Indian Gen Z Consumers Fuel Major Beauty Market Expansion to $28 Billion
India’s beauty and personal care market is undergoing a substantial expansion, projected to reach $28 billion by 2028, according to estimates by consulting firm Redseer. This growth is predominantly attributed to the country’s vast youth demographic, particularly Gen Z consumers, coupled with rising disposable incomes and the increasing penetration of e-commerce.
The market, valued at $17 billion in 2023, is experiencing a transformation driven by evolving consumer habits. Young Indian consumers, with their heightened awareness of global beauty trends and access to diverse product ranges online, are instrumental in this boom. Brands are responding by launching specialised products tailored to specific skin concerns and preferences, moving beyond traditional mass-market offerings.
International investors are demonstrating significant interest in the burgeoning Indian beauty sector. Notable acquisitions include The Estée Lauder Companies’ investment in Forrest Essentials, and LVMH’s stake in Nykaa. These foreign investments underscore the perceived long-term potential of the market, as Western firms seek to capitalise on India's demographic dividend and expanding consumer base for luxury and niche beauty products.
