The sales of skincare products are anticipated to increase as Thailand relaxes COVID-19 regulations beginning in mid-2022 for locals and foreign visitors. In light of this, the Thailand skincare market is predicted to expand at a compound annual growth rate (CAGR) of 3.8 percent, from THB 82.3 billion (USD 2.6 billion) in 2021 to THB 99.3 billion (USD 3.2 billion) in 2026.
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“As protective face masks continue to be mandatory, the demand for facial care formulations that alleviate skin problems caused by the prolonged use of masks will continue to be in demand. Moreover, multifunctional hand care creams and lotions that soften skin and protect against germs will gain traction. In addition, Thailand’s large aging population presents strong opportunities for anti-aging skincare products,” said Likitha Nalluri, Consumer Analyst at GlobalData.
According to GlobalData’s recent analysis, the category “depilatories” will have the fastest value CAGR between 2021 and 2026, increasing by 4 percent. Facial care, which is anticipated to have a CAGR of 3.9 percent over the same time period, will come in second place in the category.
In 2021, “supermarkets and hypermarkets,” “health & beauty” stores, and “direct sellers” were the top three distribution channels for skincare in Thailand. Nivea and Artistry were the top two brands in 2021, and the top three corporations by value were Beiersdorf Ag, Unilever, and L’Oreal S.A.
“Even as COVID-19 cases subside and more consumers return to their workplace, consumer demand for do-it-yourself (DIY) advanced skincare solutions is expected to continue and be complemented by the increasing demand for multifunctional products for on-the-go usage,” said Nalluri.
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“The ‘e-retail’ channel will continue to gain traction even as customer footfall in offline retail recovers. This entails the need for companies to equally focus on online and offline sales and marketing and promotional campaigns. In addition, the pandemic has lent more momentum to the clean beauty trend, manifesting in the rising consumer preference for skincare formulations with natural and sustainable ingredients,” added Nalluri.