Mobile Menu

Cosmetic and Toiletry Retailing in Australia - Market Research Report (2014-2029)

Arna Richardson Arna Richardson Melbourne, Australia Last Updated: October 2024 ANZSIC G4271b

Revenue

$5.9bn

2024-25

$5.9bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

20,677

Businesses

4,688

Wages

$XXX.Xm

Cosmetic and Toiletry Retailing in Australia industry analysis

The Cosmetic and Toiletry Retailing industry sells thousands of cosmetic and toiletry brands through specialty cosmetics stores, with a constant array of new products acting as a key driving force in the industry's performance. Fusion and eco-friendly lines have stimulated demand in an otherwise mature, saturated market, as have new experiential stores. These have been designed to capitalise on cosmetics' hands-on nature and entice online shoppers back into stores. Offering associated beauty services like brow bars, hair services and make-up classes has also helped to give the industry a new service-based revenue stream and boost profit margins, which have come under pressure from rival online beauty sites offering discounted beauty products.

Trends and Insights

  • The Cosmetic and Toiletry Retailing industry is one of several retail channels for beauty products. This means it operates against a highly competitive backdrop, vying with traditional department store rivals and a growing plethora of online beauty stores.
  • Product portfolios are continuing to change, reflecting new markets and fusion products like cosmeceuticals, beauty gadgets and male-only lines. Changing product portfolios also reflect an extension of the industry's consumer base in line with diversity and inclusion principles.
  • The industry’s geographic distribution reflects Australia's economic, social and demographic breakdown. In line with this, the three eastern seaboard states account for over three-quarters of industry locations.
  • A highly competitive backdrop characterises the industry, with cosmetics retailers competing not only against each other but also against other traditional bricks-and-mortar channels. The industry is losing sales to online retailers offering discounted beauty products and international brands.

Access hundreds of analysis and data

  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
  • PDF report or online database with Word, Excel and PowerPoint export options
  • 100% money back guarantee

Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 2.4 % over the past five years, to reach an estimated $5.9bn in 2024.

Trends and Insights

Challenges hinder the industry's growth path

  • Cosmetic retailers have contended with various challenges in recent years, including those associated with the market's mature and saturated nature.
  • Additional trends and insights available with purchase
Cosmetic and Toiletry Retailing in Australia
Revenue (2014-2029)
Alfabank-Adres Logo Source: Alfabank-Adres

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Customisation and clean beauty trends are set to drive growth

  • A growing range of green beauty products will help support revenue growth as cosmetic retailers seek to cater to consumers seeking clean and ethical beauty products in line with a greater focus on sustainability, traceability and transparency. In line with these trends, a greater proportion of shelf space will be dedicated to beauty products formulated with organic ingredients and packaged with sustainable materials.

Biggest companies in the Cosmetic and Toiletry Retailing in Australia

Company
Market Share (%)
2025
Revenue ($m)
2025
Mecca Brands
1,250.0
Sephora Australia
272.5
Wesfarmers
270.0

To view the market share and analysis for all 5 top companies in this industry, view purchase options.

Products & Services Segmentation

Cosmetic and Toiletry Retailing in Australia
Products & Services
Alfabank-Adres Logo Source: Alfabank-Adres

Industry revenue is measured across several distinct product and services lines, including Haircare products, Make-up and skincare products and Perfumes and fragrances. Haircare products is the largest segment of the Cosmetic and Toiletry Retailing in Australia.

Trends and Insights

A constant stream of new products boosted make-up and skincare product sales

  • The make-up and skincare segment covers a range of beauty and cosmetic products, including lipsticks, manicure products, face powders, skincare products and sunscreens.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry firms sell cosmetics, perfumes, toiletries and personal grooming products. Industry retailers include specialty cosmetics stores, perfume and fragrance stores, and beauty supply stores.

What's included in this industry?

Make-up and skincare productsPerfumes and fragrancesHair-care products Personal-care products

Companies

Mecca BrandsSephora AustraliaWesfarmers

Purchase this report to view all 5 major companies in this industry.

