Beauty and personal care is set to be one of the top online shopping categories in the United States in 2024, with total revenues expected to hit $29.9 billion. 

The multibillion-dollar sector makes launching a beauty brand extremely attractive, and knowing key industry statistics allows aspiring entrepreneurs to better gauge business opportunities. If you’re thinking about starting a cosmetics skin care brand, here’s a breakdown of the US cosmetics market size to help you understand the market. 

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US cosmetics market size in 2024

Recent data on the US cosmetics market size shows that the industry is forecast to generate $20.1 billion in revenues in 2024. This marks a 3.6% annual increase—the slowest growth rate in four years. 

Cosmetics also represent the third-largest segment of the entire US beauty industry in terms of revenues. It follows personal care and skin care, whose revenues are expected at $45.5 billion and $24.4 billion, respectively. 

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The growth rate of the US cosmetics market size in 2024 is a slowdown from the previous few last years’. In 2023, the market grew by 7.9%, double the growth rate expected in 2024. The year before, revenues skyrocketed 21.9%. Not only is this six times the expected growth rate of 2024, it’s also the largest annual growth industry analysts expect between 2018 and 2028. 

Apart from a 19.9% plunge in 2020, a result of the economic impact of the COVID-19 pandemic, the US cosmetics market size has generally been growing year after year since 2018. In 2018, revenues totaled $16.5 billion, before rising by 3.4% in 2019, to $17 billion.

This means that the US cosmetics market’s annual revenues have increased by $3.7 billion since 2018, which is a 22.2% overall rise and an average annual growth rate of 4.2%. 

US cosmetics market size: 2025–2028 forecast

Analysts expect annual revenues from the US cosmetics market to continue growing for a few more years.

In 2025, a growth rate of 3.6% is predicted, which will take total revenues to $20.9 billion. This is forecast to rise by another 3.5% and 4.2% in 2026 and 2027, respectively, to $21.6 billion and $22.5 billion. 

In 2028, the US cosmetics market size is predicted to be worth $23.1 billion, growing 2.8% from the previous year.

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