The demand for natural, sustainable ingredients and anti-ageing and antioxidant effects has made algae an on-trend ingredient in skincare products. Consequently, the US market research firm Grand View Research recently published a market report summarising current developments.

Algae-Based Skincare Has Growth Potential

The market researchers estimate that the global market for algae-based skincare products will grow by 7.2 per cent each year from 2024 to 2030, having generated a turnover of 194.8 million US dollars in 2023.

The Market Is Considered Highly Innovative

A string of innovations are driving market growth. According to the analysts, a key issue is the development of active ingredients sourced from microalgae. The latter are cultivated in closed bioreactors, which is intended to minimise the environmental impact while ensuring high quality. Although macroalgae as an ingredient still accounts for the largest market share, the market researchers anticipate that the microalgae segment will achieve the highest rate of growth by 2030.

Skincare and Anti-Ageing Are the Biggest Trends

The study found that skincare and anti-ageing products are most in demand. Accordingly, face serums and oils manufactured from algae have a revenue share of 31.6 per cent. Above all, products designed to treat the delicate skin around the eyes and lips are expected to see significant growth over the forecast period.

Asia-Pacific Region to Accelerate Growth

The study identifies North America, which has a revenue share of 35.1 per cent, as the market that is currently most important for algae-based skincare products. However, growth is expected to be primarily fuelled by China and India. The analysts attribute this primarily to increases in income levels and the demand for higher-quality skincare products.

Source: Grand View Research