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Add to CartGlobal Home Fragrances Market Growth, Share, Size, Trends and Forecast (2024 - 2030)
By Product;
Scented Candles, Sprays, Essential Oils, Incense Sticks and Others.By Type;
Mass and Premium.By Distribution Channel;
Supermarkets and Hypermarkets, Specialty Stores, Convenience Stores, Online and Others.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2020 - 2030).Introduction
Global Home Fragrances Market (USD Million), 2020 - 2030
In the year 2023, the Global Home Fragrances Market was valued at USD 26,343.57 million. The size of this market is expected to increase to USD 33,516.38 million by the year 2030, while growing at a Compounded Annual Growth Rate (CAGR) of 3.5%.
The burgeoning market for home fragrance products is fueled by an increased focus on creating personalized and inviting living spaces. Consumers are placing greater importance on the ambiance within their homes, driving demand for products that enhance the olfactory experience. Moreover, the pandemic has heightened hygiene concerns, prompting companies to implement safety measures like contactless delivery and enhanced sanitation protocols to reassure customers.
Environmental consciousness is driving a shift towards natural and eco-friendly home fragrance options. Companies are responding by offering products made from sustainable ingredients and packaging materials. For instance, Grove Collaborative Holdings, Inc. launched its Grove Co. Fresh Horizons Limited Edition Collection, emphasizing sustainability in partnership with Drew Barrymore.
Essential oils are gaining popularity for their perceived therapeutic benefits, leading to increased demand for holistic products. To stand out in the market, companies are developing innovative fragrance combinations, such as blending coffee and leather scents, to create unique and appealing profiles.
Technology integration is reshaping the home fragrance sector, with a focus on sustainability and convenience. Aluxury introduced the Nebula Electric Waterless Oil Diffuser, offering a rechargeable, waterless design for efficient oil diffusion without spills.
The industry's growth is further propelled by increased awareness through various media channels. For example, Godrej Aer launched a visually captivating TV campaign for its bathroom fragrances, leveraging innovative graphics to engage consumers.
Consumers are also showing a preference for locally produced home fragrance products, supporting businesses like The Scented Barn, which offers a wide range of handcrafted fragrances. The company's commitment to quality and craftsmanship has garnered significant traction, evident in the opening of a permanent store in Holt, UK, in March 2023.
Global Home Fragrances Market Recent Developments & Report Snapshot
Recent Developments:
- In October 2023, The Yankee Candle Company, Inc., a subsidiary of Newell Brands Inc., unveiled two captivating scents: Silver Sage & Pine and White Spruce & Grapefruit, available in various sizes. Silver Sage & Pine infuses spaces with the nostalgic aroma of Christmas trees, blending clary sage and pine needles with notes of leather, cedarwood, and amber. Meanwhile, White Spruce & Grapefruit combines the freshness of citrus fruits with the earthiness of fir needles, complemented by hints of vanilla bean. These scents were offered in medium jars, large jars, large tumblers, and melts.
- In August 2023, The Procter & Gamble Company introduced its Mood Collection under the Febreze brand, featuring three luxurious fragrances designed to evoke different moods. The collection includes Romance & Desire, Soothe & Restore, and Refresh & Energize. To enhance the experience, Febreze collaborated with three emerging musicians to create songs that complement each scent in the Mood Collection, adding an immersive element to the fragrance experience.
| Parameters | Description |
|---|---|
| Market | Global Home Fragrances Market |
| Study Period | 2020 - 2030 |
| Base Year (for Home Fragrances Market Size Estimates) | 2023 |
| Drivers |
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| Restraints |
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| Opportunities |
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Segment Analysis
The global home fragrance market is diversified across various product types, including scented candles, sprays, essential oils, incense sticks, and other forms. These products cater to different consumer preferences and usage occasions. Additionally, the market is segmented based on product type into mass-market and premium segments, offering options for consumers with varying budgets and preferences.
In terms of distribution channels, home fragrance products are sold through supermarkets and hypermarkets, specialty stores, convenience stores, online platforms, and other retail outlets. This multi-channel distribution strategy ensures broad market coverage and accessibility for consumers across different regions and demographics.
Overall, the home fragrance market offers a wide range of products catering to diverse consumer needs and preferences, with distribution channels ensuring widespread availability and accessibility to consumers worldwide.
Global Home Fragrances Segment Analysis
In this report, the Global Home Fragrances Market has been segmented by Product, Type, Distribution Channel and Geography.
Global Home Fragrances Market, Segmentation by Product
The Global Home Fragrances Market has been segmented by Product into Scented Candles, Sprays, Essential Oils, Incense Sticks and Others.
