Global Cosmetics OEM/ODM Market Size by Type (OEM and ODM); by Application (Skincare, Makeup, Haircare, and Others) by Region and Forecast 2015 to 2025
May 2019
Total Pages: 81
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The global cosmetics OEM/ODM market was estimated at USD 50.91 billion in 2018 and is expected to grow at a CAGR of 5.3% over the forecast period. The OEM/ODM market dynamics run parallel to the global cosmetics market as majority of the cosmetic brands depend on original equipment manufacturers and design manufacturers to ensure maintenance of consistent supply of products in the market.
With changes in the demands of consumers, the cosmetic manufacturers introduce new products in the market and get business growing for OEM/ODM companies. The cosmetics industry is high marked by seasonal trends as variety of products are available for various environmental seasons. Similar production trends are also seen in the manufacturing facilities of major OEM/ODM players.
The cosmetics OEM ODM Market is completely dependent on the dynamic changes happening within the cosmetics and personal care products market. Being driven by demands on consumers, predicting the trends within the cosmetics industry is very uncertain as it changes depending on age, ethnicity, and demographics. The skincare segment has been showing tremendous growth within the cosmetics market hence, large number of contracts have been given to the OEM manufacturers for supply of products such as sunscreens, BB creams, moisturizers, gels etc.
Previously within the U.S., colored cosmetics such as lipsticks, mascara, eye makeup and others contributed major market share but, currently the trend has shifted towards skincare products. The skincare segment has also observed market entry of large number of players with innovative products on shelf for all income groups.
Demand for organic cosmetics has been growing in developed as well as emerging economies. Within the U.S., more than 55% of the women considered buying natural skincare products instead of the ones containing chemical excipients available on shelf today. Consumer perception that natural products improve skin tone and texture is the key factor influencing the purchase behavior within the consumers.
Key Segments of the Global Cosmetics OEM/ODM Market
Type Overview, 2015-2025 (USD Million)
- OEM
- ODM
Application Overview, 2015-2025 (USD Million)
- Skincare
- Haircare
- Makeup
- Others
Regional Overview, 2015-2025 (USD Million)
- North America
- U.S.
- Europe
- Germany
- UK
- Asia Pacific
- China
- India
- Japan
- South Korea
- Central & South America
- Middle East & Africa
Reasons for the study
- While studying the global cosmetics OEM/ODM market, we observed lucrative demand from developing countries such as India, Thailand, South Korea among others
- The market is fragmented with regional dominance of domestic players. The companies are concentrating on developing new products to cater the dynamic changes from consumers
- Continuous portfolio expansion by cosmetic brands has opened new business opportunities for OEM/ODM companies
What does the report include?
- The report focuses on cosmetics OEM/ODM market on the basis of treatment type and application
- The study assesses the dynamics and movement of the global cosmetics OEM/ODM market across various geographies
- The study on the global cosmetics OEM/ODM market includes qualitative factors such as drivers, restraints and opportunities.
- The study covers qualitative and quantitative analysis of the market segmented on the basis of type, application and region. Moreover, the study provides similar information for the key geographies
- Actual market sizes and forecasts have been provided for all the above-mentioned segments
- The study includes the profiles of key players in the market with a significant global and/or regional presence
Who should buy this report?
- The report on the global cosmetics OEM/ODM market is suitable for all the players across the value chain including cosmetic companies and OEM/ODM
- Venture capitalists and investors looking for more information on the future outlook of the global cosmetics OEM/ODM market
- Consultants, analysts, researcher, and academicians looking for insights shaping the global cosmetics OEM/ODM market
With portfolio expansion of cosmetic giants such as L’Oreal, Unilever, Estée Lauder, Proctor and Gamble, and many more is expected to increase business for OEM/ODM companies as OEM ODM play vital role in the industry value chain. Continuous product launches by market leaders as well as domestic players is expected to create large businesses for OEM ODM companies.
The year 2017 was the most successful year in the history of cosmetics industry. With large number of product launches by various manufacturers, various Rihanna launched her makeup collection. Additionally, new launches are expected to hit in 2019 expecting OEM to get contracts for manufacturing.
|
Company/Designer/Brand |
Product |
|
Kendo Holdings |
Body Lava |
|
Pat McGrath Labs |
Eyedols Eye Shadow Singles |
|
Milk Makeup |
KUSH Lip Balm |
|
Sephora USA, Inc. |
x Marvel |
|
Natasha Denona |
All Neutral Biba Palette |
|
Ever Forever |
Daily Facial Foundation |
Source: Adroit Market Research © 2019
OEM ODM players currently cater cosmetic giants with long term contracts. However countries or regions which are highly dependent on cosmetics import are expected to act a potential markets for OEM ODM companies. Largest importing countries such as china, Hong Kong, U.S., Singapore, Germany, and France are expected to be potential markets for OEM ODM pertaining to presence of well established customer base, increasing/increased spending on beauty products and overall personal care. Luxury cosmetics segment is expected to show tremendous growth in coming years pertaining to increased spending’s on high end skin care products by middle income as well as elite class within the society. Premium skincare products are expected to show highest growth potential owing to consumers’ willingness to try and use new products entering the market. High brand value, use of celebrities as brand ambassadors are two social factors influencing the growth of luxury cosmetics.
