Perfume & Cosmetics Manufacturing in Germany - Market Research Report (2014-2029)
Frankfurt, Germany
Last Updated: August 2024
WZ C20.42DERevenue
€7.4bn
Past 5-Year Growth
Profit
€XXX.Xm
Employees
24,905
Businesses
142
Wages
€X.Xbn
Perfume & Cosmetics Manufacturing in Germany industry analysis
The personal care and fragrance manufacturing industry has declined over the last five years. Between 2019 and 2024, industry turnover increased by an average of 0.5% annually and is expected to rise by 3.3% to €7.4 billion in the current year. In 2019, the recession in the industrial sector and the decline in global trade volumes due to strategic trade conflicts between the USA and China and the United Kingdom's withdrawal from the European Union had a negative impact on the turnover of industry players. The decline in sales intensified in 2020 with the outbreak of the coronavirus pandemic and the far-reaching negative impact on the overall economy in Germany. The consumer climate deteriorated as a result of the pandemic and the international transport of goods was restricted. Despite high inflation and persistently high energy costs, demand for personal care products and fragrances has been high again since 2022, giving the industry a significant boost to growth. < />In the current year, the consumer climate should continue to develop positively and boost consumer demand for decorative cosmetics and perfumes somewhat. The continuing increase in net monthly household income and the health trend should have a positive impact on the industry. The profit margin is likely to increase in view of the ongoing consolidation and the associated bundling of production activities to realise synergy effects.Thanks to increasing health awareness and the expected rise in consumer demand for ecological and safe skin care products, demand for personal care products is likely to increase over the next five years and thus return to the long-term growth trend. As a result, IBISWorld expects industry sales to increase by an average of 1.6% annually over this period to €7.9 billion in 2029.
Trends and Insights
- Increasing consumer demand for environmentally conscious and healthy options has led manufacturers to introduce organic and natural cosmetic products. In addition, they have turned to reputable consumer institutions to integrate test results of their established branded products into marketing strategies.
- As a result of the ageing society, the importance of skin and facial care products has increased significantly in recent years. Anti-ageing creams and medical skin care products in particular are in ever greater demand.
- The Süd region has the most companies in the sector. Decisive reasons for choosing a location in this region are its geographical proximity to important raw material suppliers on the one hand and its good connections to important export markets on the other.
- Imports of low-priced cosmetic products are a substitute for the products of German manufacturers. Foreign manufacturers are able to produce and offer the same or similar products at lower costs due to lower labour costs, cheaper raw materials or more efficient production processes.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.5 % over the past five years, to reach an estimated €7.4bn in 2024.
Trends and Insights
Cosmetics and personal care products are in demand even in difficult economic times
- In the last five years, manufacturers of cosmetics and personal care products have had to contend with difficult economic conditions. The coronavirus pandemic, the outbreak of war in Ukraine and the resulting energy crisis as well as rising inflation have significantly dampened the consumer climate.
- Additional trends and insights available with purchase
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
A favourable consumer climate, rising household incomes and sustainability trends favour sector growth and profitability
- The growth in sales is primarily due to normalisation effects as part of the recovery from the negative effects of the coronavirus crisis and the war in Ukraine. Among other things, the consumer climate is likely to improve again, as falling unemployment figures are expected to lead to a further increase in monthly net household incomes. This should lead to an improvement in economic and income expectations as well as private households' propensity to buy.
Biggest companies in the Perfume & Cosmetics Manufacturing in Germany
| Company | Market Share (%)
2024 | Revenue (€m)
2024 |
|---|---|---|
Beiersdorf AG | 2,388.4 | |
The Procter & Gamble Company | 1,581.5 | |
L’Oréal S. A. | 913.8 |
To view the market share and analysis for all 10 top companies in this industry, view purchase options.
Products & Services Segmentation
Perfume & Cosmetics Manufacturing in Germany
Products & Services
Industry revenue is measured across several distinct product and services lines, including Skin and facial care products, Decorative cosmetics and Hair care products. Skin and facial care products is the largest segment of the Perfume & Cosmetics Manufacturing in Germany.
