CBD Skin Care Market Analysis Report By Source, By Type, By Region And Segment Forecasts From 2019 To 2025

Industry Insights

The global CBD skincare market size was estimated at USD 234.1 million in 2018 and is projected to grow at a CAGR of 32.9% over the forecasted period, from 2019 to 2025. The market growth has been majorly driven due to rising awareness about the benefits of CBD-infused beauty products. CBD is a naturally producing compound from the cannabis plant.

CBD is found in the marijuana plant, and it is legal to buy in isolated form. Cannabidiol is gaining popularity due to its relaxing, anti-anxiety, and pain-relieving properties. The growing adoption of CBD-infused skincare products in developed regions supported by the legalization of cannabis cultivation is projected to drive the market growth over the forecast period.

CBD-based beauty products are very effective and safe for all types of skin. It is highly beneficial to people who are facing acne, dryness, inflammation, and sensitive skin problems. Due to its high inflammatory property, CBD is used for the skin’s natural healing process and reducing breakouts. It also acts as an antioxidant that helps in reducing early signs of aging and reduces the pain caused by inflammatory skin problems.

Thus, the natural healing property of this ingredient is encouraging the key players to develop products infused with CBD. For example, Sephora introduced a separate CBD-based beauty care product line in their stores. Moreover, Ultra Beauty, a popular beauty care products brand, is planning to offer separate products line for CBD-based skincare products. Most of the key players such as Unilever, Estee Lauder, and L’oreal Paris are focusing on introducing CBD-based product lines. Thus, the above factors are expected to further boost the market growth over the forecast period.

Type Insights

By type, the CBD skincare market is fragmented into oils, creams & moisturizers, serums and masks, cleansers, and others. In 2018, the CBD-infused skincare oil category held the largest market share of around 41.0%. This product is gaining popularity in the personal care products market owing to its anti-inflammatory property. It helps in reducing acne, wrinkle-prone, and other skin problems such as early signs of aging.

Mask & serum are anticipated to grow at the fastest CAGR of more than 33.5% from 2019 to 2025. The CBD-based serum and mask are expected to gain a significant share over the forecast period. This scenario is anticipated to boost the product demand among consumers owing to its easy application and deep absorption in the skin.

Source Insights

By source, the market is fragmented into hemp and marijuana. Hemp-based skin care products accounted for the largest market share of more than 62.0%, in 2018 due to the presence of high content fatty acid. These products help in rejuvenating and soothing the damaged, dull, and dry skin. They further help in reducing aging problems. Thus, such factors are expected to boost the segment growth over the forecast period. These products include a hydrating facemask, Kiehl’s Cannabis Sativa seed oil, and hempme organic face cream.

The hemp seed oil has highly moisturizing properties for the skin. The Body Shop was the first market player who recognizes this property, which led the company to introduce hemp-based beauty products in the market. EU cosmetic ingredient database analyzed that hemp-based oil acts as a surfactant cleanser, skin conditioning agent, and emollient. Hemp molecules are easy to penetrate in the skin and give effective results. Thus, these factors are projected to boost the segment growth over the forecast period.

Regional Insights

North America accounted for the largest market share of more than 40.0%, in 2018 and is projected to grow with the fastest CAGR from 2019 to 2025. The demand for CBD-based beauty products has increased due to high consumption among consumers and the legalization of marijuana in Canada and the U.S. Around 33 states in the U.S. and Colombia district have allowed cannabis use, thereby making North America the largest shareholder in the global market, in 2018. Additionally, the presence of a large number of key players is expected to further augment the market growth in the next few years.

The Asia Pacific is anticipated to have significant growth during the forecast period. Countries like India, China, Korea, and Japan are beauty expert countries that are expected to drive the market over the forecast period. Although cannabis is illegal in Asian countries, K-beauty and J-beauty are the leading players across the globe. Hence, Asian countries are projected to witness strong growth over the forecast period.

Impact of COVID-19

The CBD skin care market has been negatively impacted due to the outbreak of the COVID-19 pandemic. Government across many countries has legalized the usage of marijuana. Therefore, disruptions in raw material supplies have hampered the market growth to some extent due to government restrictions for foreign trade across the globe.

On the other hand, in North America, the legalization of marijuana is increasing the demand for CBD skincare to some extent, as people are shifting towards natural and organic skincare products. Therefore, the demand for CBD-based skincare products from U.S. and Colombia is expected to witness steady growth despite the COVID-19 pandemic. In addition, an increasing shift towards purchasing beauty products from online channels is expected to surge CBD skincare product demand post-pandemic.

CBD Skin Care Market Share Insights

The major players included in this market are Cannuka LLC, Endoca LL, Leef Organics, Elixinol Global Limited, Kapu Maku LLC, Kiehl’s LLC, VERTLYBALM, Lord Jones, and Medical Marijuana Inc.

Key players are majorly focusing on product development and a strong distribution network to attract consumers.  For example, in Europe, the first luxury CBD e-commerce portal introduced premium quality cannabis-based beauty products in the regional market.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels, and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For this study, Million Insights has segmented the global CBD skincare market report based on source, type, and region:

• Source Outlook (Revenue, USD Million, 2015 - 2025)
    • Hemp
    • Marijuana

• Type Outlook (Revenue, USD Million, 2015 - 2025)
    • Oils
    • Creams & Moisturizers
    • Masks & Serums
    • Cleansers
    • Others

• Regional Outlook (Revenue, USD Million, 2015 - 2025)
    • North America
        • U.S.
    • Europe
        • U.K.
        • Germany
    • the Asia Pacific
        • India
        • China
    • Central & South America
    • Middle East & Africa