Cosmetic Contract Manufacturing Market in Japan: Key Research Findings 2017
Research Outline
- Research period: From April to June, 2017
- Research targets: Cosmetic contract manufacturing companies, brand manufacturers, and etc.
- Research methodologies: Face-to-face interviews, mail-in-questionnaire, and literature research
What is the cosmetic contract manufacturing market?
The cosmetic contract manufacturing market in this research indicates a market where commission manufacturers produce items such as skincare, makeup, hair-care, and other cosmetic products based on the requests from the clients who are cosmetic brand makers, companies from other industries, and retailers. The market size is calculated based on the sales of the cosmetic contract manufacturers.
Summary of Research Findings
- Size of Cosmetic Contract Manufacturing Market in FY2016 Leaped Forward to 263.1 Billion Yen, 109.5% on Y-o-Y Basis
The domestic cosmetic contract manufacturing market in FY2016 achieved 263.1 billion yen, 109.5% of the size of the preceding fiscal year, based on the sales of the businesses. Since the revised Pharmaceutical Affairs Act taken effect in 2005, manufacturing processes have been shifted to outsourcing at the existing cosmetic brand makers as well as at the new market players. Expansion of inbound tourism demands in recent years and increased export of Japanese cosmetic products (outbound demands) to Asia and other countries have also contributed to the favorable market growth.
- With Cosmetic Contract Manufacturers Market On the Rise, Market Size Expected to Attain 347.4 Billion Yen by FY2021
Major cosmetic brand makers have expressed their policies to enhance exploration of overseas markets by expanding exports to Asian countries. This has encouraged cosmetic contract manufacturers, primarily those large manufacturers, to enhance sales through overseas distributors and local subsidiaries aiming to secure overseas demands by themselves, which should result in globalization of the cosmetic contract manufacturing market. The cosmetic contract manufacturing market in FY2017, based on the sales of the businesses, therefore, is expected to achieve 281.7 billion yen, 107.1% of the size of the previous fiscal year, and is projected to achieve 347.4 billion yen by FY2021, 132.0% of the size of FY2016.
- Figure 1: Transition and Forecast of Domestic Cosmetic Contract Manufacturing Market Size
