21 days ago • Posted by William Ramstein
Top cosmetic firms see a CAGR of 6.3% on average between 2018-2021
Industry growth is speeding up, partly due to the pandemic. In Q1 of this year, firms saw a 13% year over year increase in sales, building on top of an 8% increase over Q4 in 2020. Sales of mass market brands are up 14% year on year in Q1 and both entry-level prestige and high-end prestige brands showed a 12% improvement. Gross margins are between 40% and 60% in cosmetics (which is huge), and few, but strong firms are leading the pack which justifies relatively high prices on certain key products in conjunction with low end options like Head and Shoulders shampoos by P&G.