Market Outlook:

The anticipated global cosmetic OEMODM market size is poised to reach USD XX. XX Billion by 2024, with a projected escalation to USD XX.XX Billion by 2032, reflecting a compound annual growth rate (CAGR) of X.X% during the forecast period. 

Early design companies create designs and specifications for products sold by cosmetic companies. Awareness and concern about the safety of skincare and other products will lead to the growth of the cosmetics OEM/ODM market. For example, Johnson & Johnson announced in 2019 that it would stop selling talcum powder in North America due to concerns about the safety of the product. Additionally, rising disposable income in regions such as the United States and Europe and rising preference for organic and natural cosmetics are expected to drive the growth of the cosmetics OEM/ODM market during the forecast period. Additionally, increasing digitalization and increased use of e-commerce platforms to buy and sell products are expected to fuel market growth during the forecast period.

Market Dynamics:

Driver:

The increasing demand for hair care products boosts the growth of the cosmetic OEMODM market. Global hair care needs are changing, with hair loss, hair damage, and hair thinning increasing. Air pollution causes hair loss, and scientists have found that hair exposure to air pollution reduces the amount of protein in the hair. Protein is important for hair growth and maintenance. Most cosmetics are made with natural oils that help moisturize hair, protect the scalp, reduce split ends, and reduce skin damage. Hair restorers also help with hair styling, which is very popular due to the influence of social media. Advantages of cosmetic original manufacturer (ODM) business. Companies that do not have resources in cosmetic design and production, OEM, and ODM companies turn their designs and ideas into cosmetics and stones. In this way, the original design company (ODM) is responsible for testing, research and development, product ideas, and production. In short, the ODM concept is the opposite of the OEM concept.

Restraint:

The rise in strict regulation regarding the products hinders the growth of the cosmetic OEMODM market. The cosmetics sector is highly regulated, with stringent rules governing component limitations, labeling, and product safety. Regional variations in these regulations might be a challenge for multinational corporations. There are several "positive lists" and "negative lists" for cosmetic components in different nations and areas. While a negative list lists items that are forbidden, a positive list identifies ingredients that are permitted. This implies that a recipe that is entirely acceptable in one nation may contain substances that are prohibited in another. Cosmetic product safety testing regulations can also vary. Companies may need to modify their testing procedures for each market since some areas may have regulations limiting the use of animals in research or requiring particular tests. For instance, the European Union restricts the kinds of products that can be produced by outlawing over 1300 substances used in cosmetics.

Opportunity:

The increasing focus on the innovation of the products creates a lucrative opportunity for the growth of the market. New trends and ingredients are continually appearing in the cosmetics market, which is always changing. OEMs and ODMs can profit from this by making R&D investments and providing brands with innovative solutions. Consumer tastes are subject to rapid change, as evidenced by the constant emergence of new skincare formulas, makeup styles, and sustainability requirements. With their finger on the pulse, OEMs, and ODMs may create formulas and packaging that anticipate these trends in advance. As a result, they can collaborate with companies hoping to ride the newest wave of popularity and launch cutting-edge goods more quickly. Every day, new, very effective substances are being produced or found. OEMs and OEM dealers with R&D budgets can lead the way in utilizing these components in formulas.

Challenge:

The OEM/ODM cosmetics market is crowded with competitors fighting for customers. Price pressure and difficulties for new entrants to establish themselves may result from this. The equipment and knowledge required to break into the OEM/ODM cosmetics company at the entry-level are getting easier to obtain. This makes it possible for emerging companies to flourish and vie for customers. The distinction between OEMs and ODMs may become less evident as production methods become more standardized. This may cause companies to compete mostly based on pricing. The cosmetics industry is a global industry with big competitors vying for customers all over the world. This makes the race for well-established OEMs and ODMs in the region or country fiercer.

Key Players

• COSMAX Corporation (US)
• Toyo Beauty Co. Ltd. (Japan)
• Nox Bellcow Cosmetics Co. Ltd. (China)
• Picaso Cosmetic Laboratory Group (China)
• Kolmar Korea (South Korea)
• Ancorotti Cosmetics S.r.l. (Italy)
• Cosmo Beauty Company Ltd. (Japan)
• Cosmecca Korea (South Korea)
• The Fareva Group (France)
• B. Kolormakeup Skincare S.p.a (Italy)
• Others

Recent Development

• In March 2021, KBL Cosmetics launched its new and innovative foldable triangle eyeshadow product.

• In June 2022, Pat McGrath introduces Divine Skin, her first skincare product designed to improve your skincare, while Fresh Beauty offers a new face to its best-selling products.

• In 2022, Cosmax launched eco-friendly nail polish with excellent shine and durability. Cosmax, a cosmetic ODM company, also launched a new anti-aging skin microbiome product following the microbiome model. The launch is expected to drive the market share of the company in the forecasted period across the globe especially in the European region.

Segment Insights:

By Nature

The demand for natural/organic cosmetics original manufacturer (OEM) and original manufacturer (ODM) services is driven by several factors. First of all, many consumers prefer natural and organic cosmetic products due to their awareness of the health and environmental risks that can be caused by synthetic chemicals found in cosmetics. To meet this need, manufacturers often turn to OEM/ODM suppliers that specialize in organic and organic designs to ensure product safety and authenticity. The beauty and personal care industry is competitive and constantly changing due to the huge demand for new and unique products. OEM/ODM services give brands the flexibility to evolve in terms of design and packaging, allowing them to remain competitive and meet customer needs. In addition, compliance management and quality assurance are also very important for the cosmetics industry. OEM/ODM suppliers often have experts and manufacturers on hand to ensure products meet safety and security standards; This is important for products to gain customers' trust and monitor environmental stewardship. Ultimately, the desire for safer, fresher, and more compatible cosmetics is driving demand for natural/organic cosmetics OEM/ODM services as customer preferences and business models.

