March 5, 2024

Aromatherapy Market is Estimated to Witness High Growth Owing to Increasing Adoption of Natural Therapies and Wellness Products

Aromatherapy involves the use of plant-derived aromatic compounds from flowers, leaves, roots or other parts and their essential oils to improve psychological or physical well-being. Essential oils obtained from plants through different processes such as distillation and cold pressing are used for therapeutic applications in aromatherapy. The essential oils have distinct scents and are used to relieve stress, boost mood, relieve pain and promote overall wellness. Aromatherapy products including candles, diffusers and creams infused with essential oils are gaining popularity for relaxation.

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.

Key Takeaways

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. The key players are focused on new product launches, partnerships and geographic expansion to meet the growing demand.

The key opportunities in the aromatherapy market include rising uptake of aromatherapy among millennials due to wellness trend, increasing spa services and use of essential oils for therapies. Online retailing and E-commerce platforms are providing growth opportunities to aromatherapy product manufacturers and sellers.

Technological advancements in aromatherapy formulations and delivery systems are boosting market growth. Development of precisely formulated essential oil blends, portable nebulizers, diffusers with enhanced features and aromatherapy formulations for specific indications are expanding applications of aromatherapy.

Market drivers: The major drivers for the aromatherapy market include growing preference for natural therapies over pharmaceuticals, rising health issues such as stress, depression leading to high demand for relaxation therapies and wellness trends driving aromatherapy adoption globally. Growing use of essential oils in home care products such as cleaners and air fresheners is further supporting market demand.
Current Challenges in Aromatherapy Market
The aromatherapy market faces challenges related to production constraints, certification and standardization and lack of scientific validation. Production of high quality essential oils requires specific climatic conditions and soil which poses constraints. There are no universally accepted standards for production, composition and quality of essential oils used for aromatherapy. Scientific research and validation of aromatherapy claims is still lacking which limits its acceptance and uptake.

SWOT Analysis
Strength: Growing awareness about benefits of natural therapies. Wide range of aromatic oils available for different needs.
Weakness: Lack of scientific evidence and research validation. Improper use can cause allergic reactions in some.
Opportunity: Scope for product innovation and new application areas. Integration with other wellness therapies can boost market potential.
Threats: Safety concerns regarding the use of essential oils pose regulatory challenges. Price pressure from substitutes like synthetic fragrances.

Geographical Regions with High Market Concentration
North America currently accounts for the largest share of aromatherapy market value owing to high consumer awareness and spending on wellness therapies. The United States contributes more than half of the North American aromatherapy market. Europe is the second largest market led by countries like Germany, United Kingdom and France. Growing acceptance of aromatherapy in daily self-care is driving the European market.

Fastest Growing Geographical Region
The Asia Pacific region is poised to be the fastest growing market for aromatherapy during the forecast period. Rapid economic development, rising health awareness and growth of wellness tourism are fueling market demand across countries like China, India and Southeast Asian nations. Initiatives toward integrating aromatherapy within alternative medical systems like Traditional Chinese Medicine and Ayurveda are further expanding growth opportunities.

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  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it