May 27, 2024
South East Asia Halal Skincare Market

The South East Asia Halal Skincare Market Is Driven By Rising Demand For Natural And Chemical-Free Products

The halal skincare industry has witnessed significant growth in recent years owing to rising health awareness among consumers and growing demand for natural and chemical-free products. Halal skincare products are manufactured using ingredients and formulas that are permissible according to Islamic law. They are free from alcohol, pig derivatives and other harmful chemicals. The products are widely used for cleansing, moisturizing and nourishing the skin. The demand for halal certified skincare has been increasing in Southeast Asia led by Muslim-majority countries like Indonesia, Malaysia and Brunei.

The South East Asia Halal Skincare Market is estimated to be valued at US$ 3.2 billion in 2023 and is expected to exhibit a CAGR of 5.2% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

Growing online penetration in Southeast Asian countries has boosted the sales of halal skincare products in the region. E-commerce platforms provide a large variety of halal certified brands and products to consumers. Leading online retailers offer product descriptions, reviews, videos and other engaging content to create awareness regarding halal cosmetic standards. This has made shopping more convenient for busy lifestyles. Furthermore, increasing use of social media marketing by brands is attracting younger customers towards natural and ethical products. Social media campaigns highlight the natural ingredients, modest packaging and permission status according to Islamic principles to expand the customer base.

Porter’s Analysis

Threat of new entrants: High capital requirements and established customer base make entry difficult.

Bargaining power of buyers: Buyers have greater bargaining power due to availability of multiple brands offering similar products.

Bargaining power of suppliers: Suppliers have moderate bargaining power as raw materials suppliers are fragmented.

Threat of new substitutes: Low threat as halal skincare market serves specific customer needs based on religious beliefs.

Competitive rivalry: Intense competition exists among existing players like L’Oreal and Unilever to cater to demand in fast growing South East Asia market.

Key Takeaways

The South East Asia Halal Skincare Market Size is expected to witness high growth.

Regional analysis: The South East Asia Halal Skincare market is dominated by Indonesia, Malaysia and Singapore due to large Muslim population in these countries. Premium halal brands are the most lucrative segment.

Key players operating in the South East Asia Halal Skincare market are L’Oreal,Unilever, Inglot and Farida. L’Oreal captured significant market share through acquisitions of The Body Shop. Unilever leveraged its distribution network to expand reach of halal certified Ponds and Vaseline products across the region.

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