Nigerian startup Beauty Hut is working to transform the African beauty market by empowering consumers and businesses who typically struggle to source for affordable, authentic, and highly sought-after beauty products through effective product distribution.
A beauty and personal care distributor founded in 2023 by Subuola Oyeleye, Beauty Hut was formed in order to champion women in Africa through the beauty industry.
“African consumers typically have a difficult time finding highly sought-after beauty and personal care products, for a number of reasons,” Oyeleye told Disrupt Africa.
“Beauty and personal care products in Africa are often sold at exorbitant prices, and are inauthentic and inaccessible without having to ship from other countries. The interesting thing is that all these brands actively desire a presence in Africa to solve these problems – they just struggle to find the right partners.”
This is where Beauty Hut steps in – bridging the gap between beauty and personal care brands and African consumers through strong brand partnerships and effective product distribution channels.
The startup has already amassed 2,300 paying customers, making retail margins on products it distributes on behalf of local and international beauty and personal care brands to distribute their products on the African continent.
Currently funded by angel investors, and the ARM Labs Lagos Techstars Accelerator, Beauty Hut plans to raise a pre-seed round in the coming months.
WHY WEST AFRICA?
$5.28 bn
Beauty market size in
2026 from $4.2bn in 2021
6.5%
CAGR with Accelerating
Momentum
7.25%
Estimated YOY growth
Trends
Consumer preferences are shifting
towards natural and organic products
Cultural identity plays a significant
role in shaping beauty standards.
Market Growth Factors
Growing middle class, urbanization
The rise of e-commerce.
MAJOR PRODUCT SEGMENTS
Haircare
$1.4B
Skincare
$1.1B
Make up
$900M
Fragrances
$700M
BY COUNTRIES
Population : 220 million and forecast to be over 260 million by 2030
Annual population growth rate: 2.6%
GDP (2021): US$441 billion (₦203 trillion)
Economy growth rate forecast: 3.2% (2022-2024)
Nigeria’s Beauty Market
Was worth over US$2.2 billion (₦1.034 trillion) in 2021.
Forecast to see annual growth of 16.48% (CAGR 2023-2027).
Beauty sector has seen 14.5% annual growth in retail sales from 2020 – 2021, with hair care increasing by 17%.
Mass beauty/personal care is worth more than US$1 billion ((₦470 billion) accounting for more than 45% of Nigeria’s total beauty sector (2021).
Skincare is worth around US$280 million (₦128 billion) (2021).
Ghanaian Beauty Market
Forecast to reach US$29.3 million (GH₵355 million) in 2023.
Midterm forecast is for an annual revenue growth rate of over 12% (CAGR 2023-2027) making the market worth US$46.2 million (GH₵562 million) by 2027.
Personal care sector could be worth US$70.0 million (GH₵853 million) in Ghana in 2023.
The forecast annual growth rate of 11.7% (CAGR 2023-2027) could take the market value to US$109 million (GH₵1.4 billion) by 2027.
Population – 33 million and forecast to reach 38 million by 2030
Annual population growth rate: 2.19%
GDP (2021): US$78 billion (GH₵951 billion)
Economy growth rate forecast: 5.4% (2021)
Traditional Markets
largest importers of goods from
across the world
Two of Nigeria’s largest beauty markets
– BBA and Oke Arin – are only a 45-minute drive from the exhibition venue
Malls & Retail Outlets
There is an increasing presence of these, similar to
those in global shopping hot spots like London, New York & Dubai.
BWA hosts all the buyers from major retailers including; Casa Bella, Kuddy Cometics, Essenza, Montaigne Place, Persiana’s etc…