The cosmetics market in Vietnam is currently ranked among the most dynamic in the region. According to Tuoi Tre newspaper, in the period 2018 – 2022, the percentage of Vietnamese women who regularly use beauty products has increased from 76% to 86%.
According to information from some websites, in the next 10 years, the cosmetic market in Vietnam will continue to maintain a growth momentum of about 15% – 20% per year.
An Overview of the Vietnamese Beauty Market
The cosmetics market in 2022 achieved impressive revenue in Vietnam. According to a meta-research, the revenue in the Cosmetics and Personal Care market will reach US$2,350 million by 2021. The market is expected to grow 6.2% annually (CAGR 2021-2025).
- Skincare
According to data from a market research company, the market size of skin care products in Vietnam is 989.7 million USD in 2021 and is expected to be 1.922 billion USD in 2027. The compound annual CAGR is 11.7% from 2021 to 2027. In the same vein, Statista research shows that the growth rate of the number of cosmetics stores nationwide increased by 40% from 87 in 2021 to 124 shops in 2022.
According to another survey, the proportion of daily using skin care products is quite popular these days. More than 86% of respondents have used certain skin care products. The same skincare frequency patterns happen for different age groups, different location groups, and different income groups. About 40% of women over 23 take care of their skin every day. The most used skin care products are cleansers, sunscreens, moisturizers, toners, and serums.
The reason for not using beauty personal care products is mostly that people do not know what to choose or they are too busy to take care of their skin. In general, the number of people aware of using skincare products are increasing day by day.
As a matter of routine, 59% have the habit of doing skincare every day with monthly expenses mostly ranging from 100,000 – 300,000 VND ( ~ US$5 – $15).
46% increase in skincare frequency during Covid-19 as it is important to maintain skincare and have more free time for taking care of skin.
A recent prominent trend is that natural makeup and skin care products are increasingly interesting and used. It is defined as a product with ingredients extracted from nutrients, vitamins, and minerals available in nature, with little or no use of additives or chemicals.
- Makeup
Through the survey, we can easily see that 24% of Vietnamese women wear makeup every day, 44% wear makeup at least a week and 45% only wear makeup on special occasions. It can be seen that daily makeup is still not popular in the Vietnamese market.
Women with higher incomes spend more on makeup products, the survey found. Those with an income of over VND20 million ($865) spend VND442,000 ($19) per month on average, while those with less than VND10 million ($433) spend just VND215,000 ($9).
Lipsticks are the ones that is used the majority of makeup users. Other than lipsticks, the usage is less than ⅓.
Top 10 Vietnam beauty sites & apps:
- Hasaki.vn – 2.1 million monthly visits
- Thegioiskinfood – 916.000 monthly visits
- Guardian Vietnam – 332.000 visits
- Watson Vietnam – 300.000 visits
- TheFaceshop – 294.000 visits
- Lixibox – 291.000 visits
- Beauty Garden – 103.000 visits
- HappySkin – 73.000 visits
- SocialBella
- Haircare
Hair care is predicted to increase at a current value CAGR of 5% (1% 2018 constant value CAGR) over the forecast period to reach VND19.2 trillion in 2023.
When it comes to the brand, Clear from Unilever came as the top brand for both males and females. For males, X-Men came 2nd with 28% and followed by Romano with 12%. While in the women’s shampoo market, Unilever is still the main player with more than 45% with Clear, Sunsilk, and Dove; then come to Pantene and Head & Shoulders from P&G.
Over the forecast period, demand for natural and herbal hair care is predicted to keep growing gradually due to increasing environmental pollution and Vietnamese consumers’ higher awareness. Despite its high price, more people will prefer natural and herbal hair care products to traditional ones because they strongly believe in the benefits that herbal properties can bring.
- Personal Hygiene Product
Revenue in the Beauty & Personal Care market amounts to US$2.36 billion in 2023. The market is expected to grow annually by 3.32% (CAGR 2023-2027).
This category includes products such as deodorants, antiperspirants, and body washes, which are used to maintain personal hygiene.
In five years to come, the global bath and shower products market is projected to register a CAGR of 3.5% in the upcoming five years.
- Oral Care
Revenue in the Oral Care segment amounts to US$0.35bn in 2023. According to this research, the Vietnam oral care market is anticipated to rise with a CAGR of 4.19% in the estimated years 2019-2025.
The retail value growth registered by oral care was quite slow as the category is more mature. However, this can still be considered a strong rate of growth – thanks to the large population and leading players’ efforts to expand distribution networks to rural areas.
