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2020
Essential Oil Soap Market

Essential Oil Soap Market by Product Type (Lavender Essential Oil, Rose Essential Oil, Tea Tree Essential Oil, Rosemary Essential Oil, Peppermint Essential Oil, and Others), and Distribution Channel (Supermarket/Hypermarket, E-commerce, Retail Stores, and Pharmaceutical Stores): Global Opportunity Analysis and Industry Forecast, 2019–2026
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A05913
Pages: 236
Jan 2020 | 7704 Views
Author(s) : Shankar Bhandalkar
Tables: 112
Charts: 67
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The global essential oil soap market size was valued at $261.2 million in 2018 and is anticipated to reach $458.6 million by 2026, with a CAGR of 8.3% during the forecast period. Soaps are majorly prepared through mixture of oil/fats, fragrances (natural, semi synthetic, or synthetic) and other fillers. Soap is manufactured through three different processes. These include cold process, hot process, and semi hot process. Essential oil soaps are blend of organic essential oil, natural fats, and other associated compounds. Major types of natural essential oil used in soap making includes sandal wood oils, khas oils, palma rosa oil, ajwan oil, pepper mint oil, and lavender oil. The essential oil soap products are sold through supermarket/hypermarket, e-commerce, retail stores, and pharmaceutical stores.

According to the ancient science of Ayurveda, essential oils play a significant role in rebalancing our body systems. Every plant used to extract essential oils possesses unique healing benefits. The use of essential oil soaps has been increasingly explored by the scientific community for the purpose of resolving various skin concerns. In addition, they comprise properties which provide aroma and relaxation upon application. For instance, tea tree essential oil soap helps to combat acne, body odor and fungal infections. Likewise, rose essential oil soap helps to cleanse, purify, and tone the skin. Consumers today have become increasingly aware of the health benefits obtained by using plant extract products. Hence, owing to its healing benefits, the essential oil soaps market have gained popularity among consumers globally. 

Essential Oil Soap Market

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Major personal care brands are progressively using essential oils in their products. Innovations and new formulations in the personal care industry is primarily driven by consumers’ willingness to pay more for natural skincare products. Consumers have gradually become aware and are seeking skincare products manufactured without the use of harmful and toxic ingredients. In addition, sustainable products are gaining traction among consumers who want to know the source of their personal care products. In large developed economies with high disposable income such as the European region, there is a high demand for personal care products manufactured using natural ingredients. Furthermore, there is a rise in perception among consumers that natural ingredients are better and safer as compared to synthetic alternatives in skincare products. This trend has rendered a great essential oil soap market opportunity in developing economies such as India, China, and Japan. 

Essential Oil Soap Market
By Product Type

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Lavender oil segment dominates the global market and is expected to retain its dominance throughout the forecast period.

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Millennials are exploring and trying innovative products and new brands associated with body health and awareness. This is due to large generational shift of young consumers and their increase in preference toward locally made, artisanal, and natural ingredient products. The shift in consumer buying behavior has also created a positive impact for young, independent organic skincare brands providing essential oil products. In addition, increase in demand for healthier products has created a pressure on retail stores to ensure availability of natural products. Numerous organic personal care brands selling essential oil soaps such as Forest Essentials and Kama Ayurveda have experienced drastic growth in terms of value sales.  

Essential Oil Soap Market
By Distribution Channel

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E-commerce segment is expected to grow at a highest CAGR of 10.2% during the forecast period.

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The essential oil soap market is segmented on the basis of product type, distribution channel, and region. By product type, it is categorized into lavender essential oil, rose essential oil, tea tree essential oil, rosemary essential oil, peppermint essential oil, and others. By distribution channel, essential oil soap market is categorized into supermarket/hypermarket, e-commerce, retail stores and pharmaceutical stores. Region-wise, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (Germany, France, Spain, Italy, and Rest of Europe), Asia-Pacific (China, India, Japan, Australia, South Korea, and Rest of Asia-Pacific), and LAMEA (the Middle East, Latin America, and Africa).

Essential Oil Soap Market
By Region

2026
Europe 
North America
Asia Pacific
Lamea

Europe dominates the market and is expected to grow with a CAGR of 7.0% during the forecast period

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The essential oil soap market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The North America and Europe regions have strong foothold in the market with significant revenue share. These regions offer lucrative growth opportunity for essential oil soap market players owing to increased spending on personal care products and cosmetic products, rise in incidence of skin diseases, harmful side effective associated with chemical based body care products, and introduction of cost effective products in the market. Companies operating in the European market are largely focusing on premium category of essential oil soap products and are actively penetration the market through both traditional as well as e-commerce channels. Asia-Pacific countries also hold lucrative revenue opportunity in essential oil soap market analysis for regional manufactures. Regional manufacturers in these regions are largely competing on the basis of unique product offering where they are positioning the product on the basis of innovative ingredients and packaging. Asia-Pacific is expected to provide strong essential oil soap market growth opportunity in the long run for new entrant. 

