PUBLISHER: The Business Research Company | PRODUCT CODE: 1436359
PUBLISHER: The Business Research Company | PRODUCT CODE: 1436359
Home fragrance consists of organic compounds emitting characteristic aromas, now considered as important in home design as furniture or decor. These fragrances aim to scent the air or mask odors, contributing to a pleasant interior atmosphere, serving as an inexpensive and aromatic method to maintain air quality and eliminate unpleasant odors.
The main types of home fragrances are candles, room sprays, reed diffusers, essential oils, and incense sticks. The candle is a cylinder or block of wax or tallow with a central wick that is lit to produce light as it burns. The fragrances in home fragrances are lemon, lavender, jasmine, rose, sandalwood, vanilla, and other fragrances that are distributed over supermarkets and hypermarkets, online stores, convenience stores, and other distribution channels in liquid, dry, or solid forms used in-home care, healthcare, hospitality, museums, commercial, and other end-users.
The home fragrance market research report is one of a series of new reports from The Business Research Company that provides home fragrance market statistics, including home fragrance industry global market size, regional shares, competitors with a home fragrance market share, detailed home fragrance market segments, market trends and opportunities, and any further data you may need to thrive in the home fragrance industry. This home fragrance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The home fragrance market size has grown strongly in recent years. It will grow from $7.68 billion in 2023 to $8.43 billion in 2024 at a compound annual growth rate (CAGR) of 9.7%. The growth observed in the historical period can be attributed to a shift in consumer preferences, an increase in disposable income, the expansion of e-commerce and retail, cultural and regional influences, and the prevalence of gifting culture.
The home fragrance market size is expected to see strong growth in the next few years. It will grow to $12.05 billion in 2028 at a compound annual growth rate (CAGR) of 9.3%. The anticipated growth in the forecast period can be attributed to the demand for natural and organic products, the increasing popularity of home entertaining, growing concerns about health and safety, rapid urbanization, and an expansion into multi-sensory experiences. Major trends expected in the forecast period encompass seasonal and limited-edition offerings, the customization and personalization of fragrances, the adoption of innovative diffuser technologies, collaborations with lifestyle and interior brands, the incorporation of unique and exotic scents, and a focus on eco-friendly packaging.
The increasing demand for natural essential oils in home fragrance products is driving the growth of the home fragrance market. Natural essential oils gain popularity as people focus more on health and well-being, including the positive effects of aromatherapy. The global essential oil production, covering approximately 600,000 hectares, accounts for 0.06% of all farms worldwide. Despite challenges posed by the global pandemic, the fragrance industry contributed $22.4 billion to the U.S. economy. Hence, the adoption of essential oils in fragrance products is a key factor propelling the home fragrance market's growth.
The expanding e-commerce industry is anticipated to drive the growth of the home fragrance market. E-commerce, involving the online buying and selling of goods and services, enhances the home fragrance market by providing convenient access to a diverse range of products. According to the United States Department of Commerce, US e-commerce sales saw a substantial increase of 39.0 percent in the first quarter of 2021 compared to the same period in 2020. The increasing expansion of the e-commerce industry is driving the growth of the home fragrance market.
Technological innovations are shaping the home fragrance market. For instance, Glade, an American household air freshener brand, introduced the energy-efficient PlugIns Scented Oil PLUS in February 2021. This device incorporates smart-light technology for efficient operation, filling rooms with popular fragrances while offering a rest mode to save energy. In December 2021, Pura, a US-based smart home fragrance technology company, collaborated with Kenneth Cole to develop two new smart home scent diffuser brands, Aim to Teas and Go Fig-ure.
Major companies are developing new products such as candle-infused seasonal fragrances to gain a competitive edge. Candle-infused fragrances involve incorporating scents into candles during manufacturing. For example, in November 2023, The Yankee Candle Company Inc., a US-based scented candles manufacturer, launched the Bright Lights Collection featuring five winter seasonal fragrances. These candles, with scents such as Holiday Cheer, Magical Bright Lights, Shimmering Christmas Tree, and Marshmallow Eggnog, aim to enhance the holiday atmosphere during gatherings, boasting festive labels, natural fiber wicks, and a premium soy-wax blend.
In April 2022, Phoenix Flavors and Fragrances, a US-based developer of high-performance flavors and fragrances, acquired Innovative Fragrances Inc for an undisclosed amount, intending to enhance its reach in the southeast United States. This acquisition strengthens Phoenix Flavors and Fragrances in perfumery, regulatory, and technical solutions for its customers. Innovative Fragrances Inc is a US-based company that develops fragrance compounds for home fragrances, personal care products, candles, and air fresheners.
Major companies operating in the home fragrance market report are Procter & Gamble, Minnesota Mining and Manufacturing Company, Henkel AG & Co. KGAA, Reckitt Benckiser Group PLC, The Estee Lauder Companies Inc., S. C. Johnson & Son Inc., Newell Brands Inc., Bath & Body Works LLC, Chanel SA, doTERRA International LLC, MINISO Co Ltd., The Yankee Candle Company Inc., Now Health Group Inc., Godrej and Boyce Mfg. Co. Ltd., Faultless Starch Company, Village Candle Inc., Airwick Inc., Scentair Technologies Inc., Esteban Paris Parfums, NEST Fragrances LLC, Ripple Fragrances Pvt. Ltd., Bridgewater Candle Company, Flame & Wax Inc., Air Essentials Inc., Illume Inc., Seda France Inc., Bougie Et Senteur, Korona Candles S.A, Copenhagen Candle Company, Puzhen Life Co. Ltd
Western Europe was the largest region in the home fragrance market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the home fragrance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the home fragrance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The home fragrance market consists of sales of incense sticks, incense holders, scented oils, oil burners, fragrant room sprays, home fragrance lamps, reed diffusers, reed diffuser oils, reed diffuser sets, and potpourris. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Home Fragrance Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on home fragrance market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for home fragrance ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The home fragrance market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.