Vegan Skincare Products Market Size, Share, Trends, Growth and Forecast 2032

Vegan Skincare Products Industry Prospective:

The global vegan skincare products market size was worth around USD 16.60 billion in 2023 and is predicted to grow to around USD 35.75 billion by 2032 with a compound annual growth rate (CAGR) of roughly 8.90% between 2024 and 2032.

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Vegan Skincare Products Market: Overview

Vegan skincare products are derived from plant-based sources. These products do not contain any form of animal ingredients, unlike traditionally available skincare items that may contain ingredients derived from animals. Vegan skincare products work in synchronization with the vegan lifestyle ideology.

However, market trends indicate that people consuming animal-based diets may also choose vegan products due to the product's efficiency in achieving skincare goals. Vegan products for achieving healthy skin refrain from adding animal components such as honey, beeswax, stearic acid, and other items. The demand for vegan skincare products is growing due to several factors. The rising vegan population across the globe is one of the critical market growth drivers.

However, the industry faces challenges due to the complex nature of labeling conditions globally. Additionally, the higher cost of vegan skincare compared to more readily available alternatives may act as a growth barrier. Market players can generate growth opportunities by expanding into new markets while investing in research & development (R&D) for future growth.

Key Insights:

• As per the analysis shared by our research analyst, the global vegan skincare products market is estimated to grow annually at a CAGR of around 8.90% over the forecast period (2024-2032)
• In terms of revenue, the global vegan skincare products market size was valued at around USD 16.60 billion in 2023 and is projected to reach USD 35.75 billion by 2032.
• The vegan skincare products market is projected to grow at a significant rate due to the growing world population and vegan lifestyle followers
• Based on the sales channel, the online segment is growing at a high rate and will continue to dominate the global market as per industry projection
• Based on the product, the face moisturizers  segment is anticipated to command the largest market share
• Based on region, Europe is projected to dominate the global market during the forecast period

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Vegan Skincare Market: Growth Drivers

Growing world population and vegan lifestyle followers will promote the market expansion rate

The global vegan skincare products market is expected to be led by the rising world population rate. In addition to this, the number of people worldwide switching toward a vegan lifestyle has been growing steadily. The switch toward a more animal-centric lifestyle is influenced by several factors. For instance, awareness of the environmental impact of animal husbandry has improved in the last decade. The global livestock farming market is a key contributor to the rising levels of greenhouse gas emissions. In addition to this, animal waste generated due to slaughtering has become a major hygiene and pollution concern for regional governments and welfare organizations. For instance, a bovine slaughterhouse generates around 27% of the animal waste in solid form. Improper disposal of the waste generated can lead to environmental contamination and pose a risk to public health. According to market research, Europe has more than 6.5 million vegan consumers spread across the region.

Investing in advanced tools such as Artificial Intelligence (AI) and digital portals for reaching remote customers will prove beneficial for businesses

The personal care & cosmetics industry worldwide is investing heavily in leveraging advanced technologies such as AI and machine learning (ML) to better understand customer buying experience. Vegan skincare producers can generate greater revenue by using these tools to gain insights into consumer preferences and motives. According to the University of Wolverhampton, AI focuses on parameters such as buying pattern behavior, psychometrics, and customer demographics to deliver comprehensive data for organizations. For instance, Tira, the online personal care and cosmetics selling space owned by Reliance Industries, has delivered significant funds for AI integration to learn and suggest customers products that may suit their requirements, thus helping the global vegan skincare products market grow.

Vegan Skincare Market: Restraints

Higher cost vegan skincare items will act as a growth restriction during the projection period

The global vegan skincare products industry is expected to be restricted due to the higher cost of vegan products compared to non-vegan counterparts. Raw materials required for producing vegan skincare items are not accessible easily. They are more expensive. In addition to this, the cost of researching & developing vegan skincare is higher due to the requirement of specialized equipment and production techniques. The most common raw materials used for producing vegan skincare include essential oils, plant butter & oils, humectants, and plant-based vitamins among others.

