To attract more consumers, cosmetic manufacturers are focusing on innovative packaging for their products. For product marketing, personal care and cosmetics brands are considering attractive packaging as an important attribute. This strategy has resulted in a reduced recall rate for brands, enhanced product and brand visibility, increased sales, and has helped brands to ensure a large footprint in respective target regions. The increasing awareness among consumers regarding the benefits of anti-aging products has boosted the demand for innovative cosmetic packaging. The growth of the cosmetic packaging market can be attributed to the mounting per capita expenditure on cosmetic and skin care products, especially in emerging economies. Furthermore, the high use of perfumes and deodorants is also likely to accelerate the sales of durable cosmetic packaging products.
Plastic Packaging to Gain Competitive Advantage over Paper Packaging
The materials that are used for cosmetic packaging are wood, metal, paper, plastic, and glass. Among all these, plastic emerged popular and dominated the global cosmetic market both in terms of volume and value. By the end of the forecast period, the plastics segment is projected to hold a share of 50% in the global cosmetic packaging market. However, tilt of consumers towards eco-friendly packaging products made of metals, wood, and paper is likely to inhibit the growth of the plastic packaging segment. Furthermore, implementation of strict environmental regulations and laws has impelled consumers towards the adoption of environment friendly packaging materials. The demand for bamboo, melamine, silicone, and paper is also expected to boost over the next few years.
Asia Pacific to Surge Ahead of Other Regions in terms of Consumption of Cosmetic Packaging
Based on total demand, Asia Pacific dominated the global cosmetic packaging market. Asia Pacific is expected to hold a share of 32.5% in 2016 in the global cosmetic packaging market. High concentration of manufacturers and buyers along with availability of a wide range of cosmetic products are factors contributing to the growth of the market. The countries with the highest consumption of cosmetic packaging in Asia Pacific are India, Japan, and China.
The global cosmetic packaging market is likely to witness a CAGR of 4.4% from 2016 to 2024. The market was worth US$23 bn in 2015 and is likely to touch US$33 bn by the end of 2024. Some of the leading companies in the market are RPD Group Plc., Aptar Group Inc., Amcor Limited, Albea S.A., and Fusion Packaging.