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Publication Title | Personal Care & Cosmetics Products Italy

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Personal Care & Cosmetics Products: Italy
Executive Summary
After a number of years of decline due to the economic crisis in Italy, cosmetics consumption started to rebound in some product categories in 2015. Italy’s total market is currently valued at $10.2 billion and is projected to grow by 1% in 2017. In 2016 the Italian cosmetic market reached a value of $10.660 million, a 0.7% increase over 2015. In 2016 Italian cosmetics production, which grew by 5%, reached a value of more than $10.800 million. Italian exports of cosmetics products totaled $4.520 million in 2016, an increase of over 11% from 2015. The Italian cosmetics market is anti-cyclical and has always performed better than other industries. Italians have re-started to trust in commerce and to desire to buy, mainly because of the “undeniability” of cosmetic products and the growth of new selling channels, such as single-brand retail, e-commerce and direct sales.
Although highly competitive, there is potential for growth in several sectors of the Italian cosmetics industry. Body care, hair, facial products, and perfumery continue to dominate the market, with a growth of 3.2%. Best prospects include facial anti-aging creams and lotions, innovative body treatments, slimming treatments, raw materials and naturally derived products. Italian consumers are increasingly attuned to a “wellness culture” and products derived from natural ingredients remain popular. Strong potential exists also for anti-wrinkle creams, cellulite treatments, etc., as well as primer products, firming lotions and products targeting skin impurities. Analysts also expect positive trends in the esthetic medicine and plastic surgery sector. According to the 2016 Beauty Report edited by Cosmetica Italia (the Italian Association of Cosmetic Industries), 61% of consumers declared that the crisis has forced them to be more discerning about their cosmetics purchases.
Overview of the Domestic Market
Size and Growth Trends
Italy has a strong domestic beauty and fragrance industry which includes several multinational beauty companies. The Italian Association of Cosmetic Industries (Cosmetica Italia) reports that domestic market grew by 0.7% in 2016, reaching $10.7 million. Cosmetics and toiletries sales in Italy have shown steady growth and increased by 27% in 2016, 26% in 2015 and 25% in 2013. The Italian cosmetics export market is dominated by hair products ($807 million, +13%), make-up ($758 million, +17%), while, creams ($721 million, +17.9%) and perfume ($667 million, +12.2%).
Italy is also a large exporter of cosmetic and toiletry products and importer of raw materials. In 2016 Italy had a cosmetic market turnover of $6.731 million. However, it is the export market that drives Italy’s cosmetics sector, which continues to grow steadily. Italian cosmetic products are recognized throughout the world for their quality and innovation. The United States is Italy’s third largest cosmetics export market, after France (11.4%) and Germany (11%), accounting for 8.6% of total Italian exports at a

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