Vegan Skincare Market: Opportunities

Growing launch of new products and increased R&D investments will promote higher expansion opportunities

The global vegan skincare products market is expected to generate more growth opportunities due to the rising product innovation strategies adopted by the market players. Companies in the personal care & cosmetics sector have diverted significant investments toward R&D, which is expected to generate more returns over the forecast period. For instance, in March 2021, Artistry, a leading player in the vegan skincare segment, announced the launch of a new line of traceable, clean, and vegan skincare products. According to the company’s claims, these solutions will target 5 primary nutritional requirements for healthy skin. The products are made using plant-based phytonutrients and cutting-edge skin science. In July 2024, Unilever Ventures (UV), the capital arm of multinational consumer goods company Unilever, announced an investment of US$4 million in ESQA, a vegan beauty company highly popular in Southeast Asia. Market players can also generate higher profits by expanding into new markets, especially countries with an emerging middle-income group seeking novel skincare products.

Vegan Skincare Market: Challenges

Lack of labeling standardizations requires more attention during the projection period

The global vegan skincare products industry is expected to be challenged by the lack of global standard protocols for labeling the commodities. For instance, the definition of animal-derived ingredients may differ from one region to another depending on local regulations. Additionally, companies may make false claims, which may be further facilitated by the absence of standardized claim verification policies. It is not necessary that vegan skincare items are cruelty-free, thus raising concerns over authenticity of vegan labels

Vegan Skincare Market: Segmentation

The global vegan skincare products market is segmented based on sales channel, product, and region.

Based on the sales channel, the global market segments are online and offline. In 2023, the highest demand was observed in the online segment. The higher revenue was a result of the increased number of participants and consumers on beauty portals and applications. In addition to this, online platforms offer more advantages to brands and consumers making them more lucrative as compared to offline stores. Sephora, an international platform hosting multiple brands of personal care items and cosmetic products, has more than 25.01 million active users.

Based on the product, the global market divisions are face moisturizers, under-eye creams, facial oils, and others. In 2023, the highest demand was registered in the face moisturizers segment. One of the primary and most basic skincare products is face creams. They help in imparting more glow and firmness to the face along with several other benefits. According to market research, over 70.01% of the global population uses face creams every day as a part of their daily skincare routine.

Vegan Skincare Products Market: Report Scope

Vegan Skincare Market: Regional Analysis

Europe to witness higher growth during the projection period

The global vegan skincare products market is expected to be dominated by Europe during the forecast period. The European personal care & cosmetics sector is one of the world’s most innovative industries, with millions of euros in investment for enhancing product performance. Additionally, European customers have shown keen interest in the adoption of vegan skincare driven by increased awareness and higher product availability. For instance, in September 2019, Avon UK announced the launch of the company's first vegan skincare line under the brand name ‘Distillery’.

Since then, several other countries have followed suit. North America is expected to emerge as the second-highest revenue generator in the vegan skincare products industry during the projection period. The regional market will be driven by increased investments in research & development along with greater demand for vegan skincare items. In March 2024, US-based Beekman 1802 announced that it had developed the beauty industry’s first vegan bio-milk. The plant-based ingredient is produced using reverse-engineering techniques and is an alternative to goat milk. The new launch is expected to revolutionize the future of biotech skincare in the future.

Vegan Skincare Market: Competitive Analysis

The global vegan skincare products market is led by players like:

• Milk Makeup
• The Body Shop
• Drunk Elephant
• Pai Skincare
• Herbivore Botanicals
• Pacifica
• Acure
• Youth to the People
• Alba Botanica
• Tata Harper
• OSEA
• REN Clean Skincare
• Derma E
• Lush
• Biossance

The global vegan skincare products market is segmented as follows:

By Sales Channel

• Online
• Offline

By Product

• Face Moisturizers
• Under Eye Creams
• Facial Oils
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa