The UK cosmetics manufacturing market has been forecast to increase at a compound annual growth rate (CAGR) of 0.6% over the next five years, increasing from a value of £2.25 billion in 2013-14, to reach a value of £2.32 billion in 2018-19.
New products recently introduced include eco-ethical products, along with new natural and organic products, partly in response to increasingly sophisticated consumer tastes and the rise of the ethical consumerism movement.
Perfume and cosmetics have a long history. By the 18th century the use of cosmetics and toiletries was common among most social classes and by the end of the 19th century the industry was associated with iconic names such as Rimmel, Boots, Elizabeth Arden, Chanel and Max Factor: brand names that still exist today.
In line with its mature status, the UK cosmetics manufacturing industry has undergone a period of consolidation in recent years, as several players have left the industry. Other global players have sought to close down UK manufacturing facilities in the face of intensifying international competitive pressures, as players from new geographic markets have entered the international arena.
At the UK manufacturing level the industry is considerably smaller, reflecting in part the global nature of the industry and the dominance of established global players that conduct their operations on a worldwide scale.
Despite its maturity, the industry will continue to regain some lost ground in the next five years. Technological advances will remain a key driving force, as will the willingness of UK consumers to buy an increasing range of complex formulated products,multifunctional products and green products, which are expected to become more mainstream.
Product innovation will remain at the core of stimulating demand in a mature market environment. As a heavily consumer-focused industry, operators must consider the impact of their commercial operations, and this will lead to downward pressure on carbon emissions and use of harmful products.
For more information on the UK cosmetics manufacturing market, see the latest research: UK Cosmetics Manufacturing Market
Follow us on Twitter @CandMResearch