India is quickly becoming a major focus for global beauty companies as demand for premium products rises in the world’s most populous nation.
Cosmetics giants like Japan’s Shiseido, France’s L’Oreal, and the U.S.-based Estee Lauder are investing heavily in India. With slowing sales in developed economies, the country offers new opportunities for expansion.
According to a report by consulting firm Kearney and distributor LUXASIA, India’s luxury beauty market is expected to grow from $800 million in 2023 to $4 billion by 2035. The growth is fueled by young, affluent shoppers who are active on social media and have rising disposable incomes.
Currently, luxury beauty accounts for just 4% of India’s $21-billion beauty and personal care market. This is much lower compared with Southeast Asian countries, where luxury shares range from 8% to 24%, and developed markets like the U.S. and China, where it is as high as 48%.
Industry experts say this gap leaves plenty of room for expansion. Sameer Jindal of Houlihan Lokey called India the “last bastion of growth for premium beauty,” noting that consumers are open to experimentation.
Global beauty leaders are taking strategic steps. Estee Lauder plans to target 60 million Indian women, focusing on both big cities and smaller towns. L’Oreal is expanding its investment to capture the country’s “elevated beauty desires,” while South Korea’s Amorepacific is riding the K-beauty wave with products tailored for Indian skin and climate.
Japan’s Shiseido has also introduced its NARS brand through Nykaa and aims to expand further. Meanwhile, Amazon and Shoppers Stop are boosting efforts to bring international beauty trends to local shoppers.
Despite rising competition, domestic luxury brands such as Forest Essentials and Kama Ayurveda still account for less than 10% of the market. In contrast, homegrown labels dominate up to 40% of premium beauty sales in countries like China and South Korea.
With rapid urbanization, the influence of social media, and a growing preference for sustainable products, analysts predict India will remain a prime destination for global beauty expansion.
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