CBD-infused cosmetics have become extremely popular, and the market is booming. It is estimated that the global CBD cosmetics market is worth between $1 billion and $1.5 billion, and this number is set to grow exponentially over the next couple of years. However, the industry is not without its challenges, many of which impact the manufacturing and sale of CBD products. Fortunately, this climate seems to be changing, with some regulations easing up and the market opening up to more players. Let’s take a look at what the CBD cosmetics market is estimated to look like in 2022.
There is a rising demand for CBD cosmetics and skincare products, which has led to both CBD businesses and massive beauty brands creating new CBD cosmetics to meet the needs of consumers. An increasing amount of people are turning to more natural ways of living. They are looking for “greener” options when it comes to cosmetics, which has pitted companies against one another in a rush to fulfil customers’ desires by coming up with innovative new CBD cosmetics that are better than their competitors. And as you know, the more competition there is, the more companies will release new products.
More studies and research concentrating on CBD have raised public awareness of the possible health advantages of CBD-infused cosmetics. It led to more people wanting to try CBD cosmetics for themselves.
Another driving force behind the CBD cosmetics market in 2022 is the marketing of CBD cosmetics. The way these products are advertised is causing the group of CBD users and enthusiasts to expand. Society as a whole is obsessed with celebrities, and many people want to be like their favourite stars. An increasing number of social media influencers and celebrities are promoting a range of CBD cosmetic products, which means their fans and followers will be drawn in and become users.
The CBD-infused cosmetics market is fragmented, and many companies dominate it. However, this is not a bad thing. This situation presents many opportunities for newcomers since it is easier to penetrate a diluted market compared to a market that only a few dominant brands control.
There is no denying that the US continues to dominate the market. This is probably since the EU has been stricter about the widespread use of CBD. Currently, the US accounts for around 40% of the worldwide market, but this is set to change as the EU market strengthens.
CBD can be found in almost every kind of cosmetic product, such as moisturisers, cleansers, lipstick, and even mascara. However, some CBD-infused cosmetics are more popular than others, such as:
In 2021, the market grew at a steady rate, going from a USD million industry to a USD multi-million. This was due to big players in the beauty industry adopting strategies and jumping on the CBD cosmetics bandwagon, along with an increasing interest in CBD cosmetics from the public. As such, the market for CBD-infused cosmetics is expected to grow significantly between 2022 and 2029.
Technological innovation and progress will be another factor driving the progress of the CBD cosmetics market, with more versatile and clever CBD cosmetic products being manufactured as technology advances.
There has never been a better time to invest in the CBD beauty industry. The fact that the sector continued to expand throughout and after the pandemic shows just how established and resilient it is. Although UK regulations and ideologies surrounding cannabis leave much to be desired, the past year has been great for enhancing European legislation, which has opened up more opportunities for the market. Now, many small companies have developed premium CBD-infused cosmetics, for which they can charge a significantly higher price.
The EU has finally conceded that CBD is safe for use in cosmetics. Up to this point, cosmetics could only include synthetic CBD. However, in February 2021, the EU added cannabis extract, resin, and tincture to the CosIng database. This European database states which ingredients may be added to cosmetics. This addition safeguards future expansion and ensures an increase in demand for CBD cosmetics.
The CBD cosmetics market will undoubtedly receive a much-needed boost due to this decision, as it was the uncertainty around specific legislation and the potential for fines preventing European businesses from entering the CBD cosmetics industry.
Although CBD-infused cosmetics are still a relatively new concept, their interest has picked up and is at an all-time high, with both big and small brands constantly rolling out new CBD cosmetics. Most important is the change in strict regulations, which has opened up the CBD cosmetics market for all players. With such positive changes happening in the industry, the CBD cosmetics market can only go from strength to strength.
You may be interested in reading our blog on: How to Start a Business in the CBD Beauty Sector