Cosmetics Market in Japan to Grow 2.6% to 2.9 Trillion Yen, driven by Reward Demand and Revenge Consumption

Fuji-Keizai forecasted that the cosmetics market in Japan will grow 2.6% year-on-year to 2.9134 trillion yen in 2022.

In 2022, sales of lip color, which had been struggling, exceeded the previous year’s level due to positive factors such as the calming of the infection situation and the easing of the mask-wearing policy since the spring. Sales of many other products were also favorable, including foundations, which maintained almost the same level as the previous year, and the domestic cosmetics market is expected to grow 2.6% year-on-year.

The high-priced cosmetics market is forecast to grow 4.6% year-on-year to 953.2 billion yen. The recovery of prestige brands is accelerating due to the easing of the wearing of masks and the increase in opportunities to dine with friends and family.

Demand for expensive cosmetics is rising due to “reward” and “revenge” consumption, and restrictions on in-store counseling activities are easing. Consumers with a strong sense of beauty will be at the center of the demand, and the recovery of higher-priced cosmetics is expected to be faster than that of lower-priced products.