AI and AR Drive 4.1% Growth in Global Beauty Market
A comprehensive new market report reveals that the global health and beauty market is projected to grow at a CAGR of 4.1% between 2024 and 2029. This growth is driven by increasing demand for wellness and functional beauty products. The online segment is expected to outpace overall growth at 5.7% CAGR, fueled by retailers’ continued investment in cutting-edge technologies.
The report highlights how artificial intelligence (AI) and augmented reality (AR) are revolutionizing the online beauty shopping experience. Retailers are using these technologies to enhance customer engagement and broaden their audience reach. Despite slower growth in 2024 due to global inflation and weakened consumer confidence, the market is showing renewed strength. Omnichannel strategies are transforming how beauty brands connect with consumers.
The Americas continue to dominate the global market. The maturity of the US health and beauty market solidifies the region’s leadership position. The integration of advanced technologies is expected to be a key differentiator for retailers looking to capture market share in the evolving beauty landscape.