US Cosmetics Market Size (2018–2028)
Beauty and personal care is set to be one of the top online shopping categories in the United States in 2024, with total revenues expected to hit $29.9 billion.
The multibillion-dollar sector makes launching a beauty brand extremely attractive, and knowing key industry statistics allows aspiring entrepreneurs to better gauge business opportunities. If you’re thinking about starting a cosmetics skin care brand, here’s a breakdown of the US cosmetics market size to help you understand the market.
US cosmetics market size in 2024
Recent data on the US cosmetics market size shows that the industry is forecast to generate $20.1 billion in revenues in 2024. This marks a 3.6% annual increase—the slowest growth rate in four years.
Cosmetics also represent the third-largest segment of the entire US beauty industry in terms of revenues. It follows personal care and skin care, whose revenues are expected at $45.5 billion and $24.4 billion, respectively.
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The growth rate of the US cosmetics market size in 2024 is a slowdown from the previous few last years’. In 2023, the market grew by 7.9%, double the growth rate expected in 2024. The year before, revenues skyrocketed 21.9%. Not only is this six times the expected growth rate of 2024, it’s also the largest annual growth industry analysts expect between 2018 and 2028.
Apart from a 19.9% plunge in 2020, a result of the economic impact of the COVID-19 pandemic, the US cosmetics market size has generally been growing year after year since 2018. In 2018, revenues totaled $16.5 billion, before rising by 3.4% in 2019, to $17 billion.
This means that the US cosmetics market’s annual revenues have increased by $3.7 billion since 2018, which is a 22.2% overall rise and an average annual growth rate of 4.2%.
US cosmetics market size: 2025–2028 forecast
Analysts expect annual revenues from the US cosmetics market to continue growing for a few more years.
In 2025, a growth rate of 3.6% is predicted, which will take total revenues to $20.9 billion. This is forecast to rise by another 3.5% and 4.2% in 2026 and 2027, respectively, to $21.6 billion and $22.5 billion.
In 2028, the US cosmetics market size is predicted to be worth $23.1 billion, growing 2.8% from the previous year.