In recent years, both global and Chinese shampoo markets have demonstrated steady growth, driven by rising consumer demand, evolving personal care habits, and product innovation. According to the 2024–2029 China Shampoo Industry Operation and Investment Outlook Report, the global shampoo market expanded from USD 26 billion in 2016 to nearly USD 33.5 billion by 2023, with a compound annual growth rate (CAGR) of approximately 3.8%.
In China, the market reached RMB 74.89 billion in 2023, supported by strong consumption momentum. Continued expansion is expected, with projections suggesting the global market will reach RMB 329.24 billion by 2029, and China remaining a significant contributor to overall growth. This trajectory is closely linked to rising health awareness, income growth, and increasingly sophisticated consumer preferences.
International Brands Dominate High-End Segments
The influx of global daily chemical brands and aggressive marketing strategies have strengthened brand awareness among Chinese consumers. In first- and second-tier cities, multinational brands such as Head & Shoulders, Rejoice, and CLEAR hold a dominant position in the mid-to-high-end shampoo market through supermarket, department store, and specialty retail channels.
In contrast, most domestic brands maintain mass-market positioning, and their presence in premium categories remains limited. Nevertheless, the Chinese market saw a 5.8% year-on-year increase in 2023, with a further 5.3% growth forecasted for 2024.
Economic Growth and the Rise of the Middle Class Fuel Market Expansion
Economic factors continue to play a central role in shaping the shampoo industry. Global economic recovery and the expansion of the middle class—particularly in the Asia-Pacific region—have led to increased consumer spending on personal care products. As disposable incomes rise, consumers are shifting toward higher-quality and more specialized products, including shampoos that feature natural ingredients or targeted treatment functions.
High-income demographics are also fueling the growth of luxury and specialty shampoos, reflecting a broader trend toward premiumization in personal care.
Regulatory Pressure Pushes for Safer, Cleaner Formulations
Governments across major markets are tightening regulations on cosmetics, with increasing focus on ingredient safety, labeling transparency, and chemical restrictions. Regulatory frameworks such as the EU Cosmetics Regulation and the U.S. FDA guidelines are pushing manufacturers to innovate toward cleaner, more sustainable, and compliant formulations.
These shifts are expected to reshape product development strategies, encouraging companies to invest in R&D and adapt to stricter safety and environmental standards.
Outlook
The macro environment for the shampoo industry is becoming more diverse and dynamic, shaped by intersecting forces—economic growth, consumer lifestyle trends, technological advancements, regulatory frameworks, and environmental considerations. As demand evolves toward health-conscious, eco-friendly, and personalized products, the shampoo market is expected to continue its upward trajectory globally and in China.