10 retail trends set to shape the fragrance industry in 2025

The fragrance category is becoming more creative, immersive, and sustainable than ever. From cost-conscious purchases to the growing impact of AI-powered personalisation, The Fragrance Shop reveals ten retail trends set to define the industry in 2025.

The evolving customer

When it comes to buying fragrance, consumers are more educated than ever before. The demand for quality, longevity, and value continues to be a critical factor.

Fragrances that challenge traditional norms with unconventional combinations and unpredictable notes will emerge as consumers crave more complex gourmands, higher intensities, and varied fragrance products.

As a result, sales of niche and artisanal brands will surge as customers seek quality and unique fragrances in 2025.

Fragrance as an expression of personal identity

Fragrance, like fashion, is now a form of personal expression and identity. The recent report reveals that shoppers are curating more diverse and extensive fragrance wardrobes with varying scents, brands and price points.

Fragrances are being curated for different emotions or activities, such as "energising fragrances for work" or "romantic scents for date night". This will continue to gain popularity in 2025, according to The Fragrance Shop.

Despite this, the research highlights that signature scents are also still important to consumers, especially for fragrance wearers in the Gen X and Boomer demographics.

Cost-conscious consumers

Fragrance enthusiasts are increasingly discovering budget-friendly alternatives and sharing their finds online.

The combination of the income squeeze driving trading down and product innovation has boosted demand for body sprays and mists. It comes as just under 50% of UK consumers use these products, according to Mintel.

The Fragrance Shop highlights that budget-friendly fragrances also allow consumers to balance them with more expensive fragrances to create their scent wardrobes.

Personalisation and AI

The report suggests that fragrance wearers will embrace even more nuanced and personalised ways to explore scent in 2025, blending technology, creativity, and individualism.

The Fragrance Shop predicts more brands will leverage artificial intelligence to allow consumers to create highly personalised scent experiences, such as Every Human.

In particular, as technology advances, AI-powered tools to identify fragrances that align with scent preferences, moods and body chemistry are expected to launch in 2025.

More sophisticated e-commerce AI integrations will also emerge for personalised recommendations, TikTok preferences, past purchases, and predicting shoppers’ intent.

Retail innovation

Brick-and-mortar will remain a priority for shoppers purchasing fragrance in 2025. As a result, The Fragrance Shop expects retail innovation to continue throughout the year as brands and retailers look to entice customers.

It expects engaging décor, personalised services, and augmented reality (AR) to boost sales, with more enhanced virtual sampling experiences using AR or apps that simulate scents through descriptive multimedia storytelling.

Multi-sensory experiences are also on the rise, helping brands and retailers engage with consumers. This includes pop-up scent bars and sensory booths with visual, audio and tactical elements to elevate the fragrance experience.

Intensity and exclusivity

Intense fragrances will continue to hold appeal for consumers that associate them with luxury and indulgence in 2025. Shoppers will increasingly value ‘long and strong’ scents, with extended longevity and strong sillage.

This will be balanced with educating consumers on the value of more intense fragrance and an emphasis on the craftsmanship of the fragrances, according to the report.

Collections of rare and exclusive scents will also gain popularity, as will fragrances that challenge norms with unconventional combinations and unpredictable notes.

@perfumerism these are all perfect for fall too !! #perfumetok #fallperfume #fragrance #luxuryfragrance #itgirl #vanilla ♬ Lofi/Fashionable/Rose Piano/10 minutes(1455693) - nightbird_bgm

Viral moments and creator content

Viral trends, experimentation and sales are expected to surge from within the fragrance community in 2025.

TikTok users are likely to evolve from current trends like "beastmode" (overpowering fragrances with extreme projection) and "smellmaxing" (maximising scent intensity and longevity) into more sophisticated, layered, and personalised approaches to fragrance use.

Fragrance creators with niche expertise or signature "scent tastes" will also continue to drive purchasing decisions by cultivating trust within their communities. In addition, the creator ecosystem is expected lead to more collaborations where influencers co-create fragrances or participate in personalised marketing campaigns.

Sustainability

Demand for environmentally friendly fragrances featuring biodegradable ingredients, refillable packaging, and sustainably sourced materials will increase this year.

Expect to see a growth in eco-conscious ingredients, such as in lab-created ingredients to reduce reliance on animal or unsustainable natural sources, alongside transparent storytelling around sourcing and ethical production.

2025 will also see more brands committing to carbon-neutral production processes and recyclable, refillable packaging to keep up with evolving consumer behaviour.

Inclusivity

With demand for more inclusive and genderless fragrances to increase in 2025, the fragrance market is shifting towards gender-neutral products, aligning with younger audiences who reject traditional gender binaries.

This inclusive approach will include unisex designs and simple bottles that appeal to everyone, paired with marketing that highlights individual expression.

Interesting and unpredictable notes will also begin to attract even more diverse audiences, according to the report.

The wellness revolution

Consumers are increasingly seeking products that contribute to their overall well-being. Functional scents are being developed for stress reduction, energy, focus, calm, seduction and attraction, with more innovation expected in 2025.

Travel and culturally-inspired gourmands will also gain popularity throughout the year, with fragrances inspired by specific places, spaces or cultural experiences doing well.

Plus, the home fragrance boom reflects wellness priorities as consumers look to create a specific ambience and reflect their personality in their home space through fragrance.