Despite economic challenges, the Thai cosmetics market is expected to expand by 6-7% this year, while Thai beauty company Srichand United Dispensary Co Ltd aims to grow by more than 30% in 2025.
Rawit Hanutsaha, chief executive of Srichand, said that while customer spending power may be faltering, consumers are increasingly prioritising their wellness and view cosmetic products as essential.
"The Thai cosmetics market is still advancing, with more individuals considering health and wellness as their priority, which includes cosmetic products. People are using more cosmetics, which have become an essential item for many Thais," he said.
Mr Rawit said more inbound tourists are buying Thai cosmetics to take home, which is expected to further stimulate industry growth with the anticipated increase in tourism numbers.
He said there is also a shift among Thai consumers moving away from international cosmetics brands and favouring local offerings, as some view these products as having localised features.
In 2024 Srichand's sales totalled 1.67 billion baht, while this year the company set a target of 2.2-2.3 billion baht, representing a 30% year-on-year increase and exceeding the overall market growth.
This expected growth stems from a thriving domestic market, an influx of tourists, and a resilient export sector, said Mr Rawit.
To capitalise on this momentum, Srichand is also ramping up the frequency of new product launches from the current one every three weeks.
Sales from exports and tourism account for 10% of Srichand's total sales, with the primary export markets being Taiwan, the Philippines, Laos, Japan and Malaysia.
While there are positive growth expectations for both domestic and export markets, their contribution to total sales is projected to remain unchanged this year.
To bolster Thai cosmetic brands on the international stage, Mr Rawit emphasised the importance of collaboration across the industry.
Partnerships with other sectors, such as entertainment, could enhance product visibility through TV series and music, and promote them to international customers.
Mr Rawit said he appreciates the government's current support for businesses in this sector, especially initiatives that facilitate networking and participation in international trade fairs.
However, he wants to see sustained engagement in these activities, more events, and stronger collaboration in the industry.
"The government should play the role of a facilitator, helping to unify the industry and support our growth in the global market," he said.