The Beauty Packaging Industry-Market Trends and Challenges

Based on data from the past five years, the gross margin of beauty brands has remained around 65% and is showing an upward trend. In contrast, the average gross margin of packaging suppliers peaked at just over 25% last year and is on a downward trajectory.

According to the "2023 In-depth Research Report on China's Cosmetics Packaging Industry" released by Huajing Industry Research Institute, the global cosmetics packaging market size was $19.197 billion in 2015 and increased to $28.198 billion in 2022, with a compound annual growth rate (CAGR) of 5.65% during this period.

In 2022, the global cosmetics packaging market size was still smaller than the annual sales revenue of L'Oréal in the same year.

In the Chinese market, the cosmetics packaging market size in 2022 was approximately RMB 26.91 billion, a year-on-year decrease of 1.71%.

Meanwhile, according to the report "China Packaging Industry Trend Insights: Green, Innovation, Digital, and Synergy," jointly released by Deloitte and the China Packaging CEO Club in October this year, as of 2023, the number of large-scale enterprises in the packaging industry has exceeded 10,000.