Bologna, 16-19 March 2018 – The preliminary data for 2017 once again confirm the growth of the cosmetics sector, which now has a global turnover of 11 billion Euros, an increase of 4.3% on the previous year.

Export remains the key component in the growth of production values, recording an increase of 8 percentage points and a value of 4.7 billion Euros. Similarly, the trade balance has also hit a new record, reaching 2.5 billion Euros.

The general picture of the cosmetics supply chain as a whole is also significant – an analysis of all of the links in this chain (ingredients, machinery, packaging, finished product) reveals a total turnover of over 15.7 billion Euros (+ 4.8%).

“The economic indicators and the analysis of the various financial figures that have just emerged from our Statistics Dept. – comments Fabio Rossello, president of Cosmetica Italia – highlights the competitive nature of the Italian cosmetics industry, in spite of the fact that the political-economic scenario remains uncertain. Indeed, the Made in Italy cosmetics sector reaffirms the constant attention to investments in innovation and in customer service, validated by the response from the internal market but above all from the international ones.”

The health of the sector is also reflected in the performance of the various individual channels, which continue to demonstrate positive trends. Preliminary data for the second half of 2017 show a slow yet steady expansion in the herbalist store channel (+ 0.9%) and the pharmacy channel (+ 2%). The mass market channel has also grown by 1.5 percentage points, with the value of sales exceeding 4 billion Euros: more than 40% of the total distribution of cosmetics at national level. The numbers for this channel are deeply affected by the phenomena of single-brand distribution and home-toiletries sales outlets. The sector of contract manufacturing now boasts a turnover of more than 1 billion Euros, an increase of 8.5%. The only exception to this general growth trend is traditional perfume shops, a channel that has seen a slight decline of 0.5%.

The figures for direct sales have also grown significantly (+ 8.7%), driven by digital transformation: indeed, e-commerce has enjoyed a double-digit increase (+ 23%). However, sales volumes remain marginal: 820 million Euros for direct sales, of which approximately 300 million Euros can be attributed to e-commerce.

The performance of the various professional channels – namely hairdressing and beauty salons – has also been positive, with a growth of 2%, as seen in the previous six-month period.

An analysis of the consumption trends with regard to individual products highlights the significant growth of eye contour products (+ 7.2%), followed by lipsticks and sunscreens (+ 6.9%).

At product family level, cosmetic products for face care, thanks to an increase of 2.7%, gain the leading position, representing 16.9% of total sales with a value of 1.435 million Euros.