The skin care market, a subset of the multi-billion dollar cosmetics industry, is forecast to see steady growth of around 6.7% in the US over the next five years, despite a slightly grim economic forecast for the same period. The cosmetic industry is famed for having extremely good margins as products can have gross margins above 70%. Barriers such as huge distribution costs and channel marketing requirements needed to penetrate such a large industry keep smaller competition out and often leave only the large players competing.
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