Large pool of investors are also pacing up with the potential in luxury cosmetics market. Large number of mergers & acquisition deals took place in last 2 years which attracted equity investors towards these companies. In 2016, 22 M&A deals were signed for luxury cosmetics & fragrances industry which grew to 28 in 2017. During 2016 and 2017, Europe was the only region which depicted highest growth in the number of deals.
The global ODM market was valued over USD 33 billion in 2018 and is expected to cross 49 billion by 2025. ODM stands for original design manufacturer and it differs from OEM in terms of R&D. ODM companies offer contract manufacturing as well as product development and research.
New product launch demands rigorous research & development in which ODM companies provide expertise. Cosmetic companies majorly focus on distribution network and branding/marketing of their products. Some lack efficient R&D hence depend on ODM companies for their products. Increasing demand for cosmeceuticals is expected to drive the ODM sales in coming years as these products contain pharmaceutical ingredients with cosmetic formulation. Incorporation of API within cosmetics require strong R&D and regulatory clearance which is provided by ODM companies.
Skincare cosmetics follow seasonal trend hence new products are launched in every season making it very dynamic in terms of demand as well as supply. ODM companies need to track down seasonal demand by region to cater the client’s requirements in order to deliver successful product in the market.
Anti-ageing skincare products are expected to show tremendous growth potential as unhealthy lifestyle, irregular eating habits show direct effect on skin of the working population across the globe. Spur in consumption of anti-ageing cosmetics by millennials and generation X on account of inclination towards beauty and aesthetics in both genders is expected to drive the demand for skincare in coming years. OEM/ODM companies depend on the cosmetic companies for business prospects, hence the trends within cosmetics market directly reflect the OEM/ODM business.
Within skincare, face creams segment occupies the largest market share pertaining to availability of large number of products under the shelf in the category. Products such as skin brightening creams, moisturizers etc. are most sellable products and are minimally effected by seasonal demand. Whereas, anti-tan creams have highest demand in summers where temperatures peak and UV protection is required.
Product innovation in skincare segment has been a remarkable growth contributor as customers always tend to purchase latest products in the market. Ingredients such as bakuchiol, pumpkin, and blue algae, are getting popular within the formulations and are expected to show high acceptance rates amongst the population. Bakuchiol is a natural retinol analogue without the side effects of retinol making it a prominent substitute. Anti-aging products and anti-acne products are expected to incorporate the ingredient to show positive results.
In 2017, Asia Pacific accounted for major market share in global cosmetics OEM/ODM market and is anticipated to preserve its dominance by 2025. Presence of key countries having major stake in supply of OEM/ODM products to global brands such as china, japan, and Korea are the major factors supporting the regional growth.
Increasing population in countries such as china and India coupled with adoption of western culture majorly by Generation X from countries such as India, Japan, and various South East Asian countries is expected to increase the demand for color cosmetics in coming years.
To be successful in many Asian markets, companies also need to be sensitive to local trends and competition. For example, Indonesia, signifying the major Muslim population across the globe, passed a regulation in 2015 that by 2020 all cosmetics products will have to be labeled as Halal.
Presence of global leaders such as Cosmecca Korea Co. Ltd., Cosmax, and Korea Kolmar In the the continent which account for noticeable market share in the global market has positive growth potential in coming years. Major cosmetic brands target Korean companies for OEM/ODM services pertaining to the presence of well-established research & development facilities and strong brand image of OEM/ODM companies in the global market. Being one of the largest exporter of cosmetics to the global as well as domestic market, Korea has a strong presence in both cosmetics as well as ODM/OEM market.
In 2015, local cosmetic production in the country grew by 11.4% compared to previous year whereas the CAGR for last 5 years was 13.9%. Such dynamic market conditions are expected to help Korean market to maintain its stake in the global OEM/ODM market in coming years too.
