Saudi Arabia Cosmetics Market

Saudi Arabia Cosmetics Market:

The Saudi Arabia cosmetics market size is projected to exhibit a growth rate (CAGR) of 1.80% during 2024-2032. The rising popularity of social media platforms and beauty influencers, along with the increasing number of online retail channels, is stimulating the market across the country.

Saudi Arabia Cosmetics Market Analysis:

• Major Market Drivers: The emerging beauty standards and personal preferences of individuals across the country are among the primary factors fueling the market. Moreover, the rising number of domestic and international cosmetic brands is also acting as another significant growth-inducing factor.
• Key Market Trends: The introduction of products tailored to diverse skin tones, types, style preferences, etc., is positively influencing the market. Additionally, the growing consumer inclination towards sustainable, cruelty-free, and inclusive cosmetic items is further bolstering the market in Saudi Arabia.
• Competitive Landscape: Some of the prominent companies in the market include Avon Beauty Arabia, Beauti.Sa, Dar Madi International Co., and Goldenscent LLC, among many others.
• Challenges and Opportunities: One of the key challenges hindering the market is the stringent regulatory environment. However, the elevating focus of key players on ensuring compliance through thorough product testing, research, collaborations with local authorities, etc., will continue to fuel the market over the forecasted period.

Saudi Arabia Cosmetics Market Trends:

Rising Premium Brands

The inflating disposable income levels of individuals across the country are escalating the demand for luxury, which, in turn, is propelling the market. According to the report published by IMARC, the Saudi Arabia luxury market size reached US$ 9.2 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 22.5 Billion by 2032, exhibiting a growth rate (CAGR) of 10.1% during 2024-2032. Moreover, the report titled “Decoding the Beauty Consumer in the GCC (Gulf Cooperation Council),” released in July 2023 by the Chalhoub Group, one of the Dubai headquartered luxury goods retailers and distributors, stated that individuals across Saudi Arabia are the highest spenders on luxury cosmetic products in the Middle East. Consequently, the rising number of renowned luxury brands is propelling the market. For example, in October 2023, one of the luxury beauty brands, Charlotte Tilbury, opened its very first store at the Red Sea Mall, Saudi Arabia. Additionally, in September 2023, Saudi Arabia’s iconic television host, presenter, and media personality Sara Murad announced the launch of her luxurious fragrance line. Furthermore, aligned with Saudi Vision 2030, Istituto Marangoni and the Saudi Fashion Commission signed a Memorandum of Understanding (MoU) in April 2024 to enable both international and local brands to develop new creative and managerial skills in cosmetics, fashion and luxury, visual merchandising that can enhance the luxury system in Saudi Arabia. This will continue to drive the Saudi Arabia cosmetics market demand in the coming years.

Introduction of Customizable Solutions

Consumers across the country are widely looking for innovative cosmetic products with advanced formulations, as well as customizable beauty solutions tailored to individual needs. For example, in June 2022, Urban Company, Asia’s tech-enabled home services marketplace, entered into a partnership with Baheya, one of the beauty services providers in Saudi Arabia, to enhance its product offerings. Moreover, the emerging online fashion marketplace that connects brands, customers, and fashion stylists with each other is also acting as another significant growth-inducing factor. For instance, in May 2022, KSA-Based Taffi raised approximately US$ 2 Million in a series A seed round led by Bahrain-based retail firm Al-Rashed Group (ARG) and Saudi Arabia-based venture capital firm Impact46 to provide personalized styling solutions to individuals in the MENA region.  Additionally, customizable cosmetic solutions can be adopted in daily beauty routines that serve both aesthetic and practical purposes, thereby contributing to personal skincare, grooming, and self-expression. This, in turn, is positively influencing the Saudi Arabia cosmetics market outlook. For example, in January 2023, MBC Media Solutions (MMS) collaborated with Sephora to customize a backstage beauty hub where Saudi Idol contestants created iconic looks every week with the Sephora Pro Team.

