The State of Fashion: Beauty, Volume 2 (June 2025)

The global beauty industry remains vibrant, yet it is entering a new phase. Whereas previously rapid growth was driven by novelty and broad consumer enthusiasm, brands now face a landscape shaped by heightened consumer scrutiny, evolving definitions of beauty, and increasing value‑consciousness. According to McKinsey’s latest findings, the beauty market—including skincare, colour cosmetics, haircare and fragrance—is projected to reach around US $590 billion by 2030. Despite this promising outlook, the expected annual growth rate has moderated to approximately 5 % through 2030, down from the 7 % rate recorded between 2022‑24. Key forces shaping this evolution include: Value & performance over hype: Consumers are now less interested in mere brand story or premium positioning—they want proof that a product works and delivers value. Fragmentation of markets and channels: Growth is shifting geographically, with India and the Middle East identified as promising regions. Online commerce is also expected to surpass one‑third of global beauty sales by 2030. New definitions of beauty: The concept of beauty is broadening beyond traditional categories, incorporating wellness, personal care and self‑expression—opening fresh opportunities for brands willing to innovate. For brands and businesses in the skincare and hygiene space, this means: showcasing proven efficacy, tailoring solutions to consumer‑segments and markets, embracing omnichannel strategies, and delivering authentic value. In doing so, you not only align with where the beauty industry is headed—but also resonate at a time when consumer expectations are higher than ever.