The make-up market in Thailand is expected to be driven by natural and value-for-money product offerings. Subsequently, this is likely to incentivize the make-up market, which is projected to grow at a compound annual growth rate (CAGR) of 7.2% from THB19.7bn (US$0.6bn) in 2020 to THB27.9bn (US$0.9bn) in 2025, forecasts GlobalData, a leading data and analytics company.
GlobalData’s report, ‘Thailand Make-up – Market Assessment and Forecasts to 2025’, reveals that the market is majorly driven by the growth of the face make-up category, which is forecast to register the fastest value CAGR of 7.5% during 2020-2025. This is followed by the eye make-up category, which is expected to record a CAGR of 7% during the same period.
Sukayashri Kabali, Consumer Analyst at GlobalData, says: “Consumers in Thailand are value-conscious and choose make-up products based on affordability, value, and benefits. The COVID-19 pandemic further increased the demand for value-for-money products with multiple benefits or promotional prices.”
‘Department stores’ was the leading distribution channel in the Thai make-up market in 2020 followed by convenience stores and direct sellers.
The per capita expenditure (PCE) of make-up grew from US$6.8 in 2015 to US$8.9 in 2020 in Thailand. It was higher than both the global (US$7.5) and the regional levels (US$4.3). Furthermore, the PCE is expected to increase and reach US$13 in 2025.
Better Way (Thailand) Co., Ltd., L’Oréal S.A., and Op Natural Products Ltd were the top three companies in the Thai make-up market by value in 2020 while Mistine and Oriental Princess were the leading brands.
Ms. Kabali concludes: “With growing concerns over the harmful effects of chemical-based make-up products, Thai consumers will increasingly seek products which are labelled organic and consist of natural ingredients. This will in-turn drive premiumization in the market, as consumers will be more willing to pay premium prices for organic offerings.”
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