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Aromatherapy utilizes essential oils derived from plants to promote relaxation and relieve stress, pain, and anxiety. With growing concerns around mental health and wellbeing, aromatherapy products such as oils, candles, and diffusers have gained popularity. Commonly used essential oils include lavender, eucalyptus, peppermint, and lemon. Aromatherapy products provide holistic solutions to stress, muscle pain, headaches, and other conditions without negative side effects. Users apply essential oils topically, inhale their aroma through heated diffusers, or add them to baths for diverse health and wellness benefits. The global aromatherapy market offers a wide variety of products suitable for different applications based on individual needs and preferences.
The global Aromatherapy Market is estimated to be valued at US$ 6.39 Bn in 2024 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 key trends:
Growing awareness about the benefits of aromatherapy is one of the key trends driving market growth. Individuals are increasingly adopting aromatherapy solutions to relax their mind and body. Moreover, aromatherapy also aids relaxation and stress relief without any side effects. The COVID-19 pandemic has further fueled the demand as people look for natural remedies to boost immunity and respiratory health. Essential oils blended aromatherapy diffusers and room sprays are gaining traction. Furthermore, increased health consciousness is prompting individuals to opt for holistic wellness practices including aromatherapy. Manufacturers are launching innovative product varieties catering to diverse needs, which is supporting the aromatherapy market expansion.
Porter’s Analysis
Threat of new entrants: New entrants face high capital requirements to establish manufacturing facilities and distribution channels. In addition, established brands enjoy strong brand recognition and loyalty.
Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of substitutes. However, buyers prefer well-known brands for quality and reliability.
Bargaining power of suppliers: Aromatherapy essential oil suppliers enjoy moderate bargaining power due to their specialized extraction processes and methods. However, established players can source from multiple geographies to mitigate over-reliance.
Threat of new substitutes: Natural therapies like spa treatments, meditation, and yoga can be considered substitutes. However, aromatherapy appeals due to its convenience and portability.
Competitive rivalry: The global market features many international and regional players. Companies compete based on brand, extraction processes, innovation, and pricing.
Key Takeaways
The global aromatherapy market is expected to witness high growth. The global Aromatherapy Market is estimated to be valued at US$ 6.39 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030.
North America currently dominates the market owing to increasing consumer preference for natural therapies to manage stress and other health conditions. The rising popularity of relaxation techniques and wellness trends in the region supports market growth. Europe is the second-largest market for aromatherapy. The growing trend of using essential oils for relaxation and well-being in countries like the UK, Germany, and France drives the regional market. Furthermore, rising disposable income enables customers to spend more on premium products.
Key players: 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, and RyohinKeikaku Co. Ltd. doTERRA International is a globally recognized leader in therapeutic-grade essential oil products.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
