Apr, 2018     

Online Cosmetics Market Updates-Apr’18


Online sales in beauty/cosmetic products account for ~2.5% share of the overall market-  with equal share of horizontals and verticals

Verticals have been able to do well in makeup/cosmetics categories, owing to a combination of exclusive selection and engaging content, while horizontals are stronger in personal care space


Beauty is still underpenetrated online vs other categories in fashion and vs global benchmarks – representing a large growth opportunity

Beauty as a category has lagged others owing to limited selection, supply chain hurdles and risk of fake/fraud products (authenticity issues). However, the category has a large headroom for growth when compared to other fashion segments as well as to beauty penetration in other markets


We expect the online beauty market to reach USD ~1.5 Bn mark by 2020, and reach ~USD 3.3 Bn by 2022

Growing demand for exclusive beauty products coupled with attractive offers, greater product authenticity and supply chain reliability should drive rapid growth in online beauty over next few years


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