The beauty and wellness industry in India is booming, with a tremendous potential for growth. In fact, it is said to be growing twice as fast as markets of the United States and Europe. India is also the second largest consumer market in the world. No wonder foreign companies have been targeting the Indian beauty market!
According to a KPMG report, the size of India’s beauty and wellness market was around Rs.80,370 crores at the beginning of 2019. This includes the beauty products, beauty salon and spa businesses. The compounded annual growth rate of the Beauty & Wellness business in India has been around 18%. Currently, the beauty business in India is not only booming, but is expected to treble in the next five years. A prominent feature is that it is herbal beauty care that has driven the growth of the beauty business in India. The “back to nature” and “total well being” trends sweeping the world have increased the demand for holistic systems, like herbal and Ayurvedic beauty care, not only in India, but worldwide.
Going organic and eco-friendly are the trends that will mark the coming years, as far as the beauty business is concerned. We have been seeing herbal beauty products ruling the trends and now the products are going organic. There is a definite shift towards “natural” products that are free from parabens, sulfates, mineral oil and synthetic colours. Greater awareness of the link between good health and beauty is influencing the demand for organic and natural products. That is why wellness is becoming a part of the beauty business, with spa treatments being included in salons. According to Franchise India, “The organic products market in India has been growing at a CAGR of 25 per cent and it is expected to reach ₹10,000-₹12,000 Crore by 2020.”