Essential oils, also known as volatile oils/aetherolea/ethereal oils, are derived from leaves, stems, flowers, bark, roots, or other parts of a plant. Essential oil is obtained from various herbs and plants, such as orange, eucalyptus, corn mint, peppermint, citronella, lemon, lime clover leaf, and spearmint, using distillation methods such as steam and water distillation. An essential oil contains volatile aroma compounds and real essence of the plant from which it is derived. Essential oils are primarily used in cosmetics & toiletries, food items and beverages.
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The major factor boosting the market growth is the increasing consumer preference for natural and organic products be it cosmetics, food or similar other product categories. This in turn, has led the manufacturers operating in such industries to develop products that contain natural additives. Thus, the growing usage of essential oils among the aforementioned industries, coupled with factors which include increasing disposable income and improved standards of living in emerging economies, supplement the market growth. The factors restricting the market growth are high price of essential oils, availability of synthetic substitutes, and limited availability of raw materials. Government support and favorable regulations are likely to offer lucrative opportunities for market growth. The leading essential oil market players, such as doTERRA International and Moksha Lifestyle Products, develop a wide variety of essential oils, such as ginger oil, basil seeds oil, and others, to cater to the increasing demands of essential oils in varied industries.
The essential oil market is segmented on the basis of product type, application, and geography. The product segment is further classified as orange, eucalyptus, corn mint, peppermint, citronella, lime, lemon, clover leaf, spearmint, and others. Orange oil segment accounted for the maximum revenue share in 2015 and is likely to consolidate its position during the forecast period, owing to its anti-inflammatory, antidepressant, and antispasmodic product characteristics. In addition, the food and flavor industry majorly uses orange oil due to its fresh smell and juicy flavor. Based on application, the essential oil market is classified as food & beverages, medical, cleaning & home, spa & relaxation, and others. Spa & relaxation is estimated be the fastest growing application segment, closely followed by the applications of essential oils in Food & beverages. Other applications, such as health & wellness, cleaning products where essential oil serves as sweet-smelling mixes, and healthy substitutes for synthetic drugs are anticipated to witness sustainable development in future. Based on geography, the market is categorized into North America, Europe, Asia-Pacific, and LAMEA.
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The prominent players analyzed in this report include dōTERRA International, Biolandes, Sydney Essential Oils Co. Pty Ltd, Young Living Essential Oils, Farotti SRL, The Lebermuth Company, Essential Oils of New Zealand, H.Reynaude & Fils, Moksha Lifestyle Products, and West India Species, Inc.
- This report provides an in-depth analysis of the world essential oil market to elucidate the potential investment pockets.
- The current trends and future scenarios are outlined to determine the overall market potential and single out profitable trends to gain a stronger foothold in the market.
- This report provides information regarding key drivers, restraints, and opportunities with their detailed impact analysis.
- Quantitative analyses of the current market and future estimations for 2016 – 2022 are provided to indicate the present and future market lucrativeness.
- Porter’s Five Forces Model and SWOT analysis of the industry illustrate the potency of the buyers and suppliers.
- Value chain analysis provides a clear understanding on the roles of the stakeholders involved.
ESSENTIAL OIL MARKET SEGMENTATION
- Corn mint
- Clover Leaf
- Others (Cederwood, Lavandin, Litsea Cubeba & Lemongrass Oil, Coriander, Basil, Mandarine, Patchouli, Tea Tree Oil)
- Food & Beverages
- Cleaning & Home
- Spa & Relaxation
- Others (Cosmetics, Paint, Petroleum, Textile, Paper & Printing, Perfumes & Fragrances, and Dental Preparation Industries)
- North America
- Rest of North America
- Rest of Europe
- Rest of APAC
- South Africa
- Rest of LAMEA
Chapter: 1 INTRODUCTION
1.1 Report description
1.2 Key benefits
1.3 Key market segments
1.4 Research methodology
1.4.1 Secondary research
1.4.2 Primary research
1.4.3 Analyst tools and models
Chapter: 2 EXECUTIVE SUMMARY
2.1 CXO perspective
Chapter: 3 MARKET OVERVIEW
3.1 Market definition and scope
3.2 Key findings
3.2.1 Top impacting factors
3.2.2 Top winning strategies
3.2.3 Top investment pockets
3.3 Value chain analysis
3.4 Porters five forces analysis
3.4.1 Low switching cost and high demand for raw material leads to moderate bargaining power of suppliers
3.4.2 Large number of manufacturers lead to high bargaining power of buyers
3.4.3 Presence of chemicals that can be used in flavouring and cosmetics industry leads to moderate threat of substitutes
3.4.4 Presence of big market players, stringent government regulations and high capital cost lowers the threat of new entrants
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