The awareness of health benefits of essential oil products has gained rapid recognition among consumers worldwide. However, the production and availability of these products is limited to certain countries. Conversely, the growth of internet penetration and easy accessibility offered by online platforms are expected to contribute to the obtainability of the product worldwide. Therefore, the introduction and sales of essential oil soaps through online channels further enable manufactures to expand the essential oil soap market share and help grow the sales revenue.

The key players operating in the global essential oil soap industry include kama Ayurveda, forest essentials, Edens Garden, Lush, Sunleaf Naturals, LLC, Virginia Aromatics, Wipro Unza Holdings Ltd., Olay, Dove, and Enchanteur.

Key Benefits for Stakeholders:

  • The report provides detailed qualitative and quantitative analysis of the current essential oil soap market trends and future estimations that help evaluate the market share and opportunities.
  • The key drivers, restraints, opportunities, and detailed analysis are elucidated in the study.
  • The market analysis is conducted by following key product positioning and monitoring the top competitors within the industry.
  • The report provides extensive qualitative insights on the potential and niche segments or regions exhibiting favorable essential oil soap market demand.
  • Industry player positioning segment facilitates benchmarking and provides a clear understanding of the present position of players along with the essential oil soap market forecast.

Key Market Segments & Key Market Players

Segments Sub-segments
BY PRODUCT TYPE
  • LAVENDER
  • ROSE
  • TEA TREE
  • ROSEMARY
  • PEPPERMINT
  • OTHERS

BY DISTRIBUTION CHANNEL
  • SUPERMARKET/HYPERMARKET
  • E-COMMERCE
  • RETAIL STORES
  • PHARMACEUTICAL STORES

BY REGION
  • NORTH AMERICA
    • US
    • CANADA
    • MEXICO
  • EUROPE
    • GERMANY
    • UK
    • FRANCE
    • ITALY
    • SPAIN
    • REST OF EUROPE
  • ASIA-PACIFIC
    • CHINA
    • INDIA
    • JAPAN
    • AUSTRALIA
    • SOUTH KOREA
    • REST OF ASIA-PACIFIC
  • LAMEA
    • LATIN AMERICA
    • MIDDLE EAST
    • AFRICA

Key Market Players
  • KAMA AYURVEDA
  • FOREST ESSENTIALS
  • EDENS GARDEN
  • LUSH
  • SUNLEAF NATURALS, LLC
  • VIRGINIA AROMATICS
  • WIPRO UNZA HOLDINGS LTD
  • OLAY
  • DOVE
  • ENCHANTEUR
 

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Inclusion of natural/organic ingredients in cosmetics and personal care products was the key success factor responsible for the revenue growth of new entrants as well as established players. Consumers are actively looking for more advanced, user friendly, cost effective skin care products and rely on natural ingredients in their cosmetic product. Natural essential oil is one of the key ingredients used in many personal care products such as soap, powder, and shampoo. Herbal and plant essential oils have large demand in the market. However, changing climatic conditions and substandard quality of products/ingredient product from herbs and plant had increased the demand-supply gap in essential oil. This increased demand-supply gap results in price inflation in essential oil, thereby increasing the overall cost of finished products. The essential oil soaps are largely manufactured by private/small scale business.

The unorganized nature of the market decrease the overall bargaining power of buyer in essential oil soap market. However, improvements in soap manufacturing, and essential oil extraction processes are anticipated to help in reducing overall cost of manufacturing. Moreover, the active participation of global e-commerce companies by providing sale platforms of small scale companies further propel the revenue growth of the essential oil soap market.

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FREQUENTLY ASKED QUESTIONS?

A. The global essential oil soap was valued at $247.7 million in 2018.

A. The global essential oil soap is projected to reach $458.4 million by 2026, registering a CAGR of 8.3% from 2019 to 2026.

A. The growing spending on branded personal care product through online sales platforms and lucrative price discount offered by vendors would be the prime factors responsible for the growth of essential oil soap market.

A. Active players in the Essential Oil Soap market are include kama Ayurveda, forest essentials, Edens Garden, Lush, Sunleaf Naturals, LLC, Virginia Aromatics, Wipro Unza Holdings Ltd., Olay, Dove, and Enchanteur.

A. Growing spending on user friendly cosmetic ingredients, increasing adoption of essential oil based products such as body wash, soap, powder are the factor responsible for the growth of essential oil soap market.

A. North America and Europe regions offers lucrative growth opportunity for essential oil soap product manufacturers owing to increased spending on personal care products and cosmetic products, rise in incidence of skin diseases, harmful side effective associated with chemical based body care products and introduction of cost effective products in the market.

A. kama Ayurveda, forest essentials, Edens Garden, Sunleaf Naturals, LLC, Virginia Aromatics, Olay, and Dove are the key player in Essential oil soap market.

A. Lavender essential oil is the leading segment in the Essential oil soap market.

A. E-commerce and Pharmaceutical Store distribution channel segments are expected to showcase fastest growth in the Essential oil soap market

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