Related Terms

COSMETICSMASSTIGE PRODUCTSCOSMECEUTICALSNUTRICOSMETICSELECTRONIC DATA INTERCHANGE

Industry Code

ANZSIC 2006

ANZSIC 4271 - Cosmetic and Toiletry Retailing in Australia

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The Cosmetic and Toiletry Retailing industry is one of several retail channels for beauty products. This means it operates against a highly competitive backdrop, vying with t...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Product portfolios are continuing to change, reflecting new markets and fusion products like cosmeceuticals, beauty gadgets and male-only lines. Changing product portfolios a...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The industry’s geographic distribution reflects Australia's economic, social and demographic breakdown. In line with this, the three eastern seaboard states account for over ...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

A highly competitive backdrop characterises the industry, with cosmetics retailers competing not only against each other but also against other traditional bricks-and-mortar c...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Several international beauty retailers operate in Australia, with the likes of Lush, the Body Shop, Sephora and L’Occitane often present in major Australian shopping malls. D...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Mecca Brands's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Sephora Australia's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Wesfarmers's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 2 additional companies

Detailed analysis

  • Description and key data for Mecca Brands, and factors influencing its performance in the industry
  • Description and key data for Sephora Australia, and factors influencing its performance in the industry
  • Description and key data for Wesfarmers, and factors influencing its performance in the industry
  • Description, key data and performance trends for 2 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Discretionary income levels influence consumer purchasing patterns for cosmetics and beauty products. The current cost-of-living crisis may contribute to consumers opting for...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Cost structures vary in line with a retailer’s size and ownership structure, the number of brands it carries, and its business model. This includes whether the company positi...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Cosmetic and Toiletry Retailing industry in Australia in 2024?

The market size of the Cosmetic and Toiletry Retailing industry in Australia is $5.9bn in 2024.

How many businesses are there in the Cosmetic and Toiletry Retailing in Australia industry in 2024?

There are 4,688 businesses in the Cosmetic and Toiletry Retailing industry in Australia, which has grown at a CAGR of 2.6 % between 2019 and 2024.

Has the Cosmetic and Toiletry Retailing industry in Australia grown or declined over the past 5 years?

The market size of the Cosmetic and Toiletry Retailing industry in Australia has been growing at a CAGR of 2.4 % between 2019 and 2024.

What is the forecast growth of the Cosmetic and Toiletry Retailing industry in Australia over the next 5 years?

Over the next five years, the Cosmetic and Toiletry Retailing industry in Australia is expected to grow.

What are the biggest companies in the Cosmetic and Toiletry Retailing market in Australia?

The biggest companies operating in the Cosmetic and Toiletry Retailing market in Australia are Mecca Brands, Sephora Australia and Wesfarmers

What does the Cosmetic and Toiletry Retailing in Australia include?

Make-up and skincare products and Perfumes and fragrances are part of the Cosmetic and Toiletry Retailing industry.

Which companies have the highest market share in the Cosmetic and Toiletry Retailing in Australia?

The company holding the most market share in Australia is Mecca Brands.

How competitive is the Cosmetic and Toiletry Retailing industry in Australia?

The level of competition is high and increasing in the Cosmetic and Toiletry Retailing industry in Australia.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Online Shopping in Australia
  • Pharmacies in Australia

Complementors

  • Cosmetics, Perfume and Toiletries Manufacturing in Australia
  • Cosmetics and Toiletry Wholesaling in Australia

International industries

  • Beauty, Cosmetics & Fragrance Stores in the US
  • Perfume & Fragrance Stores in the US
  • Online Perfume & Cosmetic Sales in the US
  • Beauty, Cosmetics & Fragrance Stores in Canada
  • Pharmaceutical, Cosmetic and Toiletry Goods Retailing in New Zealand

View all industries in Australia

Methodology

How are Alfabank-Adres reports created?

Alfabank-Adres has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for Alfabank-Adres readers. Finally, each report is reviewed by one of Alfabank-Adres’s editors, who provide quality assurance to ensure accuracy and readability.

Alfabank-Adres relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do Alfabank-Adres analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Australia include:

  • Australian Bureau of Statistics
  • Australian Taxation Office
  • Australian Securities & Investments Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, Alfabank-Adres’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does Alfabank-Adres forecast its data?

Alfabank-Adres’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

Alfabank-Adres prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.