Emerging Beauty Trends

The rising popularity of adopting sustainable, halal, cruelty-free, and inclusive cosmetic products is strengthening the market. For example, MZN Bodycare, one of the brands in Saudi Arabia, is committed to make natural and vegan cosmetic products more accessible to consumers across the country. Besides this, the emerging trend of using modern skincare essentials is also stimulating the market. For instance, in April 2024, Luxury Ayurveda skincare and wellness brand Forest Essentials announced its plan to expand its presence in GCC countries, including Saudi Arabia. Moreover, the data from Google searches and YouTube queries revealed a surge in skincare-related searches in Saudi Arabia. With over 300 million skincare-related searches in 2022, the skincare category searched grew by approximately 71% from 2019 to 2022. It also showcased the inclination among consumers across the country to discover new brands. This is one of the Saudi Arabia cosmetics market's recent opportunities. Additionally, in June 2023, experts from L'Oreal and Google organized a panel discussion that revolved around the changing trends and key factors to keep in mind while addressing the beauty industry market in Saudi Arabia. Apart from this, the elevating consumer awareness towards cosmetics procedures is expected to bolster the market across the country in the coming years. For example, the study published by Cureus in April 2024 to assess the knowledge and practices with regard to cosmetic procedures among the general population in the western region of Saudi Arabia revealed a total of 190 individuals had prior knowledge of cosmetic procedures. Of the non-surgical cosmetic treatments that people are most familiar with, 37.9% mentioned filler injections. Besides this, the most popular surgical cosmetic surgery was rhinoplasty (73.6%) and liposuction (22%).

Saudi Arabia Cosmetics Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2024-2032. Our report has categorized the market based on product type, category, gender, and distribution channel.

Breakup by Product Type:

• Skin and Sun Care Products
• Hair Care Products
• Deodorants and Fragrances
• Makeup and Color Cosmetics
• Others
   

The report has provided a detailed breakup and analysis of the market based on the product type. This includes skin and sun care products, hair care products, deodorants and fragrances, makeup and color cosmetics, and others.

The increasing consumer consciousness towards skin health and protection against the harsh climate is propelling the demand for skin and suncare products in the country. Besides this, in hair care, products like shampoos, conditioners, and treatments are sought after, with brands like Pantene and Dove leading the market. Moreover, according to the latest Statista research, the revenue in the fragrances market in Saudi Arabia is projected to reach approximately US$0.50 Billion in 2024. Apart from this, the emerging social media trends are positively influencing the use of makeup products, which is elevating the Saudi Arabia cosmetics market revenue.

Breakup by Category:

• Conventional
• Organic
   

The report has provided a detailed breakup and analysis of the market based on the category. This includes conventional and organic.

Conventional cosmetics, which include well-established brands and widely used products, dominate the market due to their affordability, accessibility, and broad consumer trust. Brands like L'Oréal and Maybelline are prominent in this segment, offering a range of skincare, hair care, and makeup products. On the other hand, the organic cosmetics segment is experiencing rapid growth, driven by a rising consumer preference for natural and environmentally friendly products. For example, in March 2024, TotalEnergies Corbion entered into a strategic alliance with Finland-based company Sulapac to advance the use of recycled and biodegradable materials in cosmetic packaging across Saudi Arabia. Some of the brands, such as Body Shop and Origins, are gaining popularity for their use of natural ingredients and sustainable practices. As per the Saudi Arabia cosmetics market overview, this segmentation highlights the diverse consumer preferences in the country, with the growing inclination towards products that align with health and environmental consciousness while maintaining the demand for conventional, reliable beauty products.

Breakup by Gender:

• Men
• Women
• Unisex
   

The report has provided a detailed breakup and analysis of the market based on the gender. This includes men, women, and unisex.

Cosmetics for women is driven by a strong cultural emphasis on beauty and personal care. Brands like Estée Lauder and Huda Beauty are particularly popular among women. For instance, a study published by Chalhoub Group in May 2024 revealed that female shoppers drive most beauty categories with an average spend that is 55% higher than men. The fragrance is an exception, where men tend to shop 20% more frequently and spend 11% more. On the other hand, the men's cosmetics segment is growing rapidly, reflecting an increasing awareness of personal grooming and self-care among men. Products, including beard oils, grooming kits, and specialized skincare from brands like L'Oréal Men Expert and Nivea Men, are in demand. The unisex category, which includes products suitable for all genders, is also expanding the Saudi Arabia cosmetics market share, catering to a broader audience with versatile items such as moisturizers, shampoos, and perfumes from brands like the Ordinary and Aesop.

