Can Estee Lauder Cross 20% In Beauty And Cosmetic Market Share By 2025?

by Trefis Team
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The top players in the Beauty and Cosmetics space generated around $85.7 billion in revenues in 2019, up from $72.2 billion in 2015. L’Oreal (OTCMKTS: LRLCY) leads the market with about $33.4 billion in revenues in 2019, followed by Unilever (NYSE: UL) at $24.5 billion. Other major players Estee Lauder (NYSE: EL) and Procter & Gamble (NYSE: PG) posted revenues of $14.9 billion and $12.9 billion, respectively.
However, over the period 2015-2019, Estee Lauder has seen the highest increase in revenue, at 37.9%, followed by L’Oreal at 24.1% and Unilever at 12.4%.

In our interactive dashboard, How Much Can Estee Lauder’s Market Share Increase To In The Beauty And Cosmetics Market?, we explore how much the global market share (in terms of Revenue) for Estee Lauder can reach by 2025.

Though the beauty & cosmetics market is expected to grow ~32% from $85.7 billion in 2019 to $113.4 billion in 2025, Estee Lauder’s market share is likely to grow from 17.4% to 20.7% over the same period, primarily due to their aggressive acquisition strategy and strong emerging market growth. The top players in the beauty and cosmetics space generated around $85.7 billion in revenues over 2019. Market size has continuously increased due to steady demand growth, and rising selling prices.

Top Players In Beauty & Cosmetics Space

  • L’Oreal leads the beauty and cosmetics market with about $33.4 billion in revenue over 2019, followed by Unilever, Estee Lauder, and P&G, which posted revenues of $24.5 billion, $14.9 billion, and $12.9 billion, respectively.
  • All beauty & cosmetic companies have seen a growth in revenue base from 2015 to 2019.
  • L’Oreal will lead the beauty and cosmetics market with about $46.4 billion in revenue over 2025, followed by Unilever, Estee Lauder, and P&G, with expected revenues of $28.1 billion, $23.4 billion, and $15.5 billion, respectively.
  • Estee Lauder’s rise will see it close the gap on Unilever, and grow from around 40% of L’Oreal’s total revenue in 2019, to 50% in 2025.

(A) Top Players In Skin Care

  • L’Oreal leads the skin care market with about $11.3 billion in revenue over 2019, followed by Unilever and Estee Lauder, which posted revenues of $9.8 billion and $6.6 billion, respectively.
  • All skin care companies have seen a growth in revenue base from 2015 to 2019, with L’Oreal and Estee Lauder especially, seeing a growth of ~50% over this period.
  • L’Oreal will lead the skin care market with about $16.7 billion in revenue over 2025, followed by Estee Lauder in second position, with revenues of around $12.2 billion.
  • Estee Lauder’s rise will see it pass Unilever in terms of skin care revenue, with Unilever expected to bring in around $11.3 billion in 2025 from skin care.

(B) Top Players In Hair Care

  • Unilever leads the hair care market (as per our estimates) with about $9.8 billion in revenue over 2019, followed closely by L’Oreal with $8.8 billion in hair care revenue for 2019.
  • P&G comes in third with around $5 billion in hair care revenues.
  • Unilever will lead the hair care market with about $11.3 billion in revenue over 2025, followed closely by L’Oreal with $11 billion in revenues.
  • Estee Lauder’s hair care revenue is expected to nearly double, from $586 million in 2019 to $1.1 billion in 2025.

(C) Top Players In Makeup

  • L’Oreal leads the makeup market with about $8.9 billion in revenue over 2019, followed by Estee Lauder and P&G, with $5.9 billion and $5.1 billion in hair care revenue, respectively.
  • L’Oreal has seen the highest growth (over 50%) since 2015, growing from $5.8 billion to $8.9 billion.
  • L’Oreal will lead the makeup market with about $12.6 billion in revenue over 2025, followed by Estee Lauder with $8 billion in revenue.
  • P&G is expected to come in at third place, with around $6.2 billion in makeup revenue.

 

(D) Top Players In Fragrance

  • Unilever leads the fragrance market with about $4.9 billion in revenue over 2019, followed closely by L’Oreal with $4.4 billion in revenue.
  • However, Estee Lauder has seen the highest growth (around 30%) since 2015, growing from $1.4 billion to $1.8 billion.
  • L’Oreal will lead the fragrance market with about $6 billion in revenue over 2025, followed by Unilever with $5.6 billion in revenue.
  • P&G is expected to come in at third place, with around $3.1 billion in fragrance revenue.

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