The global cosmetics OEM/ODM market was estimated at USD 50.91 billion in 2018 and is expected to grow at a CAGR of 5.3% over the forecast period. The OEM/ODM market dynamics run parallel to the global cosmetics market as majority of the cosmetic brands depend on original equipment manufacturers and design manufacturers to ensure maintenance of consistent supply of products in the market.
With changes in the demands of consumers, the cosmetic manufacturers introduce new products in the market and get business growing for OEM/ODM companies. The cosmetics industry is high marked by seasonal trends as variety of products are available for various environmental seasons. Similar production trends are also seen in the manufacturing facilities of major OEM/ODM players.
The cosmetics OEM ODM Market is completely dependent on the dynamic changes happening within the cosmetics and personal care products market. Being driven by demands on consumers, predicting the trends within the cosmetics industry is very uncertain as it changes depending on age, ethnicity, and demographics. The skincare segment has been showing tremendous growth within the cosmetics market hence, large number of contracts have been given to the OEM manufacturers for supply of products such as sunscreens, BB creams, moisturizers, gels etc.
Previously within the U.S., colored cosmetics such as lipsticks, mascara, eye makeup and others contributed major market share but, currently the trend has shifted towards skincare products. The skincare segment has also observed market entry of large number of players with innovative products on shelf for all income groups.
Demand for organic cosmetics has been growing in developed as well as emerging economies. Within the U.S., more than 55% of the women considered buying natural skincare products instead of the ones containing chemical excipients available on shelf today. Consumer perception that natural products improve skin tone and texture is the key factor influencing the purchase behavior within the consumers.
Key Segments of the Global Cosmetics OEM/ODM Market
Type Overview, 2015-2025 (USD Million)
- OEM
- ODM
Application Overview, 2015-2025 (USD Million)
- Skincare
- Haircare
- Makeup
- Others
Regional Overview, 2015-2025 (USD Million)
- North America
- U.S.
- Europe
- Germany
- UK
- Asia Pacific
- China
- India
- Japan
- South Korea
- Central & South America
- Middle East & Africa
Reasons for the study
- While studying the global cosmetics OEM/ODM market, we observed lucrative demand from developing countries such as India, Thailand, South Korea among others
- The market is fragmented with regional dominance of domestic players. The companies are concentrating on developing new products to cater the dynamic changes from consumers
- Continuous portfolio expansion by cosmetic brands has opened new business opportunities for OEM/ODM companies
What does the report include?
- The report focuses on cosmetics OEM/ODM market on the basis of treatment type and application
- The study assesses the dynamics and movement of the global cosmetics OEM/ODM market across various geographies
- The study on the global cosmetics OEM/ODM market includes qualitative factors such as drivers, restraints and opportunities.
- The study covers qualitative and quantitative analysis of the market segmented on the basis of type, application and region. Moreover, the study provides similar information for the key geographies
- Actual market sizes and forecasts have been provided for all the above-mentioned segments
- The study includes the profiles of key players in the market with a significant global and/or regional presence
Who should buy this report?
- The report on the global cosmetics OEM/ODM market is suitable for all the players across the value chain including cosmetic companies and OEM/ODM
- Venture capitalists and investors looking for more information on the future outlook of the global cosmetics OEM/ODM market
- Consultants, analysts, researcher, and academicians looking for insights shaping the global cosmetics OEM/ODM market
Chapter 1 Executive Summary
Chapter 2 Research Methodology
2.1 Methodology/Research Approach
2.2 Market Size Estimation Methodology
2.3 Forecasting Methodology
2.4 Scope, definition, and assumptions
2.5 Assumptions
2.6 Data Sources
Chapter 3 Market Outlook
3.1 Introduction
3.2 Market Dynamics
3.2.1 Market drivers
3.2.1.1 Rising need for skin care products
3.2.1.2 Increasing demand for natural & organic cosmetics
3.2.1.3 Portfolio widening of cosmetic giants
3.2.1.4 Focus on gender neutral makeup
3.2.2 Market restraints
3.2.2.1 Own manufacturing facility by cosmetic companies
3.2.3 Market opportunities
3.2.3.1 Expansion in emerging economies
3.2.3.1 Luxury cosmetics
3.3 Porter’s five forces analysis
3.3.1 Bargaining power of buyers
3.3.2 Bargaining power of suppliers
3.3.3 Threat of substitutes
3.3.4 Threat of new entrants
3.3.5 Industry rivalry
3.4 Value chain analysis
3.5 Vendor landscape analysis
Chapter 4 Cosmetics OEM/ODM Market Overview, By Type
4.1 Global cosmetics OEM/ODM market revenue share, by type, 2017 & 2025
4.2 OEM
4.2.1 Global OEM/ODM market size and projections, for OEM, 2015-2025
4.3 ODM
4.3.1 Global OEM/ODM market size and projections, for ODM, 2015-2025
Chapter 5 Cosmetics OEM/ODM Market Overview, By Application
5.1 Global cosmetics OEM/ODM market revenue share, by application, 2017 & 2025
5.2 Skincare
5.2.1 Global OEM/ODM market size and projections, for skincare, 2015-2025
5.3 Makeup
5.3.1 Global OEM/ODM market size and projections, for makeup, 2015-2025
5.4 Haircare
5.4.1 Global OEM/ODM market size and projections, for haircare, 2015-2025
5.5 Others
5.5.1 Global OEM/ODM market size and projections, for others, 2015-2025
Chapter 6 Cosmetics OEM/ODM Market Overview, By Region
6.1 Global cosmetics OEM/ODM market revenue share, by region, 2017 & 2025
6.2 North America
6.2.1 North America cosmetics OEM/ODM market size and projection, 2015-2025
6.2.2 North America cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.2.3 North America cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.2.4 U.S.
