Australia Medicated Skincare Market Size, Share and Outlook - Growth Analysis Report and Forecast Trends (2026-2035)

Australia Medicated Skincare Market Overview

The market is growing steadily, driven by rising prevalence of skin conditions such as eczema, acne, and dermatitis. Increasing consumer awareness about dermatologically tested products, coupled with innovations in active ingredient formulations, supports market expansion. Pharmaceutical and cosmetic companies are introducing advanced therapeutic skincare lines targeting sensitive and problem-prone skin. Strong retail presence, e-commerce penetration, and dermatologist recommendations are further boosting product adoption, making Australia a key growth hub for medicated skincare solutions. The market is expected to grow at a CAGR of 5.10% during the forecast period of 2026-2035 and attain a market value of USD 2.63 Billion by 2035.

Australia Medicated Skincare Market Growth Drivers

Affluent Companies Expanding Their Presence Across Various Regions to Enhance Market Value in the Forecast Period

In March 2025, US medical-aesthetic skincare brand Hydrinity partnered with Device Consulting to enter the Australian market. Targeting over 1,000 plastic surgeons, dermatologists, and 39,000 general practitioners, the brand is leveraging premium, practitioner-led channels. This expansion is expected to boost the medicated skincare segment by meeting rising consumer demand for clinically backed, science-driven formulations. Hydrinity’s entry strengthens the professional recommendation ecosystem, increasing awareness and adoption of active skincare solutions, and positioning the brand as a key player in the market.

Australia Medicated Skincare Market Trends

Key market trends include acquisitions and growing demand for science-backed products.

Rise in Strategic Acquisitions to Boost Market Value

In August 2025, L’Oréal Group acquired a majority stake in British dermocosmetic brand Medik8, which already operates in Australia. The acquisition aims to accelerate research and development of clinically validated products while expanding distribution in medicated skincare segments. Collaborating with local distributors like Advanced Cosmeceuticals, Medik8 targets specialist clinics and dermatologists effectively. This strategic consolidation strengthens innovation pipelines, enhances access to high-efficacy products, and bolsters the premium segment. The acquisition underscores the growing role of global players in shaping Australia’s medicated skincare market through science-driven solutions and expanded professional reach.

Growing Consumer Preference for Science-Backed Formulations to Increase Australia Medicated Skincare Market Demand

The market is witnessing a strong shift toward science-backed and clinically validated products. Consumers are increasingly seeking formulations with active ingredients such as retinol, peptides, and antioxidants that deliver measurable results. This trend is driven by heightened awareness of skin health, digital access to product reviews, and a desire for personalized skincare solutions. Brands are responding by investing in product innovation, transparent ingredient labeling, and efficacy studies, reinforcing trust and accelerating adoption in the premium medicated skincare segment across Australia.

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Purchase the Regional Overview for USD 1099

If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.

Australia Medicated Skincare Market Share

Retinol to Lead the Market Segmentation by Ingredient

The retinol segment is likely to dominate the market share by ingredient due to its proven efficacy in anti-aging and acne treatment solutions. Retinol-based formulations remain highly demanded for their clinically validated benefits in skin renewal, wrinkle reduction, and hyperpigmentation management. Notably, Australia contributed 1.5% of the global retinol beauty products market revenue in the historical period, highlighting its strong consumer preference and growing adoption of dermatologist-recommended, retinol-infused medicated skincare products across various therapeutic and cosmetic applications.

Leading Players in the Australia Medicated Skincare Market

Other key players in the market include AbbVie Inc., Procter & Gamble, Johnson & Johnson Innovative Medicine, Colgate-Palmolive Company (eltaMD), Kao Corporation, and Perrigo Company Plc.

Australia Medicated Skincare Market Segmentation

Key Questions Answered in the Australia Medicated Skincare Market

• What was the Australia medicated skincare market value in 2025?
• What is the Australia medicated skincare market forecast outlook for 2026-2035?
• What is the market breakup based on product type?
• What is the market breakup based on the ingredient?
• What is the market breakup based on skin type?
• What is the market breakup based on indication?
• What is the market breakup based on the distribution channel?
• What are the major factors aiding the Australia medicated skincare market demand?
• How has the market performed so far, and how is it anticipated to perform in the coming years?
• What are the market's major drivers, opportunities, and restraints?
• What are the major Australia medicated skincare market trends?
• Which product type will lead the market segment?
• Which ingredient will lead the market segment?
• Which skin type will lead the market segment?
• Which indication will lead the market segment?
• Which distribution channel will lead the market segment?
• Who are the key players involved in the Australia medicated skincare market?
• What are the current unmet needs and challenges in the market?