What makes cosmetics sexy? Packaging. Packaging is essential to capturing consumer attention and to the success of a product, which means, according to Visiongain, companies operating in the cosmetic sector are expected to gain steady profits throughout the coming years. Various consumer trends have also served to both increase the quantity of packaging sold and increase the value of packaging sold, increasing the value of cosmetic packaging markets. As such, in its new report—The Cosmetics Packaging Market 2012-2022—Visiongain predicts the value of the global cosmetics packaging market in 2012 will reach $24 billion.
Several consumer-driven trends are impacting the cosmetics packaging markets. The average consumer in the mature industrialized nations is aging, and demanding more of premium cosmetics packaging. Heightened popularity of male grooming, particularly in the emerging markets, is increasing cosmetics consumption in hair care and facial skin care sectors. The consumers are also increasingly looking for added value in the cosmetics they buy, and cosmetics producers are seeking to create this via adding integrated applicators and innovative techniques to the packaging of the products. All these factors are enabling solid growth prospects for the global cosmetics packaging markets.
National cosmetics packaging markets in United States, Japan and major European countries will remain central to the cosmetics packaging market over the forecast period to 2022, as premiumisation of cosmetics drives the development of cosmetics packaging. Growth within emerging markets in Asia, Latin America, Eastern Europe, Middle East and Africa will enable more of the consumers in these countries to join the emerging middle class and will heighten their demand for various cosmetic products. As professional occupations become more common in emerging markets, appearances become more crucial and consumers are increasingly willing to spend their disposable income on cosmetics such as hair care or skin care.
There are, however, a few dangers remaining in the horizon. The global financial crisis of 2007 to 2008 and the current Euro-zone debt crisis have reduced consumer and producer confidences and restrained cosmetics packaging growth. While some essential products, such as hair care and facial skin care are consistently performing, the value of packaging markets for less essential products is likely to be diminished if Euro-zone troubles lead to a new crisis. Fluctuating raw material and energy prices are further dangers that potentially may serve to reduce margins in the cosmetics packaging markets.
