A key factor driving this growth is the shift among major personal care brands from in-house production to a greater focus on research & development and marketing activities, thereby increasing reliance on contract manufacturing services. The personal care industry experienced a notable downturn in the first half of 2020 due to the COVID-19 pandemic, driven by reduced discretionary spending, rising unemployment, lockdown measures, and changes in consumer behavior. Nevertheless, the sector is recovering thanks to increased access to e-commerce platforms, widespread vaccination campaigns, economic stimulus measures, and improving consumer sentiment.In the United States, the market for personal care contract manufacturing is expected to expand, driven by growing consumer demand for natural, organic, cruelty-free, and animal-free tested cosmetic products. The rising preference for innovative and sustainable packaging is also supporting this growth. Consumers in the U.S., both men and women, are particularly drawn to visually appealing and distinctive packaging, prompting manufacturers to invest in creative packaging solutions.
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In recent years, there has been a noticeable increase in the use of cosmetic products among U.S. men as part of their daily routines, contributing to the broader growth of the cosmetics industry. This trend, along with continuous advancements in sustainable packaging and the increasing popularity of natural and organic products, is expected to further boost demand for personal care contract manufacturing in the U.S. throughout the forecast period.
The rising interest in skincare products, especially among millennials looking to prevent early signs of aging, is another significant growth driver in the U.S. market. Additionally, growing investment in R&D focused on specialty products with organic ingredients is fostering innovation. There is a rising demand for a variety of skincare masks—including clay, peel-off, and natural ingredient-based formulations—for purposes such as skin brightening, nourishment, and cleansing. This is largely attributed to factors like pollution, busy lifestyles, climate changes, and higher disposable incomes.
Leading Companies in the Personal Care Contract Manufacturing Market:
Albea
Accupac
Knowlton Development Corporation
Vi-Jon
MAESA
HatchBeauty Brands, LLC
Fareva
Colep
Intercos S.p.A
Oxygen Development
Voyant Beauty
Mansfield-King
NuWorld
Biogenesis
Bright International
Eco Lips
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