Global Personal Care Contract Manufacturing Market by Service (Packaging, Manufacturing) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global personal care contract manufacturing market was valued at USD 18.1 million in 2019. It is projected to grow 6.1% during the forecast period. Contract manufacturing is expected to grow due to the shift in focus of personal care product manufacturers from in-house production to R&D, and other promotional activities. The market growth is positively affected by the increased awareness about the benefits of localizing contract production, which reduces lead times. The service demand will also be supported by increased profits for formulators companies due to a reduction in logistics costs.

It is expected that the U.S. market will benefit from the presence of strong personal care companies like Estee Lauder, Johnson & Johnson and Procter & Gamble. The launch of products by companies involved in personal care products is expected to increase the demand for contract manufacturing in the U.S.

The forecast period will see an increase in demand for organic anti-aging product due to factors like climatic changes and stressful lifestyles. Increasing consumer concerns about the authenticity of organic products have led to new manufacturers entering the market. This is expected to increase the demand for personal-care contract manufacturing in the forecast period.

The rising demand for personal care products in contract manufacturing markets such as India, China and India is expected to drive the market. This region is expected to benefit from government initiatives like Skill India, which supports manufacturing industries by providing skilled labor at economically-paying wages.

Contract manufacturing is a very competitive and difficult business. It needs to be managed actively. The business has had to compete with many contract manufacturers for low-profit margins to offer formulators favorable deals. This has made it difficult to become profitable. Low margins and high investment costs make the business more risky. This is a major market restriction.

Service Insights

Due to increasing demand in both developed and developing countries for make-up, the production of color cosmetics will grow at 6.0% CAGR in terms of revenue from 2020-2027. P&G and Unilever are outsourcing mass-produced products to outsource and focusing on innovative products. This will likely increase the manufacturing of these products via contractors.

The hair-care market segment, which includes many products such as hair color, shampoo, conditioner, and styling products for men, is expected to see significant growth over the forecast period. Due to consumer preference and purchasing behaviour, the demand for men’s grooming products is growing.

Due to the marketing trends followed by key players in personal care, the demand for production services is high. This has led to companies outsourcing some production activities. This will drive demand for contract manufacturing.

The personal care contract manufacturing market is projected to grow in the coming years due to rising demand for innovative and flexible packaging. Due to its aesthetic value, packaging will see a 5.8% CAGR in terms of revenue from 2020-2027.

Regional Insights

Asia Pacific will be the fastest-growing region market during the forecast period. The market will be driven by Japan's highly developed production industry and the availability of advanced infrastructure as well as advanced technology for R&D, custom formulation and other activities.

Europe is expected to be the second-fastest-growing market for personal hygiene products with a revenue share of 21.0% for 2019. The market is expected to grow because of the growing demand for personal care products in Europe, especially in Germany, France, Spain and Italy.

The demand for contract manufacturing will be driven by the presence of established manufacturing industries in Germany and the growth in the personal care market in Europe. Market growth is expected to drive the demand for custom-formulated products. This is due to growing concerns about advanced products. The growing trend towards outsourcing by key companies has led to a significant increase in growth of the packaging industry.

Due to the rapid growth of Middle East's population, urbanization and industrial growth, Rest of World (RoW), is expected to see a 5.9% CAGR in personal care contract manufacturing revenue between 2020-2027. The governments of this region have set supportive policies that are expected to increase the number personal care manufacturing companies who outsource their production.

Market Share Insights & Key Companies

The market is competitive on the basis regional presence and price. McBride, a global player, caters to their local market and also serves all regions. To improve their formulation capabilities and to gain an edge over others, major players in the industry invest in R&D projects.

Companies benefit from widespread distribution channels to cater to global demand and offer optimum quality services for their customers. ApolloCorp is one of the micro-manufacturers within this industry. VVF India Ltd. and Inc. cater to local customers by offering premium services to their existing customers.

Market Report on Personal Care Contract Manufacturing Scope

The Report Covers Certain Segments

This report forecasts revenue growth at the global, regional and country level. It also provides analysis on industry trends and potential opportunities for each sub-segment from 2016-2027. Grand View Research has divided the global personal care contract market report by service and region for this study.

• Service Outlook (Revenue USD Million, 2016-2027)

  • Manufacturing

    • Skin Care

    • Hair Care

    • Color and Makeup Cosmetics

    • Fragrances & Deodorants

    • Other

  • R&D and Custom Formulation

    • Skin Care

    • Hair Care

    • Color and Makeup Cosmetics

    • Fragrances & Deodorants

    • Other

  • Packaging

    • Skin Care

    • Hair Care

    • Color and Makeup Cosmetics

    • Fragrances & Deodorants

    • Other

• Regional Outlook (Revenue USD Million, 2016-2027)

  • North America

    • U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • India

    • Japan

  • Rest of the World

These are the most frequently asked questions about this report

b. Global personal care contract manufacturing market was valued at USD 18.15 billion in 2019, and is forecast to grow to USD 19.21 billion by 2020.

b. Global personal care contract manufacturing is expected to expand at 6.2% compound annual growth rate between 2020 and 2027, to reach USD 29.27 Billion by 2027.

b. With a 30.5% share in 2019, Asia Pacific was the dominant market for personal care contract manufacturing. This is due to Japan's highly developed production sector and the availability of high-tech infrastructure for R&D, and custom formulation.

b. McBride and Colep are key players in the personal care contract manufacturer market.

b. The key factors driving personal care contract manufacturing market growth are the shift in OEMs personal care products focus from in-house production to R&D, as well as increasing awareness about the benefits of localizing contract manufacturing and the reduction in lead times.

Up Market Research published a new report titled “Personal Care Contract Manufacturing Market research report which is segmented by Service (Packaging, Manufacturing), By Players/Companies Albea, Colep, Knowlton Development Corporation (KDC), HCP Packaging, McBride, Fareva, KIK Custom Products Inc”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Personal Care Contract Manufacturing Market Report Segments:

The market is segmented by Service (Packaging, Manufacturing).

Personal Care Contract Manufacturing Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Personal Care Contract Manufacturing Market

Overview of the regional outlook of the Personal Care Contract Manufacturing Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Personal Care Contract Manufacturing Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Personal Care Contract Manufacturing Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Packaging

                2. Manufacturing

7. Market scenario by region, sub-region, and country.
8. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
9. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
10. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Personal Care Contract Manufacturing Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Personal Care Contract Manufacturing Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.