From the staggering 45,200 jobs it supports to the AUD 11.2 billion market it fuels, Australia's beauty industry is a dynamic economic force, with one-third of all sales now happening online, men's grooming surging, and nearly half of all new products proudly wearing sustainable packaging.
Key Takeaways
- In 2023, the total Australian beauty and personal care market was valued at AUD 11.2 billion, marking a 4.5% year-on-year growth from 2022
- The skincare segment of the Australian beauty industry generated AUD 3.1 billion in revenue in 2023, accounting for 27.7% of the total market
- Australia's beauty market is projected to reach AUD 13.8 billion by 2028, with a CAGR of 4.2% from 2023 to 2028
- In 2023, 68% of Australian women aged 18-34 purchased beauty products online at least monthly
- Average annual spend on beauty products per Australian consumer was AUD 285 in 2023, up 7% from 2022
- 42% of Australian men reported using skincare products daily in 2023, compared to 35% in 2020
- Skincare sales dominated with 35% of total beauty revenue in Australia in 2023 at AUD 3.92 billion
- Colour cosmetics segment in Australia declined 1.2% in 2023 to AUD 1.45 billion due to post-pandemic shifts
- Hair care market in Australia hit AUD 2.1 billion in 2023, led by anti-aging formulas
- The Australian beauty industry employed 45,200 people directly in 2023, up 2.8% from 2022
- Average weekly wage in Australian beauty manufacturing was AUD 1,450 in 2023
- Retail beauty sector jobs numbered 28,500 in 2023, with 65% part-time roles
- Sustainable packaging initiatives covered 45% of new beauty launches in Australia in 2023
- Clean beauty brands captured 28% market share growth in 2023, reaching AUD 3.1 billion
- E-commerce penetration in beauty sales hit 32% in 2023, projected to 40% by 2025
Australia's beauty industry is growing strongly with skincare leading online sales.
Consumer Behavior
- In 2023, 68% of Australian women aged 18-34 purchased beauty products online at least monthly
- Average annual spend on beauty products per Australian consumer was AUD 285 in 2023, up 7% from 2022
- 42% of Australian men reported using skincare products daily in 2023, compared to 35% in 2020
- Gen Z consumers (aged 18-24) in Australia allocated 15% of discretionary spend to beauty in 2023
- 55% of Australian beauty buyers preferred natural or organic products in 2023, influencing brand choices
- Loyalty programs drove 31% of repeat purchases in Australian beauty retail in 2023
- 72% of Australians aged 25-44 used social media influencers for beauty product recommendations in 2023
- Impulse buying accounted for 28% of beauty product sales in Australian pharmacies in 2023
- 39% of low-income Australians (<AUD 50k/year) reduced beauty spending in 2023 due to inflation
- Multicultural consumers in Australia spent 22% more on hair care products in 2023 than average
- 76% of Australian skincare purchases in 2023 were influenced by ingredient transparency labels
- Regional Australians (non-metro) bought 18% more budget beauty items in 2023 than urban dwellers
- Subscription models for beauty boxes grew to 12% market penetration among millennials in 2023
- 51% of parents purchased children's beauty products for their kids in 2023, focusing on hypoallergenic options
- Vegan beauty product adoption reached 34% among Australian vegetarians in 2023
- 74% of Australians aged 35-54 prioritized anti-aging products in beauty purchases during 2023
- Online reviews influenced 67% of beauty product decisions among Australians in 2023
- Baby boomers spent AUD 180 annually on beauty on average in 2023, focusing on skincare
- 29% of Australians tried new beauty brands via sampling in stores in 2023
- High-income earners (>$100k) spent 2.1x more on premium beauty than average in 2023
- 48% of beauty shoppers used buy-now-pay-later services for purchases over AUD 50 in 2023
- Pet owners in Australia bought 14% more grooming products influenced by human beauty trends in 2023
- 61% of university students purchased K-beauty products in 2023
- Seasonal purchases peaked 25% higher for sun care in summer 2023
- 53% of LGBTQ+ Australians sought gender-neutral beauty options in 2023
Consumer Behavior Interpretation
The Australian beauty industry is now a high-stakes, digitally-native democracy where the youth govern with their wallets, men are finally catching on to skincare, everyone is reading the ingredient list like a legal contract, and your loyalty points might just be the only thing standing between you and a budget-blowing impulse buy at the chemist.