By Packaging Type

The demand for Skin Care Cosmetic Original Equipment Manufacturing (OEM) and Original Design Manufacturing (ODM) services is driven by several key factors. The skincare industry is highly competitive and continually evolving, with consumers seeking innovative and effective solutions to address a wide range of skin concerns. Brands often turn to OEM/ODM providers to access cutting-edge formulations and technologies, allowing them to introduce new and competitive products to the market swiftly. The desire for customization and brand differentiation fuels the demand for OEM/ODM services. Skincare brands can collaborate with manufacturers to create unique product formulations, packaging, and branding, enhancing their market presence and meeting the diverse needs of consumers. Moreover, OEM/ODM providers often have the expertise and facilities to ensure compliance with stringent quality and safety standards, which is crucial for skincare brands aiming to build trust with consumers and maintain regulatory compliance. In summary, the demand for Skin Care Cosmetic OEM/ODM services arises from the need for innovation, customization, and quality assurance in the skincare industry.

Regional Insights:

The demand for cosmetic original equipment manufacturers (OEM) and original design (ODM) services in Europe is mainly driven by several factors. Europe has a strong and dynamic cosmetics industry that emphasizes innovation and quality. Both established and new cosmetic companies are seeking OEM/ODM services, using European products in design and technology to ensure their products meet the high standards customers expect. The strict environmental control area must comply with safety and quality standards, making cooperation with OEM / ODM service providers attractive. These vendors often have the expertise and resources to investigate strict regulations and ensure products comply with regulatory requirements. Moderation and stability are also important in the European cosmetics industry. OEM/ODM services provide brands with the flexibility to create custom designs and packaging that meet customer needs for unique solutions and beautiful environments. In summary, the demand for cosmetic OEM/ODM services in Europe is driven by the need for innovation, adaptability, moderation, and stability in competitive and good business in the market.

Segmentation:

By Nature

• Natural/Organic Products
• Synthetic Products

By End Use

• Prestige Brands
• Private Labels
• Mass Brands
• Indie Brands

By Product Type

• Color Cosmetics (Facial Products, Lip Products, Eye Products, Nail Products, Other Color Cosmetics)
• Skin Care (Creams, Lotions, Toners, Facial Cleansers, Sunscreen, Face Packs/ Masks, Others)
• Hair Care (Shampoos, Conditioners, Hair Rinses, Hair Dyes, Hair Tonics, Hair Styling Products)
• Body Care (Soaps, Shower Gels, Creams, Foot Creams, Others)
• Fragrance
• Other Products

By Packaging Type

• Containers & Tubes
• Pouches & Sachets
• Pens & Roll-on Sticks
• Pumps & Dispensers
• Droppers
• Bottles & Jars
• Other Categories

By Region

North America

• USA

• Canada

• Mexico

Europe

• France

• UK

• Spain

• Germany

• Italy

• Rest of Europe

Asia Pacific

• China

• Japan

• India

• South Korea

• Rest of Asia Pacific

Middle East & Africa

• GCC

• South Africa

• Rest of the Middle East & Africa

South America

• Brazil

• Argentina

• Rest of South America

What to Expect from Industry Profile?

1. Save time carrying out entry-level research by identifying the size, growth, major segments, and leading players in the Cosmetic OEM/ODM market in the world.

2. Use PORTER’s Five Forces analysis to determine the competitive intensity and therefore market attractiveness of the Global Cosmetic OEM/ODM market.

3. Leading company profiles reveal details of key Cosmetic OEM/ODM market players’ global operations, strategies, financial performance & recent developments.

4. Add weight to presentations and pitches by understanding the future growth prospects of the Global Cosmetic OEM/ODM market with forecast for the decade by both market share (%) & revenue (USD Million).

FAQ’s

1) What are the major factors driving the growth of the Global Cosmetic OEM/ODM Market?

• Confidentiality and Intellectual Property are the major factors driving the growth of the Global Cosmetic OEM/ODM Market

2) What would be the CAGR of the Global Cosmetic OEM/ODM Market over the forecast period?

• The Global Cosmetic OEM/ODM Market is poised to grow at a CAGR of XX% from 2024 to 2032.

3) Which region will provide more business opportunities for the growth of the Global Cosmetic OEM/ODM Market in the future?

• The Europe region is expected to create more opportunities in the market

4) Who are the major players dominating the Global Cosmetic OEM/ODM Market?

• COSMAX Corporation (US), Toyo Beauty Co. Ltd. (Japan), Nox Bellcow Cosmetics Co. Ltd. (China), Picaso Cosmetic Laboratory Group (China), Kolmar Korea (South Korea), Ancorotti Cosmetics S.r.l. (Italy), Cosmo Beauty Company Ltd. (Japan), Cosmecca Korea (South Korea), The Fareva Group (France), B. Kolormakeup Skincare (Italy)

5) What are the segments in the Global Cosmetic OEM/ODM Market?

• By Packaging Type, By Nature, By End Use, and By Product Type are the industry key segments considered for research study.

6) What is the estimated market revenue for the Global Cosmetic OEM/ODM Market in 2032?

• The estimated revenue for the Global Cosmetic OEM/ODM Market in 2032 is USD XX billion.