Case study 2

Market overview

The global sales of health, beauty, and personal care products in pharma and health stores exceeded 418 billion U.S. dollars in 2022. By 2027, it is predicted that this value will go beyond $500 billion.

After pharma and health stores, e-commerce channels accounted for the highest sales value for health, beauty, and personal care products. In 2022, the estimated value of global sales via e-commerce was around 263.6 billion U.S. dollars, and by 2027 this figure is expected to reach a value of roughly 426.6 billion U.S. dollars.

Amazon’s ecommerce sales of health, personal care, and beauty products grew faster than any other category in 2022, rising 20.0% year over year to reach $32.59 billion, which represents 8.2% of Amazon’s total retail ecommerce sales.

Growth Factor:

• Rise in awareness of good health behavior
• Rising awareness of positive health behavior
• Higher sales due to rising e-commerce

Key trends

Clean and sustainable beauty is making a comeback in the beauty & personal care market. This is accomplished by employing clean ingredients and clearly labeling these chemicals.

The men’s grooming market is expected to be one of the most prominent sectors. In addition to women, men are also increasingly becoming conscious of their appearance and looks; they are less hesitant about purchasing various personal care products and prefer products specifically designed for men. This factor has increased the demand for male grooming products, resulting in higher purchases of personal care products explicitly developed for their needs.

In predominantly Muslim countries like Indonesia and Malaysia, the demand for halal cosmetics has increased significantly as more and more Muslim women opt for halal makeup to suit their lifestyles. As these cosmetics use natural ingredients and do not harm any animals in the making, a larger number of people belonging to various strata of society are opting for this shift. As a result, new halal cosmetic brands are emerging in Western countries like the United States and the United Kingdom in order to cater to their Muslim communities.

Increasing demand for anti-aging products

Results

Brand internal identifier: US202305

Amazon Marketplaces: United States

Category: Baby care

Unique ASINS: 7

Profit margin: 85%

Monthly net profit: $3429

Profit multiple: 2.7

Sale price: $111,000

Partner(s) country: United Kingdom

Partner(s) total earning from sale: $19,850

Total partner(s) earning:$25,810

Duration of project: 7 months