Perfume and cosmetics companies - World

What is the business?
Cosmetic companies globally internalise all steps of the industry’s value chain except for distribution. Market operators continue to focus on core activities (product conception, research & development, marketing). Marketing and advertising initiatives help create brand value and represent the sector’s main vector of competition. Manufacturing operations are partly internalised but commonly sourced to specialised upstream manufacturers, while distribution is mostly committed to third party distributors […]

-Who are the key players?
The market is dominated by global players from the USA (Procter & Gamble, Avon, Estée Lauder), France (L’Oréal, LVMH) and Japan (Kao, Shiseido), while L’Oréal remains the undisputed market leader. Global leaders look for synergies by creating partnerships with research laboratories, acquiring small specialised operators and building brand portfolios […]
Companies analysed in the report: L’OREAL, UNILEVER, PROCTER & GAMBLE, ESTEE LAUDER, AVON, BEIERSDORF, KAO, LVMH, SHISEIDO, J&J

How intense is competition?
Competition in the industry is fierce and growing. Competition takes place at different levels between companies and is traditionally based on advertising and promotion as well as product innovation and pricing strategies […]

What are the main markets?
North America and Europe combined still concentrate over half of global sales, but Asia Pacific has been catching up and is the main growth driver of the 150 billion euro global market. Slow growth in Europe and North America will further reinforce leaders’ efforts to find growth in booming Latin America, Middle Eastern and Asian countries […]