According to research from Companies and Markets, revenues within the US make-up market have been forecast to rise at a compound annual growth rate of 4.1 percent over the next five years, increasing from revenues of $6.8 billion in 2012, to a value of $8.3 billion by the end of 2017.
Make-up production has been left in the capable hands of a handful of multi-national corporations and it is product innovation that has led to a widening range of make-up in new formats and textures.
C&M says that demand for make-up with organic ingredients also continues to rise, with consumers looking to limit the number of potentially harmful substances they use and opting instead for the benefits of natural elements such as vitamin E and plant extracts.
Make-up was one of the beauty categories that did not suffer so much from the economic downturn, seeing consumers opting for cheaper items instead.
“For this reason, lipstick sales have not suffered much, with shoppers steering away from more expensive products but still buying lipsticks,” says the report.
“Within the lipstick market segment, non-smudge, wet-look formulas, intense colors, and added ingredients such as vitamins E, A, and C are fuelling demand.”
Eye make-up is set to remain one of the fastest growing market segments over coming years, with mascaras in particular proving popular.
C&M says consumers are now far more aware of the products they use around the house and in their cosmetic care routine, pointing to vast potential for green and natural products in the cosmetics industry.
“In the coming years, make-up companies will continue to focus their efforts on product innovation, particularly in the mature facial make-up market, to attract new consumers and keep existing consumers loyal to specific brands,” says the researcher.
New age foundations will also rise in popularity due to the shift from heavy opaque pigments to newer light-capturing crystals to give the appearance of flawless skin without the made-up look.