U.S. Cosmetics Industry

The U.S. cosmetics market size was estimated at USD 62.97 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 6.1% from 2024 to 2030. The United States is regarded as one of the fastest-growing markets for cosmetics, with an increasing emphasis on personal hygiene and self-care products. In recent years, consumers in the United States have shown a heightened interest in beauty and cosmetic items, particularly in categories such as skincare, color cosmetics, and hair care products. This heightened focus on appearance and grooming has encouraged many consumers to allocate more of their disposable income to personal care, which in turn is creating favorable conditions and lucrative growth opportunities for the cosmetics industry in the U.S. The growing practice of incorporating makeup and accessories into daily routines continues to play a significant role in supporting the overall market expansion.

The U.S. cosmetics market held a 21.28% revenue share of the global cosmetics market, indicating its dominant position in the worldwide industry. One of the major factors influencing this market’s growth is the increasing number of consumers who rely on e-commerce platforms to purchase a broad array of consumer goods, including cosmetics. Simultaneously, there is a noticeable increase in the presence and penetration of offline retail channels. This includes a wider availability of personal care products driven by peer-group influences and lifestyle preferences. A surge in consumer demand for modern cosmetics has resulted in an expanding variety of products being offered across multiple retail formats, including hypermarkets, convenience stores, and neighborhood grocery outlets. Furthermore, the strategic and aggressive marketing approaches adopted by leading brands within the cosmetics industry have played a crucial role in boosting the appeal and accessibility of their products. These combined factors are expected to significantly contribute to the steady growth of the U.S. cosmetics market between 2024 and 2030.

The market has also been strongly influenced by the preferences and purchasing behavior of consumer segments such as millennials and Generation Z. These younger consumers have been key in shaping the demand landscape of the cosmetics industry. They are particularly inclined toward trying and regularly using a diverse range of cosmetic products. These include skincare solutions, face masks, bath and shower items, skin lightening creams, chemical exfoliants, products for external intimate care, lip care formulations, antiperspirant solutions, foundation, mascara, lipsticks, hydro alcoholic perfumes, scalp and hair root care items, nail care products, breath fresheners, and a wide array of makeup accessories. Over the past few years, this broad adoption of cosmetics across categories and demographics has accelerated, reinforcing a strong momentum for market growth throughout the U.S.

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1. What is the current size of the U.S. cosmetics market?

As of 2023, the U.S. cosmetics market was valued at USD 62.97 billion. This size reflects a strong consumer base, increasing interest in personal grooming, and widespread adoption of skincare and makeup products in daily routines.

2. What is the expected growth rate of the U.S. cosmetics market?

The market is projected to grow at a compound annual growth rate (CAGR) of 6.1% from 2024 to 2030. This anticipated growth is driven by rising consumer spending on beauty and self-care, coupled with product innovations and expanding retail access—both online and offline.

3. Why is the U.S. considered one of the leading cosmetics markets?

The U.S. holds a prominent position globally, accounting for 21.28% of total revenue in the global cosmetics market. This leadership stems from high consumer awareness, strong demand for premium and specialty products, rapid adoption of new beauty trends, and a robust infrastructure for product distribution and marketing.

4. What factors are contributing to the growth of the U.S. cosmetics market?

Several interconnected factors are fueling growth:

• Increased focus on personal hygiene and grooming, especially post-pandemic.
• High consumer willingness to spend on appearance-enhancing products.
• Widespread adoption of makeup and skincare products into everyday routines.
• Aggressive marketing strategies by global and domestic brands.
• Expanding access through both e-commerce and physical retail channels, including hypermarkets, convenience stores, and specialty cosmetic shops.

5. What role do online and offline channels play in this market?

Both online and offline retail play a vital role. E-commerce platforms have revolutionized access to a broad range of beauty products, allowing consumers to compare, review, and purchase with convenience. At the same time, offline retail remains strong, with beauty sections in hypermarkets and drugstores offering hands-on experience and immediate product availability. The convergence of these channels has enhanced consumer engagement and boosted sales.

6. Which consumer demographics are driving the cosmetics market in the U.S.?

Millennials and Generation Z are the key drivers. These groups are highly experimental, brand-conscious, and active on social media, often setting beauty trends. Their preferences for clean beauty, inclusive shade ranges, cruelty-free products, and multifunctional cosmetics are shaping new product developments and marketing strategies across the industry.

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