According to a recent report by Grand View Research, Inc., the global home fragrance market is anticipated to reach USD 20.28 billion by 2030, expanding at a compound annual growth rate (CAGR) of 9.0% from 2024 to 2030. The increasing investment in home décor is creating significant growth opportunities for the market. Additionally, the rising awareness of the scientifically proven benefits of certain scents in addressing mental health issues—such as anxiety, depression, and emotional fatigue—is contributing to market expansion.

A growing preference for pleasant indoor environments and the flourishing air care industry have further boosted consumer spending on home fragrance products. Moreover, the increasing adoption of aromatherapy in households is expected to be a key driver in the coming years. Research indicates that inhaling essential oil blends can effectively enhance sleep quality. Heightened consumer awareness of aromatherapy’s benefits in relieving pain, improving mood, and promoting better sleep has further stimulated demand for these products.

Among product types, sprays dominated the market share. This trend is particularly evident in countries such as the U.S., Germany, the UK, France, Spain, Italy, and other European nations, where demand is fueled by the integration of natural and eco-friendly ingredients, including essential oils and botanical extracts. For example, in March 2021, Bath & Body Works launched its "Wildflower Blooms" spray collection, offering floral fragrances such as lavender, honeysuckle, and jasmine.

In terms of distribution channels, supermarkets and hypermarkets held the largest market share in 2023. These outlets are widely accessible across various regions and offer consumers a convenient shopping option. Their competitive pricing, promotional deals, and in-store marketing efforts contribute to increased consumer awareness and drive product sales.

Asia Pacific is projected to be the fastest-growing regional market during the forecast period. This growth is driven by rising disposable incomes, greater awareness of indoor air quality, and a growing middle-class population. With improvements in living standards, consumers in the region are more willing to spend on home fragrance products.

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Key Highlights from the Home Fragrance Market Report:

  • Europe led the global market in 2023, driven by strong demand for essential oils used in aromatherapy and decorative home fragrance products.

  • The scented candles segment is expected to witness the highest CAGR during the forecast period, supported by the development of luxury candles formulated with premium ingredients like natural waxes and essential oils.

  • The online sales channel is anticipated to grow at the fastest pace, thanks to the wide variety of available brands, attractive discounts, and free delivery options offered by e-commerce platforms.

The home fragrance industry is characterized by a consolidated competitive landscape, featuring both global and select regional players. Notable companies in the market include:

  • Reckitt Benckiser Group PLC

  • The Procter & Gamble Company

  • Seda France

  • S. C. Johnson & Son, Inc.

  • Newell Brands Inc.

  • Voluspa

  • Scent Air

  • NEST Fragrances

  • The Estée Lauder Companies Inc.

  • Bougie & Senteur

  • Bath & Body Works LLC

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