6.2.4.1 U.S. cosmetics OEM/ODM market size and projection, 2015-2025
6.2.4.2 U.S. cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.2.4.3 U.S. cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.3 Europe
6.3.1 Europe cosmetics OEM/ODM market size and projection, 2015-2025
6.3.2 Europe cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.3.3 Europe cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.3.4 Germany
6.3.4.1 Germany cosmetics OEM/ODM market size and projection, 2015-2025
6.3.4.2 Germany cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.3.4.3 Germany cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.3.5 UK
6.3.5.1 UK cosmetics OEM/ODM market size and projection, 2015-2025
6.3.5.2 UK cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.3.5.3 UK cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.4 Asia Pacific
6.4.1 Asia Pacific cosmetics OEM/ODM market size and projection, 2015-2025
6.4.2 Asia Pacific cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.4.3 Asia Pacific cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.4.4 China
6.4.4.1 China cosmetics OEM/ODM market size and projection, 2015-2025
6.4.4.2 China cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.4.4.3 China cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.4.5 India
6.4.5.1 India cosmetics OEM/ODM market size and projection, 2015-2025
6.4.5.2 India cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.4.5.3 India cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.4.6 Japan
6.4.6.1 Japan cosmetics OEM/ODM market size and projection, 2015-2025
6.4.6.2 Japan cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.4.6.3 Japan cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.4.7 South Korea
6.4.7.1 South Korea cosmetics OEM/ODM market size and projection, 2015-2025
6.4.7.2 South Korea cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.4.7.3 South Korea cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.5 Central & South America
6.5.1 Central & South America cosmetics OEM/ODM market size and projection, 2015-2025
6.5.2 Central & South America cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.5.3 Central & South America cosmetics OEM/ODM market size and projection, by application, 2015-2025
6.6 Middle East & Africa
6.6.1 Middle East & Africa cosmetics OEM/ODM market size and projection, 2015-2025
6.6.2 Middle East & Africa cosmetics OEM/ODM market size and projection, by type, 2015-2025
6.6.3 Middle East & Africa cosmetics OEM/ODM market size and projection, by application, 2015-2025
Chapter 7 Company Profiles
7.1 Cosmax, Inc.
7.1.1 Company overview
7.1.2 Product offerings
7.1.3 Financial performance
7.1.4 Recent developments
7.2 KOLMAR KOREA
7.2.1 Company overview
7.2.2 Product offerings
7.2.3 Financial performance
7.2.4 Recent developments
7.3 Intercos Technology (Suzhou SIP) Co., Ltd
7.3.1 Company overview
7.3.2 Product offerings
7.3.3 Financial performance
7.3.4 Recent developments
7.4 COSMOBEAUTY CO., LTD.
7.4.1 Company overview
7.4.2 Product offerings
7.4.3 Financial performance
7.4.4 Recent developments
7.5 TOYO BEAUTY CO.,LTD
7.5.1 Company overview
7.5.2 Product offerings
7.6 Raphas Co., Ltd.
7.6.1 Company overview
7.6.2 Product offerings
7.6.3 Recent developments
7.7 Nox Bellow Cosmetics Co., Ltd
7.7.1 Company overview
7.7.2 Product offerings
7.8 COSMECCA KOREA
7.8.1 Company overview
7.8.2 Product offerings
7.8.3 Financial performance
7.8.4 Recent developments
7.9 ESTATE CHEMICAL Co., Ltd
7.9.1 Company overview
7.9.2 Product offerings
7.9.3 Financial performance