In essence: Growing demand in established and new markets will sustain industry demand

Favorable shifts in consumer demand and market expansion have helped the Essential Oil Manufacturing industry grow in the five years to 2017. Disposable income has rebounded, which has contributed to growing demand from several key industries including soap manufacturers, cosmetic and beauty product manufacturers and cleaning product manufacturers. Furthermore, a growing consumer shift to natural, eco-friendly products has contributed to revenue growth. Soap and cleaning product manufacturers have struggled in recent years, but the inclusion of essential oils into many of their products is expected to benefit industry manufacturers...read more.

Industry Statistics & Market Size
Revenue
$1bn
Annual Growth 12-17
2.3%
Forecast Growth 17-22
Profit
Employment
1,303
Businesses
45
Market Share of Companies
There are no companies with a dominant market share in this industry
What Our Customers Say

Industry Threats & Opportunities

  • A growing consumer shift to natural, ecofriendly products has contributed to revenue growth
  • Imports have grown strongly as consumers search for exotic essential oils
  • Industry operators are expected to continue expanding into new markets
  • Industry Report - Industry SWOT Analysis Chapter

    The Essential Oil Manufacturing industry is growing slightly slower than the US economy. Industry value added, which measures the industry’s contribution to the economy, is expected to grow at an annualized rate of 1.8% over the 10 years to 2022. Comparatively, US GDP is projected to grow an annualized 2.0% during the same period. The industry therefore represents a relatively stable share of the national economy, a characteristic of a mature industry.Industry operators have worked to develop new oils and explore both homeopathic and medical markets. While regulation from the Food and Drug Administration is expected to somewhat curtail growth in these markets, an increasing number of industry products provide the industry with a diverse and sustainable revenue stream. Add...purchase to read more.

    Additional Insights for the Essential Oil Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Essential Oil Manufacturing Industry are

  • Degree of globalization in the firm
  • Ability to accommodate environmental requirements
  • Must comply with government regulations
  • IBISWorld analysts also discuss how external factors such as Import penetration into the manufacturing sector and Demand from soap and cleaning compound manufacturing in the Essential Oil Manufacturing industry impact industry performance..

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    What is the Essential Oil Manufacturing Industry?

    The Essential Oil Manufacturing industry develops and produces concentrated hydrophobic liquids that contain aroma compounds from plants. An oil is essential in the sense that it carries a distinctive scent or essence of a particular plant. This industry does not include products manufactured for medical, pharmacological or culinary purposes.

    Industry Products
  • Natural oils
  • Synthetic oils
  • Industry Activities
  • Manufacturing grapefruit oil
  • Manufacturing lemon oil
  • Manufacturing orange oil
  • Manufacturing citronella oil
  • Manufacturing peppermint oil
  • Manufacturing eucalyptus oil
  • Manufacturing spearmint oil
  • Manufacturing other essential oils
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Import penetration into the manufacturing sector
  • Demand from soap and cleaning compound manufacturing
  • Demand from cosmetic and beauty products manufacturing
  • Per capita disposable income

  • Current Performance
  • Shifts in consumer demand
  • New markets
  • Import penetration
  • Profit stability
  • Chart: Revenue Growth

  • Industry Outlook
  • Growing markets
  • Looming threats
  • A bright future
  • Table: Essential Oil Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Essential Oil Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Cosmetic & Beauty Products Manufacturing
  • Beauty, Cosmetics & Fragrance Stores
  • Health Stores
  • Department Stores
  • Consumers

  • Key Selling Industries
  • Organic Chemical Manufacturing
  • Oxygen & Hydrogen Gas Manufacturing
  • Petrochemical Manufacturing
  • Plant & Flower Growing

  • Products & Services
  • Synthetic oils
  • Natural oils
  • Chart: Essential Oil Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports
  • Business end users
  • Resellers
  • Other
  • Chart: Major Market Segmentation for the Essential Oil Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Essential Oil Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Essential Oil Manufacturing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Essential Oil Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Essential Oil Manufacturing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • Per capita disposable income (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Botany
  • A branch of biology that focuses on the scientific study of plants.
  • Camphoraceous
  • A category of white or colorless ketones obtained from wood or synthesized from pinene.
  • Distill
  • The process by which the aromatic essence of a particular plant is extracted.
  • Therapeutic Grade Essential Oil
  • An unregulated term that applies to essential oils used in medical aromatherapy.
  • Why buy this report?

    The Essential Oil Manufacturing industry market report contains strategic analysis of the key drivers influencing the industry. Save hours of time on research and prospecting using IBISWorld’s standardized, up-to-date reports on thousands of industries. Our industry research provides growth and profit forecasts for a five-year outlook period, presented in a clear and user-friendly format.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Essential Oil Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Essential Oil Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Essential Oil Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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