Home Fragrance Market - By Product Type (Scented Candles, Sprays, Scented Wax Tablets, Essence Oil, Incense Sticks, Others), By Category (Mass, Premium), By Distribution Channel (Online {E-commerce Sites, Company Websites}, Offline {Specialty Stores, Mega Retail Stores, Others}) Forecast 2024 – 2032

Home Fragrance Market Size

Home Fragrance Market size was valued at USD 10 billion in 2023 and is anticipated to register a CAGR of over 5.5% between 2024 and 2032. The increasing interest in home decor and interior design has driven the demand for home fragrance products. Consumers view home fragrances as an essential element in enhancing the ambiance and aesthetics of their living spaces.
 

Heightened awareness of the influence of scents on mental well-being has led to an increased demand for home fragrances for stress relief and relaxation. Aromatherapy and scented products are seen as tools to create a soothing and calming home environment. Home fragrance products make popular gifts for various occasions. The culture of gifting scented candles, diffusers, and other fragrance items has contributed to sustained demand throughout the year, especially during festive seasons.
 

Homeowners engaging in home improvement and renovation projects often consider home fragrances as a final touch to create a pleasant atmosphere. This trend has led to increased sales in the home fragrance market. The increasing trend of home entertaining, especially in the context of social gatherings and events at home, has led to a higher demand for home fragrances to create a welcoming and enjoyable atmosphere.
 

With increasing awareness of environmental issues, consumers are becoming more conscious of the environmental impact of the products they purchase. Home fragrance products often contain synthetic chemicals, and the industry may face challenges in addressing sustainability concerns and finding eco-friendly alternatives. The home fragrance industry is subject to various regulations regarding the use of certain ingredients and labeling requirements. Adhering to these regulations can be challenging, and changes in regulatory standards may impact product formulations, manufacturing processes, and marketing strategies.
 

Home Fragrance Market Trends

There is an increasing demand for home fragrance products that incorporate natural and sustainable ingredients. Consumers are increasingly favoring eco-friendly options, leading companies to develop products with plant-based, organic, or sustainably sourced materials. Home fragrances are not only sought for their pleasant scents but also for their perceived wellness benefits. Aromatherapy blends and products that promote relaxation, stress relief, and mood enhancement have gained traction. Essential oils and natural extracts with therapeutic properties are often featured in such products.
 

Smart home devices, such as diffusers that can be controlled via smartphone apps, are becoming more common. This allows users to adjust settings remotely and create personalized schedules for fragrance diffusion. Consumers are increasingly favoring minimalist and aesthetically pleasing packaging designs. Brands have been investing in visually appealing packaging to attract customers who value not only the fragrance itself but also the overall presentation of the product.
 

Home Fragrance Market Analysis

By product type, the market is categorized into scented candles, sprays, scented wax tablets, essence oil, incense sticks, and others (diffuser, scented cotton sack). Scented candles held the dominant market of USD 4 billion in 2023 and is anticipated to grow through the years. Scented candles serve a dual purpose by providing both visual and olfactory enjoyment. Consumers often choose candles based on their decorative appeal. Seasonal scented candles, especially during holidays, experience increased demand as consumers seek to create a festive atmosphere. Sprays offer a quick and convenient way to refresh a room with a burst of fragrance.
 

Sprays can be used in various settings, from living rooms to bedrooms, providing flexibility for consumers to change scents as desired. Scented wax tablets slowly release fragrance over time, making them the preferred choice for consumers who seek a longer-lasting scent. Essential oils are often associated with aromatherapy, contributing to the growing demand for products that promote relaxation, stress relief, and mood enhancement.
 

Incense sticks are used in various cultures and religious practices. Innovative diffusers and plug-ins that use technology for controlled fragrance release appeal to consumers looking for modern and convenient solutions, which is expected to fuel the market growth for home fragrance in the upcoming years.
 

Based on category, the home fragrance market is categorized into mass and premium. The mass category held the dominant market share of 64% in 2023 and is anticipated to grow through the years. Mass-market products are priced competitively, making them accessible to a broader consumer base. Affordability is a significant driver, especially for cost-conscious consumers. Mass products are often available in a variety of retail outlets, including supermarkets, department stores, and discount stores.
 

The widespread availability contributes to higher sales volume. Mass home fragrance products are designed for everyday use, catering to consumers who want affordable options for regular usage without making a significant financial commitment. Premium home fragrance products emphasize luxury and exclusivity, attracting consumers who are willing to invest in high-quality scents and upscale packaging. Premium products often use superior and rare ingredients, appealing to consumers who prioritize the quality and authenticity of fragrances in their living spaces.  
 

North America dominates the current market and held 30% of the business share in 2023. North American consumers often seek home fragrance products that align with seasonal changes and holidays. Seasonal scents, such as pumpkin spice in the fall or evergreen in the winter, are particularly popular.
 

There is a growing demand for eco-friendly and sustainable home fragrance products, including those made with natural ingredients and environmentally friendly packaging in North America. The trend of spending more time at home, whether due to remote work, lifestyle changes, or external factors, has led to a heightened interest in creating pleasant and comfortable living environments through the use of home fragrance products.
 

Home Fragrance Market Share

The market is highly fragmented in nature due to the presence of numerous local and global players across the globe. In 2023, the above list of dominant market players collectively held around 15%-20% market share. These players are involved in strategic endeavors, such as mergers & acquisitions, facility expansions & collaborations, to expand their product portfolios, extend their reach to a broader customer base, and strengthen their market position.
 

Home Fragrance Market Companies

Major players operating in the home fragrance industry include:

• Blyth Inc.
• Candle-lite Company
• Colgate-Palmolive Company
• Henkel AG & Co. KGaA
• Illume
• Johnson & Johnson
• L Brands
• Lampe Berger
• Nest Fragrances
• Newell Brands
• P&G Prestige
• Reckitt Benckiser Group plc
• Revlon, Inc.
• S.C. Johnson & Son, Inc
• The Estee Lauder Companies Inc.

Home Fragrance Industry News

• The Yankee Candle Company, Inc. of Newell Brands Inc. introduced two scents in October 2023, White Spruce & Grapefruit and Silver Sage & Pine, available in different sizes. The packaging options include melts, big jars, medium jars, and huge tumblers.
   
• The Procter & Gamble Company's Febreze unveiled its Mood Collection in August 2023. The three scents in the new line-up are Refresh & Energize, Soothe & Restore, and Romance & Desire.
   
• The proprietor of The Scented Barn, a home fragrance business offering candles, diffusers, and wax melts, launched the venture amid the COVID-19 pandemic. The business has since expanded, leading to the establishment of a permanent location in Holt, UK, in March 2023.
   
• The British business Aluxury, which specializes in fragrances for homes, unveiled the Nebula Electric Waterless Oil Diffuser in February 2023. With a 120-hour runtime on a single charge, this diffuser runs on batteries and is rechargeable.
   

The home fragrance market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Million Units) from 2018 to 2032, for the following segments:

Click here to Buy Section of this Report

Market, By product type, 2018 – 2032

• Scented candles
• Sprays
• Scented wax tablets
• Essence oil
• Incense sticks
• Other (Diffuser, Scented cotton sack)

Market, By category, 2018 – 2032

• Mass
• Premium

Market, By distribution channel, 2018 – 2032

• Online
  • E-commerce sites
  • Company websites 
• Offline
  • Specialty Stores
  • Mega Retail Stores
  • Others (Departmental stores, Individual stores)

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America 
• MEA
  • Saudi Arabia
  • UAE
  • South Africa
  • Rest of MEA