What’s Driving Beauty & Personal Care Growth in 2025?

Beauty influencers have had a significant impact on the beauty industry, especially after the launch of TikTok shop.
Beauty influencers have had a significant impact on the beauty industry, especially after the launch of TikTok shop.
AdobeStock By Graphicroyalty

According to a report from Statista1, the U.S. beauty and personal care market is expected to generate revenue of $104.10 billion in 2025. This growth is being fueled by several key trends:Organic sourcing aligns with the 'clean beauty' movement, where consumers prioritize natural, non-toxic, and ethically sourced ingredients.Organic sourcing aligns with the "clean beauty" movement, where consumers prioritize natural, non-toxic, and ethically sourced ingredients.AdobeStock By kerdkanno

Continued Emphasis On Natural and Organic Ingredients: Consumers are increasingly seeking products with natural and organic ingredients, driving demand for clean beauty and sustainable formulations.

Hyper-personalization with AI: Artificial intelligence is enabling personalized beauty experiences, from AI-powered skin care recommendations to customized product formulations.

Biotech Innovations with a Focus on Sustainability: Advancements in biotechnology are leading to the development of innovative, high-performance ingredients with a reduced environmental impact. In fact, according to a report from Nosto2, 68% of people are looking for products described as “clean” and 59% of people are influenced by products that are described as “natural and organic.”

Beauty Sales and Brand Engagement on TikTok and Instagram: Social media platforms like TikTok and Instagram are playing a crucial role in driving beauty trends, influencing purchasing decisions, and enabling brands to connect with consumers. (The only question is: will TikTok survive a threatened ban? As of press time, the answer is unclear.)

Demand for Men's Beauty Products: The men's grooming market is experiencing significant growth, with a rising demand for high-quality skin care, hair care and grooming products.

Jennifer Posternack, associate managing editorJennifer Posternack, associate managing editorIn conclusion, the beauty and personal care market is poised for significant growth in 2025, driven by a confluence of consumer trends and industry innovations. As consumers prioritize natural and organic ingredients, seek personalized experiences, and embrace sustainable practices, brands are responding with innovative solutions, leveraging biotechnology, AI, and data-driven insights.

These trends, coupled with the continued evolution of social media's influence and the growing focus on inclusivity and diversity, will shape the future of the beauty industry worldwide. 

https://www.statista.com/outlook/cmo/beauty-personal-care/united-states#revenue

https://www.nosto.com/wp-content/uploads/beauty-skincare-consumer-report-2021.pdf

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