The emergence of different kinds of oral care products that enhance the aesthetics of teeth, and the rising adoption of electric toothbrushes and replacement toothbrush heads are also contributing to the growth of the Vietnam oral care market. Rising internet penetration has led to the emergence of the e-commerce sector, where consumers can obtain oral care products quickly and at affordable prices.
=> The increasing trend of online purchasing and a growing number of e-commerce channels are contributing to the growth of the Vietnam oral care market.
Moreover, surging demands for quality and branded oral products due to aggressive promotions and advertisements and rising initiatives from the government to create awareness regarding oral hygiene are supporting the growth of the Vietnam oral care market.
Based on type:
- Toothpaste
- Toothbrush
- Mouthwashes/rinses
- Dental accessories
- Denture products
- Others.
Based on distribution channel, the market is further divided into consumer stores, retail pharmacies, online distribution, and dental dispensaries, among which retail pharmacies dominate the market as the industry players in the oral care market are primarily dependent on retail stores to meet the immediate needs oral care needs of customers.
A selection of popular companies in Vietnam includes:
- Unilever Vietnam International Co., Ltd.
- Colgate-Palmolive (Vietnam) Co., Ltd.
- Oral-B (Vietnam), Ltd.
- Johnson & Johnson Vietnam Co., Ltd.
- Amway Vietnam, Ltd.
- Nails Care
Revenue in the Nails segment amounts to US$74.16m in 2023. The market is expected to grow annually by 1.50% (CAGR 2023-2027).
Nail art has been classified as one of the most popular professions today. According to the statistics given, the profit from doing nails is very high. The nail industry accounts for 10% of all beauty professions.
This category includes products such as nail polish, nail polish remover, and cuticle oil, which are used to enhance the appearance and health of the nails.
- Skincare Tools & Accessories
As mentioned above, home beauty is a trend in recent years, in addition to using skin care and skin care products, beauty support devices are also very interesting.
The face wash machine is now very popular with Vietnamese young people because it brings a lot of great uses to the skin, helps to deep clean, and supports exfoliation, thereby giving consumers healthy skin. and fresher. The price is 200,000 – 5,000,000 VND ( USD$10 – $ 200).
Facial massage machines are also one of the most popular skincare trends among Vietnamese women. It has a very good support effect for blurring, tightening pores, slimming the face as well as bringing a feeling of relaxation and refreshment.
- Fragrances
Revenue in the Fragrances segment amounts to US$107.50m in 2023. The market is expected to grow annually by 0.69% (CAGR 2023-2027).
The growing popularity of lightly scented products, especially among the younger generation population, and the availability of affordable body sprays, mists, and fragrances is expected. will boost sales of perfumes and fragrance products in developed economies.
Not just following the trend. Today, the use of perfume has become a habit and essential need of everyone. Customers are increasingly interested in emotional experiences and want to assert their mark in creating personal scents. That is what has made the perfume market in Vietnam grow strongly in recent years, especially in the segment of “Authentic extracted fragrances”.
Companies compete based on various factors, including product offering, pricing, ingredients, and marketing activities, to gain a competitive advantage in the market. Some of the other big players in the market are Shiseido Co. Ltd, Revlon Inc., Chanel SA, Hermès International SA, and Avon Products Inc., …
- Men’s Grooming
In recent years, Vietnamese men have approached beauty trends, and the old conception of beauty is also gradually changing. The demand for male beauty in Vietnam in recent years indicates men’s awareness of beauty products. Physical attraction positively affects the use of the Attitude of men’s grooming product consumption.
The admiration for a country whose men are now the world’s largest consumers of men’s grooming products has changed the Vietnamese perspective on men using beauty and makeup products.
- Natural and Organic Beauty Products
Revenue in the Natural Cosmetics segment amounts to US$57.55m in 2023. The market is expected to grow annually by 4.02% (CAGR 2023-2027).
The last few years have seen a massive rise in the natural and organic skincare market in Vietnam, especially in big cities like Hanoi and Ho Chi Minh City which are promoted by both vendors and consumers for their blue ribbon quality and environmental safety. 
Conclusion
In conclusion, the beauty market in Vietnam presents immense opportunities for businesses willing to adapt and innovate. By staying attuned to the top-selling beauty product categories and understanding the dynamic consumer landscape, companies can position themselves for sustained success and foster meaningful connections with the beauty-conscious consumers of Vietnam.
Are you looking for a local partner to distribute your beauty products in Vietnam? Contact us!