In 2023, the sprays segment commanded a significant share of 33.8% of global revenues in the home fragrance market. Sprays serve various purposes, including neutralizing odors, creating a serene atmosphere, adding a personalized touch to spaces, and enhancing mood and productivity. Their ease of use and ability to instantly refresh a room with fragrance contribute to their enduring popularity. While demand for home fragrance sprays has remained steady overall, slight fluctuations occur due to evolving consumer preferences and market trends.
On the other hand, the scented candles segment is poised for robust growth, projected to achieve a Compound Annual Growth Rate (CAGR) of 10.0% from 2024 to 2030. Scented candles offer a diverse range of fragrance options, catering to individual preferences with floral, fruity, and spicy scents, among others. Their popularity as gifts, especially during holidays, further drives demand. Scented candles are frequently chosen as hostess gifts, housewarming presents, or tokens of appreciation, contributing significantly to their increasing demand. While sprays maintain a steady presence in the market, scented candles are anticipated to experience substantial growth due to their versatility, diverse fragrance offerings, and appeal as gift items.
Global Home Fragrances Market, Segmentation by Type
The Global Home Fragrances Market has been segmented by Type into Mass and Premium.
In 2023, mass-market home fragrance products asserted dominance in the global market, driven by their affordability and widespread availability. These products appeal to a broad consumer base, catering to price-conscious individuals seeking value for money. Mass-market brands leverage familiar and universally appealing scents, further enhancing their popularity and market share. For instance, in May 2022, M&S Home launched a collection featuring candles, reed diffusers, and room sprays priced as low as USD 9.5, highlighting the accessibility of their range.
Concurrently, the luxury home fragrance market is experiencing remarkable growth, offering a spectrum of scents across various price points, including premium selections surpassing several hundred dollars. This surge in demand signifies a shift where scented products transcend mere luxury, transforming ordinary spaces into personalized sanctuaries. The market has witnessed the emergence of several luxury fragrance companies to meet the escalating demand for premium offerings.
Global Home Fragrances Market, Segmentation by Distribution Channel
The Global Home Fragrances Market has been segmented by Distribution Channel into Supermarkets and Hypermarkets, Specialty Stores, Convenience Stores, Online and Others.
In 2023, supermarkets and hypermarkets emerged as the dominant channel in the global home fragrance market, capturing a substantial revenue share of 39.5%. Their prevalence stems from their wide-reaching presence and convenience as one-stop shopping destinations for consumers. The high foot traffic in these retail giants ensures extensive exposure to a diverse customer base, making them ideal platforms for the widespread distribution of home fragrance products. For example, in August 2023, a collaboration between popular snack brand Little Debbie and fragrance brand Goose Creek resulted in the launch of snack cake candles, available across all Walmart stores in the U.S.
Concurrently, the online distribution channel is anticipated to experience significant growth, projected to achieve a Compound Annual Growth Rate (CAGR) of 10.3%. This growth is attributed to the convenience and ease of shopping for home fragrance products online. With the increasing prevalence of online shopping and the convenience it offers, online channels are expected to play a pivotal role in the home fragrance industry. For instance, in April 2023, Friday Collective introduced its scented candle collection, available both online and offline at Target stores and through its official website.
Global Home Fragrances Market, Segmentation by Geography
In this report, the Global Home Fragrances Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Home Fragrances Market Share (%), by Geographical Region, 2023
Europe's presence in the home fragrance market is significant, driven by increasing expenditure on home care products. In Germany, for example, beauty and home care sales reached approximately USD 21.63 billion in 2019. Furthermore, the tradition of using candlelight in countries like Denmark contributes to the region's demand for home fragrances, with 39% of the population using candles daily.
In North America, the market is dominant, with the candle industry retaining a strong foothold. Candle products are popular for creating cozy environments, particularly in dating scenarios. The United States saw candle sales grow by 3.2% in 2018, amounting to around USD 1.2 billion. Additionally, luxury homeowners' preference for home fragrance products contributes to increased consumption, with an estimated 400,702 homes worth one million dollars in the country.
Asia Pacific is expected to witness significant growth, fueled by large religious festivals like Diwali, which drive candle consumption. India, along with other countries in the region, celebrates Diwali, contributing to increased demand for candles. Domestic brands such as Nyassa and Lalique offer attractive products, further boosting consumer interest.
The Middle East & Africa and South America are poised for substantial growth, driven by developed countries like Qatar and the United Arab Emirates maintaining high hygiene standards. Urbanization in South America, particularly in Brazil, is also contributing to increased consumption of candles and home fragrance products.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Home Fragrances Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Innovative Product Offerings
- Rising Hygiene Concerns
- Integration of Technology
- Rising Residential Sector to Augment Growth
- Increasing Presence of Youth Population to Favor Growth -
The significant presence of youth in the global workforce is poised to drive growth in the candle and home fragrance market. As young people increasingly enter the workforce and attain financial independence, they contribute to the demand for housing, both through renting and purchasing properties. This trend is particularly evident in regions like South East Asia, where a large portion of the population is youth. For example, UNICEF data from October 2019 indicates that South East Asia is expected to witness a substantial influx of approximately 100,000 individuals joining the workforce daily, highlighting the region's robust youth labor force.
