Although small, the beauty market in the Philippines should be getting more attention from industry players, according to analysts. Beauty and personal care sales grew by 6.1% in 2012, following a growth of 4.3% in 2011, when the market reached $2.8 billion.

The sector is buoyed by healthy economic growth and the region was ranked one of the most robust Southeast Asian economies last year by market research firm Kantar Worldpanel. The economy has been boosted by increasing consumption and money coming into the country from overseas Filipino workers—around 11% of the 92 million-strong population work outside the country. Kantar Worldpanel adds that the country is not far from becoming the next “tiger economy of Asia.” Mintel director of insight beauty and personal care, Vivienne Rudd, agreed: “With a [large population] and a relatively stable economy and political situation, it’s surprising that the Philippines cosmetics industry doesn’t get more publicity. The country has a vibrant, well-organized cosmetics market that benefits from the increasingly wealthy urban middle class and a relatively young population.”

She added that the local beauty market will benefit if the region establishes a single ASEAN market. “This will encourage intra-ASEAN trade and will prompt multinationals to expand their production in the country. Add to that the country’s historic ties with the U.S. and its internationally traveling workforce, and you have a consumer pool familiar with multinational brands and increasingly able to afford them.”

To read BW Confidential’s full report on the Philippines market go to: