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Online Perfume & Cosmetic Sales in the US - Market Research Report (2015-2030)

Matthew Buchko Matthew Buchko New York, United States Last Updated: November 2025 NAICS OD5090

Revenue

$62.7bn

2025

$62.7bn

Past 5-Year Growth

Profit

$X.Xbn

Employees

50,102

Businesses

17,335

Wages

$X.Xbn

Online Perfume & Cosmetic Sales in the US industry analysis

Online beauty stores have experienced significant growth in recent years, driven by the increasing popularity of e-commerce and the growing emphasis on skincare and beauty. In 2020, social distancing and stay-at-home orders prompted consumers to turn to online platforms to fulfill their shopping needs, driving up sales for online sellers of cosmetics and perfumes. Revenue soared 44.4% in 2020, followed by another jump of 23.5% in 2021. Through the end of 2025, consumers are spending less on eating out and transportation, resulting in greater disposable income and a boost in spending on discretionary products. Industry performance was subdued by inflationary pressures and supply chain disruptions, which have caused products prices to climb considerably in recent years. Still, these online retailers have taken advantage of higher product prices and the shift to e-commerce to bolster revenue, despite a dip in profitability. IBISWorld expects revenue for online perfume and cosmetics sellers to climb at a CAGR of 8.1% to $62.7 billion through the end of 2025, including a hike of 0.9% in 2025 alone.

Trends and Insights

  • Online shopping has surged because of shifting consumer preferences. This trend, driven by consumers looking for convenience and better access to product information and bargains, accelerated by the pandemic and significant economic volatility.
  • Middle-aged buyers dominate beauty sales.People aged 35 to 54 purchase the most perfumes and cosmetics, focusing on high-quality, anti-aging products because of their higher disposable incomes and stable jobs.
  • Highly populated areas are attractive to online retailers. Basing operations in these areas helps increase visibility and cut delivery times.
  • Online shoppers are always on the hunt for bargains. Since online buyers can easily compare prices across retailers, sellers must offer competitive prices to retain and attract customers.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 8.1 % over the past five years, to reach an estimated $62.7bn in 2025.

Trends and Insights

Macroeconomic conditions support demand for beauty products

  • Sales of cosmetics and fragrances are directly influenced by changes in macroeconomic conditions, including disposable income, consumer confidence levels, inflation and unemployment, as consumers cut back on discretionary spending when economic conditions are unfavorable. At the same time, these products benefit from the “lipstick effect”, as consumers view these products are affordable luxuries.
  • Additional trends and insights available with purchase
Online Perfume & Cosmetic Sales in the US
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Revenue will continue expanding, but at a slower rate

  • Online shopping will continue to climb in popularity as many customers have grown accustomed to the convenience of e-commerce. Retailers will continue to invest in their logistics and warehousing infrastructure to improve delivery times, which has become a greater competitive factor in recent years.

Biggest companies in the Online Perfume & Cosmetic Sales in the US

Company
Market Share (%)
2025
Revenue ($m)
2025
Profit ($m)
2025
Profit Margin (%)
2025
Amazon.Com, Inc.
14,083.4
874.6
6.2
Ulta Beauty, Inc.
3,012.6
451.2
15.0
LVMH Moët Hennessy Louis Vuitton SE
2,894.1
209.6
7.2

To view the market share and analysis for all 4 top companies in this industry, view purchase options.

Products & Services Segmentation

Online Perfume & Cosmetic Sales in the US
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Cosmetics, Skin care and Fragrances. Cosmetics is the largest segment of the Online Perfume & Cosmetic Sales in the US.

Trends and Insights

Skincare is popular among consumers of all ages

  • Skincare covers a broad range of products, including moisturizers, face oils, BB and CC creams, face wash, eye creams, serums, acne treatments and sun protection, among many other products.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Online perfume and cosmetic sales comprise companies that sell perfume, makeup and other cosmetic products online. This industry includes revenue generated online by companies that also operate brick-and-mortar stores.

What's included in this industry?

Products and services covered in the Online Perfume & Cosmetic Sales industry in the United States include Selling perfume online, Selling cologne online, Selling makeup online , Selling cosmetic creams online and Selling skincare online.

Companies

Companies covered in the Online Perfume & Cosmetic Sales industry in the United States include Amazon.Com, Inc., Ulta Beauty, Inc. and LVMH Moët Hennessy Louis Vuitton SE.

Purchase this report to view all 4 major companies in this industry.

