Luxury Candle Market Key Players and Forecast by 2028

The luxury candle market was valued at US$ 370.95 million in 2021 and is projected to reach US$ 525.28 million by 2028; it is expected to grow at a CAGR of 5.1% from 2021 to 2028.

The global luxury candle market growth is being driven by the rising adoption of aromatherapy, increasing preference for home decor, and growing number of high net worth individuals (HNWIs). The attractive packaging and novel fragrance being incorporated in luxury candles pave the way for profitable growth opportunities for the active vendors in the market.

In 2020, North America held the largest share of the global luxury candle market, and Asia Pacific is estimated to register the fastest CAGR over the forecast period. The rising inclination of people in countries such as China, India, and Japan toward self-care and self-love is driving the demand for luxury candles. Moreover, the increasing influence of social media and celebrities on people's lifestyles is one of the significant factors driving the growth of the luxury candles market in Asia Pacific. People in the region readily follow social media trends and influencers and celebrities. Manufacturers of luxury candles collaborate with celebrities and social media influencers and are also launch paid promotion campaigns to boost the sales of their products. Moreover, rising per capita income and growing expenditure on home decor and home renovation activities across Asia Pacific are expected to propel the growth of the luxury candles market over the forecast period.

Luxury Candle Market: Strategic Insights

Impact of COVID-19 Pandemic on Luxury Candle Market

The COVID-19 pandemic has negatively impacted many industries, including the consumer goods industry. The supply chains were disrupted severely due to nationwide lockdown and border restrictions, which affected the production and distribution of various products. The majority of the people were confined to their homes due to the COVID-19-induced lockdowns, owing to which there was a hike in the sale of home fragrance products, including luxury candles. Consumers began focusing their time on self-care routines to minimize stress, anxiety, and discomfort. All these factors opened positive growth opportunities for the luxury candle market. Industries are recovering from their losses and manufacturers are now permitted to operate with full capacity. Thus, luxury candle manufacturers are able to overcome the demand and supply gap due to the revival of their operations. Additionally, the luxury candle market is expected to witness significant growth in the coming years due to the cross-border movement of people and the growth of the tourism industry.

Market Insights

Rising Home Decor Industry 

The home furnishing and home decor sector has seen significant expansion in recent years, owing to an increase in people's interest in making their living spaces more pleasant and homely. Moreover, people spent more time inside their houses due to the outbreak of COVID-19 and stay-at-home mandates. As a result, many people began to redecorate and modify their homes. This resulted in increased sales of home decor items such as curtains, pillows, lamps, vases, and candles. Consumers are looking for new ways to brighten up their living spaces; therefore, sales of home decor items are projected to increase significantly in the coming years. Candles are an important element of celebrations, festivities, and home decor. They enhance the ambiance and add a finishing touch to the overall decoration. Moreover, candles suit any home decor theme, which make them versatile home decor products. Thus, the rapidly expanding home decor industry is significantly boosting the growth of the luxury candle market.

Type Insights

Based on type, the luxury candle market is bifurcated into scented and regular. The scented segment accounted for a larger market share in 2020 is expected to register a higher CAGR during the forecast period. Scented candles come in a range of fragrances, including fruity, herbal, earthy, airy, woodsy, masculine, feminine, and floral. They are widely being used in home decor by therapists across massage centers and spas to create a calming and soothing effect. Due to these factors, the demand for scented candles is projected to proliferate in the coming years.

Distribution Channel Insights

Based on distribution channel, the luxury candle market is segmented into supermarkets and hypermarkets, specialty stores, online retail, and others. The supermarkets and hypermarkets segment accounted for the largest market share in 2020, and the online retail segment is expected to register the highest CAGR during the forecast period. Supermarkets and hypermarkets are large retail stores that offer a wide range are considered effective distribution channels for luxury candles. In comparison to other distribution channels, supermarkets and hypermarkets provide a variety of items from different brands at one convenient location and at reasonable costs. Many leading manufacturers of luxury candles target selling their products through prominent supermarkets and hypermarket chains such as Walmart, Lidl, and Kroger as there is high customer traffic. Such stores have a separate section of beauty and wellness products where customers can easily find the specific product. This factor is also driving the popularity of supermarkets and hypermarkets for purchasing luxury candles.

A few players operating in the luxury candle market include The Estée Lauder Companies Inc.; Diptyque; SISLEY; HERMES; Creed Boutique, LLC; Acqua di Parma S.r.l.; Newell Brands; Parfums de Marly; Louis Vuitton; and Maison Francis Kurkdjian. These players majorly focus on product innovation and research and development. They incorporate premium and unique fragrances in the product to acquire large consumer groups across the globe. Such strategies are projected to open lucrative growth opportunities for the luxury candle market in the coming years.

The regional trends and factors influencing the Luxury Candle Market throughout the forecast period have been thoroughly explained by the analysts at The Insight Partners. This section also discusses Luxury Candle Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.

Luxury Candle Market Report Scope

Luxury Candle Market Players Density: Understanding Its Impact on Business Dynamics

The Luxury Candle Market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.

Report Spotlights

• Progressive industry trends in the luxury candle market to help players develop effective long-term strategies
• Business growth strategies adopted by developed and developing markets
• Quantitative analysis of the luxury candle market from 2019 to 2028
• Estimation of global demand for luxury candle
• PEST analysis to illustrate the efficacy of buyers and suppliers operating in the industry
• Recent developments to understand the competitive market scenario
• Market trends and outlook as well as factors driving and restraining the growth of the luxury candle market
• Assistance in the decision-making process by highlighting market strategies that underpin commercial interest, leading to the market growth
• The size of the luxury candle market at various nodes
• Detailed overview and segmentation of the market, as well as the luxury candle industry dynamics
• Size of the luxury candle market in various regions with promising growth opportunities

Based on type, the luxury candle market is bifurcated into scented and regular. Based on distribution channel, the global luxury candle market is segmented into supermarkets and hypermarkets, specialty stores, online retail, and others. Geographically, the luxury candle market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East and Africa (MEA), and South and Central America (SAM).

The key players operating in the global luxury candle market include The Estée Lauder Companies Inc.; Diptyque; SISLEY; HERMES; Creed Boutique, LLC; Acqua di Parma S.r.l.; Newell Brands; Parfums de Marly; Louis Vuitton; and Maison Francis Kurkdjian.