Germany Beauty and Personal Care Products Market Size and Share Analysis by Type (Skin Care, Color Cosmetics, Hair Care, Baby Care, Bath and Shower, Oral Care, Men’s Grooming, Deodorant, Sun Care, Fragrance, Depilatory), Distribution Channel (Marketplace Platform, Professional Health & Beauty Outlet, Club/Value Store, Brand Owner to Store/Franchise, Local Marketplace Platform, Brand Owner to Home, Specialist Marketplace Platform, Dermatologist, Social Commerce, New Cross-Category Distribution Point), Mode of Purchase (Traditional In-Store Shopping, Home Delivery, Subscription, Third-Party Delivery Service, In-App/Website, Butler Service, Live Auction, Click & Collect) - Industry Demand Forecast to 2030

Germany Beauty and Personal Care Products Market Overview

The German beauty and personal care products market had an estimated size of USD 20.6 billion in 2023, and it is expected to reach USD 22.7 billion in 2030 at a CAGR of 1.3% during the forecast period (2024–2030). The main reasons for the market advance are the rising appearance consciousness, increasing aging population, shifting interest toward natural and chemical-free products, growing prevalence of skin diseases, and surging personal care spending.

Cosmetics and personal care products can be easily bought at specialty stores, beauty salons pharmacies, and even online. This easy accessibility contributes toward the growth in product sales and the customer base that players can tap. Moreover, a strong growth opportunity is expected as male consumers are increasing their focus on skincare and grooming to enhance their physical appearance and take better care of their skin.

In addition, seeing consumer’s increasing awareness of cosmetics that are organic, vegan, natural, and safe for the skin, companies are launching new variants and expanding their sales networks. For example, in September 2022, Dr Barbara Sturm Molecular Cosmetics launched its eco-friendly cosmetic products for German consumers on Luxury Stores at Amazon. These products do not contain any harmful chemicals, such as glycols (including PEG), parabens, silicones, nanoparticles, and chemical filters.

Since forever, consumer trends have been shaping the market for beauty and personal care products. Sustainability, natural and organic ingredients, health, and convenience are the ongoing trends in the market. Consumers are choosing natural, organic, and vegan beauty and personal care products over conventional products, which are made from harmful and synthetic chemicals often derived from petroleum sources. Even though clean-label and environment-friendly products cost more, the increasing health awareness is making consumers choose them, which is a great opportunity for companies to augment their revenue.

The main demographic that is displaying this rapid shift is composed of millennials and Gen Z, who have been more vocal about using organic products than other age groups. According to a survey, 54% German consumers said they consider products containing natural ingredients important. Hence, in Germany, the large population of millennials serves as a strong market driver. Moreover, the country’s workforce majorly belongs to the millennial generation, and it extensively uses cosmetics to enhance appearance and appeal at the workplace and social gatherings.

Personal care products, such as perfumes, deodorants, and cosmetics, are used daily as physical appearance has gained unprecedented importance. Consumer are targeted based on their age group, gender, shopping preferences, and even hobbies by different market players, when they launch new products. Germans are physically active, going to the gym and fitness centers almost every day, because of which the demand for deodorants remains high. Thus, in February 2021, Procter and Gamble launched Secret Derma + Antiperspirant under its Secret brand. The product is designed to provide skincare by minimizing underarm discoloration and skin irritation.

Skincare Category Is Predicted To Maintain its Dominance in Germany

Based on type, the skincare category led the German beauty and personal care products market in 2023 with a share of 30%, and it is predicted to continue being the largest till the end of the decade. This is mainly credited to the rising millennial population in the workforce, increasing demand for these products from the fashion & entertainment industry, expanding population of appearance-conscious consumers, and growing interest in self-care products and beauty routines.

The baby and childcare category also holds a significant share because it covers products designed for the protection of children’s sensitive skin and to keep kids healthy and hygienic. This category includes lotions, body oils, powders, and sunscreens for babies and children.

In addition, the haircare category is expected to witness significant growth in the coming years. Some commonly used products for haircare are shampoos, conditioners, hair masks, styling products, and hair color. The hair style and condition are now considered an important part of the overall appearance, which is why both men and women use these products regularly.

Moreover, the shower and bath category is expected to show significant growth in the upcoming years. This is because it includes all the products that allow the maintenance of daily hygiene and enable people to care for the entire body, such as shower gels, bathing products, body scrubs, and soaps. They not only help maintain a clean body appearance but also keep foul odor at bay, which helps people remain self-confident in front of peers.

