Nail polish market is estimated to witness high growth owing to increasing product innovation and rising demand for colored and textured nail polishes
The Nail Polish Market is estimated to be valued at USD 17.38 Billion in 2024, exhibiting a CAGR of 7.1% over the forecast period (2024-2031). Furthermore, the rising demand for colored and textured nail polishes along with innovative product offerings are fueling the market growth.
Rising product innovation
Manufacturers are increasingly innovating their nail polish product offerings in terms of shades, textures, formulations, and features to cater to the dynamic consumer preference. This has resulted in the availability of a wide range of nail colors along with matte, glitter, and 3D textured polishes. Moreover, product formulations incorporating natural ingredients are also gaining traction. The ongoing innovation is increasing consumer engagement with the category.
Increasing demand for colored and textured polishes
The nail polish market has witnessed significant growth in the demand for colored polishes beyond traditional shades of red, pink, and nude. There is rising preference for bolder, unique, and metallic shades among consumers. Similarly, the textured polishes such as matte, glitter, and metallic are witnessing increasing popularity. This changing consumer preference for styling and self-expression is propelling the market growth.
Growth of the Beauty and Cosmetics Industry is Driving the Demand for Nail Polish
The global beauty and cosmetics industry has seen tremendous growth over the past decade, driven by increasing disposable incomes and a rising focus on personal care and aesthetic appearance. As nail care has become a major part of beauty routines, the demand for nail polish has significantly increased. Women especially are experimenting more with color, designs, and nail art leading to higher sales of nail enamels, lacquers, and accessories. New product launches catering to the latest trends and increased availability through multiple retail channels has further propelled the nail polish market growth.
Increasing Popularity of Nail Art is Fueling the Nail Polish Usage
Complex and intricate nail art designs have gained widespread popularity on social media. Getting creative with nails has become a new trend especially among teenagers and young adults. This has boosted the sales of specialty nail polish colors and products needed to create different artworks like dots, layers, gradients, etc. on nails. Leading brands are launching wide assortments including glitter polishes, dual-shaded polishes, and special effect polishes to meet the evolving preferences. The growing nail art culture has significantly expanded the addressable market for nail enamel.
Stringent Regulations on Chemical Formulations Act as Restraint
Stringent regulations imposed by various government bodies regarding the permissible chemical formulations in nail products act as a key restraint for the market. Due to health hazards posed by exposure to toxic chemicals like formaldehyde, toluene, dibutyl phthalate, etc. present in some nail paints, bans, and restrictions have been imposed on their usage. This limits the product development flexibility for companies and increases compliance costs. It also leads to regular reformulation which adds to prices.
Volatility in Raw Material Prices Hinders the Market Growth
Fluctuations in the global prices of key raw materials used in nail polishes like nitrocellulose, resin, pigments, plasticizers, etc. pose a challenge for manufacturers. Since these account for a major part of product costs, volatility in crude oil and petrochemical prices from which they are derived, adversely impacts profitability margins. It also makes demand and supply forecasting difficult. Frequent price hikes of raw inputs are passed on to consumers, making the products less affordable. This affects sales volumes in price-sensitive markets.
Online Retail boom Opens New Sales Avenues
The explosive growth of e-commerce and online shopping across regions have opened abundant opportunities for nail polish brands. Selling directly through company-owned websites and aggregator marketplaces enables reaching a wider customer base including those in remote areas not serviced by brick-and-mortar stores. It also aids promotional tie-ups, targeted marketing, flash sales, and subscription-based replenishment schemes to boost sales. Leveraging the popularity of social selling channels and influencer marketing is another avenue that brands are tapping.
Increasing Focus on Natural and Organic Variants
There is a rising consumer consciousness about the ingredients in personal care products and their impact. This has created the demand for nail polishes with natural, vegan, cruelty-free, and organic positioning. While still a niche, this clean beauty segment is attracting several new entrants as well as initiatives from large brands. Emphasis on botanical extracts, minimal chemical formulations, and eco-friendly packaging offers opportunities to target the health-conscious demographic. Technological advancements are also helping improve performance characteristics of natural variants.
Link - https://www.coherentmarketinsights.com/market-insight/nail-polish-market-2970
Key Developments
- In May 2024, Sally Hansen, a well-known brand under Coty, announced an exciting collaboration with the indie brand LoveShackFancy to launch a five-piece nail polish collection. This partnership combines Sally Hansen's expertise in nail care with LoveShackFancy's whimsical and feminine aesthetic, resulting in a vibrant and stylish collection that is sure to captivate beauty enthusiasts.
- In 2023, Essie, a prominent nail polish brand, launched its innovative ‘Love’ Nail Polish line at CVS, highlighting sustainability and plant-based ingredients. This new collection showcases Essie's commitment to environmentally friendly practices while offering consumers high-quality, stylish nail color options.
- In 2021, Machine Gun Kelly made a notable entrance into the beauty industry with the launch of his nail polish line, Un/dn Laqr. This venture marked the artist's debut in cosmetics, reflecting his personal style and artistic vision while catering to a growing audience eager for unique and expressive beauty products.
Key Players
Estee Lauder Companies, Inc., Shiseido Co., Ltd., Unilever, Coty, Inc., L'Oreal Groupe, Revlon Consumer Products LLC, SMC Cosmetics UK Ltd, IL Cosmetics, Unigrand group ltd, Pink gellac, Nails By Annabel Ltd, Silverson, Nailchemy Limited, CNC International, Esschem Europe Ltd, Kote Labs, NEONAIL, CHEMENCE, FIABILA, and Kirker Europe Ltd.