Breakup by Distribution Channel:

• Supermarkets and Hypermarkets
• Specialty Stores
• Pharmacies
• Online Stores
• Others
   

The report has provided a detailed breakup and analysis of the market based on the distribution channel. This includes supermarkets and hypermarkets, specialty stores, pharmacies, online stores, and others.

Supermarkets and hypermarkets, such as Carrefour and Hyper Panda, are popular for their convenience and wide range of affordable cosmetic products catering to everyday beauty needs. Specialty stores, including outlets like Sephora and Faces, attract consumers seeking premium and high-end brands, offering a curated selection of skincare, makeup, and fragrances. For instance, in November 2023, A.S. Watsons Group opened four more stores in the Al Hamra Mall, Panorama Mall, Nakheel Mall, and the View Mall in Riyadh, the Kingdom of Saudi Arabia (KSA). Pharmacies like Nahdi and Al-Dawaa play a crucial role in the cosmetics market, particularly for dermatologically tested and medicated products, providing trusted and accessible options for skincare and hair care. Online stores are rapidly gaining traction, driven by the growing trend of e-commerce and digital shopping convenience. Platforms like Souq.com (now Amazon.sa) and Namshi offer an extensive array of cosmetic products, often with attractive discounts and home delivery options. According to Saudi Arabia cosmetics market statistics, this diverse distribution network ensures that consumers across the country have access to a wide variety of cosmetic products through multiple convenient channels.

Breakup by Region:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region
   

The report has provided a detailed breakup and analysis of the market based on the region. This includes the Northern and Central Region, Western Region, Eastern Region, and Southern Region.

The rising number of distribution networks selling a wide array of cosmetic products is one of the drivers stimulating the market across various regions in the country. For example, in November 2022, UAE-based retail conglomerate Lulu Group opened its hypermarket in the Eastern Province of Saudi Arabia. The latest store from Lulu was officially inaugurated by Ibrahim Al- Al-Khorayef, governor of Qatif, in the presence of Yusuff Ali M A., chairman and MD of Lulu Group in Saihat. Moreover, the escalating demand for aesthetic procedures is also acting as another significant growth-inducing factor. For instance, the study published by Cureus in April 2024 to assess the knowledge and practices regarding cosmetic procedures among the general population in the western region of Saudi Arabia revealed a total of 190 individuals had prior knowledge of cosmetic procedures. Apart from this, cities like Dammam, Khobar, and Dhahran in the Eastern region serve as major hubs for cosmetic retail. The market here is characterized by a diverse range of products catering to the beauty and personal care needs of its residents. High-end shopping malls such as Al Rashid Mall and Mall of Dhahran host numerous international and luxury cosmetic brands, including MAC, Sephora, and Chanel, attracting consumers looking for premium products.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major Saudi Arabia cosmetics market companies have been provided. Some of the key players include:

• Avon Beauty Arabia
• Beauti.Sa
• Dar Madi International Co.
• Goldenscent LLC
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

Saudi Arabia Cosmetics Market Recent Developments:

• April 2024: Saudi Arabia-based Alula Peregrina showcased its recently launched Virgin AlUla Peregrina Oil at the in-cosmetics Global exhibitor event.
• April 2024: The Saudi Fashion Commission and Istituto Marangoni entered into collaboration by signing a Memorandum of Understanding (MoU) to encourage individuals in Saudi Arabia to develop new creative and managerial skills in cosmetics.
• March 2024: TotalEnergies Corbion formed a strategic alliance with Finland-based company Sulapac to advance the adoption of biodegradable and recycled materials in cosmetic packaging across Saudi Arabia.

Saudi Arabia Cosmetics Market Report Scope:

Key Questions Answered in This Report:

• How has the Saudi Arabia cosmetics market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Saudi Arabia cosmetics market?
• What is the breakup of the Saudi Arabia cosmetics market on the basis of product type?
• What is the breakup of the Saudi Arabia cosmetics market on the basis of category?
• What is the breakup of the Saudi Arabia cosmetics market on the basis of gender?
• What is the breakup of the Saudi Arabia cosmetics market on the basis of distribution channel?
• What are the various stages in the value chain of the Saudi Arabia cosmetics market? 
• What are the key driving factors and challenges in the Saudi Arabia cosmetics?
• What is the structure of the Saudi Arabia cosmetics market and who are the key players?
• What is the degree of competition in the Saudi Arabia cosmetics market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia cosmetics market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia cosmetics market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia cosmetics industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.