Similarly, the oral care category’s growth Is ascribed to the rising prevalence of dental issues and the low self-esteem that a bad breath instills in people. As per the World Health Organization, the incidence of oral and lip cavities in Germans of all ages in 2020 was 4.3 in 100,000 people. The key reasons behind this significant incidence are the high-volume consumption of sugary foods, alcohol, and tobacco. Thus, people’s increasing knowledge of keeping such issues at bay is driving the sale of toothpastes, mouthwashes, manual and electric toothbrushes, and dental floss in the country.

The shaving category also holds a significant share because of the rising preference of men on styling beards and of women to remove unwanted body hair, which has been the subject of much ridicule for ages. This category covers razors & blades, aftershave emulsions, beard moisturizers, and pre-shave creams, which are now available for different purposes and skin types.

Explore more about this report - Request free sample

Market Strongly Driven by Growing E-Commerce Sales

The beauty industry consistently offers new products ranging from hyper-personalized skincare and AI-integrated professional-use devices to at-home and clean-label beauty products. Further, beauty retailers consistently work to enhance the shopping experience of customers, which is why many have launched mobile apps with AR/VR technologies.

Additionally, in the past few years, e-commerce platforms have transformed the beauty industry. As of 2022, Germany had 67 million active internet users, including nearly 88% of the women and 94% of the men in the entire country. As e-commerce platforms provide huge discounts and a range of exclusive offers, consumers prefer to shop online for branded beauty products. Moreover, these platforms make the shopping experience better and allow people to easily purchase what they want, with the option for home deliveries, product comparison, and electronic payments.

Home Delivery Mode of Purchase Is Preferred by Germans

The home delivery has the largest share in the mode of purchase segment, and it is expected to witness a CAGR of 2.4% during the forecast period. This mode provides a variety of purchasing options with multiple offers and various mode of online payment, which leads to immense convenience for users. Consumers can also return and replace the products if they do not like them; however, under specific terms & conditions. A wide range of products, special discounts on new launches, and cashbacks on online payment are some of the key conveniences of online platforms boosting the growth of this category in the country.

Acquisitions and Product Launches Are Important Strategic Measures

This market is highly competitive, with players investing heavily in R&D to come up with innovative products. Companies claim many of them to be organic, natural, and sustainable, to increase their penetration at both online channel s and brick-and-mortar stores. Many of these launches have been a result of the acquisition of small and emerging companies by those having been in operation for centuries.

• In March 2022, The Procter and Gamble Company launched the Crest Pro-Health Densify toothpaste, which rebuilds tooth density by re-mineralizing enamel.
• In February 2022, Beiersdorf AG acquired Chantecaille Beaute Inc., a U.S.-based prestige beauty company, to strengthen its premium skincare offerings.
• In July 2021, Unilever plc acquired Puala’s Choice, a digital skincare brand offering advanced and cruelty-free products.

Key Players in Germany Beauty and Personal Care Products Market Are:

• L’Oréal S.A.
• The Procter & Gamble Company
• Unilever Group
• Shiseido Company Limited
• Beiersdorf AG

Market Size Breakdown by Segment

The report analyzes the impact of the major drivers and restraints on the German beauty and personal care products market, to offer accurate market estimations for 2017–2030.

Segment Analysis, By Type

• Skin Care
  • Face cream
  • Body lotion
• Color Cosmetics
  • Lip products
  • Nail products
  • Facial makeup
• Hair Care
  • Shampoo
  • Hair oil
  • Hair spray
  • Conditioner
• Baby Care
  • Hair care
  • Skin care
  • Sun care
  • Toiletries
• Bath and Shower
  • Bar soap
  • Body wash/shower gel
  • Bath oil/pearl
  • Bath salt/powder
  • Intimate wash
• Oral Care
  • Toothpaste
  • Toothbrush
  • Mouthwash
• Men's Grooming
  • Moustache & beard oil/softener
  • Moustache & beard wash
  • Hair care
  • Skin care
  • Shaving
• Deodorant
  • Spray
  • Cream
  • Roll-on
• Sun Care
  • Self-tanning
  • After-sun
  • Sun protection
• Fragrance
• Depilatory
  • Wax/bleach

Segment Analysis, By Distribution Channel

• Marketplace Platform
• Professional Health & Beauty Outlet
• Club/Value Store
• Brand Owner to Store/Franchise
• Local Marketplace Platform
• Brand Owner to Home
• Specialist Marketplace Platform
• Dermatologist
• Social Commerce
• New Cross-Category Distribution Point

Segment Analysis, By Mode of Purchase

• Traditional In-Store Shopping
• Home Delivery (Single Transaction)
• Subscription
• Third-Party Delivery Service (Single Transaction)
• In-App/Website
• Butler Service
• Live Auction
• Click & Collect