Hair Color Market Research Report and Outlook by 2028

The hair color industry is projected to expand significantly, with an anticipated increase from US$ 23,762.28 million in 2022 to US$ 35,201.69 million by 2028. This growth represents a compound annual growth rate (CAGR) of 6.8% over the forecast period from 2022 to 2028.

Hair coloring products, including semi-permanent options, not only alter the hair's hue but also contribute to its strength. These products can enhance the hair shafts, providing a temporary boost in volume and body. The market offers a diverse array of colors and shades, attracting consumers of all ages. The influence of pop culture on youth fashion choices has significantly contributed to the rapid expansion of the hair color sector.

In terms of product type, the hair color market is categorized into powder, cream, and other forms. As of 2021, the cream segment was the market leader. Consumers increasingly prefer cream hair colors due to their thicker consistency, which allows for easier application. Manufacturers are responding to this demand by offering a wide range of shades and colors within the cream category. Additionally, many brands are introducing herbal and organic hair color options, which often contain nourishing ingredients that promote hair strength.

Geographically, the hair color market is divided into several regions: North America, Europe, Asia Pacific (APAC), South & Central America, and the Middle East & Africa (MEA). In 2021, the Asia Pacific region held the largest share of the global market. Factors such as the rising demand for natural and organic hair care products, coupled with an aging population, are propelling market growth in this area. Hair coloring serves dual purposes: it helps individuals conceal gray hair and allows them to experiment with styles different from their natural color. The trend of highlights and partial coloring has gained traction among the youth in this region. Furthermore, the aging demographic frequently utilizes hair color to mask gray hair and other signs of aging. Hair coloring can also enhance texture and restore luster, reviving the natural shine that may have been lost due to sun exposure and pollution. Changing lifestyles, driven by increased disposable income and urbanization in developing nations, have further fueled the demand for hair coloring products.

The onset of the COVID-19 pandemic posed significant challenges for consumer goods and various other sectors. The industry faced shortages of raw materials and labor, factory shutdowns, and operational hurdles due to safety measures, all of which negatively impacted the hair color market. However, the rollout of vaccination programs has led to a resurgence in business activities globally, with economies gradually returning to normal operations. Consequently, the demand for hair color is expected to rise in the coming years. Major manufacturers have resumed operations, restoring their production capabilities. The pandemic also resulted in the temporary closure of beauty salons, which diminished the demand for professional hair color services. As a result, the at-home hair coloring market experienced growth during this period, as consumers turned to DIY solutions for their hair coloring needs.

Key players in the hair color market include Arctic Fox, Coty Inc., Henkel AG & Co. KGaA, Kao Singapore Pte Ltd., L'Oreal Groupe, Revlon, Hygienic Research Institute Pvt. Ltd. (Brand-Streax), PZ Cussons Beauty LLP, Unilever Plc, and Wella Operations US LLC. These companies are employing various strategies, including mergers and acquisitions and new product launches, to enhance their market presence and expand their consumer base.

The overall size of the hair color market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry stakeholders to validate the findings and gain deeper analytical insights. Participants in this research included vice presidents, business development managers, market intelligence managers, national sales managers, and external consultants, such as valuation experts, research analysts, and key opinion leaders specializing in the hair color market.