Is the Demand For Aromatherapy Driving the Essential Oil Market in US?

Dec 04, 2020

The essential oil market in US is expected to witness high demand due to the increased usage in the cosmetics & personal care industry.

According to the latest Arizton's market research report, the essential oil market in US to be valued at around USD 6 billion by 2026, growing at a CAGR of approximately 7% during the forecast period.

Growth of The Essential Oil Market in US  

Demand for natural products in the US has witnessed rapid growth in recent years, backed up by increasing demand for nutritional and cosmetic products derived from natural sources. The essential oil market in US is expected to witness huge opportunities driven by this demand trend during the forecast period. The high demand for consumer goods from end-user industries such as, F&B, healthcare, and more is fueling the growth of the US essential oil market. Rapid growing nutraceuticals market combined with increasing demand for lemon essential oils in the development of medicines with natural ingredients for treating Vitamin C deficiency is expected to boost the growth of the lemon essential oil segment in the forecast period.

Rising Demand for Aromatherapy

Aromatherapy is one of the most significant markets driving the demand in the essential oil market in US. In the US, aromatherapy covers both the use of essential oils by professional aromatherapists and personal use by consumers based on retail purchases. Most of the aromatherapists in the US run their own business and hence, the market is very fragmented, made up of large numbers of small operators. Aromatherapy using topical application witnessed highest demand in the US and this trend is expected to accelerate significantly over the next few years.

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Key Offerings:

  • Market Size & Forecast by Revenue | 2020−2026
  • Market Dynamics – Leading trends, growth drivers, restraints, and investment opportunities
  • Segmentation – A detailed analysis by product, end-users, and geography
  • Competitive Landscape – 12 Key Company Profiles are profiled in the report

US Essential Oil Market – Geographic Analysis

The Southern region accounted for a significant share in the essential oil market in US, owing to the huge presence of F&B industries, spas & resorts, and increasing disposable income. Texas, Florida, and North Carolina made the highest contribution to the essential oil market in US, in the Southern region. The demand for personal care products and household & cleaning products will be high in the region. This in turn, is boosting the demand for essential oils from the cosmetics & personal care and cleaning & household industry. The rapid growth in rate of urbanization and increasing residential establishments is leading to increasing demand for essential oils for personal usage as well as for industrial uses in the Western region.

Competition Overview

The essential oil market in US is highly competitive and moderately consolidated. Companies are focusing on developing innovative products and expanding their product portfolio by making huge investment in R&D. The competition in the US essential oil market is expected to intensify further with an increase in product extension and technological innovation. The predominant factor which is expected to provide competitive advantage to the vendors is incorporation of robust supply chain and cross-boundary relations. Companies have come up with new strategies, such as the introduction of new products, marketing, and promotional activities, and investments in joint ventures to capture higher market shares.

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U.S. Essential Oils Market - Industry Outlook and Forecast 2021-2026