Emerging Trends
- Sustainable packaging initiatives covered 45% of new beauty launches in Australia in 2023
- Clean beauty brands captured 28% market share growth in 2023, reaching AUD 3.1 billion
- E-commerce penetration in beauty sales hit 32% in 2023, projected to 40% by 2025
- AI-driven personalization tools used by 18% of major Australian beauty retailers in 2023
- Vegan and cruelty-free certifications boosted sales by 25% for certified products in 2023
- Blue light protection skincare grew 40% in sales to AUD 150 million in 2023
- Inclusivity in shade ranges expanded to 50+ options for 65% of foundation brands in 2023
- AR try-on apps downloaded 2.5 million times by Australians for beauty in 2023
- Microbiome-friendly products launched 120 new SKUs in Australia in 2023
- Men's makeup sales increased 22% to AUD 85 million in 2023, gender-neutral trend
- Recyclable packaging adopted by 72% of indie beauty brands in 2023
- Wellness-integrated beauty (e.g., ingestibles) reached AUD 420 million in 2023
- Social commerce via TikTok drove 15% of Gen Z beauty sales in 2023
- Postbiotics in skincare formulations appeared in 35 new products in 2023
- Zero-waste beauty brands increased 35% in launches during 2023
- Neurocosmetics targeting stress relief sold AUD 90 million in 2023
- Live-streaming beauty sales via Instagram reached AUD 250 million in 2023
- CBD-infused beauty products gained 12% adoption despite regulations in 2023
- Adaptive clothing-integrated beauty (e.g., makeup holders) emerged with 20 launches in 2023
- Holographic packaging used in 8% of premium beauty packs in 2023
- Sleep beauty devices sales hit AUD 45 million in 2023
- Upcycled ingredients featured in 42 new beauty formulas in 2023
- Voice commerce for beauty projected 5% of online sales by end-2023
- Fungal acne solutions grew 30% in niche skincare sales in 2023
Emerging Trends Interpretation
In 2023, the Australian beauty industry proved it was far more than skin deep, with its conscience, inclusivity, and tech-savvy sales strategies beautifully unpackaged in a market where shopping online, shopping clean, and shopping for men named Chad are all having a simultaneous moment.
Employment and Workforce
- The Australian beauty industry employed 45,200 people directly in 2023, up 2.8% from 2022
- Average weekly wage in Australian beauty manufacturing was AUD 1,450 in 2023
- Retail beauty sector jobs numbered 28,500 in 2023, with 65% part-time roles
- 14% of beauty industry workforce were aged under 25 in 2023, highest youth employment rate
- Female employment in Australian beauty reached 82% of total 45,200 jobs in 2023
- Manufacturing roles in beauty products totaled 8,900 in 2023, skilled chemists 22%
- E-commerce beauty roles grew 15% to 3,200 in 2023, digital marketers key
- Apprenticeships in beauty therapy hit 12,500 in 2023, salon-focused training
- Indigenous employment in beauty industry was 1.2% or 540 jobs in 2023, up from 0.8%
- Job vacancies in Australian beauty retail averaged 4,200 unfilled in 2023
- 22% of beauty workforce held tertiary qualifications in cosmetics science in 2023
- Salon employment totaled 18,400 in 2023, with average tenure 4.2 years
- Beauty industry contributed AUD 15.4 billion to GDP indirectly via supply chain in 2023
- 3,200 new jobs created in beauty e-commerce logistics in 2023
- Training expenditure in beauty sector totaled AUD 320 million in 2023
- Migrant workers comprised 22% of beauty salon staff in 2023
- Hourly rate for beauty therapists averaged AUD 28.50 in 2023
- Corporate beauty roles (marketing/sales) grew 9% to 4,100 in 2023
- Disability employment in beauty reached 2.1% or 950 jobs in 2023
- Overtime hours in beauty manufacturing averaged 5.2 per week in 2023
- Freelance makeup artists numbered 6,800 in 2023, events driving demand
- R&D staff in beauty firms totaled 1,450 in 2023, formulation experts key
Employment and Workforce Interpretation
Australia's beauty industry is painting a more vibrant and complex picture, showing strong growth in employment and wages while still struggling to fill retail vacancies, relying heavily on a young, female, and increasingly qualified workforce to sustain its multi-billion dollar contribution to the economy.
