Vietnam Probiotic Cosmetics Market - 2024-2027

Overview

The Vietnam probiotic cosmetics market recorded a value of US$ 18.82 million in 2023 and is expected to reach a value of US$ 12.38 million in 2027, growing at a CAGR of 5.70% during the forecast period (2024-2027).

The probiotic cosmetics market in Vietnam is gaining significant momentum, driven by the rising awareness of skincare products with natural and functional benefits. Vietnamese consumers are increasingly leaning towards beauty products that promote skin health from within, with probiotics being recognized for their ability to strengthen the skin barrier, balance the microbiome and reduce inflammation.

With Vietnam's youthful population, where more than 50% of people are under the age of 35, brands offering innovative solutions like probiotics are tapping into a large customer base that is open to trying new trends. Additionally, the increasing prevalence of air pollution in cities such as Ho Chi Minh and Hanoi is pushing consumers to seek products that help detoxify and protect the skin, further fueling the demand for probiotic skincare.

Furthermore, international beauty brands are seeing Vietnam as a key emerging market for probiotic cosmetics. These companies are partnering with local distributors to cater to the growing demand for niche skincare solutions. Local Vietnamese cosmetic brands are also starting to experiment with probiotic ingredients, aiming to capture market share by offering competitively priced alternatives.

Drivers

Increasing Popularity of Anti-aging and Skin Rejuvenation Products

The increasing popularity of anti-aging and skin rejuvenation products is a key driver for the probiotic cosmetics market in Vietnam. As the country's population ages, the demand for skincare solutions that target wrinkles, fine lines and other aging signs has surged. In 2023, Vietnam's population aged 60 and above reached approximately 13.6% of the total population, according to the General Statistics Office of Vietnam (GSO). This demographic shift is prompting Vietnamese consumers to actively seek out innovative products that enhance skin elasticity and radiance, boosting the market for probiotic cosmetics designed to improve skin health and prevent premature aging.

Additionally, the shift towards natural and safe ingredients in anti-aging formulations is becoming more prevalent. Probiotic-infused cosmetics offer a natural alternative, leveraging beneficial bacteria to rejuvenate the skin by enhancing the skin's microbiome and improving its natural defenses. A study conducted by the Vietnam Ministry of Health in 2023 showed a 15% year-over-year increase in demand for natural-based skincare products, reflecting the growing preference for such formulations among middle-to-upper income groups.

The booming beauty and personal care market in Vietnam further accelerates this trend. According to the Vietnam Cosmetics Association, skincare products accounted for nearly 35% of the sector's revenue, with anti-aging solutions being one of the fastest-growing segments. This increased focus on skin rejuvenation has created opportunities for local and international brands to introduce probiotic-enhanced anti-aging products, tapping into the evolving needs of Vietnam's aging yet beauty-conscious population.

Influence of K-beauty Trends Promoting Probiotic Ingredients

The influence of K-beauty trends is a major factor driving the growth of probiotic cosmetics in Vietnam. Korean beauty, known for its focus on skincare innovations, has gained immense popularity in Vietnam, with many consumers adopting the multi-step skincare routines promoted by K-beauty brands. In 2023, Vietnam saw a 25% increase in imports of Korean cosmetics products, according to the Vietnam Ministry of Industry and Trade. This surge is largely driven by younger consumers seeking the latest skincare trends, including products that feature probiotic ingredients for healthier, radiant skin.

According to a report from the Vietnam E-commerce and Digital Economy Agency (iDEA), sales of Korean skincare products with probiotics grew by 18% in 2023, reflecting the rising consumer interest in this trend. Probiotic ingredients, which are commonly incorporated into Korean skincare, have been promoted for their ability to restore the skin's natural microbiome, reduce inflammation and boost the skin's overall resilience. K-beauty's emphasis on glowing, clear skin has helped elevate these probiotic-infused formulations in Vietnam, particularly among urban populations who are increasingly influenced by Korean celebrities and social media beauty influencers.

Restraints

Limited Availability of Probiotic Ingredients in Local Markets

The limited availability of probiotic ingredients in local markets is a significant restraint on the growth of Vietnam's probiotic cosmetics market. According to Vietnam's Ministry of Science and Technology (MOST), over 70% of the probiotic strains used in cosmetic formulations are imported, primarily from South Korea, Japan and European countries. This dependency on imports not only increases production costs but also limits the ability of local manufacturers to scale up their probiotic cosmetic lines efficiently.

The reliance on imported ingredients has also led to supply chain disruptions, especially during global economic downturns and trade fluctuations, further constraining the local market. The Ministry of Industry and Trade (MOIT) reported that Vietnam's cosmetic industry saw a 12% price increase for probiotic-based products in 2023 due to rising import costs. This price hike has made probiotic cosmetics less accessible to a broader range of consumers, especially in rural areas where affordability is a major concern.

Segment Analysis

The Vietnam probiotic cosmetics market is segmented based on type, ingredient, consumer orientation, application, packaging and distribution channel.

Growing Demand for Microbiome-Friendly Facial Care Products

Facial care products hold a significant share of Vietnam's probiotic cosmetics market, driven by the increasing consumer awareness of skincare benefits and the rising popularity of probiotic ingredients. As Vietnamese consumers become more health-conscious, they are actively seeking products that not only enhance beauty but also promote skin health. Probiotic facial care products, known for their ability to balance skin microbiomes and enhance overall skin vitality, have gained traction among those looking for natural and effective skincare solutions.

