ECOM 101 Saudi Electronic University Project Faces Research Paper and Presentation

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Saudi Electronic University College of Administrative and Financial Sciences E-commerce Department Student Name: Student ID: Course Title: E-commerce Course Code: ECOM101 Academic Year/ Semester: 2021/2022 _First semester 1443_First Semester Instructor Name: CRN: Student Grade: out of 15 Grade Level: High/ Middle / Low
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Project Faces







Project Faces

Cosmetics are substances used to improve or change skin looks or smells. Numerous
cosmetics are made to be applied to the hair and face. They are typically combinations
of chemical substances, some of which are synthetic and others of which are sourced
from natural sources (like coconut oil). Lipstick, mascara, eye shadow, foundation,
rouge, skin cleansers and lotions, shampoo, styling aids (such as gel and hair spray),
perfume, and cologne are everyday cosmetics.

Pic 1. make up product

Makeup or personal care products are standard terms for cosmetics that are applied to the
face to improve its appearance. People of all ages frequently use specialty care items (PCPs).
Daily usage of these products is possible as creams, deodorants, or facial moisturizers. PCPs
are made using a variety of substances for a variety of reasons. For instance, phthalates are
utilized as solvents and fixatives in scents, and parabens are used as preservatives due to
their antibacterial properties (Saudi Arabia E-Commerce Cosmetics and Fragrances Market |
- 27 | Industry Share, Size, Growth - Mordor Intelligence, n.d.). In various in vitro screening


procedures, such as the ligand binding to the estrogen receptors and the proliferation of MCF7 cells, parabens are endocrine disruptors with mild estrogenic activity.

The following are a few factors that have helped cosmetics and beauty products become

prevalent in Saudi Arabia. Lower prices and more accessible access make a more significant
demand for mass-produced goods. Based on type, the mass products category had the largest
market share in Saudi Arabia in 2020 for color cosmetics. Primarily because these products
are produced in large quantities all at once to provide consumers more access, they can
therefore be purchased for a reasonable price.

More people are using social media regularly. The high internet penetration in Saudi Arabia
has dramatically increased consumer knowledge of cosmetics and beauty products. The
nation boasts the most active social media users across all major networks, including Twitter,
Facebook, Instagram, and Snapchat. The government also has the most YouTube watch time
per person globally. According to a KSA beauty market White paper, the platform's content
with a focus on beauty has received more than 1.9 billion views, and this number has been
growing at a rate of about 187 percent annually. Arabian beauty influencers, who became
well-known through social media, are gradually evolving into the most cutting-edge
businesspeople of the present. The demand for beauty products in the nation is being driven
by these influencers, who are changing the sector. The fragrance segment dominates the
market share.

Both men and women use perfumes, which reflect the individual's personality, taste, and
style. Saudi Arabia has historically preferred exotic ouds and high-end scents, which has
drawn various foreign perfume producers to the country. Because of this, Saudi Arabia has


become a prominent center for the production of cutting-edge perfumes. The development of
oud-based fragrances by various western businesses was prompted by a shift in consumers'
preferences toward natural smells over synthetic perfumes. The manufacturers' expanding
promotional programs further support this. The Middle Eastern luxury distribution company
Chalhoub launched its oriental fragrances named Ghawali in 2016 due to the lucrative

fragrance market niche. The goal of the new brand is to present a traditional product in a
modern way. Similar to most other brands of oriental scent, the product was sold through the
company's network of independent stores. After finding success with the offline medium, the
organization intends to offer its development on the web platform to increase its consumer
base and geographic reach.

Pic 2 .perfumes and body lotions

Rising self-esteem causes facial makeup sales to expand at the quickest rate. Regarding the
product, the Saudi Arabian color cosmetics industry is anticipated to experience the fastest
growth in the facial makeup category(Saudi Arabia E-Commerce Cosmetics and Fragrances

Market | 2022 - 27 | Industry Share, Size, Growth - Mordor Intelligence, n.d.). Primarily due
to the growing demand for foundation, blush, and bronzer hues with light-capturing


Additionally, as more women enter the workforce, the need for facial cosmetic products to
achieve a flawless appearance is growing.

Due to its increased utilization, the one-time bundle accounted for a larger income share. In
the Saudi Arabian market for color cosmetics, former packaging has taken over as the
category that generates the highest revenue levels (Saudi Arabia E-Commerce Cosmetics and
Fragrances Market | 2022 - 27 | Industry Share, Size, Growth - Mordor Intelligence, n.d.). It
is significant because single-use plastics—often referred to as one-time packaging—are the
most widely utilized packaging.

As more women enter the workforce, women are predicted to have the fastest growth. The
Saudi Arabian color cosmetics market is anticipated to develop quickly during the projection
period. The growing number of employed women and their changing lifestyles will be the
leading causes of this.