Market Size and Revenue
- In 2023, the total Australian beauty and personal care market was valued at AUD 11.2 billion, marking a 4.5% year-on-year growth from 2022
- The skincare segment of the Australian beauty industry generated AUD 3.1 billion in revenue in 2023, accounting for 27.7% of the total market
- Australia's beauty market is projected to reach AUD 13.8 billion by 2028, with a CAGR of 4.2% from 2023 to 2028
- Online sales in the Australian beauty sector contributed 28.3% of total revenue in 2023, up from 24.1% in 2021
- The premium beauty segment in Australia grew by 6.8% in 2023 to AUD 2.9 billion, driven by luxury imports
- Hair care products sales in Australia totaled AUD 1.8 billion in 2023, with a 3.2% increase over the previous year
- Fragrances represented 12.4% of the Australian beauty market in 2023, generating AUD 1.39 billion
- Mass beauty market share in Australia was 62.1% in 2023, valued at AUD 6.95 billion
- The Australian beauty industry exported AUD 450 million worth of products in 2023, primarily to Asia-Pacific markets
- Imports of beauty products into Australia reached AUD 2.1 billion in 2023, with 45% from Europe
- In 2023, the Australian beauty market saw a 5.1% CAGR from 2018-2023, totaling AUD 11.2 billion
- Bath and shower products segment was worth AUD 890 million in 2023, up 3.9%
- Luxury fragrance imports valued at AUD 650 million in 2023, France leading supplier
- Independent beauty retailers captured 11% of market sales in 2023 at AUD 1.23 billion
- The depilatories segment generated AUD 210 million in 2023, waxing kits popular
Market Size and Revenue Interpretation
Australia is clearly taking the "look good, feel good" mantra seriously, investing billions to slather, spritz, and style its way to a projected $13.8 billion market by 2028, proving that while a suntan might be free, everything that comes before and after is a very serious business.
Segment Performance
- Skincare sales dominated with 35% of total beauty revenue in Australia in 2023 at AUD 3.92 billion
- Colour cosmetics segment in Australia declined 1.2% in 2023 to AUD 1.45 billion due to post-pandemic shifts
- Hair care market in Australia hit AUD 2.1 billion in 2023, led by anti-aging formulas
- Men's grooming products grew 8.7% to AUD 950 million in 2023 within the overall beauty sector
- Nail care products sales reached AUD 420 million in 2023, with gel polishes up 15%
- Fragrance segment premium lines sold AUD 1.2 billion in 2023, 15% over mass market
- Oral care, often bundled in beauty, generated AUD 1.65 billion in 2023 with whitening focus
- Sun care products surged 12% to AUD 680 million in 2023 amid skin cancer awareness
- Body care segment valued at AUD 1.75 billion in 2023, with moisturizers leading at 40%
- Deodorants and antiperspirants contributed AUD 550 million in 2023, natural variants up 20%
- Makeup removers and cleansers hit AUD 890 million in 2023, double cleansing trend
- Luxury skincare sub-segment reached AUD 1.1 billion in 2023, imported brands dominant
- Eyewear and lash products combined for AUD 320 million in 2023 sales
- Facial masks and treatments sold AUD 450 million in 2023, sheet masks up 18%
- Shampoo market within hair care was AUD 1.05 billion in 2023, sulfate-free leading
- Lip care products reached AUD 280 million in 2023, balms overtaking glosses
- Hand care segment grew to AUD 340 million in 2023 post-handwashing habits
- Perfume testers in stores drove 19% of fragrance sales in 2023
- Acne treatments dominated teen skincare at AUD 120 million in 2023
- Beard care products for men hit AUD 95 million in 2023, oils popular
- Eyelash serums sales surged 28% to AUD 65 million in 2023
- Beauty devices (e.g., LED masks) market was AUD 180 million in 2023
Segment Performance Interpretation
It appears that in 2023 Australians prioritized putting their best face forward, as skincare commanded the throne with a cool $3.92 billion crown, while men finally joined the party, colour cosmetics took a slight post-pandemic step back, and everything from hair to hands proved we're a nation meticulously maintaining our veneer.
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