Trends and Insights
Skin and facial care products are increasingly in demand as a result of demographic change
- Skin and facial care products are used to cleanse, care for, protect and beautify the skin and face. The product range includes skin and facial cleansing products such as shower gels and scrubs as well as skin and facial care products such as sun creams and face masks.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Sanitary Product Manufacturing in Germany
- Soap & Detergent Manufacturing in Germany
- Cutlery Manufacturing in Germany
- Electrical Appliance Manufacturing in Germany
- Hairdressing & Beauty Treatment in Germany
International industries
- Global Cosmetics Manufacturing
- Cosmetic & Beauty Products Manufacturing in the US
- Cosmetics, Perfume and Toiletries Manufacturing in Australia
- Perfume & Cosmetics Manufacturing in the UK
- Cosmetic & Personal Care Product Manufacturing in China
Table of Contents
About this industry
Industry definition
The companies operating in this sector produce personal care products such as cosmetics, dentifrices and oral care products, perfumes and deodorants as well as soaps. However, the production of natural essential oils is not part of the industry's activities.
What's included in this industry?
Skin and facial care productsDecorative cosmeticsHair care productsFragrances and deodorantsOral and dental care productsShower gels and bath additivesCompanies
Beiersdorf AGThe Procter & Gamble CompanyL’Oréal S. A.Purchase this report to view all 10 major companies in this industry.
Related Terms
TRADEMARKANTI-AGEING PRODUCTPRIVATE LABELPOMADEFOUNDATIONMICROPLASTICSIndustry Code
WZ 20.42 - Perfume & Cosmetics Manufacturing in Germany
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Increasing consumer demand for environmentally conscious and healthy options has led manufacturers to introduce organic and natural cosmetic products. In addition, they have ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
As a result of the ageing society, the importance of skin and facial care products has increased significantly in recent years. Anti-ageing creams and medical skin care produ...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The Süd region has the most companies in the sector. Decisive reasons for choosing a location in this region are its geographical proximity to important raw material supplier...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Imports of low-priced cosmetic products are a substitute for the products of German manufacturers. Foreign manufacturers are able to produce and offer the same or similar pro...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Beiersdorf is expanding its commitment to climate and resource protection. To this end, the company acquired the natural cosmetics brand Stop the water while using me in 2020...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Beiersdorf AG's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of The Procter & Gamble Company's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of L’Oréal S. A.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 7 additional companies
Detailed analysis
- Description and key data for Beiersdorf AG, and factors influencing its performance in the industry
- Description and key data for The Procter & Gamble Company, and factors influencing its performance in the industry
- Description and key data for L’Oréal S. A., and factors influencing its performance in the industry
- Description, key data and performance trends for 7 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The industry is benefiting from growing sales in the retail sector for personal care products and cosmetics. Drugstores are the industry's most important sales market. Consum...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
The industry has a moderate profit margin. Large industry players can utilise economies of scale through high production volumes and thus increase their profitability. In add...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Germany include:
- German Federal Statistics Office (Destatis)
- European Statistics Office (Eurostat)
- United Nations Comtrade
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Perfume & Cosmetics Manufacturing industry in Germany in 2024?
The market size of the Perfume & Cosmetics Manufacturing industry in Germany is €7.4bn in 2024.
How many businesses are there in the Perfume & Cosmetics Manufacturing in Germany industry in 2024?
There are 142 businesses in the Perfume & Cosmetics Manufacturing industry in Germany, which has grown at a CAGR of 2.9 % between 2019 and 2024.
Has the Perfume & Cosmetics Manufacturing industry in Germany grown or declined over the past 5 years?
The market size of the Perfume & Cosmetics Manufacturing industry in Germany has been growing at a CAGR of 0.5 % between 2019 and 2024.
What is the forecast growth of the Perfume & Cosmetics Manufacturing industry in Germany over the next 5 years?
Over the next five years, the Perfume & Cosmetics Manufacturing industry in Germany is expected to grow.
What are the biggest companies in the Perfume & Cosmetics Manufacturing market in Germany?
The biggest companies operating in the Perfume & Cosmetics Manufacturing market in Germany are Beiersdorf AG, The Procter & Gamble Company and L’Oréal S. A.
What does the Perfume & Cosmetics Manufacturing in Germany include?
Skin and facial care products and Decorative cosmetics are part of the Perfume & Cosmetics Manufacturing industry.
Which companies have the highest market share in the Perfume & Cosmetics Manufacturing in Germany?
The company holding the most market share in Germany is Beiersdorf AG.
How competitive is the Perfume & Cosmetics Manufacturing industry in Germany?
The level of competition is moderate and steady in the Perfume & Cosmetics Manufacturing industry in Germany.
