Factors such as the escalating disposable income of people, surging public awareness about physical appearance, booming population of working women, burgeoning demand for organic color cosmetics, and mounting investments being made by players in marketing and advertising initiatives are expected to drive the Saudi Arabian color cosmetics market at a CAGR of 7.1% during 2020–2030. The market was valued at $603.6 million in 2020 and it is projected to generate $1,197.2 million revenue by 2030.
The booming population of working females is one of the key factors propelling the demand for color cosmetics in Saudi Arabia. According to the General Authority for Statistics, Labor Force Survey data, the labor force participation rate of the total female working population increased from 32.1% in the fourth quarter of 2020 to 33.6% in the first quarter of 2021. As more women are stepping out of their homes, they are becoming more aware of personal care products, owing to which they are generating extensive demand for improved color cosmetic products.
Read More: Saudi Arabia Color Cosmetics Market Analysis and Demand Forecast Report
In recent years, the surging focus of key players on product development, on account of the growing public consciousness regarding physical outlook, has become a prominent trend in the Saudi Arabian color cosmetics market. Additionally, the improving lifestyle of the Saudi Arabian people in the country is also encouraging them to create an extensive demand for better color cosmetics. Furthermore, the rising number of working women will also result in the introduction of improved products in the country.
The product segment of the Saudi Arabian color cosmetics market is classified into facial make-up, eye make-up, special effect products, hair color products, nail products, lip products, and others. Among these, the facial make-up category is projected to display the fastest growth throughout the forecast period, owing to the soaring demand for different shades of blushes, bronzers, and foundations that incorporate light-capturing crystals. Additionally, the expanding female workforce is also a key contributor to the market growth in this category.
Currently, the Saudi Arabian color cosmetics market is fragmented in nature due to the presence of numerous players. At present, market players are engaging in mergers and acquisitions to consolidate their position. For example, in July 2021, Sephora SA acquired Feelunique.com from Palamon Capital Partners, a U.K.-based online retail company for premium beauty products. This online retailer has over 1.3 million active customers across 120 countries, including Saudi Arabia, and has over 35,000 products from more than 800 brands.
According to PS Intelligence, the western region is expected to account for the largest share in the Saudi Arabian color cosmetics market in the coming years. The market in the region is also projected to demonstrate the fastest growth during the forecast period. This can be ascribed to the accelerating urbanization rate and escalating disposable income of people in this part of the country. The burgeoning demand for color cosmetics from the region is being met by L'Oréal S.A., Coty Inc., The Estée Lauder Companies Inc., Shiseido Co. Ltd., Unilever Group, Oriflame Holding AG, The Procter Gamble Company, and others.
Therefore, the burgeoning population of working women and the increasing availability of improved products will augment the demand for color cosmetics in Saudi Arabia.
