New Delhi, September 5 (IANS): According to the report, India is set to quickly become one of the most influential markets in the world in the field of beauty and personal care, overtaking China, the US, Japan and South Korea in this respect.

A report by online cosmetics and fashion marketplace Nykaa shows that India is expected to grow at 10-11 per cent by 2028 and reach a $34 billion cosmetics and personal care market.

“India is the fastest growing cosmetics and personal care market in the world and is expected to reach $34 billion by 2028, up from $20 billion currently,” Nykaa said in a statement.

As per the Nykaa Beauty Trends report, the growth is much higher than other countries like China (4-5%), US (2-4%), Japan (2-3%) and South Korea (2-3%).

The results indicate that e-commerce will be the largest driver of this growth and the fastest growing segment, with a compound annual growth rate (CAGR) of around 25 percent.

There is a rise in aspirations and income among Indian consumers, which will have an impact on the premium cosmetics market, which is expected to reach $3-3.2 billion by 2028, according to a report.

Moreover, with the number of social media users expected to reach 520-560 million in 2023, they will play an important role in democratizing beauty knowledge and influencing consumer choices.

Meanwhile, online channels for cosmetics and personal care are expected to grow at around 25 percent CAGR. This will compare with offline organized trade, which will account for 33 percent of the segment’s total turnover.

On the other hand, the share of unorganised offline trade channels will decline from an estimated 55 per cent in 2023 to 35 per cent in 2028, the report said.

“Our report clearly shows that the market is poised for extraordinary growth, driven by premiumisation, technological advancements and a new generation of discerning consumers,” said Anchit Nayar, Executive Director and CEO, Nykaa Beauty.