Aromatherapy is a form of alternative medicine that uses volatile plant materials known as essential oils and other aromatic compounds from plants. Essential oils are extracted from different parts of plants like flowers, leaves, stems, bark, roots, and others. Aromatherapy products mainly include essential oils, carrier oils, aromatherapy burners, diffusers, candles, and incense. These aromatherapy products are extensively used for relaxation, sleep, pain relief, cold and cough treatments, skin care, digestion, stress-relief, anxiety, and more. With rising health consciousness among consumers and growing preference for natural therapies to manage stress, anxiety, and other issues, the demand for aromatherapy is rising significantly.
The global Aromatherapy Market is estimated to be valued at US$ 6.39 Bn in 2023 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The increasing adoption of natural therapeutics over pharmacological treatments for stress, anxiety, and pain management is one of the key drivers augmenting the growth of the aromatherapy market. Aromatherapy helps in relieving stress, pain, anxiety, insomnia, and improves relaxation. Consumers are increasingly looking for natural and alternative treatments and essential oils prove beneficial in aromatherapy. This widespread application of aromatherapy products is boosting the market growth. Furthermore, rising disposable incomes and growing e-commerce retail platforms have made aromatherapy affordable and easily available to mass consumers. The convenient adoption and accessibility of aromatherapy treatments is thereby facilitating the market expansion over the forecast period.
SWOT Analysis
Strength: Aromatherapy has no side effects, is very cost effective, and convenient to use. The strong presence of essential oils manufacturing companies and increasing adoption of aromatherapy products in developing countries are the major strengths. The growing popularity of essential oils in cosmetics, personal care and healthcare applications has boosted the market.
Weakness: Lack of standards in manufacturing adulterated aromatherapy products. Various essential oils lack clinical evidence of their efficacy and safety profiles from controlled studies. Misleading marketing claims of essential oil products undermine consumer trust.
Opportunity: Rising health awareness and increasing preference for natural therapies over pharmacological drugs provide opportunities for growth. Expanding use of aromatherapy for stress relief, anxiety depression, and sleep disorders augurs well. Growing use of essential oils in spa and massage centers, hotels, resorts further boosts the market.
Threats: Raw material price volatility affects the production cost. Stringent regulations, registration procedures for new essential oils delay product launches. Substitution threat from alternative traditional medicines reduces aromatherapy adoption in developing nations.
Key Takeaways
The global aromatherapy market is expected to witness high growth over the forecast period. The global Aromatherapy Market is estimated to be valued at US$ 6.39 Bn in 2023 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030.
North America currently dominates the aromatherapy market owing to rising health awareness and growing preference for natural therapies. The Asia Pacific region is expected to grow at the fastest rate driven by expanding spa culture, rising middle class, and emerging cosmopetitics industry in China and India.
Key players operating in the aromatherapy market are doTERRA International, Koninklijke DSM N.V., International Flavors & Fragrances Inc., Symrise, Eden Garden, Young Living Essential Oils, Frontier Natural Products Corporation, Rocky Mountain Oil, Mountain Rose Herbs, Plant Therapy Inc., Thann-Oryza Co. Ltd, G Baldwin & Co., Ouwave Aroma Tech Co. Ltd, RyohinKeikaku Co. Ltd, and Isagenix International LLC. doTERRA International leads the global market followed by Young Living Essential Oils. The market exhibits high competition with large and small players. Players adopt strategies such as new product launches, acquisitions, and expansion to gain market share and leverage new opportunities.
