Cosmetic and personal care products used in Europe is a by far a vast majority of more than 500 million customers. These cosmetics include antiperspirants, fragrances, makeup and shampoo, soaps, sunscreens, and toothpaste. The use of these products is associated with improved healthy lifestyles and improves self-esteem
The cosmetics value chain
The value chain in the cosmetic industry is divided into five different stages. The first stage is the input to production. These are companies responsible for the provision of raw materials to make cosmetic products. They include companies producing ingredients and packing components for the cosmetic products. Next is the manufacturing stage; companies engage in supporting activities such as accounting, business administration and legal services and produce a finished cosmetic product. Next, the product moves for distribution and/or wholesale. Finally, the product moves to retail sales and purchase of cosmetics. The end-customer later buys the product from selling channels like online stores, pharmacies, supermarkets or beauty salons.
Science and Cosmetics
The cosmetic industry is driven by science and research. Moreover, cosmetic companies spend 5% of their sales on research. Additionally, 77 innovation facilities have been established in Europe to carry out research related to cosmetics. These centers focus on product development, market research, and legal and regulatory compliance. Development on antiperspirants, perfumes and skin-related technology is strong and take over 5 years of research and formulation to introduce a new product in the market.