economic situation
Cosmetics industry expects further growth after record sales
Many people are currently holding back when it comes to consumption. But a lot of money is still spent on personal care and a clean home. Manufacturers see no end to the growth.
Make-up, lipstick, nail polish & Co.: Despite the reluctance of many consumers to buy, the German cosmetics industry achieved record sales in 2024. The IKW industry association for the personal care and detergent industry is predicting further growth for the coming year.
According to the forecast, domestic business is expected to increase by 2.3 percent to around 23.4 billion euros. In recent years, however, the growth rates have been significantly higher. The Personal Care and Detergent Industry Association (IKW) points to generally increased costs – for example for energy and raw materials – as well as increasing bureaucracy as obstacles for manufacturers.
Domestic sales increase – exports weaker
According to an estimate by the association, by the end of the current year, consumers at home and abroad will have spent 34.6 billion euros on shampoo and deodorants as well as detergents and household cleaners made in Germany. That would be 3.6 percent more than a year earlier.
While domestic business was better than a year ago, exports fell by 3.3 percent in 2024. This is “an adjustment after some exceptionally strong years,” explained IKW chairman Georg Held.
The IKW, based in Frankfurt, claims to represent more than 440 companies with a total of around 50,000 employees. According to the association, the member companies represent around 95 percent of the German market.
IKW on the first half of 2024 IKW on the annual balance sheet 2023 IKW: Facts and figures about the industry Press releases IKW
dpa
Source: Stern
