April 20, 2024

Aromatherapy Market: Unveiling Therapeutic Potential and Market Trends

Aromatherapy Market

The aromatherapy market involves the use of plant-derived volatile essential oils to improve psychological and physical well-being. Essential oils are obtained from different parts of plants like flowers, leaves, roots, seeds, wood or stems through distillation or cold pressing processes. They are known for their calming and healing properties when inhaled or applied topically. Some commonly used essential oils in aromatherapy include lavender, peppermint, eucalyptus, bergamot, frankincense and rosemary. They help relieve stress, anxiety, pain, insomnia and promote relaxation. Aromatherapists blend different oils based on their individual properties and provide customized treatments for conditions like depression, nausea and respiratory illnesses. With growing awareness of its holistic healing benefits, aromatherapy has become a popular complementary therapy around the world.

The Global aromatherapy market is estimated to be valued at US$ 6.39 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030.

Key Takeaways
Key players operating in the aromatherapy market are doTERRA International, Koninklijke DSM N.V., International Flavors & Fragrances Inc., Symrise, Eden Garden, Young Living Essential Oils, Frontier Natural Products Corporation, Rocky Mountain Oil, Mountain Rose Herbs, Plant Therapy Inc., Thann-Oryza Co. Ltd, G Baldwin & Co., Ouwave Aroma Tech Co. Ltd, RyohinKeikaku Co. Ltd, and Isagenix International LLC.

The growing popularity of organic and herbal remedies is fueling the demand for aromatherapy products globally. With fast-paced lifestyles and increasing stress levels, aromatherapy is gaining recognition as an effective way to promote relaxation and well-being.

The industry is also expanding rapidly in developing economies due to rising disposable incomes, increasing health and wellness spending and growing awareness about aromatherapy benefits. Leading companies are focusing on new geographical markets and innovative product formulations and delivery methods to capitalize on the tremendous growth opportunities in the global aromatherapy industry.

Market key trends
The holistic healthcare trend is driving the popularity of aromatherapy worldwide. Growing consumer preference for natural remedies with little to no side effects is bolstering market revenues. Rising internet penetration and the influence of social media are positively impacting product promotion activities by industry players. Additionally, a paradigm shift towards preventive healthcare to avoid costly medical treatments is working in favor of aromatherapy adoption. Technological advancements in production processes and carrier oil mixtures are resulting in premium quality and refined essential oils that are elevating consumer experience. Strict quality regulations and sustainable sourcing practices by reputed brands are also building consumer trust in aromatherapy products.

Porter’s Analysis

Threat of new entrants: Low barrier, as raw materials are easily available. However, established brands have an advantage.

Bargaining power of buyers: Buyers have moderate to high bargaining power due to availability of substitutes and undifferentiated products.

Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of diverse range of suppliers globally.

Threat of new substitutes: Substitute products like essential oils, fragrance oils pose moderate threat.

Competitive rivalry: Highly competitive due to presence of established brands.

Geographical regions
North America currently holds the largest share in aromatherapy market value owing to high awareness levels and increased spending on wellness and self-care products. Europe follows second due to growing focus on alternative medicine and early adoption of aromatherapy. Asia Pacific is projected to witness fastest growth during forecast period supported by rising middle class population, growing disposable income and changing consumer preference towards natural therapies in countries like India and China.

The Middle East and Africa region is fast emerging as a lucrative region driven by cultural acceptance of aromatherapy, increasing spa treatments adoption and rising Lifestyles diseases. Latin America market is expected to grow at a steady pace due to growing trend of aromatherapy diffusion and bath & spa treatments.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it