. The higher-end market range is considered to be within $20 to

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$200, while the middle market consumes products that are priced below $20.
Increased brand choices caused growth of many brands such as LOral,
Maybellene, Lakme, and others. People today ask for quality of products. This
change is across the segments - all classes of towns and cities and mega
cities - people have moved towards quality of products and self
consciousness can be seen as important in rural towns as well.
The MNCs recognise the importance of tapping into the Indian rural market
which is 70% of the Indian population, i.e. nearly 900 million people. To
benefit the market and show commitment, many cosmetic companies, such
as LOral, have set up research facilities, Amway and Oriflame have also set
up manufacturing facilities and some of them even export from India to other
markets - investing millions of dollars in India has been a good strategy for
India and has allowed them to to embrace the market and give themselves a
cutting edge over other players.