Due to their extensive product selection, supermarkets and hypermarkets dominate the
market. According to the distribution channel, the supermarket/hypermarket category
accounted for the most significant share of the Saudi Arabian color cosmetics market in 2020.
Majorly due to a wide selection of color cosmetics under one roof, sufficient parking, and
practical operating hours. The popularity of malls is also boosted by the growing working
population, urbanization, and competitive product pricing.

Due to increased disposable income, the Western Region is anticipated to experience the
fastest growth. The color cosmetics market is expected to grow fastest throughout the
forecast period in Saudi Arabia's western region (Saudi Arabia E-Commerce Cosmetics and


Fragrances Market | 2022 - 27 | Industry Share, Size, Growth - Mordor Intelligence, n.d.) . It
can be ascribed to the country's western residents' higher disposable income and rising
urbanization rate.

Innovative product development is a key market trend that industry companies use in their
color cosmetics due to customers' growing knowledge of the need to look better.
Additionally, the number of working women has increased during the past ten years, and this
group places a great value on looks. According to Our World in Data, the ratio of female to
male labor force participation was 27.99 percent in 2017 and will rise to 28.29 percent in
2020. The country's improving lifestyle and the expanding number of working women are
driving up demand for better color cosmetics.

The growth is being driven by rising disposable income. The Census and Economic
Information Center (CEIC) reports that Saudi Arabia's gross national disposable income
increased from $617,848.7 in 2016 to $658,493.5 in 2017. Additionally, according to
information from the Saudi Arabian Monetary Agency, consumer spending climbed from
$80,067.9 million in the 4th quarter of 2020 to $83,916.1 million in the first quarter of
2021. (Saudi Arabia E-Commerce Cosmetics and Fragrances Market | 2022 - 27 | Industry
Share, Size, Growth - Mordor Intelligence, n.d.) .The global market is being driven by
customers' increased willingness to spend on high-end color cosmetics, which has grown
with the per capita income.

Growing numbers of working women contribute to market advancement. In Saudi Arabia,
women are increasingly entering the workforce. Women's employment rates climbed by more
than 20% for those aged 40-54 from 2018-2020 and at least 10% for those aged 18-39. In


contrast to other economic sectors, Saudi women's employment in the private sector
increased between 2018 and 2020, with the bulk of increases exceeding 10%. Furthermore, a
press release in CNBC dated April 2021 claims that Saudi Arabia's women's workforce
participation rate rose from 20% in 2018 to 33% in 2020.

Coverage of the Saudi Arabian Color Cosmetics Market


Feature of the

Historical Periods


Forecast Years


Base Year (2020)

$603.6 Million

Market Size

$1,197.2 Million

Forecast for Market
Size in 2030

CAGR for the




Article report

Impact of COVID-19; Revenue Estimation and Forecast;
Segmentation Analysis; Regional Breakdown; Market Trends,
Drivers, and Restraints; strategic developments of companies;
Business composition.

Market Dimensions

Type, Product, Packaging, Consumer Group, Distribution Channel,

by Sectors

and Region.

Market Size of regions

Western, Central, Eastern, and Southern.

References and

World Bank, World Health Organization, National Health Service,


United Nations Department of Economic and Social Affairs, Census

Resources (Partial

and Economic Information Center (CEIC), General Authority for


Statistics (GAS), Saudi Arabian Monetary Agency (SAMA), National
Health Service (NHS), Ministry of Communications and Information
Technology (MCIT), National Bureau of Statistics (NBS).


These dangerous PCPs and cosmetics ingredients can hurt humans, animals, and the
environment. They contain other compounds such as triclosan, heavy metals, hydroquinone,
and nitrosamines. These substances result in health issues such as allergies, endocrine
disruption, congenital impairments, neurotoxicity, or malignancies, which may harm health.
The development of the beauty business and the rise of several produced goods over the past

century have boosted PCP consumption and exposed the general public to excessive
chemicals that may have adverse health effects. The most dangerous compounds discovered
in PCPs are parabens and phthalates. Hence many analytical techniques have been
developed to determine the concentration of these substances in unrelated samples .

Essential predictors, including use prevalence, use frequency, and co-use pattern of these
items, should be known to assess consumers' health hazards and determine the exposure risk
of endocrine-disrupting substances from PCPs. Research has been conducted in various
nations to evaluate PCP use patterns in multiple groups. For instance, Biesterbos et al. studied
the usage patterns of 32 cosmetics in Saudi Arabia, including general hygiene, skincare, hair
care, and makeup products. This survey revealed that most participants (>50%) admitted to
using two or more goods at once, with nail polish being the most commonly seen co-use of
the products, along with nail polish remover. Eight leave-on care products were evaluated by
Manova et al. for their frequency of usage by Swiss populati...

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