Related Terms

Related terms covered in the Online Perfume & Cosmetic Sales industry in the United States include brick-and-mortar, broadband, paypal, cosmetic and smartphone.

Industry Code

NAICS 2017

NAICS 454110 - Online Perfume & Cosmetic Sales in the US

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Online shopping has surged because of shifting consumer preferences. This trend, driven by consumers looking for convenience and better access to product information and barg...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Middle-aged buyers dominate beauty sales.People aged 35 to 54 purchase the most perfumes and cosmetics, focusing on high-quality, anti-aging products because of their higher d...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Highly populated areas are attractive to online retailers. Basing operations in these areas helps increase visibility and cut delivery times.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each state
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each state in 2025
  • Number and share of revenue each state accounts for in 2025
  • Number and share of wages each state accounts for in 2025
  • Number and share of employees in each state in 2025

Detailed analysis

  • Geographic spread of the industry across North America, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Online shoppers are always on the hunt for bargains. Since online buyers can easily compare prices across retailers, sellers must offer competitive prices to retain and attra...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Amazon is the largest online retailer in a highly fragmented industry. It offers a wide range of goods, including fragrances and cosmetics, acting as a virtual one-stop-shop.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Amazon.Com, Inc.'s performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Ulta Beauty, Inc.'s performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of LVMH Moët Hennessy Louis Vuitton SE's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for one additional company

Detailed analysis

  • Description and key data for Amazon.Com, Inc., and factors influencing its performance in the industry
  • Description and key data for Ulta Beauty, Inc., and factors influencing its performance in the industry
  • Description and key data for LVMH Moët Hennessy Louis Vuitton SE, and factors influencing its performance in the industry
  • Description, key data and performance trends for one additional company

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Online retailers must secure customer data and label products correctly. They are also obligated to comply with the Streamlined Sales and Use Tax Agreement, eliminating a cos...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Purchases are the primary expense for online sellers. Retailers must acquire products from manufacturers and wholesalers to replenish inventory and efficiently satisfy demand...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Industry Multiples (2018-2023)
  • Industry Tax Structure (2018-2023)
  • Income Statement (2018-2023)
  • Balance Sheet (2018-2023)
  • Liquidity Ratios (2018-2023)
  • Coverage Ratios (2018-2023)
  • Leverage Ratios  (2018-2023)
  • Operating Ratios (2018-2023)
  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Online Perfume & Cosmetic Sales industry in the United States in 2025?

The market size of the Online Perfume & Cosmetic Sales industry in the United States is $62.7bn in 2025.

How many businesses are there in the Online Perfume & Cosmetic Sales industry in the United States in 2025?

There are 17,335 businesses in the Online Perfume & Cosmetic Sales industry in the United States, which has grown at a CAGR of 6.9 % between 2020 and 2025.

How may import tariffs affect the Online Perfume & Cosmetic Sales industry in the United States?

The Online Perfume & Cosmetic Sales industry in the United States is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Online Perfume & Cosmetic Sales industry in the United States?

The Online Perfume & Cosmetic Sales industry in the United States is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Online Perfume & Cosmetic Sales industry in the United States grown or declined over the past 5 years?

The market size of the Online Perfume & Cosmetic Sales industry in the United States has been growing at a CAGR of 8.1 % between 2020 and 2025.

What is the forecast growth of the Online Perfume & Cosmetic Sales industry in the United States over the next 5 years?

Over the next five years, the Online Perfume & Cosmetic Sales industry in the United States is expected to grow.

What are the biggest companies in the Online Perfume & Cosmetic Sales industry in the United States?

The biggest companies operating in the Online Perfume & Cosmetic Sales industry in the United States are Amazon.Com, Inc., Ulta Beauty, Inc. and LVMH Moët Hennessy Louis Vuitton SE

What does the Online Perfume & Cosmetic Sales industry in the United States include?

Selling perfume online and Selling cologne online are part of the Online Perfume & Cosmetic Sales industry in the United States.

Which companies have the highest market share in the Online Perfume & Cosmetic Sales industry in the United States?

The company holding the most market share in the Online Perfume & Cosmetic Sales industry in the United States is Amazon.Com, Inc..

How competitive is the Online Perfume & Cosmetic Sales industry in the United States?

The level of competition is high and steady in the Online Perfume & Cosmetic Sales industry in the United States.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in the US include: 

  • US Census Bureau
  • US Bureau of Labor Statistics
  • US International Trade Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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