The youth demographic is a key target audience for many brands manufacturing home fragrance products. Companies are increasingly incorporating technology and innovative designs to appeal to this demographic's preferences and lifestyle. By integrating features such as smart technology and eye-catching designs, manufacturers can capture the attention of young consumers who are drawn to modern and trendy products. This emphasis on youth-specific marketing strategies and product development is expected to significantly contribute to the growth and traction of the candle and home fragrance market.
Overall, the youth population's increasing presence in the global workforce, coupled with targeted product offerings and marketing efforts, is anticipated to fuel demand for home fragrance products, driving growth and innovation within the industry.
Restraints:
- Economic Uncertainty
- Competition from Alternative Products
- Allergic Reaction to Individuals with Health Complications to Hamper Market Growth -
The escalating prevalence of respiratory ailments such as asthma, chronic obstructive pulmonary disease (COPD), and pneumonia has profoundly influenced consumer perceptions and behaviors regarding home fragrance products. Individuals suffering from these conditions often experience heightened sensitivity to airborne irritants, including those emitted by fragranced products. The volatile organic compounds (VOCs) present in many home fragrance formulations can act as respiratory irritants, triggering allergic reactions, exacerbating existing symptoms, and compromising respiratory health.
Consequently, individuals with lung complications are increasingly wary of using home fragrance products due to concerns about potential adverse health effects. This cautious approach stems from a desire to minimize exposure to irritants and allergens that could exacerbate respiratory symptoms and compromise overall well-being. As a result, the segment of the population affected by respiratory issues tends to avoid or limit the use of home fragrance products, thereby constraining market growth.
To address these concerns and mitigate the impact on market growth, manufacturers must prioritize the development of fragrance formulations that prioritize respiratory health and safety. This involves formulating products with reduced VOC emissions, utilizing hypoallergenic ingredients, and conducting rigorous testing to ensure compatibility with sensitive individuals. By proactively addressing these health-related concerns and offering products tailored to the needs of consumers with respiratory conditions, manufacturers can foster trust and confidence among this demographic, potentially expanding market opportunities and driving sustained growth in the home fragrance industry.
Opportunities:
- Expanding Consumer Base
- Wellness and Self-Care Trends
- Seasonal and Limited Edition Releases
- Innovative Product Offerings -
Continued innovation in product formulations, packaging, and delivery methods presents a significant opportunity for brands to capture consumer interest and differentiate themselves in the competitive home fragrance market.
Incorporating these innovative features not only differentiates brands in the competitive market but also addresses evolving consumer preferences for convenience, customization, and sustainability. By staying at the forefront of innovation, home fragrance brands can enhance their brand appeal, attract new customers, and foster long-term loyalty in an increasingly discerning consumer market.
Competitive Landscape Analysis
Key players in Global Home Fragrances Market include:
- Reckitt Benckiser Group PLC
- The Procter & Gamble Company
- Seda France
- S. C. Johnson & Son, Inc.
- Newell Brands Inc.
- Voluspa
- Scent Air
- NEST Fragrances
- The Estée Lauder Companies Inc.
- Bougie & Senteur
- Bath & Body Works LLC
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Product
- Market Snapshot, By Type
- Market Snapshot, By Distribution Channel
- Market Snapshot, By Region
- Global Home Fragrances Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Restraints
- Opportunities
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Home Fragrances Market, By Product, 2020 - 2030 (USD Million)
- Scented Candles
- Sprays
- Essential Oils
- Incense Sticks
- Others
- Global Home Fragrances Market, By Type, 2020 - 2030 (USD Million)
- Mass
- Premium
- Global Home Fragrances Market, By Distribution Channel, 2020 - 2030 (USD Million)
- Supermarkets and Hypermarkets
- Specialty Stores
- Convenience Stores
- Online
- Others
- Global Home Fragrances Market, By Geography, 2020 - 2030 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Home Fragrances Market, By Product, 2020 - 2030 (USD Million)
- Competitive Landscape
- Company Profiles
- Reckitt Benckiser Group PLC
- The Procter & Gamble Company
- Seda France
- S. C. Johnson & Son, Inc.
- Newell Brands Inc.
- Voluspa
- Scent Air
- NEST Fragrances
- The Estée Lauder Companies Inc.
- Bougie & Senteur
- Bath & Body Works LLC
- Company Profiles
- Analyst Views
- Future Outlook of the Market