Wholesale Fragrances

The US fragrance market is growing fast. Retail sales are projected to go from $70 billion in 2022 to around $100 billion by 2027.

Why? Because selling fragrances, especially luxury ones, makes a lot of money. Brands can keep up to 90% of the price as profit!

Here’s something interesting from a 2023 survey: When 10,012 Americans were asked about their most used personal care item, 43% of them chose fragrances and perfumes.

But, if you look at this on a bigger scale, out of the 340 million US citizens, 146.2 million might choose fragrances as well.

Now, that's an impressive number!

But why are fragrances so popular? It’s because more and more people see them as an essential lifestyle product.

And it’s not just women, men are getting into personal care and beauty products too.

So, retailers, this is a big chance for you to cash in on the growing demand. You’ve got options:

• Body Fragrances: Perfumes, mists, deodorants, colognes, etc.
• Car Fragrances: Vent sticks, aerosols, cardboard air fresheners, etc.
• Home Fragrances: Air fresheners, diffusers, scented candles, etc.

Each category is big enough to focus on just one or you can explore all three. Look at what's popular in the market to decide what to sell!

Trends Driving Fragrance Sales in the US

Gift Sets

Gift sets from brands like L'oreal, Estée Lauder, Dior, Versace, etc., are. a big hit with retailers.

Why? Because customers love getting multiple products in one set.

Not only this, they also find it cheaper than buying those items separately. So, they see these gift sets as providing more value for money.

For example, a set may have Eau de Parfum, body lotion, bath bomb, and a roll-on perfume.

Moreover, gift sets make a good present for special occasions like Father’s Day, Valentine’s Day, and the Holiday season.

In fact, men’s prestige fragrance sales were 85% higher in 2022 around Father’s Day, with gift sets being the top pick.

Mini Perfumes

Mini perfumes are selling super-fast because they're small, cheap, and let people try a scent before buying a big bottle.

They're one-third the price of large bottles – so if a big one costs $30, the mini would be just $10.

That’s why they accounted for 38% of all fragrance sales this year!

Also, roll-on perfumes are becoming really popular they’re easy on the wallet and lots of people are buying them!

Scented Home and Lifestyle Products

These days, people not only care about personal hygiene but also about the cleanliness of their living environment.

And that’s why products like air fresheners and scented candles are in high demand.

This trend has positively affected the fragrance industry where the scented candle market size is projected to rise from 3.6 billion in 2022 to $5.52 billion by 2030.

But who’s really driving up these sales in the fragrance market? Let's talk about that!

Who’s Buying Fragrances the Most?

According to the Circana Report, Gen Zers are the top fragrance users in the US, buying not just for themselves but also for gifting to others.

When we look at ethnic groups, Hispanics lead the way in fragrance usage, with 4 out of 10 (40%) wearing it every day.

Out of a total of 63.7 million Hispanics in the US, a notable 37.2 million live in Mexico.

For those in retail, here’s a tip: Marketing your business to this specific generation, region, and consumer group could be your ticket to boosting sales.

FDA and General Guidelines

While fragrances don’t need FDA approval for sale, it’s crucial that the ones you stock are safe and made with non-toxic ingredients.

When purchasing in bulk for your store, ensure your supplier provides products with clear labeling of all ingredients.

This helps customers know what’s inside, especially if they've allergies.

Lastly, considering the importance of wellness, how do you think the fragrance industry will evolve and how can you stay ahead in your retail and wholesale business?

Future of Fragrances: Wellness Support

Did you know that fragrances are now linked to feeling good?

In 2022, during an international scent event (IFRA UK), experts discussed how our noses recognize smells — looking at it from both science and the perfumer’s perspective.

The big reveal? Fragrances can actually lift our spirits and even help us relax.

Even studies show that 77% of consumers tend to seek emotional benefits from their fragrances.

So, by stocking your shelves with perfumes that have neuroscience-backed ingredients you could set up your business for success not just in the present but also in the future.