Halal cosmetics global popularity surges

Increasing buyer preference for safe and cruelty-free beauty and personal care products is fueling the growth of halal cosmetics globally.

The market is set to become a $53.39 billion industry by 2021, up from the $26.47 billion in 2016, posting a CAGR of 15 percent, according to business intelligence and consulting firm Technavio.

Halal cosmetics are enjoying robust demand in the Asia-Pacific region, which has a sizeable Muslim population. In recent years, however, the market has expanded to non-Muslim countries, including China and South Korea, as more customers embrace halal-approved ingredients and production methods.

In fact, the non-Muslim segment accounted for more than 30 percent of all halal cosmetic purchases last year and industry analysts predict the figures will rise.

It helped that several halal-specific brands have emerged outside the Asia-Pacific region, including India's Iba Hala Care, which is known as the country's first halal and cosmetic brand, and US-based Amara Cosmetics.

Innovation is also key for halal cosmetic manufacturers as many turn to personalized and targeted marketing approaches to direct sales to specific and diverse age groups and lifestyle demographics.

"Online retailing and e-commerce are immensely popular due to the rapidly increasing Internet penetration. This has given an innovative and powerful tool for halal cosmetic vendors to increase their sales and profitability," said Brijesh Kumar Choubey, lead analyst in cosmetic and toiletry research at Technavio, in a press statement.

Brands are also taking advantage of the digital revolution, heading online to maximize sales. Manufacturers and retailers are aware that by shifting their focus online, they increase the opportunities to boost profit while limiting operational costs.

Many are turning to social media platforms and strategic online growth campaigns to bolster their Internet presence, and create additional awareness and interest in the halal beauty sector.