A study conducted at Can Tho Dermato-Venereology Hospital from 2021 to 2023 found that 73.9% of patients presented with severe or very severe acne, while 26.1% had moderate acne. This data highlights the significant prevalence of severe acne among the patient population at the hospital. This demand has driven growth in facial care products, particularly those infused with probiotics, known for their ability to improve skin health and balance microbiomes. Consumers are increasingly seeking products that specifically target acne-related issues, creating a lucrative market for probiotic cosmetics.

Sustainability Analysis

According to the Ministry of Natural Resources and Environment (MONRE), 62% of consumers in urban areas, particularly in cities like Hanoi and Ho Chi Minh, expressed a preference for products with eco-friendly packaging, highlighting the shift toward more sustainable practices. Probiotic cosmetics, which are often marketed as natural and gentle, align well with this trend, as brands are adopting recyclable and biodegradable packaging to cater to the growing eco-conscious market.

Many cosmetic brands in Vietnam have embraced this shift by offering probiotic products in packaging made from materials like recycled plastic, glass or paper. MONRE also reported a 15% reduction in the use of single-use plastics in the cosmetics industry in 2023, as companies responded to consumer pressure and government initiatives promoting environmental sustainability. This focus on sustainability not only appeals to environmentally aware consumers but also strengthens brand loyalty, as shoppers are increasingly choosing products that reflect their values.

Furthermore, the Vietnamese government has implemented policies to encourage sustainability in various industries, including cosmetics. For instance, the National Green Growth Strategy promotes the use of eco-friendly packaging and sustainable production practices. According to the Ministry of Industry and Trade, sales of beauty products with eco-friendly packaging rose by 22% in 2023. This shift toward sustainable practices, coupled with the demand for natural ingredients like probiotics, is propelling the probiotic cosmetics market in Vietnam, as consumers seek products that are not only effective for their skin but also kind to the planet.

Unmet Needs

The growing focus on sustainability and eco-friendly packaging is a key driver in Vietnam's probiotic cosmetics market. The Vietnam probiotic cosmetics market faces several unmet needs, limiting its full potential in 2023. One of the primary gaps is the need for more localized research and development (R&D) to cater specifically to Vietnamese consumers' skin types, environmental factors and preferences. Currently, a significant portion of probiotic cosmetics is imported or adapted from global formulas that may not address the unique dermatological needs influenced by Vietnam's humid tropical climate.

According to the Ministry of Health (MOH), only 28% of skincare products on the Vietnamese market are developed locally, with the majority being international imports that lack customization for local conditions. This gap creates a pressing need for products tailored to the country's climate and consumers' skin health concerns. Another critical unmet need is the limited consumer education on probiotics' benefits for skincare. While there is growing interest in natural and microbiome-friendly products, the Vietnam Institute of Biotechnology (VIB) reported in 2023 that over 65% of consumers were unsure about the specific benefits of probiotics in cosmetics.

Additionally, Vietnam's probiotic cosmetics market struggles with supply chain challenges, particularly the sourcing of probiotic ingredients. The Vietnam Ministry of Industry and Trade (MOIT) noted that, in 2023, 80% of active probiotic ingredients used in cosmetic formulations were imported, driving up costs and making it difficult for local brands to compete with international products.

Competitive Landscape

The major players in the market include Emmie by HappySkin (HappySkin Vietnam), IFREE BEAUTY COMPANY LIMITED and LiveSpo.

By Type

• Facial Care Products
  • Creams
  • Lotions
  • Cleanser
  • Serums
  • Others
• Hair Care Products
  • Shampoo
  • Hair Conditioner
  • Hair Serums
  • Others
• Body Care Products
  • Deodorants
  • Exfoliants
  • Soaps
  • Body Lotions
  • Others
• Nail Care Products
• Others
  • Make-up Products
  • Female Intimate Care Products

By Ingredient

• Lactobacillus
• Streptococcus
• Bifidobacterium
• Others

By Consumer Orientation

• Male
• Female

By Application

• Skin Health
  • Acne
  • Anti-Ageing
  • Skin Whitening
  • Anti-Inflammatory
  • Photoprotective Effects
  • Others
• Hair Health
  • Hair Fall
  • Hair Growth
  • Scalp Cleaning
  • Others
• Nail Health

By Packaging

• Tubes
• Bottles
• Jars
• Pumps and Dispensers
• Others

By Distribution Channels

• Supermarkets/Hypermarkets
• Pharmacies and Drug Stores
• Convenience Stores
• Online Retailers
• Other Distribution Channels

Key Developments

• In June 2023, South Korean delivery app Baemin entered the Vietnamese beauty market by launching a skincare and makeup brand tailored to local consumer preferences, leveraging the popularity of K-beauty trends. The brand's top products include a calming calendula toner pad, a natural fit soft skin cushion with SPF50 and an overnight reset mask featuring red ginseng and probiotics.

Why Purchase the Report?

• To visualize the Vietnam probiotic cosmetics market segmentation based on type, ingredient, consumer orientation, application, packaging and distribution channel, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of Vietnam probiotic cosmetics market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The Vietnam probiotic cosmetics report would provide approximately 27 tables, 40 figures and 208 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies