Organic Soaps Market to Reach USD 1183.2 Million by 2033

Tajammul Pangarkar
Tajammul Pangarkar

Updated · Dec 17, 2024

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Introduction

The Global Organic Soaps Market is projected to reach approximately USD 1,183.2 Million by 2033, up from USD 595.88 Million in 2023, reflecting a compound annual growth rate (CAGR) of 7.1% during the forecast period from 2024 to 2033.

Organic soap is a natural cleansing product made from organic and plant-based ingredients without the use of synthetic chemicals, artificial fragrances, or harsh preservatives. These soaps are often formulated with organic oils, herbs, essential oils, and natural colorants, ensuring that they are environmentally friendly and gentle on the skin. Organic soaps are widely preferred for their biodegradable nature and skin-nourishing benefits, aligning with growing consumer interest in sustainable and chemical-free personal care products.

Organic Soaps Market Size

The organic soaps market comprises the production, distribution, and sales of organic and natural soaps across the globe. This market caters to consumers seeking eco-friendly and non-toxic alternatives to conventional soaps. Driven by increasing health consciousness and environmental awareness, the market includes various types such as bar soaps, liquid soaps, and specialty products like handmade or artisanal soaps. Organic soaps are distributed through diverse channels, including supermarkets, specialty stores, online platforms, and direct-to-consumer sales.

The growth of the organic soaps market is driven by several key factors. First, a rising preference for clean-label and chemical-free products among consumers is pushing demand for natural alternatives. Second, increasing awareness of skin-related allergies and sensitivities caused by synthetic soaps has accelerated the shift towards organic solutions. Third, regulatory support for natural and organic product certifications has encouraged manufacturers to innovate and expand their product offerings. Additionally, sustainability trends, coupled with growing consumer inclination toward eco-conscious purchases, are creating significant momentum for this market.

Demand for organic soaps is steadily rising across regions, primarily due to increased consumer awareness regarding health, hygiene, and environmental sustainability. Urbanization and higher disposable incomes in developing economies have further supported this demand. Moreover, the global push toward sustainable personal care products has amplified the appeal of organic soaps among environmentally-conscious consumers. The increasing availability of these products in both offline and online retail channels is also contributing to market growth, as it improves accessibility and convenience for end-users.

The organic soaps market presents multiple opportunities for growth and innovation. Companies can capitalize on expanding their product portfolios to include unique formulations, such as those featuring organic essential oils, therapeutic ingredients, or local botanicals. Increasing investments in eco-friendly packaging and sustainable production processes can further enhance brand value and attract environmentally-conscious consumers.

Key Takeaways

  • The global organic soaps market is projected to reach USD 1,183.20 million by 2033, up from USD 595.88 million in 2023. The market is expected to grow at a CAGR of 7.10% during the forecast period (2024–2033).
  • Bar soap holds the largest market share at 45.1% in the organic soaps market.
  • Products labeled as 70% organic account for 47.1% of the total market share.
  • Hygiene and healthcare applications lead the market, contributing 67.3% of the total share.
  • The household use segment dominates, with 57.4% of the market share.
  • Supermarkets and hypermarkets are the leading distribution channels, capturing 51.3% of the market share.
  • North America holds a significant share of the market at 34.1%, making it a dominant region in the global organic soaps market.

Organic Soaps Statistics

  • Over 70% of global consumers prefer personal care products with natural or organic ingredients.
  • More than 65% are willing to pay a premium for items labeled “organic” or “eco-friendly.”
  • 73% of Indian consumers favor sustainable brands, even at higher prices.
  • Organic soap production uses 60% less chemical processing than traditional methods.
  • Carbon-neutral production is a 2024 priority for 40% of organic soap manufacturers.
  • Water conservation efforts in production have reduced usage by up to 50%.
  • Increased water consumption during soap use raises wastewater by 15–18%, reducing water quality.
  • 55% of organic soap brands now use recyclable or biodegradable packaging.
  • 82% of consumers believe organic soaps are healthier for the skin than conventional options.
  • Sodium salt derived from vegetable palm oil forms 90% of soap noodles.
  • The remaining 10% consists of water, starch, organic sugar, titanium dioxide, and macadamia oil.
  • Each person is advised to wash hands 5 times daily for 20–30 seconds each time.
  • About 118 million Americans use at least one type of moisturizing bar soap annually.
  • 60% of women shower 3–5 times weekly, while 54% of men shower daily.
  • 13% of men report showering more than seven times per week.
  • 89% say the ideal man has short hair, while 84% prefer women who shave their legs.
  • The global handmade soap segment is valued at $150 million.
  • 66% of Americans regularly buy liquid soap; 64% purchase bar soap.
  • 6% of bar soaps currently highlight exfoliating benefits.

Emerging Trends

  • Rising Consumer Preference for Natural Ingredients: Consumers are increasingly opting for products with natural and organic ingredients due to growing awareness about the harmful effects of synthetic chemicals in conventional soaps. A shift toward eco-friendly and skin-safe alternatives has driven demand for organic soaps made with plant-based oils, herbs, and essential oils. In fact, 55% of global consumers are willing to pay more for sustainable and natural products.
  • Growth of Vegan and Cruelty-Free Products: The demand for vegan and cruelty-free soaps is on the rise as ethical consumption becomes a priority for modern consumers. Organic soap brands are focusing on formulations free from animal-derived ingredients and promoting cruelty-free testing practices, appealing to the 79 million people worldwide who identify as vegan.
  • Innovative Packaging Solutions: Sustainable and plastic-free packaging is emerging as a major trend. Organic soap brands are investing in biodegradable, recyclable, or reusable packaging to reduce their environmental impact. Approximately 60% of consumers favor eco-conscious packaging when purchasing bath and body care products.
  • Growing Popularity of Customized and Specialty Soaps: There is a growing market for personalized organic soaps catering to specific skin concerns, such as sensitive skin, acne, or dryness. Brands are innovating with unique ingredients like activated charcoal, turmeric, goat milk, and essential oils to meet diverse skincare needs. The premium segment for artisanal organic soaps has seen steady growth, especially in North America and Europe.
  • E-Commerce as a Key Growth Driver: The rising popularity of online shopping has boosted the accessibility of organic soaps globally. Digital platforms allow brands to reach a wider audience, while consumers benefit from the convenience of home delivery. Online sales of personal care products are projected to grow by over 15% annually, and organic soaps are a significant contributor to this trend.

Top Use Cases

  • Sensitive and Allergy-Prone Skin Care: Organic soaps are particularly suitable for individuals with sensitive skin and allergies. With no artificial fragrances, parabens, or sulfates, they minimize irritation and promote healthier skin. Organic oatmeal-based soaps, for instance, are effective for eczema management and are widely used among individuals with skin sensitivities.
  • Eco-Friendly and Sustainable Living: Consumers focused on sustainable living use organic soaps to minimize environmental impact. Organic soaps are biodegradable and often come in eco-friendly packaging, reducing pollution. For instance, around 8 million metric tons of plastic waste enter oceans annually, and eco-conscious products like organic soaps help combat this issue.
  • Therapeutic and Aromatherapy Applications: Organic soaps with essential oils, such as lavender, eucalyptus, and peppermint, are widely used for aromatherapy benefits. These soaps not only cleanse but also provide stress relief, improve sleep, and uplift mood, catering to the growing wellness market.
  • Baby and Child-Friendly Cleansing Solutions: Parents increasingly prefer organic soaps for infants and children, as they are free from harsh chemicals and artificial additives. Organic soaps with ingredients like chamomile and coconut oil provide gentle cleansing and prevent skin dryness, addressing the demand for natural baby care products.
  • Premium Gifting and Artisanal Products: Organic, handmade soaps with premium ingredients are often purchased as gifts. Beautifully crafted organic soaps have seen demand in specialty retail stores, boutiques, and holiday gift markets, where consumers seek unique, high-quality gifting options.

Major Challenges

  • High Production Costs: Organic soaps are generally more expensive to produce due to the use of high-quality natural ingredients and eco-friendly packaging. Organic oils, such as olive or coconut oil, can cost 30–50% more than synthetic alternatives, limiting their affordability for price-sensitive consumers.
  • Limited Shelf Life: Due to the absence of synthetic preservatives, organic soaps have a shorter shelf life compared to conventional soaps. This can result in product spoilage if not sold or used within a certain timeframe, creating challenges for inventory management, especially for small-scale producers.
  • Market Competition with Synthetic Soaps: The organic soap market faces stiff competition from conventional soap brands, which dominate the market due to lower prices and widespread availability. Synthetic soaps often cost 40–60% less, making it difficult for organic brands to capture a larger share in cost-driven markets.
  • Lack of Standardized Regulations: The organic soap industry lacks clear and standardized certification processes globally, leading to misleading claims by some manufacturers. This hampers consumer trust, as products labeled “natural” or “organic” may not always meet stringent criteria.
  • Low Consumer Awareness in Developing Markets: In many developing regions, awareness about the benefits of organic soaps remains limited. Cost constraints and a lack of exposure to eco-friendly alternatives hinder market penetration, with consumers often prioritizing affordability over sustainability.

Top Opportunities

  • Expansion into Emerging Markets: Emerging economies in Asia-Pacific, Latin America, and Africa present significant opportunities for growth due to rising disposable incomes and increasing awareness of organic products. By 2030, middle-class consumers in Asia are expected to account for over 65% of global middle-class spending, driving demand for sustainable personal care products.
  • Focus on Zero-Waste and Sustainable Practices: Consumers are increasingly seeking zero-waste products that minimize environmental impact. Organic soap manufacturers can capitalize on this trend by adopting sustainable practices, such as refillable solutions, compostable packaging, and waterless formulations.
  • Development of Premium and Luxury Segments: The rising demand for luxury bath products presents an opportunity for organic soap brands to target affluent consumers. Products featuring unique, high-value ingredients like saffron, shea butter, or exotic essential oils can appeal to this growing segment. Luxury personal care products are expected to account for a larger portion of overall spending in the coming years.
  • Growth of Direct-to-Consumer (DTC) Channels: The direct-to-consumer model, particularly through e-commerce platforms, offers organic soap brands a chance to reduce costs and build stronger relationships with customers. The global e-commerce market is expected to exceed $6 trillion in annual sales soon, creating ample opportunities for online-focused organic soap brands.
  • Innovation in Product Variants: There is growing potential to innovate with multifunctional organic soaps that offer benefits such as exfoliation, skin brightening, or anti-aging. Ingredients like activated charcoal, turmeric, and aloe vera are increasingly in demand, and brands can differentiate by creating unique formulations tailored to consumer needs.

Key Player Analysis

  • Unilever: Unilever, a global consumer goods leader, holds a significant share in the organic soaps market through its eco-friendly product portfolio and robust distribution network. Unilever’s brands, such as Love Beauty and Planet, offer natural soaps made with plant-based ingredients, contributing to sustainability goals. Unilever reported global sales of €60.1 billion in 2023, with substantial growth in its natural personal care segment.
  • Procter & Gamble (P&G): Procter & Gamble, a powerhouse in the consumer goods industry, has strategically expanded into the organic soap market. Brands like Native feature clean, sulfate-free, and cruelty-free soap products. P&G’s focus on innovation and sustainability has helped grow its natural care segment. In 2023, P&G generated net sales of $82 billion, showcasing its strong market presence globally.
  • Forest Essentials: Forest Essentials is a premium Indian brand specializing in Ayurvedic and organic skincare, including handcrafted soaps made with natural ingredients. Known for high-quality formulations and luxury positioning, the company has expanded internationally. Its emphasis on traditional ingredients, such as cold-pressed oils and essential herbs, has driven significant demand. Forest Essentials recorded 2023 revenues of approximately $100 million.
  • Neal’s Yard Remedies: Neal’s Yard Remedies, a UK-based organic beauty brand, has a strong foothold in the organic soap market. It focuses on certified organic, sustainable products made with ethically sourced ingredients. Neal’s Yard Remedies is also a pioneer in using eco-friendly packaging. The company’s sales exceeded £80 million in 2023, reflecting growing consumer preference for ethical and organic products.
  • ERBAVIVA: ERBAVIVA is a US-based brand specializing in organic skincare and personal care products, including USDA-certified organic soaps. Known for its use of botanicals and essential oils, ERBAVIVA caters to health-conscious consumers seeking safe, toxin-free products. The company has gained a loyal customer base, with revenue growth of over 15% year-on-year.

North America Organic Soaps Market

North America Leads the Organic Soaps Market with Largest Market Share of 34.1%

North America dominates the global organic soaps market, holding a 34.1% market share in 2023. The region’s market was valued at approximately USD 203.19 million, driven by increasing consumer preference for natural, chemical-free personal care products and a growing focus on sustainable and eco-friendly solutions.

The demand is further propelled by a well-established organic personal care industry, higher disposable incomes, and rising awareness regarding the adverse effects of synthetic ingredients. In addition, regulatory support promoting clean-label products in the U.S. and Canada strengthens market growth.

The United States, being a key contributor, accounts for a significant share of North America’s organic soap market due to its large consumer base and the presence of prominent industry players. The increasing adoption of premium organic skincare products and innovative marketing strategies have further fueled demand. With strong retail and e-commerce penetration, North America continues to lead the global organic soaps market in terms of value and consumer adoption.

Organic Soaps Market Region

Recent Developments

  • In 2024, Jabones Beltrán, a family-owned business from Castellón, Spain, continues its legacy of crafting traditional, natural soaps. Established in 1922, the company has specialized in producing solid and soft handcrafted soaps. Today, Jabones Beltrán offers cosmetic soaps under the Essabó brand, certified ecological laundry soaps under Biobel, and plant-based ecological soaps for agriculture under Castalia.
  • In 2023, Dr. Squatch introduced the Mega Bricc, a soap nearly three times larger than its standard size. The Fresh Falls Mega Bricc provides a refreshing cleanse using Alaskan Glacier Mineral Clay and features invigorating notes of water, birch, and pine.
  • In 2023, Symrise invested in Ignite Venture Studio’s Series A funding round. The U.S.-based company focuses on innovative start-ups in beauty, health, and wellness. Through this partnership, Symrise aims to expand its market expertise and develop personalized fragrance and cosmetic solutions that align with evolving consumer demands.
  • In 2023, Walmart launched a clean beauty shop featuring over 900 products, with nearly 80% priced below $10. The retailer announced plans to expand this affordable clean beauty offering in the coming years.

Conclusion

The organic soaps market is poised for sustained growth as consumer preferences continue to shift toward natural, chemical-free, and eco-friendly personal care solutions. Increasing awareness about the harmful effects of synthetic chemicals, coupled with a growing emphasis on sustainability, is driving demand for organic alternatives. Factors such as rising disposable incomes, urbanization, and the expansion of e-commerce platforms are improving accessibility and fueling market penetration globally.

Opportunities for innovation remain abundant, particularly in the development of unique formulations, eco-conscious packaging, and premium product offerings tailored to diverse consumer needs. While challenges like high production costs and limited shelf life persist, the market’s upward trajectory is supported by the strong momentum of clean-label trends, ethical consumerism, and the global push for environmentally responsible living. As brands continue to innovate and align with evolving consumer expectations, the organic soaps market is well-positioned for further expansion in the coming years.

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Tajammul Pangarkar

Tajammul Pangarkar

Tajammul Pangarkar is a tech blogger that frequently contributes to numerous industry-specific magazines and forums. Tajammul longstanding experience in the fields of mobile technology and industry research is often reflected in his insightful body of work. His interest lies in understanding tech trends, dissecting mobile applications, and in raising a general awareness of technical know-how. When he’s not ruminating about various happenings in the tech world, he can be usually found indulging in his next favorite interest - table tennis.

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